Situation:
Organically Grown Company (OGC) was at a stalemate regarding the relative profitability of customers and consequent pricing strategy. OGC also sought solid information on the profitability of distribution routes.
Solution:
Nicole provided OGC leadership with visibility and an understanding of the true customer level contribution to OGC business, showing the most significant drivers of cost and profit variability
between accounts and routes.
The costing model in effect revealed that costing models were inaccurate. Previously thought unprofitable segments were actually positively contributing to the bottom line, and vice-versa.
Initial Outcomes:
This information resolved a long-standing and significant stalemate. It provided direction to act and make confident decisions about customers and routes.
Nicole also provided insight into alternative pricing strategies and activity drivers to allow OGC to drive its mission while growing sustainable profits.
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