Understanding customer profitability can be a complicated undertaking for any organization—especially one that has multiple lines of business. This article gleans insights from Nancy Michaels (President of Evello Consulting) about how she and one of her clients, a large vision care provider, worked to overcome the unique challenges that the organization’s business model posed for understanding customer profitability.
Read this article to learn:
- how the team worked across lines of business to understand customer profitability,
- the steps the organization took to build effective models, and
- the importance of a standardized strategic P&L that allows decision makers to compare profitability data across the enterprise.