Automation 2020: Manufacturers Adopt Overall Pricing Effectiveness
January 31, 2020
Automation 2020: How Manufacturers Can Adopt Overall Pricing Effectiveness
When looking at profitability, overall equipment effectiveness (OEE) has been a go-to within many industries for a long time. By improving the variable costs, many industries report a <8% increase in profitability. However, the new iteration of OEE is showing a >11% increase across the board in operating profit.
Overall pricing effectiveness (OPE) analyzes insight, management, and realization through a highly powerful pricing system. OEE looks at ensuring that individual machines are fully optimized for production by assessing their availability, performance and quality output to achieve maximum productivity, whereas OPE focuses on the manufacturing enterprise as a whole and how it is optimized for profitability. With data-driven analysis embedded throughout the company, manufacturers can make more informed decisions to achieve maximum profitability.
Read more about how many companies are using Pricefx, the only 100% cloud-native SaaS pricing solution, to optimize and automate prices while accounting for leakage.