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What are the Measurable Results?

The measurable results include the following:

  • Calculation of "Current" Part Multiplier Averages by Part Category -- The results are presented for Equipment, Freight, Labor, Overhead, Material, Misc, and Sub-Contract Goods & Services.  

  • Calculation of "Current" Prices and Gross Margins using "Current" Average Part Multiplier Values  by Sales Type -- The results are separated by Sales Type including In-House Fabricated Goods, Labor Related Services, and Outsourced Goods and Services.

  • Review of "Current" Results and Selection of "Target" Gross Margins -- The selection of "Target" Gross Margins values by Sales Type produces "Target" Part Multiplier Averages by Part Category" 

  • Implementation Guide and Instructions -- Because of the sensitive nature of making pricing changes it is important that implementation be undertaken in stages.  The General concept is to begin with the update of the "Default Part Multipliers" for Equipment, Labor, Shipping, and Material then proceed on a priority basis depending on dollar cost volume.

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