If so, read all the ideas that customers have done and profiting from them so they dramatically increase business profitability. Most ideas can take immediate action. Each idea has the potential to generate more than one percentage point increase in net profit
Research has shown that earnings increase by 4% -56% and cost is reduced by 18% -37% in 2 years, Map Model. Generally, a cost reduction of 5% is sufficient for most loss-making companies.
Businesses can calculate the value of savings using the two simple formulas
If the business has lost a loss
Total Cost and Expense = Sales + Absolute Value of Net Loss +/- Income Tax = Say X
Minimum Savings 2 (19659002) and costs = sales + net profit +/- income tax = let's say Y
Minimum savings, which is 2 (a) = 5% X (calculated as above) you are doing = 5% of Y (calculated as above)
So how much can you save? Improve Your Profits?
This category typically involves resource inflows into business activities created during operations.
Needless to say, the profit making process can generate marketing and sales ideas. The following ideas have been created with the aim of increasing revenue, with little or no impact on the cost structure.
If your company is located in more geographic areas, you may rent an antenna location for mobile phone companies. Generally, these companies pay rooftops for the installation of antennas. Another option is to advertise giant billboards, if they occupy a central location with a high-visibility building. This will increase your earnings at no additional cost. The point is to explore the alternative uses of your facilities. Keep in mind that tools that can be used 24 hours a day, seven days a week. There are many opportunities for increased revenue if you are looking for them. Gym and conference rooms can be rented in the evening or at the weekend. What about the free parking space or extra places?
2nd Determine whether your business can sell commissions and non-commissioned products as sales activities. Find ways to sell products to your existing customer base at no extra cost. For example, selling catalogs to airline passengers and selling various products to credit card customers. You may have the opportunity to do something similar. Customers receive more value than you realize.
3rd Do you have more value in your customer database? Perhaps your business may generate additional revenue from sales of data. Alternatively, consider launching a telemarketing department for another product or service series. Depending on the greatness of your business and the nature of your customer base.
4th Discover the benefits of an effective e-strategy, including e-commerce, e-business, e-people, and e-technology. It is no question that the new opportunities available on the Internet offer new and innovative ways to increase profits and reduce costs. Consult an expert in this area, including a cross section of staff and magic will happen.
5th Slice your customers into difficult user and light user categories and determine the difference between the two groups. What should be done to create another sales from both categories? Every customer is critical. What can you learn about different types of customers to determine whether there are more sales opportunities? Make the most of it; you already have it.
6th Growth strategies and growth strategies need to be developed. In today's markets, it is equally important that you keep your own existing customers, as your business will grow. It has brought some resources to attract customers: it is worth exploring ways of preserving a high percentage. What is the cost to get the customer? What is the cost to keep the customer? Do you know your colleagues?
7th We will continue to look for additional products and / or services that would give added value without cost
8. Discover licensing or licensing opportunities for franchising business products or services for further market penetration or penetration
9. Discover Merger and Acquisitions Scenarios, Which Will Become Effective for All Entrepreneurs concerned
. Let's get in touch with a long-term provider by which your company's phone cards are allocated to their customer base for a fee or a residual commission
This category typically is
· Non-farm payment
· Hourly wages
· Training workforce
· Overtime payment
· All Other Payments, Wages and Salary Elements
11. Create a working environment of 45 to 60 hours per week between executives. Competitors' cost structures are fundamentally similar to cost structures, so they get benefits because managers work for several hours. This assumes leadership is productive. The hourly staff manager at work is usually at least at the factory, in the retail store, at the restaurant or at the office. Sometimes business volume is very low in early or closing hours. In the slow hours, drivers can save you a lot if they have fewer staff and fill themselves. Alongside labor savings, managers are getting more and more informed about operations and finding ways to improve customer service, training, and operations. I placed this procedure in several places. At the beginning there will always be resistance, but if the managers overwhelm the initial run, things run smoothly. I also find that some incentive programs work well here. Get the manager's incentives along the Labor Dollar and understand the process.
