Dunder Mifflin, headquartered in Scranton, Pennsylvania, stands as a prominent figure in the paper distribution industry with a rich legacy spanning several decades. Renowned for its commitment to delivering high-quality paper products to businesses, educational institutions, and consumers nationwide, Dunder Mifflin has solidified its position as a trusted supplier. Emphasizing exceptional customer service and environmental sustainability, the company prides itself on its efficient distribution network.

Despite its esteemed reputation, Dunder Mifflin has identified areas for improvement, particularly concerning pricing strategies and profit margins. An analysis reveals that while the company achieves approximately $32 million in annual sales, its net margin of 24% falls short of the industry standard. Notably, inconsistencies in discounting practices among employees have contributed to this disparity.

In response, I have devised a comprehensive model aimed at standardizing price discounts and aligning pricing tiers with customer segments (List, Bronze, Silver, Gold, Platinum). By incorporating historical data and cost fluctuations by product category, this model facilitates strategic price adjustments while respecting customer relationships. Additionally, it establishes clear guidelines for implementing price increases, with consideration for product tiering and margin preservation.

The accompanying dashboard serves as a user-friendly tool for employees, enabling them to:

1. Review price changes from 2014 to 2015

2. Identify SKUs with historically low margins and sales for potential discontinuation

3. Gain insights into overall company impact and pricing strategy

The anticipated outcome of this initiative is significant, with projected increases of $4.3 million in sales revenue and an improvement in net margin percentage to 33.4%, aligning more closely with industry benchmarks. This strategic overhaul not only enhances Dunder Mifflin's profitability but also fortifies its competitive standing within the market.