Profitability 50/5.
Roughly 50% of complexity comes from 5% of customers, products, or part numbers, the long tail quietly draining margin. List the portfolio, score each on revenue, complexity and fit, and surface the cluster to preserve, reprice, restructure, or exit.
25 min
15 min
Pro
Decision tool
Do the right things first, then do those things right, with speed. Profitability work in that order.
Doing the right things first, then doing those things right, with speed. Profitability work in that order. If you skip the first move and chase efficiency on the wrong portfolio, you optimise the things you should have stopped carrying.
Domain 2 of 8 in the business logic.
The hierarchy is sequenced on purpose: each domain is organised to deliver what the domains above it have decided. If Health, Safety, Environment & Community isn't settled, work done here gets re-done when they change — check upstream before investing down-sequence.
- 01
Health, Safety, Environment & Community
Gives us permission to operate — in the eyes of employees, markets, and consumers.
Deep-dive → - 02This framework
Market Leadership
Organise the entire business around market and customer needs that can be met profitably — based on true cost-to-serve.
- 03
Customer Service Excellence
Arrange the service offer to deliver the market and customer needs the business has chosen to serve.
Deep-dive → - 04
Supply Chain Excellence
Organise the supply chain to optimise service at best cost — fitted to the choices made above it.
Deep-dive → - 05
Manufacturing Excellence
Point of production and product mix organised to deliver on the defined needs, most profitably.
- 06
People & Performance
People and performance processes designed to align the parts of — and the people in — the business.
Deep-dive → - 07
Knowledge & Information Management
The processes that give us the data we need to make good strategic decisions.
Deep-dive → - 08
Governance
The stay-out-of-jail processes — meeting every obligation of an ethical corporate citizen.
The business logic · the whole ladder is read by Business Excellence
How this works
This tool is a step in a guided journey.
Playbooks chain the right tools in the right order for a moment a senior leader recognises. If one of these is the scenario you're in, walk the whole sequence — not just this step.
The Coach
Every step of this framework comes with the Coach — an AI built on the same thirty years of practice and grounded in your saved results, not generic advice. Ask him anything from the button in the corner.
About 25 min
Start by naming the problem — the diagnostic follows.