A transportation company operates based on many complex factors such as diverse customers, differing routes, depots in various geographic areas, different forms of carriage and changing service levels. Helping managers develop a deep insight into what drives operational resources and costs will help them understand which customers are the most attractive, how changing a tariff impacts profitability and where process improvements will have the biggest impact on costs.
Maintaining high productivity and asset utilization means keeping resources and capacity tightly aligned with demand. Front line managers are best placed to achieve this by implementing activity-based costing at the transactional level. Only by going down to this level of detail will management gain a true understanding of cost behavior. Dynamic budgeting with time horizons that bridge short-term operational planning and long-term scenario planning will also provide the agility to constantly align capacity and deliver this year’s bottom line.
Profitability Applications and Transportation and Logistics
Business Objects profitability applications has helped many of the world’s leading airlines, ports and third party logistics providers implement solutions that have given them better visibility of their financial performance and the insight to improve it.
Testimonial
"We now have an innovating tool to identify and follow-up on the profitability of our customers and our products through tangible and reliable information."
Philippe Verne, chief financial officer
TNT Express France
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