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Case 1
Combatting a decline in profitability

Case 2
Realigning a facility for expected growth

Case 3
Analyzing risk vs. value to determine pricing structure

Case 4
Reducing cycle time to stay competitive

Case 5
Improving lead times and inventory control



Case 1
Combatting a decline in profitability

Business Issue: Pump and valve repair and overhaul shop whose customer base includes chemical plants had experienced a significant decline in profitability over a 12-month period.

Approach Used: Completed a product line profitability analysis, an audit of overhead expenses, implemented a budgeting process, and recommended an increase in billing rates (had not been increased in 15 years).

Results: Short-term improvement in cash flow and profitability resulted from cost controls implemented.  Long-term cash flow and profitability ensured through increased billing rates consistent with market.


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