A consumer products company with about 9,000 products in three segments and about $250 million of revenue quoted on standard cost.
Freight sat at shipment level, customization costs stayed in production records and returns came back as credit memos, so Sales approved quotes without seeing the margin the order would actually earn. Teams used different cost assumptions, and a product that showed a 52% margin at standard cost could land at 21% once customization, freight and a returns allowance were applied.
ProSights built a cost view for every order line that joins five sources and adds freight, customization and returns to standard cost using allocation rules Finance approved, then put a margin check against a 25% floor into the quote workflow, with customer and product roll-ups for review after delivery.
About 1,300 of 9,000 products sat below the 25% floor once freight, customization and returns were included; management repriced those lines
A product showing 52% margin at standard cost could land at 21% once customization, freight and a returns allowance were applied
Sales sees estimated margin before quoting; Finance reviews actual cost against estimate each month
- Company size
- 251-1,000 people
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