End-to-End Cost and Profitability Performance
Product, Customer + Channel Profitability
Determining product, customer, or channel profitability requires an end-to-end framework that creates transparency into your operational cost drivers. Without a deep awareness of costs across the organization’s value chain, your team is not equipped to make the best choices in this rapidly changing business environment.
Building better relationships with your customers, vendors, and suppliers involves creating a transparent, fact-based process where you can view cost results with an objective lens. ImpactECS gives you the platform to find meaningful and actionable cost answers so you can maximize profit performance at any organizational level or dimension.
Evaluating profits requires deep cost analysis across every part of the company. Effective analysis requires transparency in cost performance to calculate true profit performance.
Cost to Source
How much will it cost to get the things I need to create my products and services?
Cost to Make
How much will I spend making or implementing the things I make or provide?
Cost to Distribute
How much does it cost to get my products and services to my customer?
Cost of Terms & Incentives
How much will my company spend to get and keep customers?
Improve profitability with insights from ImpactECS
- Benchmark profit performance: Create a basis for objective measurement of costs and profits to provide a foundation for consensus and decision-making; insights on performance; readily available KPIs to make meaningful decisions.
- Gain cost visibility: Provide transparency into the operational cost drivers for products, customers, and channels to calculate detailed product and activity costs, create accountability, and enable meaningful conversations among stakeholders.
- React to changing market conditions: Eliminate cost data silos and combine cost data to identify profitable trade-offs across the supply chain.
- Evaluate the entire supply chain: Eliminate cost data silos and combine cost data to identify profitable trade-offs across the supply chain.
- Simulate profit outcomes: Run simulations to predict cost and profit performance, inform go-to-market and pricing strategies, determine product availability, and manage external relationships.
- Establish data-driven profitability programs: Combine data from ERP, warehouse, logistics, and other systems to establish profit views based on actual cost drivers.
The Value of Costing in Changing Business Environments
Recent events have taught finance and costing leaders that unpredictability is the new norm—making effective cost planning a necessity. Cost data impacts organizational decisions from quoting new business, selecting vendors and suppliers, planning production, and servicing customers. The most innovative teams have enabled costing models that generate planned, forecasted, historical, and simulated cost data to drive commercial and operational decisions.
This session highlights use cases of cost analytics models that predict how market shifts are cost changes that impact profits, evaluate performance compared to benchmarks, determine the success of quotes to actual performance, and establish targeted cost management programs.
Resources
It Starts with Costs
Download the eBook >Creating a Cost-Focused Culture
Watch the Webinar >Using Product Costing to Guide Key Business Decisions
Watch the 30-min Q+A >Business Modeling & Analytics: Creating Value Requires the Right Technology
Read the Article >Product Costing for Modern Finance Teams
Watch the Discussion >Ready to see ImpactECS in action?
Get a glimpse of how we help companiesunderstand their costs and profits