When it is raining we don’t worry about a leaky tap or a leaky bucket but when the drought fits we certainly wish we did. When our business cash flow is coming in well we tend to manage the dollars and not worry about the cents, but when our cash flow becomes restricted (or even stops) we realise we should have worried about the cents!!
There are several areas your business can be leaking cents:
- Our people – stock wastage, inventory shrinkage, time mis-management, skill mis-alignment
- Systems – inefficiency of recording, excessive process flow, lack of training
- KPi’s – not having meaningful measures, inconsistent data, measuring the wrong stuff
- Quality control – inconsistent output, returns and re-work, wasted resources
- Customers – high maintenance customers, slow payers, not enough customers
When you start to look at these areas closely you may notice where the leaks are and be able to implement simple changes to stop the leaks. However, sometimes we are too close to our business and we can miss the slow leak because we have become to accustomed to them thus it is important to have an outside eye have a look
Let us make easy for you
Give Jerome a call today and he will provide you a different perspective on your business and help you identify where those cents are leaking ph 0800 747 323
