Solutions

Vayoom was born out of the need to turn around distressed companies, a process that can be achieved accurately by understanding both costs and revenues.

UNLOCK TRUE PROFITABILITY WITH VAYOOM SOLUTIONS

A new approach to manufacturing profit & cost innovative actions for higher profits

A Geometric Model Designed Specifically for Manufacturers

Most manufacturers face challenges with identifying which products and customers are truly profitable. Without this critical insight, increasing profits can seem impossible.

Vayoom’s Proprietary Solution

Vayoom’s unique geometric model takes a new approach by delivering:

AI-powered configuration of model
Actionable operational insights
Clear financial guidance within a dynamic, easy-to-understand platform

Our model accelerates profitability by directly analyzing the true cost of manufacturing, ensuring better pricing, optimized inventories, and more significant financial guidance for operations.

The Traditional Approach Falls Short

Many manufacturers rely on strategies such as efficiency improvement and cost-cutting measures using second-order methods like OEE, Lean, and Total Quality Management.

While these methods aim to improve profitability, they often:

Require additional capital investment
Shift direct costs to indirect ones
Fail to impact EBIT in a clear, direct way

This approach distorts the actual cost of manufacturing, leading to challenges like:

Ineffective pricing strategies
Unnecessary inventory buildup

Current State of Manufacturing Profit Improvement

Most improvement initiatives do NOT return financial benefits.

Over the past 20 years, research has highlighted a stark reality: Improvement projects do not lead to financial success, and a mere 30% of products drive earnings. This confirms—that efficiency improvement and cost-cutting do not guarantee increased profits.

Manufacturing Leadership Council Report - 2024

Download 2024 MLC Report

Data Mastery: A Key To Industrial Competitiveness

Manufacturing in 2030 MLC Report

Vendors offer a false sense of progress using secondary metrics
Spreadsheet is the primary tool for analysis
Focused on more data collection without business strategy alignment

Key Benefits of Vayoom

Do you know the actual cost of each product that you manufacture? Did you know the cost can change over time?

Knowing the Actual Cost of Products is the Key to Improving Profits

True Product Cost^TM
Switch from calendar-based P&Ls to individual Products and Customers, and create Customer Profit Centers
Detailed Profit Analysis
Target operational and financial improvements with Product Stratification
Accurate Quoting  
Quoting options enable an ability to negotiate higher prices
Small Data Footprint
Variance analysis iteratively improves quality of data and not the quantity

Ensures No Critical Information Slips Through the Cracks

Integrated Performance and Communication Tools to Boost Productivity by Managing All Your Projects in One Place.

Why is this Approach Better?

Cost-Revenue Dynamics are critical to optimize profitability and operational effectiveness because:

Revenue and cost occur at different times
Understanding the dynamic interplay between revenue and cost is essential because they occur at different rates and times. Understanding the breakdown of indirect cost is critical to improving profitability.
Proper distribution of indirect cost is essential
Unlike conventional approaches that use direct variables to allocate indirect cost, a better approach of using product and process attributes is required. Vayoom’s proprietary True Product Cost^TM algorithm changes the P&L assessment from time based to product based creating Customer Profit Centers. This drives the improvement initiatives focused on profit performance.
Demand drives operations
Synchronization of demand with production reduces the need to build up inventory while reducing working capital requirements. Demand driven resource budgets improve purchasing practices and reduce the chances of stock-outs.
Product profits impact each other
Production that shares resources such as equipment, materials and labor affect production cost of each product. Although the direct cost do not change, but the distribution of indirect cost is dependent on the resource use by each product. This has significant impact on the individual product profitability.

Please fill out the form for details to receive our white paper that delves into Cost-Revenue Dynamics, offering insights to optimize profitability and operational efficiency.

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