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A commercial manufacturer improves financial performance with new pricing structure

BerryDunn's Commercial Practice Group partners with clients to provide insights that inform effective growth strategies, help them assess and manage risk, and optimize return strategies for better profitability. We helped a manufacturing company better understand their company divisional performance and the implications involved in changing their pricing structure.

The challenge

A commercial manufacturing company wanted to better understand the standalone results of their significant divisions and the financial sensitivity of making changes to product pricing.

The solution

BerryDunn worked with management to break out the standalone operations of the company’s divisions.

Our team built a financial forecasting model for each division that allowed management to make assumptions regarding product pricing and sales volumes and the impact on financial results.

The financial model also included an analysis which summarized the sales volume the company could afford to lose based on product price increases and still be net profit neutral.

The outcome

The company was able to utilize the standalone financial results of its divisions to set short- and long-term strategic priorities while also assessing employee performance.

The financial model provided management with the confidence to increase its product pricing, realizing improved financial results.

Learn more about how BerryDunn helps manufacturers build actionable strategies for short- and long-term success, or contact a member of our team.

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