Optimise your Results Maximise your Margins Check your Pricing Strategy Outline of Services

Ensuring that the revenue being collected matches to the services contracted at one point in time still maps to correct charges now.

There are overt and covert reasons why your might not be getting as much revenue as you should from customers.

For example, prior campaigns may have applied a discount code for a limited period of time but your systems and processes haven't removed these once the contracted discount ends

There may have been times that a deal was won, but you weren't aware that the sales person may have given services away, or made under the radar upgrades.  

When undertaking a revenue leakage assessment, it is important to ascertain the gravity of the situation, the potential impact on your customer base risk of churn vs loss of revenue.  There maybe valid reasons to retain a loss making customer, and charging for services may result in that loss making customer cancelling (increasing your profits however) but that customer may also be happy to pay for the services as they often know they have had too good a deal for many years

We have undertaken many successful revenue leakage exercises over the years 

Data analytics helps provide deeper insights into problem areas, whether this is to help with cost avoidance, spend analysis, revenue collection, cost of production, IT spend etc,

None cashable areas can also be indicators of waste.  

A cost centre budget for digital campaigns that uses affiliates needs to be analysed for the volume of web traffic, referrals and ultimately closed business won versus spend

Contact centre response times, volume of calls answered etc all required data analysis and all indirectly contribute to your P+L

We use extensive Excel Modelling, including VBA coding.  We can tap into Data Scientists and deeper SQL database analytics if required.

Book to Bill process is looking at the placement of a customer order, through its journey, contract generation, order fulfilment and delivery and especially post delivery billing down the line, looking especially how upgrades and re-contracts have been applied and any changes to either operational delivery or suppliers

Looking at the Service Management interventions that can be applied and how well billing literals are kept aligned to component services.

Organisational changes often impact processes, Merger and Acquisitions almost certainly will have meant changes to many parts of the business.

High Revenue leakage and low Cost Avoidance are good indicators that B2B process has weak points that need fixing

Undertaking a pricing strategy review, to challenge and validate assumptions and ensure that financial models are current, with sensitivity analysis and what if scenarios to model impact on churn, win rate, volume and margins is key.  

We can either validate your Pricing Strategy and models, giving you the confidence they are in good shape, or help work with your teams if certain aspects are not be valid or omitted

We also help build pricing models  and business cases, considering the factors above.  

Understanding the value a customer places on your product or service is as important as the pricing strategy you are applying

In contract, out of contract, cost centre owners (not just procurement or IT), internal supplier spend reviews, regular cadence of external supplier management meetings.  

Are all these in place?

It is common for many businesses  to establish a contract at one point in time, perhaps negotiated by employees who left the business many moons ago and subsequently the contract starts to gather dust and maybe a general attitude of "its procurement, its legal, IT or supply chain to sort and manage"

In our view, employees (especially cost centre owners) should be expected and empowered to consider what they are doing with your companies cash as though it was their own cash.

We have undertaken many contract reviews over the years and have brought cost savings, mitigated contract issues and avoided un-necessary costs being incurred

This closely links to contract management. We can undertake and Supply Chain Health Check and provide you with an advisory framework from which to improve your supplier management process.  We can work with your teams to identify stakeholders who need to be involved

We will also review whether the process feeds into the Corporate Risk register and process

A supplier framework and a process to manage your suppliers leveraging teams across your organisation that will support your Procurement, Legal and Supplier Management teams