Problem

Revenue is growing. Why isn’t profit?

Growth can add low-value customers, more delivery complexity or more cost faster than it adds contribution.

The financial result is only the starting point.

The useful question is not whether revenue grew. It is what kind of revenue grew and what it took to produce it.

The work is to locate the movement, compare the parts of the business that changed with those that did not, and trace the difference back to the decision or process that produced it.

Related

Separate growth from the economics underneath it.

Profit margin falling

Start with the financial signal and separate where the movement occurred.

Read the margin problem →

Cost-to-serve

Growing revenue can add customers or work that are more expensive to deliver.

Trace cost-to-serve →

Commercial Diagnostic

Investigate what changed in the business underneath an already-identified financial signal.

See the two starting products →

Start here

Something changed between the action and the result. Find out what.

The first step is a free 30-minute discovery call. I research the business before the call, then use the conversation to test that outside view with you and narrow down where the problem may sit.

No presentation to prepare. I do the homework first.