Understanding and implementing
Target audience
- Management control directors
- Finance directors
- Anyone interested in this topic
0.5 day
Virtual Classroom
Distance learning - Managing inflation and protecting margins
Prerequisites
Distance learning - The return of inflation - Protecting margins
Prerequisites : prior knowledge of cost structures and margin calculations is required.
Materials: training materials and the link to the virtual classroom are provided the day before the course.
Objectives
◗ Interpreting inflation curves: measurement, variability, uncertainty
◗ Measuring the impact of inflation on margins based on cost structure
◗ Calculate the required sales price increase based on margin protection objectives
◗ Select approaches to model, justify, negotiate and contract customer and supplier agreements
Training program
◗ Understanding the economic impact of rising costs
- Impact of cost increases on margins, link to cost structure,
impact on sales price and margin protection (in value and percentage terms)
- Reading cost drift year-on-year and year-on-year,
typical inflation curves by type of cost
- Impact and logic of passthrough, recoverable portion, inertia in contracts
- Indexation clauses and contractual price adjustment formulas
✔ UNDERSTANDING | Data study: reading and visual recognition of inflationary curves
✔ APPLY | Case study: simulation of several scenarios in a simplified model provided
✔ EVALUATE | Quiz: in your opinion... What is the year-over-year evolution of a purchase price?
◗ Repercussion with customers: prepare for objections and defend your claim
- Setting up a claims file, reference indices, frequency, documentation
- Structured argumentation, responding to objections, negotiation strategies
- Simulation of a customer/supplier exchange with hard points
✔ EXPERIMENT | Role play: preparing a customer presentation based on a case study
✔ UNDERSTAND | Toolbox: preparation checklist before a customer meeting
✔ EVALUATE | Debrief: feedback on posture, message construction and effectiveness
◗ Handling supplier increases: analyzing and challenging
- Critical reading of a supplier offer: missing data, mandatory clauses
- Comparing bids, cost structure, cost justification
- Identifying red lines, room for maneuver and breaking points
✔ APPLY | Group case study: comparative analysis of two offers -
identify critical elements
✔ EXPERIMENTALIZE | Workshop: writing negotiable and non-negotiable points on cards
for a plenary session
✔ EVALUATE | Debrief: how far can we adapt a commercial offer without damaging profitability?
Teaching and assessment methods
Distance learning:
- Three visuals: video presenter, presentation, virtual flip chart
- Interactive quizzes
- 6 participants maximum
Before: self-assessment quiz
During the session: presentation of the main principles, practical implications, examples drawn from recent financial statements. Practical case studies and interactive quizzes to ensure knowledge acquisition.
Afterwards: the trainer is available at the end of the course to answer any questions relating to the training.
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Price
740 EXCLUDING VAT
Testimonials
Distance learning - Managing inflation and protecting margins
Distance learning - Managing inflation and protecting margins
Distance learning - Managing inflation and protecting margins
Jonathan C.
Company
Training