Consultancy Case
Autor: moto • December 11, 2013 • Study Guide • 376 Words (2 Pages) • 1,008 Views
Crack the Case
E(P=R-C)M
E: External Factors
P: Profitability – decrease in revenue, cost going up
R: Revenue
C: Cost
M: Marketing
Profit: Revenue, Cost
Revenue: Volume, Price
Cost: Variable Cost and Fixed Cost
Volume (Market Size, Market Share)
Market Share – Competition (Aim: Can I grab something from my competitor)
- Sustainability of current products
- Distribution Channels
- How regulations might affect my products market share
- Quality provider
- Capacity the company can produce
- Pattern analysis
Price – How the price is changing – Factors affecting the cost
Fixed Cost – Long term assets – buildings, equipment, SGNA,
Variable Cost – product that the company sells, material cost, employee salary, labor cost, transportation cost, taxes, commissions, overhead cost
Benchmark --> Ways to save cost:
Savings:
- Can we outsource or lease
- Existing contracts – renegotiate
- Buy in bulk - volume discounts
- Reduce shipping cost
- Cross train
- Relocate manufacturing
- Cheaper Labor
- Improve technology for process improvement
- Decrease the labor working hours
- Change the product mix – analyze trends for future prediction
Note: When you are new to the market it might not have any benchmark. But if it is expanding on current mark, we can ask for the bench mark.
Growth Framework:
Client:
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