cost-to-serve

Official

Calculate cost-to-serve to boost profitability.

Authormahg-es
Version1.0.0
Installs0

System Documentation

What problem does it solve?

Two customers generating the same revenue can have wildly different costs to serve — one orders in bulk online, the other calls support daily. Cost-to-serve reveals these hidden cost drivers, enabling service-tier design that aligns service levels with customer profitability.

Core Features & Use Cases

  • Identify cost-driving activities: order processing, support, returns, payment processing, delivery
  • Assign activity costs (from ABC model): cost per ticket, cost per order, cost per return
  • Measure activity consumption per entity: how many tickets, orders, returns?
  • Calculate cost-to-serve: sum of (activity consumption × activity cost)
  • Compare cost-to-serve % of revenue across entities
  • Identify service tiers:
    • Premium (high revenue, low cost-to-serve): VIP service
    • Standard (moderate both): self-service + standard support
    • Economy (low revenue, high cost-to-serve): automated only
  • Calculate profit improvement potential from tier reclassification

Quick Start

Provide input: "Provide service activity data and ABC costs to generate a per-entity cost-to-serve model with tier recommendations."

Dependency Matrix

Required Modules

None required

Components

Standard package

💻 Claude Code Installation

Recommended: Let Claude install automatically. Simply copy and paste the text below to Claude Code.

Please help me install this Skill:
Name: cost-to-serve
Download link: https://github.com/mahg-es/araya/archive/main.zip#cost-to-serve

Please download this .zip file, extract it, and install it in the .claude/skills/ directory.
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