Monitoring the Wrong Numbers
Profit Leak #13
Numbers matter. Almost every business recognizes that. However, business leaders often focus their attention on the wrong numbers. As is the case with time management, many companies also do not pay enough attention to goal setting. What’s more, many organizations set goals and fail to reach them. To that end, focusing on the right numbers will help you avoid substantial leaks. What is the key weakness in your business model? What is the biggest weakness in your operations? What is causing you not to gain customers? What is causing you to lose customers? What is causing your cost structure to be out of line with your competition’s cost structure? Focusing on the right numbers will help you answer each of these questions.