square root costing - a faster alternative to abc
DESCRIPTION
Do you know which of your products are truly profitable? If you did, how would it change your business?TRANSCRIPT
We have the analytics to get you the answers fast—much faster than
Activity-Based Costing. At MillerCoors we recently determined the cost
and pro�tability of their 1700 products, across all nine breweries, in just
SIX WEEKS, and down to the operating pro�t level.
Our unique Square-Root Costing methodology is a fast and practical way to
determine the actual cost and pro�t of your products, services, customers,
segments, channels, or facilities. We have applied it at numerous companies
across many industries, and most recently at MillerCoors. The implications for
companies are significant. Our clients discovered products that were much
more pro�table than they had thought, and therefore warranted greater resource
and investment, while other products, perceived as pro�table, were losing money
on every sale. What would you do differently if you found this out about
your products and services?
Find out how we can help you and learn more about our powerful costing methodology.
Wilson Perumal & Company is a premier management consulting �rm and the leading advisor to companies on how to compete in today's complex world.
Do you know which
of your products
are truly profitable?
And if you did,
how would it change
your business?
““This was a quick and painless way to understand our true product cost and profitability, and it challenges how we think about our business. I am extremely pleased with the results.”
– Fernando Palacios, EVP & Chief Integrated Supply Chain Officer
MillerCoors LLC
WP&C
Wilson Perumal& Company
Wilson Perumal & Company, Inc.Two Galleria Tower13455 Noel Road, Suite 1000Dallas, TX 75240+1-972-716-3930 tel
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