Scenario Planning, Working Capital, Value Chain, and more.
Profitability Analytics Center of Excellence
A non-profit community of professionals helping companies use analytical models to enhance organizational value.
Welcome to the newsletter “PACE News”.?Click “Subscribe” to receive a notification and an email when we publish new articles on this channel monthly.
Become a member of PACE at no charge to get access to many articles, podcasts, webcasts, case studies, and eBooks. Visit www.Profitability-Analytics.org
UPCOMING WEBINARS
TOMORROW! Thursday March 13th at 10:00am ET. | AI-Driven Scenario Planning to Increase Profits by $Millions with Dean Sorensen
How can AI-driven scenario planning increase your profits by possibly ?? $millions? ??
Join Dean Sorensen and PACE for a webinar on March 13th to learn how.
Effective scenario planning plays a central role in optimizing profits and value.
Especially in global organizations needing to make complex decisions involving cross functional tradeoffs.
Scenario planning that supports such decisions has created significant value for global organizations – from $100 million to more than $1 billion.
However, not all planning solutions are designed to support such value. This webinar will explore key differences that separate planning capabilities of modern and legacy solutions.
By attending, you’ll learn the following:
?? Mature scenario planning starts with executable plans
?? Forecasting customer profits and direct cash flows with causal models
?? Using causal models to leverage AI by way of evolutionary computation
?? Transforming financial and operational planning through integration
?? Opportunities for self-funding scenario planning in 3 to 6 months
?? Actions to leverage these capabilities
Register free today. https://www.dhirubhai.net/events/ai-drivenscenarioplanningtoincr7290087674890141697/
April 3, 2024 at 11:00am ET | Capital de Trabajo optimizado mediante modelos con principios causales en espa?ol
Optimización del Capital de Trabajo con IA y Modelos Causales Transforma la gestión financiera de tu empresa con estrategias avanzadas
En un mundo financiero cada vez más dinámico, la optimización del Capital de Trabajo es clave para mejorar la liquidez, reducir costos y potenciar la rentabilidad. En este evento, descubrirás cómo los modelos causales y la Inteligencia Artificial (IA) están revolucionando la gestión del Working Capital, permitiendo decisiones más precisas y estratégicas.
Acompá?anos en este evento exclusivo donde exploraremos estrategias efectivas, herramientas tecnológicas innovadoras y casos de éxito que te ayudarán a optimizar el flujo de caja de tu empresa.
?? Agenda del Evento
? Introducción – La importancia del Capital de Trabajo y su impacto financiero.
? Modelos Causales e IA – Cómo aplicarlos para optimizar la liquidez.
? Casos de éxito – Empresas que han mejorado su gestión financiera con estas metodologías.
? Estrategias Prácticas – Métodos eficaces para mejorar cuentas por cobrar, inventarios y pagos.
? Ciclo de Conversión de Efectivo – Cómo reducirlo para mejorar la rentabilidad.
?? únete al evento en Zoom
?? Fecha: 3 de Abril
?? Hora: 11:00 EST Miami
Presentadores:
?? Acceso: Haz clic aquí para unirte https://www.dhirubhai.net/events/capitaldetrabajooptimizadomedia7305301776130260995/
?? ?No pierdas esta oportunidad de transformar la gestión de tu Capital de Trabajo con IA y modelos avanzados!
April 24, 2025 at 10:00am | The Power of Value Chain Analysis in Management Accounting with ??enjamin Kofi Quansah, CMA, CGBA, CGMS, MBA, PGP-DSBA
In today’s competitive business landscape, value chain analysis is essential for organizations striving to enhance quality, reduce waste, and optimize costs while maintaining operational efficiency.
Join us for this insightful webinar to explore:
? How value chain analysis improves decision-making
? Identifying and optimizing cost drivers for innovation & efficiency
? Balancing quality, cost, and speed for sustainable competitive advantage
This forms a good foundation from which to explore how value chain analysis and cost optimization can transform decision-making and drive sustainable competitive advantage. Enhance your management accounting strategies and unlock new opportunities for growth and profitability!
Register now ???
REPLAYS
REPLAY | Is Your Consumer Packaged Goods Co. Driving Profitable Growth Through Mix? with Maciej Kacper Kurc and Mike Rand, Ph.D.
Are you driving profitable growth through "mix"?
Watch this replay to gain insights on strategies to use Revenue Growth Management (e.g. pricing, promotions, mix, trade terms) and Category Management initiatives and best-practice.
