Six Sigma Pricing: Improving Pricing Operations to Increase Profits

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By ManMohan S. Sodhi, Navdeep S. Sodhi

Published Sep 17, 2007 by FT Press

Pricing is now the number one worry facing today's business leaders, according to a major survey by McKinsey. Six Sigma Pricing: Improving Pricing Operations to Increase Profits introduces a breakthrough Six Sigma-based approach to the pricing discipline: one that can systematically eliminate pricing-related revenue leaks, driving new profits straight to the bottom line without alienating customers.

Authors Mohan Sodhi and Navdeep Sodhi wrote the seminal Harvard Business Review article that first revealed how great companies are using Six Sigma in pricing. In this book, they explain why pricing is surprisingly well-suited to a Six Sigma approach; then walk through every step of executing a Six Sigma pricing initiative. Readers will learn how to define pricing "defects" (such as sales made at unauthorized prices); gather and analyze relevant pricing data; analyze existing pricing-agreement process; identify failures of control; implement modifications that don't create onerous approval processes; and then sustain and extend pricing improvements into the future. The book reflects the authors' own leading-edge experience implementing Six Sigma pricing, as well as insights from companies ranging from Citibank and Lloyd's of London to 3M.


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