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Product Profitability

Product profitability depends on the balance between sales price and unit cost. It can be improved through targeted cost reduction and strategic pricing across the product lifecycle. EFESO brings extensive experience in designing and implementing product profitability programs across industries.

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From Complexity to Clarity: Making Products Profitable

Profitability is often eroded by rising material and energy costs, complex product designs, and misaligned pricing strategies. Hidden inefficiencies across the value chain and increasing sustainability requirements add further pressure. Without decisive action, margins shrink and competitiveness declines.

EFESO helps organizations address these challenges by creating transparency on cost drivers, aligning product economics with market expectations, and embedding profitability as a continuous discipline in R&D and product development.

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Real Results Achieved with our Clients

3,6B

Cost savings in purchasing & production

2,4B

Sales price optimization towards OEMs

A Tailored and Pragmatic Approach that Fits your Reality

Our approach is built on end-to-end analysis, enabling rapid identification of critical pain points and cost drivers while creating transparency across the entire value chain. Based on these insights, we design and implement tailored optimization strategies with the following key features:

  • Optimization across all project phases: Scalable solutions in scope and duration, from pre- to post-SOP.
  • Quantitative analysis: Precise financial and CO₂ evaluations to support strategic decisions and ensure measurable outcomes.
  • Agile project management: Innovative proprietary tools like Infinity PMO and Measure Tracking & Reporting enable dynamic, data-driven control – ensuring transparency, efficiency, and continuous optimization through real-time monitoring.


In manufacturing, machines are often decisive bottlenecks – and at the same time major cost drivers.

Product Manufacturing Excellence refers to systematically unlocking cost and performance potential in production.

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Product Machining Excellence

In manufacturing, machines are often decisive bottlenecks – and at the same time major cost drivers. Replacing them requires heavy capital investment with direct impact on cash flow. EFESO helps companies unlock performance without CAPEX by enhancing the efficiency of existing machinery.

Our holistic approach combines cycle time optimization with increasing overall equipment effectiveness (OEE). We rely on advanced proprietary methods – including AI-powered video analysis and software-based machine tuning – to deliver rapid and sustainable performance gains.

Performance Booster

With our Performance Booster, we optimize production systems in just a few weeks. Using software tuning, automated visual analyses and other smart approaches, companies achieve double-digit savings without investing in new equipment.

AI-Based Video Analysis

Our AI-driven video analysis technology synchronizes multiple camera streams to capture and evaluate machine movements and peripheral activities, such as robotics and automated handling. With more than 600 applications across machining, assembly and automation environments, it provides unmatched insight into hidden inefficiencies.

Typical use cases include:

  • Bottleneck machines – analyzing single machines or processes that slow down production lines.
  • Bottleneck machines with multiplier effect – evaluating one reference machine and transferring insights to multiple similar machines.
  • Problem machines – resolving urgent issues where immediate solutions are required.
  • Optimization tooling – improving cutting geometry and material use with best-in-class tool know-how.
  • Fault analysis at end-of-line – linking event video observations with visual analysis of automation processes.

Software-Based Machine Tuning

Beyond analysis, EFESO applies software-based tuning to existing control systems. Adjustments to parameters, sequences and logic unlock latent potential – often achieving significant throughput and quality gains with minimal downtime.

By combining these advanced methods with hands-on collaboration on the shop floor, EFESO transforms machine bottlenecks into productivity engines. The result: improved efficiency, measurable savings and sustainable competitiveness – all without costly capital replacement.

Product Manufacturing Excellence

Product Manufacturing Excellence refers to systematically unlocking cost and performance potential in production. The goal is to build a future-ready production setup that ensures full transparency of manufacturing costs, high maturity of production capacities, and a globally competitive layout. Such a system is also characterized by strong cost efficiency.

To effectively support companies in achieving Product Manufacturing Excellence, EFESO focuses on three key areas:

Manufacturing cost optimization

  • Structured analysis and optimization of existing factory design.
  • Objectives: Achieve short-, medium-, and long-term cost reductions end-to-end; establish a holistic, globally competitive production system; implement a manufacturing and assembly strategy aligned with target costs.

Launch & Ramp-up management

  • Preventive analysis of bottlenecks and rapid improvement of availability.
  • Reliable ramp-up of production volumes with support for maintenance processes.
  • Implementation of measures to quickly raise maturity levels.

Task force management

  • Rapid stabilization of critical processes and production capacities.
  • Optimization of OEE indicators and industrialization processes to reach the planned ramp-up curve.

 

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Product Profitability Client Results

€2.7B
Total savings achieved
Automotive and Commercial Vehicles

Automotive supplier needed profitability improvement for complex drive components. We established end-to-end value optimization, supplier collaboration, and cost engineering, improving margins across entire value chain.

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The EFESO Touch

The EFESO Touch

You begin with clarity. Our end-to-end project approach quickly reveals pain points and cost drivers. Transparency is the foundation. You gain tailored optimization strategies, scalable across phases – from pre- to post-SOP. Every decision is data-driven. Financial accuracy and CO₂ evaluation underpin measurable outcomes.

You benefit from agile project delivery – from excellent project steering to content-driven optimization in every area. EFESO’s proprietary tools, Infinity PMO and Measure Tracking & Reporting, ensure real-time monitoring, efficiency, and continuous improvement.

You see results and capabilities grow together. That is the pragmatic, data-driven, co-creative difference. Together, performance improves. Margins strengthen. That is the EFESO Touch.

Meet Some of our Product Profitability Team Members

Ready to Kill Products That Kill Profits?

  • Know the true P&L of every single SKU
  • Stop letting complexity eat your margins
  • Free up hidden profit from your existing portfolio

 

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