Costs, volumes and prices - mention the need to improve profits and these are likely to be the suggested approaches. Providing individuals with the skills they need to play a meaningful role in the improvement of company profits, however, requires an understanding of 3 areas.
- cost causation, cost behaviour and cost allocation
- pricing strategies
- the outputs of cost and financial accounting systems.
We offer a facilitated Profit Improvement Programme (PIP). The aim is to take a group of employees through a process that will result in a pertinent proposal for profit improvement.
The focus of the PIP is on delivery, both in the short and long term. We do this through the transfer of workshop learning to the workplace. Participants leave the programme with new insights and skills applicable to their workplace.
The programme format
The company-selected participants attend a 2-day workshop during which they are introduced to cost causation, cost behaviour, cost allocation and cost management (including associated calculations.) They are also familiarised with the preparation and interpretation of financial statements and cash flow forecasting. They then embark on a facilitated process of identifying, researching and finally presenting a concrete proposal for profit improvement that is presented to management.