We brought together industry experts Maciej Kacper Kurc and Mike Rand, Ph.D. from Insightia - Revenue Growth Management Experts and Cat Man Toolkit respectively.
The speakers have 40+ years experiences from working with large and successful FMCG companies globally such as Mars, The Coca-Cola Company, PepsiCo, Carlsberg Group, Molson Coors etc. etc.
What will you learn?
??How can "Mix" drive growth and profit
??The definition of "Mix" and Net Sales Drivers
??5 most common mistakes when working with "Mix"
Replay Link: https://youtu.be/q-N0Nub9bOE
REPLAY | Operational Research and Analytics in Sports (Inspired by the movie "Moneyball") with Prof. Chandan Jha
In this webinar, "Operational Research and Analytics in Sports," led by Professor Chandan Jha, he explored how data and analytics are transforming decision-making in sports management.
It focused on how operational research techniques can be used for resource optimization, selection and ranking the best players, and formulating the sports strategy.
This session was designed for professionals, academics, and students interested in operational research and analytics applications in sports. It also applies to other industries as well.
Watch the replay https://youtu.be/gCN1zOmNSrE
REPLAY | BPT Framework to Achieve Business Profitability and Customer Satisfaction with Sumitha Kannan
In the dynamic global landscape, challenges abound—from globalization to the rapid evolution of Industry 4.0 technology, ESG considerations and the entry of new competitors through Government liberalization policies, the road to profitability appears increasingly complex.
To not just survive, but thrive, in this competitive arena, organizations must embrace a comprehensive strategy that bestows them with a sustainable competitive advantage. The Business Profitability Triangle (BPT) Model provides a framework for developing a culture that Leaders can implement in their organizations to gain competitive advantage and profitability.
This webinar covered the following:
1. Understand the essentials of strategic management and how aligning organizational goals with actionable processes drives long-term success.
2. Identify key performance measures that link quality management to profitability and customer satisfaction.
3. Gain insights into building a quality-focused culture, including actionable steps to foster employee engagement and align with organizational values.
4. Recognize the benefits of integrating a quality culture to address global challenges such as ESG compliance and Industry 4.0 advancements, positioning their organization for sustainable growth and competitiveness.
Sumitha Kannan is an author, an International Certified Professional Trainer (IPMA, UK) and an accredited Malaysian Trainer/Consultant; specializing in Strategic Management and Quality 4, with an MSc in Strategic Quality Management from the University of Portsmouth and is an ASQ-certified Quality Manager and Auditor.
She is a Senior Member of the American Society for Quality (ASQ) and a Member of the International Professional Managers Association (IPMA), UK.
Watch the replay https://youtu.be/c0Z6tNh4n_8
PODCASTS:
"Plans, Budgets, Forecasts, and Causality" with Doug Hicks, CPA
In just over 5 minutes, experienced story teller Doug Hicks, CPA discusses why many organizations treat plans, budgets, and forecasts as political tools rather than effective management instruments, often manipulating numbers to align with executive expectations rather than reality.
He tells us about his experience as a controller and consultant and how it revealed that these processes frequently prioritize job security over decision-making, a trend exacerbated by non-causality-based predictive cost models that allow for superficial yet misleading results.
However, by adopting causality-based models, organizations can ensure their financial planning reflects true operational economics, leading to more informed decisions, better performance tracking, and actionable insights.
Doug closes off the podcast by telling us that the PACE, Profitability Analytics Framework offers a solution by grounding plans, budgets, and forecasts in predictive, causality-driven methodologies, transforming them from empty rituals into valuable management tools.
Catch this episode here:
Spotify: https://tinyurl.com/43zwwtpp
Apple: https://tinyurl.com/4zmb5bbd
YouTube: https://youtu.be/nrpGlo2UN8k
Are you a member of PACE yet? It's free.
Click here to join us and get access to all of our content.
ARTICLES
ARTICLE: Why are KPIs important? by Toby Hatch
What are Key Performance Indicators and Why are they Important?
In her new article, "Why are KPIs Important?", Toby Hatch explains that Key Performance Indicators (KPIs) are essential for tracking progress, making data-driven decisions, and aligning business activities with strategic goals.
They provide measurable insights into critical areas like revenue growth, customer retention, and operational efficiency, helping organizations stay focused on what truly matters.
Unlike general metrics, KPIs are specific, actionable, and time-bound, ensuring businesses can monitor performance effectively and make necessary improvements.
