How would eliminating a customer or a product impact your profitability? How much will it cost if you increase production by x%? These are important questions to answer, but most organizations hold too much data, in various formats, to perform accurate profitability analysis.
Prophix’s profitability analysis software enables companies to feed their operational plans by evaluating key profitability measures such as profit margins, gross profit, operating profit, pretax profit, net profit, and profit and loss statements. Managing the calculations and allocations, using past performance as a touchstone, and accurately reporting and sharing the evaluation of profitability—what could be more important? After all, maximizing profitability is the primary goal of all businesses.
OTHER BENEFITS INCLUDE
Increased accountability and insight into the company’s information, with the ability to answer such questions as…
How can we effectively reduce costs and optimize performance?
Which products, services, channels, or customers should we maintain, adjust, or discontinue?
How are direct and indirect costs assigned to products, customers, services, and distribution channels? Which should we investigate and redesign?
Do we have capacity to increase the production of a specific item (or sale of a service)? If so, how much will it cost?
What is the impact of idle capacity on the total cost of a product or service? If we reduce idle capacity by 5%, how much will our profitability increase?
Why are we reporting losses for a specific customer? Does this relate to the products that the customer buys, the negotiated terms, or the unique demands of serving this customer?
Report positive results using visual scorecards and dashboards
Quickly deliver precise information regarding profitability in order to influence decision making
Evaluate ways to change the business to improve profitability; analyze potential adjustments with a pro forma income statement
Find solutions that are most relevant to you
"I know that our financial reports are 'rock solid' - they are always accurate and complete. I can say that with confidence because we use Prophix's software."
Spacesaver Corporation Steve Anderson - ControllerLearn More
"Prophix's software helps us make better, faster, and more reliable business decisions. At the same time, Prophix's on-going support is outstanding. Working with Prophix is like having our own secret weapon."
Trevor Booth Budget & GL Manager - Neogen CorporationLearn More
"Prophix's software makes my life easier - pure and simple. It has the functionality that I need to do my day-to-day finance tasks and improves how we work as a Finance department."
Jason Norman Senior Financial Analyst - Park Dental/The Dental SpecialistsLearn More
"Regardless of your business or the industry in which you operate, when you conduct strategic planning, turn to Prophix's software. It has proven itself to be a critical tool for me when making decisions that shape our organization's strategic direction."
Richard Pacheco II CPA, Vice President, Finance & Administration - AAA NortheastLearn More
"Using Prophix to automate Hyundai's financial processes has allowed us to plan for our organization's needs as far as 5 years out. Rather than compiling reports, our analysts now provide value for the company by evaluating and understanding Hyundai's data with a clear view of what the information means for our company."
Hyundai Motor America Jim Carter - Finance ExecutiveLearn More
Learn how we helped these businesses reduce risks and increase profitRead case study