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Case In Point
For training companies that want to be "Best-In-Class"
— not just come close.
Prior to undertaking a major restructuring, this technology
education CEO wanted to benchmark current spending levels
and performance metrics against best-in-class industry standards.
The CEO had already targeted several areas for remedial attention.
FUSION prepared a benchmark study
covering each cost center (course development, student materials,
instructor compensation, facilities and equipment, sales compensation,
promotion and marketing, customer service, etc.). We also
examined key productivity measures (course weeks per instructor,
classroom utilization, registrations per registrar, accounts
served per salesperson, circulation costs per course catalog,
orders per unit of promotion, etc.).
Where there were spending issues and productivity shortfalls,
FUSION recommended action plans
to bring performance up to par, attributing specific cost
savings and revenue gains to each recommendation.
Altogether, our efforts identified an opportunity to grow
revenue 30% without adding to fixed costs or staffing levels
-- with a potential pickup of 15 margin points.
Interestingly, two of the areas suspected as requiring remedial
attention were found to be already performing at a best-of-breed
level!
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