Industry: Manufacturing

Margin leakage at an industrial manufacturer

The same product was sold at widely different net prices, with no commercial explanation for the gap.

Starting point

The company had a clear price list but a net margin that varied sharply between customers of similar size. Nobody had a complete view of what happened between list price and realised outcome.

What we did

We ingested two years of order-line data and built a margin bridge from list to net per customer and product family. Deviations were ranked by value and our specialists went through the largest items with sales leadership.

Outcome

A prioritised list of customer agreements to review, plus a simple model for tracking price dispersion over time.