Profitability Improvement and Cost Control
Most Malaysian SMEs still lack proper profitability and costing analysis. This results in a lack of understanding of product mix profitability as well as effective price setting. As a result, there is insufficient business intelligence to plan effective promotion strategies and maximise profits.
Many SMEs also do not utilise budgeting, which can act as a powerful planning and motivation tool to ensure you meeting your business objectives.
Different businesses have different needs and different organisation structures which will require different information needs and systems to formulate proper budgeting.
Why You Might Need Our Help
How well do you understand what drives profit in your business?
Are you experiencing sales growth but your profitability is taking a hit?
What are your most profitable products and services – is your sales team incentivised to push these?
What are your loss making products and services – what are you doing to resolve these?
How far can your sales volume fall before you start being unprofitable?
Where can I cut business costs without adversely affecting my business?
How We Can Help
Review of financial information to explain profitability
Perform a product mix margin analysis for you to identify your most profitable and loss making products and services
Provide advisory on setup of proper costing calculations
Perform breakeven analysis for you to tell you the sales volume you need to break even, under different prices or cost scenarios
Provide advisory on setting up of purchasing and inventory systems
Provide advisory on formulating proper budgetary systems to control and motivate
Set up Key Performance Indicators (KPIs), incentive plans or performance measurement systems to assist management in evaluating performance
Perform Business Costing Analysis to identify areas where you can control costs to help you identify better suppliers and implement cost saving measures
Contact WT Wong at wt.wong@mswongco.com or call +607 3328 335 for more information
To build a strong and successful business, business owners need to understand the impact of their everyday business decisions.