How does Peak Leakage calculate the amount of a leak?

Peak compares the month's value with your threshold, the average of your previous months or, for an ongoing trend, the value from three months ago, and uses the comparison with the largest deviation. Costs are compared as a share of revenue. The deviation times revenue gives the amount per month; part of that counts as avoidable and part as realistically recoverable. Both shares are assumptions you change under “Monitor”. Tied-up cash (inventory, receivables, unbilled work) is shown separately and only counts toward profit with its cost of capital.