Value & Pricing Capabilities Development

Best Practices in developing a successful Pricing & Value Organization

Get support from the top
Develop Pricing culture + understanding of approach & stakes
Develop a realistic & detailed roadmap for Pricing performance improvement
Drive continued improvement by establishing clear responsibility & accountabilities for Pricing Performance across your organization,…
Define & communicate clear Pricing & Value strategies to guide all pricing decisions
Leverage Best practices & Key insights across the Divisions to ensure engagement & drive bottom line impact at divisional level
Develop common Set of tools that can be flexibly adapted to serve the needs of each division, whilst ensuring greater coherence & comparability..
Keep long term vision … but constantly look for Short term profit impact …
Combine a longer term capabilities building project with short term results
Provide a first vision of
the roadmap for Pricing improvement for the Group
what ‘the Group’ pricing way (process, tools, systems) could be
Show relevance & effectiveness of approach
Provide Quick Wins with significant bottom line impact
Start developing pricing visibility & culture
Provide a base upon which the Group approach could be developed / rolled out

Main objectives of the project

“to identify opportunities for enhancing The Group’s Pricing & Value capabilities and to develop a plan for moving for-ward.”
“to realize a significant short term improvement in profita-bility in target countries /SBUs by reducing margin leakage & re-aligning prices”

Pricing & Value Diagnostic & Roadmap

Provide a diagnostic all rele-vant aspects of the current P&V processes
Initiate the development of a P&V infrastructure (i.e. review and improvement process-es) that complements the intention of the P&V management tools
Develop the P&V Strategy Roadmap to outline the path forward over the next two years as The Group gradually improves its level of P&V performance.
Establish priorities and action plans for moving forward

‘Quick Wins’ - Short Term Pricing Improvements

Identify quick hits (impact within year) Pricing improvement opportunities with bottom line impact
Prepare Business Cases to quantify some opportunity for making pricing improvements
Improve pricing decisions through the use of a first set of P&V Management tools and processes
Pricing Waterfall tool to highlight price and margin leakages at a customer and product level
Price Dispersion tool that helps establish pricing control, by providing a means to compare customer pocket prices
Value Mapping Key products & Services
Competitive Benchmarking of Competitors on Value attributes
Pricing Strategy for key product groups and highlight the gaps between the cur-rent practice and the espoused strategy