According to Tom Rawson, president, the system has the potential to drive a 50-basis point improvement to a user's bottom line within 18 months after implementation. Rawson said the result would be the same as if a $100 million distributor generated $20 million in new sales.
"True Profit" Optimizer functions as a profit improvement management system that lets distributors analyze product categories and customers for "true profit" contribution and develop go-to-market strategies focused on account penetration and account retention. Distributors can quickly identify operational inefficiencies to be eliminated, competitive advantages to be leveraged and customer to target for optimum growth opportunities.
The "True Profit" Optimizer focuses on the five critical areas of contract and rebate management, category management, vendor profitability management, customer profitability management and DSR profitability management.