Our 80/20 Profit Enhancement & Growth Strategy (PEGS) Process Will Transform Your Business.

Profit growth begins with finding your business’s best assets. Which products or services are truly profitable for your company? Which customers would you consider your “A” customers — those that are most valuable and reliable? When you step back and take a discriminating look at your business, what part is the 20% — the critical core — that leads to all of your profitability?

Asking these questions is the first and most substantial step in creating a smart plan for enhancing growth. Once you discover where your company’s real value is, you can focus your resources there, zeroing in on your best-performing and highest potential offerings, and then travel a clearly defined path to a business performance transformation.

Our PEGS Process

Our experts have extensive experience assessing and developing custom strategies to significantly improve top-line and bottom-line growth; they have had proven success hundreds of times.

Through a trusted partnership, Strategex works with the client to teach them how to maintain the growth and keep ascending to the next tier of profitability.

Through three phases — Assessment, Prescription, and Execution — Strategex’s 80/20 Profit Enhancement experts will dramatically drive your earnings growth. Our PEGS process includes:

  • A robust analysis of the company’s business performance and results (including customers, products and services, SG&A expenses, margins, profit and loss, employees, manufacturing, and operations).
  • A proven means to sort the business based on business performance (including quartile analysis, quad analysis, and zero up). 
  • A common language and understanding for the entire organization to make decisions that directly impact business performance with access and authority in each and every functional area within an organization. 
  • A set of prescriptions that significantly improve business performance (including target selling, business and market segmentation, pricing practices and policies, simple systems, minimum orders, compensation designed to change focus and behavior, and outsourcing). 
  • A holistic approach to managing the business for record-level business performance. The entire organization will have clarity on the language, principles, policies, mission, vision, goals, and culture that optimize business performance. 
  • A transformation and equipping of the leadership with new skills and capabilities that relentlessly focus on business performance (including operating income, growth and acquisitions, and competitive differentiation).
  • A sustainable process to drive business performance for a lifetime. 80/20 never ends; profitability is sustainably high, business performance and results transcend economic conditions and business valuation rises with dramatic proportions.

Your business will have an acute understanding of your critical customers’ needs and develop a clear path to new product innovations and new market opportunities. Our assessment includes:

  • Analysis of past three years of P&L's
  • Analysis of your customers and products
  • Touring the manufacturing facilities and understanding manufacturing cycles
  • Understanding the sales cycle
  • Analysis of administration and accounting practices
  • Understanding the current culture of the organization
  • Basic training of the 80/20 philosophy

Implementation of our recommendations may use a combination of the following tools:

  • Zero Up
  • Product Line Simplification
  • Segmentation
  • In Lining / MRD
  • Outsourcing
  • Direct Costing
  • USa (Understand, Simplify, Act/Automate)
  • Target Selling
  • Raving Fans Programs

Contact the Strategex 80/20 Experts

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