If you want to change your answers, change the questions you’re asking. When it comes to solving the most pressing and challenging problems within a business, visibility can be cloudy. Your unprofitable clients and SKUs are not visible. Often you have no unprofitable clients, because their profit leaks have been smoothed over by averaging within cost accounting methodologies. Moving away from cost accounting and towards a functional analytical approach that pinpoints problems based upon profit contribution is the key: NET LANDED PROFIT and COST TO SERVE at the granular level, w
hen properly validated with the entire team, will lead you to make bold, accurate decisions both strategically and tactically.
Richard Sharpe of Competitive Insights will speak with us regarding his approach, honed over 30 years, at implementing a NET LANDED PROFIT view of the organization for multifunctional teams.
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