Paying late honored by steep discounts?

Paying late honored by steep discounts?

One of our customers found a surprising fact the other day. And actually it took her only a few hours for this. Here’s the scoop. Our customer did some pricing sensitivity analyses. Among others she checked into the realized prices for customers with 180 days payment target. And she learned that those customers are paying about 23% below the average prices. Astounding. Isn’t it? Was this insight just coming by accident? You may think so. Since with reporting you wouldn’t have found this top-line improvement opportunity. Because reporting presupposes that you have to have a certain suspicion in order to parametrize the report accordingly. I.e. all reporting is biased by nature. Hence you cannot find surprising facts at all with reporting. Furthermore such findings require the accessibility of all detailed transactional records. In order to be able to correlate arbitrary business events in unusual ways. And this needs to be doable ad-hoc. We at Trufa have specialized in top- and bottom-line sensitivity analyses. We are applying advanced statistics to all business details as recorded in SAP ERP systems. We are quantifying opportunities and risks in dollars. In impact on working capital, realized pricing levels and achieved operating margin. We are relating financial and operational performance indicators. We are fostering product portfolio and process complexity reductions. And we are setting our customers live in less than one (1) week. That’s all.   Guenther Tolkmit / Chief Delivery Officer and Co-Founder at Trufa,...