Overview of the Client
Our client is a medical technology company focused on developing and commercializing innovative medical devices to treat complex and challenging cardiovascular conditions. They are more than a decade old in the industry, with a constant focus on improving the medical infrastructure through technology.
Business Challenges and Objectives
- Initially, the client aimed to track sales through the distributor channel in the past. However, their current objective is to reclassify these sales as direct sales made by the client.
- To fulfill the primary goal, the process involves extracting distributor sales data and storing it within a central Data Warehouse.
- It is essential that the provided solution does not disrupt the overall revenue figures and the associated calculations within the Business Intelligence (BI) system.
The Solution
- Invoicing Process: When generating invoices for distributor customers, a corresponding negative invoice will be created against the distributor, recording sales as direct sales from the client.
- Data Integration: Distributor data will be collected and integrated into Azure using distributor-provided data. Third-party customers will be marked as “direct” customers of the client during this process.
- Scalability: The solution is scalable, accommodating future distributor-to-direct customer transitions, treated as “DTD” (Distributor to Direct) data sources.
- Existing Integration: Most third-party customer accounts have already been integrated as direct customers of the client. No immediate action has been taken for unprocessed accounts.
- BI Compatibility: The Business Intelligence (BI) solution is being developed to accurately handle future distributor-to-direct conversions without impacting sales reporting accuracy.
- Validation: Test cases will validate revenue figures before and after the implementation to ensure data accuracy throughout the transition.
Business Outcomes and Benefits
- Empowering Business Users: This capability equips business users with a deeper understanding of their customers, enabling more informed decision-making.
- Enhanced Sales Visibility: The improved visibility into sales amounts significantly improves decision-making and resource allocation.
- Revenue Optimization: Leveraging Price-by-part analysis supports data-driven pricing decisions, ensuring competitive pricing and maximizing profitability. Understanding part demand patterns facilitates price adjustments to align with market conditions, resulting in increased sales and revenue.
- In-Depth Revenue Analysis: Revenue analysis offers comprehensive insights into revenue generation factors, paving the way for targeted strategies to boost additional sales. Analyzing price percentage increases and expected incremental revenue helps evaluate the effectiveness of pricing strategies and optimize revenue potential.