Beyond performance tracking, KPIs drive accountability, foster communication, and support continuous improvement.
They help businesses benchmark against industry standards, optimize resources, and quickly adapt to changing market conditions.
By using well-defined KPIs, organizations can enhance motivation, engagement, and overall success, making them indispensable tools for long-term growth and competitiveness.
Learn more here: https://www.profitability-analytics.org/forum/profitability-analytics/why-are-kpis-important
ARTICLE: "Total Working Capital & Profitability" by Pedro San Martin
Strategic working capital management is essential for improving corporate performance, enhancing liquidity, and driving business growth. In competitive markets, businesses must control costs while meeting financing demands, and optimizing the balance sheet is a key strategy.
Effective working capital management involves refining receivables, inventories, and payables, which can unlock 20-30% of working capital and improve financial stability. Beyond short-term cash flow improvements, integrating working capital strategies with broader cost-saving initiatives enhances profitability and strengthens a company’s financial position.
Benchmarking against industry standards helps businesses identify areas for improvement, as only 10% achieve "best-in-class" performance in working capital optimization.
Key drivers of working capital efficiency include tax management, process optimization, and external expertise. Tax planning, particularly in industries with high indirect taxes, can accelerate VAT recovery and improve liquidity.
Engaging consultants ensures focused execution, leveraging industry knowledge and best practices for optimal results. PwC’s structured three-stage approach—analyzing processes, implementing quick wins, and ensuring long-term stability—demonstrates how companies can achieve sustainable working capital reductions.
Benefits include:
By proactively managing working capital, businesses can unlock growth potential, achieve rapid financial gains, and maintain a competitive edge.
Learn more here: https://www.profitability-analytics.org/forum/profitability-analytics/total-working-capital-profitability
*Adapted from: Working Capital Management* PwC Interaméricas
PACE MasterClass
Want to become proficient with Profitability Analytics (PA) or know someone else that would? Check out the Profitability Analytics Center of Excellence PACE Profitability Analytics MasterClass. It's a self-paced, online, 8-module MasterClass and the first module is FREE!
We have teamed up with CostPerform to provide this training to you. This online MasterClass provides a structured, comprehensive approach to becoming proficient with profitability analytics, equipping you with the skills to drive organizational success through informed decision-making and strategic insights.
A certificate is issued upon successful completion.
Here are the 8 modules:
Module 1: Introduction to Profitability Analytics and the PACE Profitability Analytics Framework.
Module 2: Fundamentals of Causal Modeling
Module 3: Strategy Formulation Essentials
Module 4: Mastering Strategy Validation
Module 5: From Planning to Results: Effective Strategy Execution
Module 6: Revenue Management Analytics
Module 7: Effective Managerial Costing
Module 8: Managing Investment Strategy Using the PA Framework
Check it out today on CostPerform Academy! https://www.profitability-analytics.org/pamasterclass
More from PACE
?If you want to see more PACE content, please check out our LinkedIn PACE Channel , website , and Podcasts on Spotify, Apple Podcasts and YouTube.?To learn even more, read our eBooks on:
The Profitability Analytics Center of Excellence (PACE) is a?non-profit community of volunteer professionals?dedicated to helping organizations make better, more informed business decisions through the use of data analytics employing integrated, causal models.?Focusing exclusively on how to enable better managerial decision-making within organizations through the use of such models, PACE is the go-to source for people looking for independent and impartial (vendor and methodology neutral) information in this area. Find many more articles at www.profitability-analytics.org . Become a member today (no cost to join).
Outstanding level of activity and information on improving financial internal decision support information.
Associate Professor Of Accounting at Eastern Kentucky University
15 小时前Great stuff going on at PACE
President - Society of Product Cost Engineering & Analytics (SPCEA) Sr. Leader | Consultant | Board Member specializing in cost and quality optimization of electronic assemblies and semiconductors.
16 小时前PACE has great resources and this webinar series is certainly one of them. Keep up the good work.
So many great webinars and articles on the PACE website (and in this newsletter). I have already signed up for both of the English Webinars (I wish I was a Spanish speaker)
Founder and CEO: Analytics-Based Performance Management LLC; Expert in ABC, EPM/CPM, Profit Analysis, Budget, Analytics
16 小时前Thank you PACE for the LinkedIn post above with the PACE monthly newsletter. It includes the PACE March 13 webinar presented by Dean Sorensen on Scenario Planning. Dean is always a good presenter. I encourage people to register for Dean's webinar. I am registerd.