SERVICES / PROTECT THE ECONOMICS

See the exposure. Test the response.

Connect supplier costs, landed-cost assumptions and customer economics before deciding how to protect margin.

Discuss Your Business Challenge ↗
THE BUSINESS CHALLENGE

Which cost changes matter most—and which response is commercially defensible?

Supplier quotations, inventory timing and customer contracts rarely move together. An increase in landed cost may affect some products immediately and others only when existing stock is depleted. A blanket surcharge can overlook this timing and the commercial response it creates.

OUR ANALYTICAL APPROACH

Evidence, assumptions
and a decision you can explain.

We build a commercial scenario model using client-supplied cost inputs and tariff assumptions validated by the client’s customs or legal advisers. Exposure is traced from suppliers and products through inventory, contracts and customers. Pricing, procurement and inventory responses can then be compared on a common margin and cash basis.

SCOPE OF ANALYSIS
01

Landed-cost scenarios

Separate purchase cost, freight, insurance and client-validated duty assumptions. Make effective dates, currencies and valuation bases explicit, and avoid counting the same cost twice.

02

Product, supplier & customer exposure

Map cost changes to the SKUs, suppliers and accounts affected. Identify missing country-of-origin or cost information as data gaps for the client’s specialists to resolve.

03

Pass-through & surcharge options

Compare selective price changes, temporary surcharges, negotiated sharing and absorption. Reflect contract timing, collection risk and the duration of any intervention.

04

Customer & competitive response

Test retention, demand and competitor-response assumptions across scenarios. Use ranges and review triggers where evidence is limited.

05

Procurement & inventory tradeoffs

Compare sourcing changes and inventory buffers with working-capital needs, lead times and fulfillment risk. Involve engineering where substitution changes the offer.

06

Dashboards & decision playbooks

Make exposure, action ownership and scenario triggers visible. Establish when a price, inventory or sourcing decision should be revisited.

CONCRETE DELIVERABLES

Built for use,
not just presentation.

Final scope depends on the decision, data availability and agreed engagement objectives.

  1. Product/supplier/customer exposure matrix
  2. Versioned landed-cost and margin scenario model
  3. Pass-through, surcharge and absorption comparison
  4. Procurement/inventory/pricing tradeoff assessment
  5. Margin dashboard and decision playbook
RELATED PERSPECTIVEBuild a margin response before choosing a surcharge.
A CONVERSATION, GROUNDED IN YOUR BUSINESS

What’s your next
commercial decision?

Bring us the challenge. We’ll discuss the data, the decisions and a practical scope of work.

Discuss Your Business Challenge