Cigar Box method: Difference between revisions

Revision as of 14:55, 22 September 2014

Revision as of 14:55, 22 September 2014

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''The Cigar Box Method'' is a toolkit which consists of a series of spreadsheets to help entrepreneurs, notably those in [[agrobusiness]] in emerging markets, to calculate the costs of goods, margins, contribution, break-even volumes and profitability. It can be used for a single product or a complete portfolio of products. There are 6 Cigar Box (CB) categories:

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* CB4: investment and finance projections with yearly cash flow,

* CB5: cost price based value chain analysis,

* CB6: customerpyramid satisfactionand sales analysis.

== Navision ==

Recently, the Cigar Box Method has been adapted to be used in MS Dynamics NAV, or Navision. The use of a standard ERP software for SME enterprises facilitates systematic use of the Cigar Box Method as data are entered and analyzed in onse single ___location. Enable Navision to use the Cigar Box Method requires adding a CB label to the existing accounting codes and articles codes. Once this is done, a CB2 or CB3 report can be generated: monthly, weekly, or even daily. The Cigar Box Method can also be applied to other ERP/software packages.

== Origins ==

The Cigar Box Method has been developed by Olivier van Lieshout and Orlando van Geuns, and is actively being used by agro-entrepreneurs worldwide. Recent examples are in EBRD sponsored projects in Morocco, Ukrain, Egypt, Bosnia, and Montenegro. And in ITC-sponsored projects in Somalia, Romania, Armenia, Central Asia, Bangladesh, Senegal, Guinea, Benin, Kenya, Tanzania, Jamaica and Argentina. The method derived its name from Dutch pioneers in the 17th Golden Century who were discussing foreign business deals while sipping coffee and smoking a cigar. When they needed to make quick business calculations, they often used the bottom side of the cigar box to convince investors about the profitability of their business ideas in a quick, concise and convincing manner.<!-- Deleted image removed: [[File:Cigar Box method.JPG|thumb|Cigar Box Scribblings]] -->.

== History and Current Use ==

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== References ==

<!--- See http://en.wikipedia.org/wiki/Wikipedia:Footnotes on how to create references using <ref></ref> tags which will then appear here automatically -->

{{Reflist }}http://en.wikipedia.org/wiki/Wageningen_University

http://www.globalfacts.nl/cigarbox_products.html}}

== External links ==