For automotive and aerospace component manufacturers

Know the real cost before the margin disappears.

Precision Cost helps mid-market manufacturers see product-level cost, variance, inventory and working-capital leakage clearly — so pricing and growth decisions are made on disciplined numbers, not instinct.

25+ years in Finance & Controlling Standard costing across 11 plants SAP S/4HANA operating exposure
Precision manufacturing components being inspected on a factory floor
Manufacturing finance, read from the shop floor up.

The problem

In component manufacturing, a profitable order on paper can become a quiet loss once material variance, process loss, inventory drag and delayed customer recovery are included.

The books close every month. The real question is whether they explain the business.

Many manufacturers know revenue, purchase cost and accounting profit. Fewer can say with confidence which product, line, customer or contract is protecting margin — and which one is absorbing cash.

That gap usually does not come from weak accounting. It comes from the absence of a senior controlling rhythm: standard costs that are trusted, variance reports that point to action, inventory numbers that reveal blockage, and MIS that management can use before the damage is permanent.

“If the costing system is not trusted, pricing becomes negotiation theatre.”

Who this is for

Built for manufacturers past the bookkeeping stage.

Precision Cost is for businesses that already have operations, orders and complexity — but need sharper financial control before scaling further.

Promoter-led manufacturers

When the founder or MD knows something is leaking, but the current reporting does not identify the exact product, process or working-capital cause.

CFOs needing control depth

When the finance team is closing accounts, but needs stronger standard costing, variance analysis, MIS and review mechanisms.

OEM-ready suppliers

When customer audits, quotation discipline, contract reviews and investment decisions require credible cost and margin visibility.

The working method

A controlling rhythm, not another report pack.

The engagement begins with diagnosis and ends with management having a clearer operating grip on cost, margin and cash.

01

Diagnose real cost and margin position

Review costing logic, product-level profitability, material assumptions, process losses, customer recoveries and the way management currently reads margin.

02

Map variance and working-capital leakage

Identify where variance is created, where it is hidden, and how inventory, receivables and operational decisions are tying up cash.

03

Design the controlling mechanism

Define standard costing, variance reports, MIS cadence, accountability points and management review formats that can survive beyond the project.

04

Support better decisions

Use the improved visibility to support pricing, quotation reviews, OEM discussions, investment choices and margin protection decisions.

Advisory offers

Start with the diagnostic. Go deeper where the numbers demand it.

Every engagement is scoped after a discussion, so the work matches the plant reality rather than a fixed consulting template.

Manufacturing operator reviewing machine controls and production data

Main entry engagement

Cost & Margin Diagnostic

A focused review of product costing, margin logic, variance visibility and the financial signals management currently uses to make pricing and production decisions.

Read the service detail
Financial papers and charts arranged for cost analysis

Systems and reporting

Standard Costing & Variance System Design

Design or strengthen the costing and variance mechanism so plant, finance and management teams can see the same numbers and act on them.

Explore all offers
Warehouse inventory racks representing working capital locked in stock

Cash discipline

Working Capital Review

A practical examination of inventory, receivables, payables and operational decisions that quietly lock cash inside the business.

See pricing approach

Begin with a conversation

If the numbers are unclear, the first job is not advice. It is diagnosis.

Share the situation: costing, margin leakage, variance reports, inventory pressure or OEM-readiness. Precision Cost will suggest whether a diagnostic is appropriate and what should be scoped.