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Improformance Partners
Total Cost to Serve
OUR CORE SERVICES // TOTAL COST TO SERVE

Total cost to serve means looking at your revenue stream and your cost basis at a level of granularity far greater than at traditional P&L level. It enables companies to clearly understand which revenue streams add real value and which activities generate unacceptably high costs. It allows companies to focus their effort in those areas that improve profitability and develop strategies to improve the underperforming areas.

Our tools and implementation methodology is well established and can be deployed across an organisation’s product base to identify true handling costs and revenue for each product, as well as across the organisation’s client base (or client groups) to identify true net yield by client. 

• Operational Reviews: Where clients require greater visibility of complex systems which may be underperforming we conduct sophisticated operational “health-checks”. Where less complex operations need review we can provide either “on-line” or “on site” questionnaire based reviews, depending on the size and scope of the review. 

• Operational Improvement: Specifically in service and schedule driven environments, where classical manufacturing approaches are inappropriate or difficult to apply; we have assisted clients in warehouse and storage, general administration, automotive and industrial repairers, food services and airport services environments. 

• Management Information Systems (MIS): Setting, gathering and reporting Operational KPIs are the foundation of Continuous Improvement (CI) and exception management. Changing an organisation’s culture from reactive management response to pro-active management decisions requires robust and system-based (not manual) MIS and exception reporting. We have assisted clients in gathering and acting on information from simple on-line productivity KPIs to SCADA-based OEE measurements. 

• Lean and Six σ training and implementation: Reducing waste and establishing repeatability and control throughout the organisation is key to improving quality and reducing cost. Our team is able to assist in developing and implementing these methodologies in your organisation. 

• Product distribution planning, warehouse sizing and siting: Identification and evaluation of options available and Decision Support modelling. 

• Purchasing &: Inventory Management Forecasting for safety stock, setting product availability targets, mathematical modelling of stock turn targets including more sophisticated stock aging measurements. Sales forecasting methodologies, supplier reviews, selection and accreditation, purchasing systems (IT and Global Trade Management), reporting, Tender preparation and assessment. 

• Pre-Investment due diligence: Assessment and review of (non-property) investment opportunities, whether the investment is a trading business, a start-up venture, or a product.



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