Reduce Margin Siphoning and Increase Control
In the High Tech industry, there are often few, if any, controls around pricing discounts or assurances that pricing guidelines are adhered to, leading to unnecessary price concessions. Discounting is often based on volume estimates that are never realized, resulting in revenue leakage on contracts. Delays in responding to frequent RFPs from CEM and OEM customers lead to lost opportunities. A lack of contract controls may also result in Sarbanes-Oxley compliance issues. Poor channel visibility further reduces margin potential when contract manufacturers only purchase against the most favorable contracts, regardless of end customer.
Model N's domain specific Revenue Management solutions help High Tech manufacturers increase contract value and margin by reducing invoice and order pricing errors, improving controls over price concessions, and enhancing customer compliance tracking. In addition, integrated channel management capabilities prevent contract manufacturers from siphoning margin.
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PMC-Sierra's products are end-to-end architectural semiconductor solutions focused on solving our customers' most daunting challenge — time-to-market. Model N enhanced our capability to track new opportunities enabling us to coordinate sales activity, track progress of strategic accounts and target resources effectively.