A structured rebuild of the cost base using current operational activity, pricing, consumption and productivity assumptions to establish a defensible baseline.
Instead of rolling last year's numbers forward with an inflation percentage, the baseline is rebuilt from the drivers that actually create cost — so budgets, pricing and investment decisions start from what things should cost today.
The question we answer: What should this cost?
Is it right for you?
This service is usually a good fit when:
- Budgets are built by adding a percentage to last year
- Standard costs no longer match reality
- Product or process changes have altered the cost base
- You need a baseline you can explain to a board, lender or investor
What's included
- Current-state cost baseline
- Operational-driver modelling
- Price × quantity × volume analysis
- Inflation and productivity assumptions
- Specification and consumption review
- Labour and capacity assumptions
- Challenge of inherited cost assumptions
- Revised cost baseline
- Management business case
How it fits the CostVantage approach
Every engagement follows the same structured method — Baseline → Diagnose → Challenge → Quantify → Act → Control — so the work moves from data to decisions and from decisions to measurable results. Read more about the approach.
Frequently asked questions
What is a cost rebaseline?
Rebuilding the cost base from its operational drivers — volume, quantity per unit, price, labour and capacity — rather than adjusting historical spend by a percentage.
How much does a Cost Rebaseline cost?
Typically £10k–£20k, depending on the complexity of the cost base. The fee is agreed in advance.
How is this different from a budget?
A budget says what you plan to spend. A rebaseline establishes what things should cost given current prices, consumption and productivity, so the budget is built on a defensible starting point.
What do we receive?
A revised, defensible cost baseline with the assumptions behind it made explicit, plus a management business case.
Do we need to start with a Diagnostic?
Not necessarily. If you already know where the issues are, a rebaseline can start directly. If you're not sure, a Diagnostic is often the quicker first step.
Talk it through first.
A short, confidential, no-obligation conversation is the best way to see whether Cost Rebaseline is the right starting point for your business.
Build Your Baseline →