The Cost of Flying Blind

Where $1.5–3M in EBITDA Leaks Every Year

For a typical $50M mid-market manufacturer, data friction silently erodes margins across four areas — from inventory write-offs to team productivity. Here's how it adds up.

Where the Money Goes

Based on a $50M manufacturer with a 20-person operations team. Low and high estimates reflect typical ranges across mid-market manufacturers.

Excess & Obsolete Inventory$400K – $800K
Stockouts & Expediting$300K – $600K
Material Price Drift$350K – $700K
Workforce Inefficiency$450K – $900K
Low estimate
High estimate
Total Annual Impact$1.5M – $3.0M

Excess & Obsolete Inventory

When your team can't quickly see what's aging, slow-moving, or misaligned with demand, excess inventory piles up and write-offs follow.

Stockouts & Expediting

Stockouts trigger expedites, air freight, overtime, and customer churn. The cost cascades far beyond the missed shipment.

Material Price Drift

Price drift, vendor overcharges, and missed rebates hide in ERP transaction data. Without the right lens, they're invisible.

Workforce Inefficiency

Your best people spend hours hunting through ERP screens and building spreadsheets. When they leave, their context goes with them — and onboarding starts from scratch.

The Bottom Line

Most of This Is Invisible Until You Have the Right Lens

Your ERP captures the data. SIOP360 puts it to work — surfacing the patterns, anomalies, and opportunities that are already hiding in your system.