ABC business model

Mission

Support a national social protection organization in evolving its internal cost management tool with the objective of:

• Managing costs by activities and services
• Better integration of scopes,
• Standardizing the implementation and use of the model.

Deliverables

• Project launch, communication, and management
• Training seminar and onboarding to the ABC model
• Formalization of the client’s service catalog
• Definition of the activity model
• Creation of reports to be produced and dimensions to be considered
• Collection of resource data and valuation of activities
• Definition of activity drivers
• Definition of service allocation units to services
• Valuation and validation of the overall cost model
• High-level industrialization plan for the global model
• Change management and support

Results

• Operational business cost model deployed
  • 2024 valuation of full costs of services delivered with Valoptia.ABC
  • Cost analysis for each entity (35 local funds) as well as in “Pair”, “Trio”, and overall views based on dedicated BI reports
    • “Drill-down” analysis of cost structure
    • Cross-analysis of expenses according to ABC axes (Resources/Activities/Services) by entity level
  • Sharing of results with the various entities
  • Specific cost analyses for certain business sectors

Success factors

• Strong sponsorship with a genuine commitment to success
• A highly involved and motivated project team and project director
• A two-phase implementation: an initial project phase carried out with 5 pilot funds, followed by a second phase deploying the model across the remaining 30 funds
• Significant change management (training, onboarding, communication, personalized support during dedicated workshops…)

Key figures

• +70 direct participants in the project (project team, management controllers, and operations managers)
• +50 users of the cost model
• +1,000 k€ of structured costs
• +2 years of support