Failure 03 — No order-line margin awareness at decision time
Sales says yes. Three weeks later, finance sees the order cost $62K, not earned $94K.
Customer-Bravo's Tuesday pull-in: 1,400 units of SKU-A-2891, requested Friday, two weeks inside committed lead time. The planning system confirms feasibility at standard COGS and shows a healthy contribution margin. Sales commits. The order ships. Three weeks later, finance closes the month and the actual cost-to-serve surfaces: $48K of expedite air freight to recover material in time, $22K of throughput loss on the bearing line from an emergency changeover, $11K of changeover labor, and $34K of SLA penalty from the original Customer-Charlie order that got displaced. The order that looked $94K profitable at commit cost $62K — a $156K swing the architecture had no way to surface.
Three things would have to be true to fix this, and the current architecture supports none of them. The solve would have to be multi-objective at the order-line grain — not aggregated cells, but every actual customer line. Realized cost-to-serve would have to flow forward through the pegging chain — each peg carries direct and indirect costs that cascade to the demand line that triggered them. And the margin-floor breach would have to surface to Sales at the moment of commit, not three weeks later in a finance reconciliation.
VYAN's answer is the pegging-based cost cascade. Every supply event is pegged to the demand it serves; costs at any node flow forward proportionally to the order line that triggered them; the realized margin at commit is revenue minus the sum of pegged costs from the same solve that decided the pegs. With that machinery, the recommended surcharge surfaces to Sales in real time — they have the math conversation with the customer at the moment, not the post-mortem.
Margin awareness at the line, at the moment. Not three weeks later.