Activity-Based Modelling That Reveals True Cost-to-Serve

It’s not about allocating costs evenly. It’s about knowing why costs happen, and which activities and customers are really driving them.


We help you understand the true cost-to-serve across products, customers, services, and departments.


Without the right tools and processes, your best and most profitable customers often end up cross-subsidising the difficult, high-maintenance, and unprofitable ones. These hidden costs are nearly impossible to detect in a standard reporting environment, so you spend time, energy, and money servicing accounts that should be swapped out for profitable, value-aligned customers.

What we fix

Most cost allocations are too broad to be useful. They’re disconnected from activity, volume, and the operational drivers that move your business.
 
We fix that by modelling your cost base around the activities that actually occur, at scale, in detail, and with decision-making in mind.

What we deliver

  • A clear list of your loss-making customers


  • Identification of products and services with unacceptable margins


  • Data-driven insights into which customers need a price increase, and by how much


  • A breakdown of over-engineered services that erode profitability


  • Visibility into departments that are underperforming relative to cost


And beneath it all:


Granular activity-based costing models.
 
 

The outcomes

You’ll know what it really costs to serve each customer.


You’ll stop managing averages, and start managing profit.
 
And your finance team will lead smarter commercial conversations across the business, because the numbers are real, operational, easy to understand, and easy to act on. The business will come back for more. Finance won’t just be included in the conversation, it’ll be driving it.

Testimonials

Gold Circle 

Gold Circle

"Prophix from FP&Ai has revolutionised our budgeting and reporting processes, enabling us to provide meaningful insights to our stakeholders effortlessly, thanks to its robust functionality and exceptional support team."

Built by Finance Teams, for Finance Teams

We’ve sat in your seat. That’s why this solution isn’t theory it’s based on what works in the real world. 

Ready to see where your margin is really going and how to get it back?

Let's Talk