Cost Analysis

A component of any performance improvement strategy is measuring costs. In manufacturing, obtaining an understanding of what direct costs are incurred with each product is key to understanding where more growth should be pursued, changes in pricing, tactical improvements made, or a combination of any and all.

Costing Methods

Often we see sophisticated cost methods used such as Activity Based Costing or similar, but methods such as these may cloud the reality that would otherwise show using fixed and variable costing with contribution margin analysis. We develop models that analyze each product being produced or service provided and use those metrics to direct the development of improvement strategies that promote better financial health.