Causality plays a critical role in creating models to understand the costs and profitability of an organization; however, causality is not widely taug...

If I’m not mistaken, the overall financial goal of a for-profit organization is to generate the best possible return on investment (ROI) for its owner...

Following the strong initial uptake, rapid growth through the 1990’s, ABC peaked by 2000 and has been in decline since. There is consensus that prevai...

I still hear a lot of discussion about financial and non-financial information in accounting discussions. Usually, they are pitted in some sort of opp...

A primary purpose of this Profitability Analytics Center of Excellence (PACE) website and its associated LinkedIn group is to advocate that CFOs and a...

Individuals use models to understand the phenomena around them. The late Dr. Alfred Oxenfeldt, a long-time authority on decision economics, put it th...

Over the years, I have found that the decision makers employed by business owners to manage their organizations fall into two major categories: those ...

Customer related costs can easily chew up product or service profitability. I hope you agree; but let me explain to ensure a quality discussion. Typ...

How many times we come across some sort of resistance to the implementation of the causal model within an organization to support the creation of a so...

Those of you familiar with my writings already know my opinion of the accounting concept of depreciation (“ the dumbest concept in the history of mana...

The results of this poll were a very positive surprise for the PACE directors. We had anticipated many more resources focused on financial reporting. ...

A recent PACE Survey asked the above question. The PACE found these results very interesting and useful, but we were a little concerned about the low...

The Profitability Analytics Framework is designed to improve communication across an organization and breakdown organizational stovepipes with data an...

Cost information is a critical element of profitability. Costs can be controlled to a much greater extent than revenues…and have a higher degree of lo...

In October 1707, Commander-in-Chief of the British Fleet, Sir Cloudesley Shovell, was leading a flotilla of twenty-one ships back to England after the...

Over the 4th of July weekend I watched the old musical “1776” for the umpteenth time. Often, when I’m musing about the apathy shown toward accurate an...

Models are mental constructs we humans use to help us understand and deal with complex realities. In creating those models, we identify what we believ...

Profitability analytics includes many if not all of the enterprise and corporate performance management (EPM/CPM) methods. Quite naturally, many organ...

The management of tangible physical capital investments is much less relevant to most businesses today. Intangible capital today takes many forms – in...

People think by comparisons. So let me give you an analogy. I am a big fan of movies – old black and white ones, new ones with special effects, and mo...