Consumer Products Business Value

Initiatives

• Customer Profitability
• Product Profitability
• SKU Rationalization
• Vendor Negotiation
• Pricing
• Profit-Based Growth Strategies
• Supply Chain Analysis
• Process Improvement
• Rationalize Machinery and Facilities
• Resource Capacity & Utilization
• Lean Manufacturing and Accounting

Business Value

Better customer/product costing and profitability management through insight into NET profitability
• Toolset for “lean” accounting
• Provide numbers that employees understand and can act on
• Focus on processes instead of line items on a P&L
• Track the costs of inventory at every step of the process
• Augment standard costing with actual costing for operational purposes
• Expand “lean” accounting to include total item and customer profitability

Accurate cost-to-serve analysis provides insight for
• True cost of value-add and non-value-add services
• True cost of targeted campaigns
• Product rationalization
• Increasing profitable customers/products and decreasing those that are unprofitable
• More effective pricing

Better decision support
• Cost transparency
• Capacity and resource management
• Better reporting and dashboards

More effective operations
• Understand process costs
• Accurately measure performance and efficiency
• Effective capacity planning

How CPG Companies use Acorn solutions

Financial
• Financial Management and Decision Support
• Cost Allocation
• ABC/M

Operational
• Operational Performance/Efficiency
• Supply Chain Costing and Efficiencies
• Process Modeling and Costing
• Capacity Planning & Staffing Models

Strategic
• Corporate Performance Management
• Profitability Measurement and Enhancement
• Customer Profitability/ Customer Segmentation
• Channel Profitability & Costs
• Product Profitability & Costs
• Order & Line Item Profitability & Costs
• Customer Pricing & Contract Renegotiation

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Time-Driven ABC not only gave us very valuable insights into the drivers behind our logistic activities, it also helped us to fully evaluate and quantify the services rendered to our customers, and to put these services in relationship to our commercial goals. As a result, Time-Driven ABC served as an important agenda item for discussions on strategies, strength, weaknesses, and performances.
Pascal Platteau Operating Controller, Coca Cola Enterprises Belgium

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Quick Links: Growing Revenues Profitably I Reducing Costs I Improving Operational Efficiencies I Retail I Consumer Products
Manufacturing I Distribution and Logistics I Customer profitability I Product profitability I Vendor profitability