Profitability Analysis

Companies in various sectors are taking critical decisions about their business without a clear view of what really contributes to generate results and what could be eating away at their profitability.

  • Consumer product industries need to know their profitability by channel, region, product line, factory unit and even by key accounts.
  • Advertising agencies need to be aware of jobs and accounts profitability.
  • Retail chains need to know their profitability by store, region and product line.

Most of the ERPs installed today are unable to quickly and consistently generate this information.

CTI designs and implements customized systems to meet needs of generating detailed operating results statements. Our systems include:

  • Transactional sales information Integration, billing systems revenues and taxes, as well as accounting and legal systems fixed costs and expenses for.
  • Costs and expenses Flexible allocation mechanisms that allow drivers simulation and allocation criteria change.
  • Speed and agility in analyzing profitability by several dimensions: Products/Lines, Sales channels, Geographic regions, Business units, sales structures and by Customer.
  • Consistency between these detailed P&Ls and company's corporate financial statements.

All of this using a development methodology where the criteria for allocating fixed and variable costs are thoroughly discussed by executives and compared with best industry practices, so the information generated is financially consistent in order to do market comparisons, to take decisions and, perhaps, for use in executive assessments and bonuses.

Product used in solution:

CTI solution users:

  • Coca Cola FEMSA
  • Casas Bahia
  • Hershey’s Brasil
  • Ogilvy Brasil
  • Banco Volkswagem
  • Porto Seguro