Enhanced Quoting Process
We developed a proprietary quoting process that uses a modified Activity-Based Costing (ABC) model integrated into Theory of Constraints (TOC) methodology so you get more accurate, and often more affordable, pricing.
Activity-Based Costing seeks to work direct and indirect costs into pricing models based on how that specific activity uses direct/assignable or overhead costs. This means that instead of arbitrarily distributing indirect costs evenly across all of our quotes, we examine the type of activity generated and its true cost.
Integrating this into Theory of Constraints management also provides for a formal examination of the impact of investments and operational changes on throughput velocity, allowing us to price accordingly. Truly understanding cost, critical constraint resources (CCR) and throughput velocity is at the heart of our quotation and execution strategy.