Profit Leak 8 – Do you know what mistakes are costing your business?
The reality is that there are mistakes happening in your business every day. Human beings make mistakes, and those mistakes cost you money. Do you know how much money, and which mistakes are the most costly? The challenge with financial statements is they do not properly measure these mistakes. They only help you measure profit and loss, cash flow, and balance sheets. They barely scratch the surface on measuring the costs of all the mistakes made in your business.
Maximize Your Business Performance
To truly maximize your business performance, you must identify the 5 to 7 key processes that drive your business and pay particular attention to those that can make you different in the marketplace. How closely are you measuring these processes? Have you assigned a single point of accountability to each process? What leading indicators do you use to identify that each process is functioning at optimal levels? How often do you look at each indicator?
Key Questions To Improve Your Company Success
There is a saying: “What gets measured…gets done.” Do you have targets for efficiency and effectiveness for each of your processes? Do the team members responsible for the outcomes know what those targets are? Are you holding them accountable?
In my experience there is a lot of missing clarity around the above question. By answering the question you can improve customer loyalty, sales growth, and profitability.
If you are interested in addressing your “profit leaks,” let’s schedule a time to further discuss your business and how we might work together to patch up your leaky bucket. Call us for a FREE consultation (305) 722-7213.