Client profile

The client is a personal care manufacturing company with offline and online channels selling its products across India.

Business challenges

•  Lack of formalized Annual Operating Plan (AOP) framework.
• Inadequate real time tracking and rolling budget mechanisms.
• Absence of investor ready Management Information System (MIS).
• Extended existing MIS preparation timelines.
• Lack of visibility on manufacturing related costs.
• Lack of clarity on unit economics for key products.
• Inconsistent collection monitoring system.
• Absence of channel wise sales metrics.

Our approach

Budgeting

• Designed a detailed Annual Operating Plan (AOP) for the entire financial year.
• Introduced a rolling budget mechanism for monthly tracking.
• Executed consolidation of budgets of two entities to understand the plan at a group level.

Investor reporting

• Developed investor grade MIS with monthly Profit and Loss, Balance Sheet, and Cashflow statements.
• Implemented data driven decision making through variance analysis
• Reduced MIS preparation and presentation timeline from 15 days to 10 days.

Management reporting

• Established product level actual cost tracking in a manufacturing set up.
• Leveraged unit economics for key products to drive pricing decisions.
• Created Power BI dashboards for channel wise sales tracking.
• Devised collection monitoring system for online portal collection.

Outcomes

• A detailed data driven financial plan ready for execution and real time tracking.
• Enhanced transparency through better and timely presentations to the investors.
•  Reduction in MIS timelines by 33%.
• Data driven pricing decisions powered by unit economics insights.
• Improvement in unit economics for key products by more than 10%.
• Power BI dashboards enabled a sharp focus on multiple sales drivers like location, products, and portals/distributors.
• Reduction in cost of goods sold (cogs) up to 2% through better tracking of costs.
• Streamlined working capital management through better collection monitoring.