Reconstructing the gap between list price and cash received
A transaction-level review of discounts, rebates, freight and payment terms can explain why a price increase fails to reach the income statement.
PricingArticles and analysis.
Practical articles on pricing, capital allocation, commercial diligence and the work behind management reports.
13 articles
Measuring the time a business takes to approve a decision
Trace a sample of actual approvals to distinguish missing information, unclear authority and waiting for a meeting.
OrganizationComparing investments with different risk and capital needs
A common investment summary can expose differences in cash requirements without forcing every proposal through the same assumptions.
Capital allocationChecking a deal model for duplicated and incomplete benefits
A transaction benefit needs a baseline, an operational change and a credible path into earnings or cash.
TransactionsDesigning a cost program that finance can verify
Connect operational changes to the budget and accounting records before reporting a saving.
PerformanceSetting the scope and information rules for a consulting review
Agree the purpose, access and limits of a review before the analysis begins.
Working with advisersTesting a capital plan when financing conditions change
Separate the operating case from funding assumptions so a change in rates can be traced through cash requirements and investment choices.
Capital planningDefining how a combined business will operate
Set service responsibilities, decision authority and transition requirements before treating an organization chart as the complete integration plan.
Operating modelsFinding the causes of cash tied up in working capital
Inspect receivables, inventory and payables at transaction level before setting broad cash-release targets.
Cash and performanceReviewing whether a board pack supports the decisions on its agenda
Trace the figures, requests and unresolved assumptions behind a board paper before adding another reporting page.
Management reportingPlanning for critical roles during an acquisition
Identify the work that must continue, then address the people and transition dependencies attached to it.
TransactionsConnecting a stress scenario to operational management actions
An adverse scenario becomes useful for planning when management can trace the assumptions into cash, capacity and available responses.
PlanningCalculating cost to serve by customer and channel
Use the activities customers require to explain differences in contribution that average gross margin can conceal.
Pricing and costs