If you’re a manufacturing company you think about reducing costs to improve profits. If you’re a distributor you focus on customer profitability. And, if you are a service organization you may target customer lifetime value. But, there is another level to enhancing profits when you get more of your organization participating. It starts with visibility. […]

Many businesses will increase prices this January. For some, it’s an annual event to keep pace with rising costs while others may increase prices less frequently. Adjusting prices, up or down, has tremendous impact on profit margins. Even a 1% adjustment impacts earnings by 11% for the average company. So, with this amount of leverage, […]

Measuring individual customer profitability. One-third of all customers in wholesale distribution are money losers when factoring cost to serve. Manufacturing companies suffer as well. Small orders, small accounts and high maintenance drain margins. Take the time to measure profitability with invoice data and cost data to set minimum margin thresholds. Target accounts below the minimum […]

Big data has received a lot of attention in the last several years. The idea is that large amounts of data are analyzed to deliver insights that drive business improvement. In many cases, analysis of big data has delivered insights that lead to better business decisions. But, what if you simply don’t have “big data” […]

Managing a business for maximum profit is no easy task. A wide range of profit drivers can change margins in an instant. And, profit leaks can drain margins faster than you can grow revenue. Your ability to control these factors determines your company’s financial success and its future. So, are you in control of profitability? […]