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Supply Chain Management

Achieving a low cost position is critical for most businesses. Not only does it improve profitability, but businesses with a low cost position are better able to drive growth through higher investment in sales, marketing and new product development, as well as more competitive pricing.

The ability to effectively and efficiently manage costs is more urgent today than ever before. Private equity firms are more than eager to buy companies that seem inefficient. There's rampant consolidation of weaker competitors in every industry. At the same time, there's intense competitive pressure from new players in emerging markets such as Asia. In a fast-changing global market place, having a low cost position is a key difference between leaders and followers. Companies with high market share have the potential to achieve economies of scale in marketing, product development, sales, operations and throughout the supply chain - if they manage their costs as efficiently and effectively as smaller, more nimble competitors.

Vertigo Group has worked with clients in a wide range of industries, to better manage overhead costs and take full advantage of potential savings from the supply chain. Our approach is straightforward, but differs from classic cost-saving strategies. Most companies mandate a cost reduction "full potential diagnostic" to assess where the biggest opportunities really lie; then we focus our efforts - and our clients' efforts - on those opportunities.

Our team uses a broad set of tools to perform a rigorous analysis of our clients' position, starting with the competitive position, market dynamics, and overall cost position. We diagnose key performance metrics and operating practices, comparing them to best practices. We identify the opportunities, quantify the potential, then help develop detailed solutions and implementation plans, and manage the implementation.

VG Capabilities
VERTIGO GROUP: Independent Insight, Meaningful Results