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Manufacturing

Manufacturing

The facts

Technical and financial experts don't speak the same language. In these conditions it is often hazardous to measure costs and actual margins, let alone track savings of improvement projects.

Our solutions

Industrial operations diagnostic: building on our extensive, cross-industry experiences, we can promptly and accurately evaluate the maturity of your organization.

A diagnostic is based on interviews, data analysis and benchmark information ; it covers any or all of the following processes : product development, purchasing, manufacturing and assembly, supply chain, investments, management organization.

It can be carried out quickly with a limited investment on your side and will provide a clear understanding of the current situation and where it would make sense to implement improvement projects. 

Full cost modelling and margin analysis: indirect costs represent an ever-growing part of a product's total cost. Yet indirect costs are often spread accross with arbitrary keys and rules which do not reflect the actual use of resources. This leads to erroneous margin calculations and risky decision making.

Our expertise implementing ABC (Activity Based Costing) models in various industries will help you to calculate full costs acurately and to secure your development, marketing and sales strategy.

 

Results

  1. Costs

 "The analysis of support functions to determine acurate distribution rules helped us identify unused IT resources and avoid a new investment. This cut approximately 10% of our IT costs"

  2. Time

 "Prior to starting a cost cutting project on a product line we decided to carry out a cross-functional diagnostic. The findings showed that an improved development process and a more efficient quality control of key suppliers could drastically reduce the time to market, with benefits much higher than the originally anticipated cost savings."

  3. Value

 "A more realistic costing model allowed us to adapt pricing to customer value and market situations, terminate money-losing products, thus increasing sales and restoring decent profit margins"