12th You can effectively manage your payroll management programs. Many companies apply this principle but failed to achieve a successful level of payment administration and management. To get started, make sure that you have a payment range for each of your company's locations. Wages should be constructed so that the center is 100, minimum 80% and maximum 120%. The basic philosophy is to pick the candidate between the minimum and the center on the basis of his own experience. Afterwards, staff will show higher performance in the supply. This philosophy is based on the assumption that the center is the amount that the position is worth for the company. Employees can get an additional 20% in star quality. Few workers must be paid within the 120% range. All work is worth a certain amount for the organization. If a new lease requires training to be effective in a particular job, the employee is working below the value of the position, so he has to pay within the minimum wage range. If the employee's performance rises once the training is completed and can complete 100% of the job responsibilities, the employee can quickly reach the center of the payment domain.
13th Insist on making a payment survey each year to ensure that you reach the desired community in relation to the competition. In this case, the competition will be the companies that hire the employees. You have to make sure that you are investigating 10 competitors; You have a payout sequence of over 75% of these companies with key positions and more than 50% of companies with lower positions. Implementing this strategy will help reduce traffic and ensure that you do not pay beyond the positions.
14th Make sure the payment management program allows you to review regular payments. It is typical that it is paid once a year and every six months every hour. The review must include a performance appraisal form and the employee performance levels must be consistent with the established wage increases. In other words, determine the payment of your performance appraisal system.
15th Create a combat curve for pay increases. Let's say that nearly 8% of employees are outstanding performers, 12% above average, 60% average, 12% fair, 8% poor. Create a pay rise guidance that reflects this curve and deliver better performance to employees. For example, senior employees are between 6% and 7%, 4-5% of average employees, 3% of average employees, 2% of decent employees and 0% of poor workers. This allows the organization to monitor and reward performance while still meeting the pay raise budget. Obviously, the goal is to train and improve your workforce. Low-performance employees may need to be replaced with people who are most in the position. The Bell Curve is just a process that ensures that star performers have recognized and rewarded their work
. It sets up the budget for the salary increase and insists on it. Plan a salary increase for the following year with the Bell curve mentioned in the above idea. Leaders of the ministry have to pay a salary increase for employees, assuming the next year's performance will be the same as this year. Please note that some performance appraisals will change. There are always exceptions. This process helps to ensure that your organization remains within the new pay raise budget
17. The wage growth budget should be approved in advance. If you submit another rating during the year, treat it as an exception and make sure that it is justified because the performances may change – whether up or down. A strict payment management program ensures budget access.
18th Set a training rate for each appropriate position. This is crucial if the organization conducts more traffic during the first and second months of employment. The training rate is lower than the usual payment rate and can only be used during the training period. Employees receive a raise after the training is completed satisfactorily. Determine whether the training rate can be set to other organizational positions.
19th If the training rate is incorrect, determine the probation period for the 90-day period. This rate is lower than the normal payment rate and applies only to the first 90 days of employment. If the performance is satisfactory, the employee gets an increase from the standard salary. Determine whether the probationary period can be set for all positions in the organization.
20th Develop a workforce management system that predicts the daily or hourly order of the computer and the need for labor on the basis of seasonality. Most businesses have a trend cycle that can be measured in 15-minute increments. First, you have to find a way to get away with the idea that your business can not be followed. There is a pattern for your business. Discovering a business model is the first step towards defining the management of labor costs. Management has many reasons why you can not track your business. After you have considered all your concerns, you and your team can identify trends, customer behavior, which can be tracked and scheduled according to the Workforce
. Determine whether new tenants are eligible for a targeted employer credit program, which will allow the government to repay one percent of the training dollar
. Determine whether the organization is eligible for tax incentives for the provision of childcare services for employees
. If employees handle cash transactions, install software cash reconciliation processes to save time during shift shifts and closing down. This also reduces cash shortages. This type of process saves time in the cash payment process
. Always look for software modifications that can reduce your work. Saved seconds can also mean earning dollars. Using technology is a natural approach to making full use of productivity improvements. If your business has recently mapped this area, the effective tools that currently exist will surprise you
. Become an industrial engineer evaluating your business activities from time and motion tests to determine whether you can achieve more efficiency in areas where high throughput is important. This approach can still work today. Some executives work the same way as 10 or 20 years ago. Time and motion tests can affect cost savings, productivity, customer service, and employee morale
. Create a self-regulatory team that deals with improving productivity and reducing costs in a given department or area of the organization.
27th Reducing absenteeism should be encouraged. This incentive should be linked to productivity targets and the availability of labor. This should be based on reducing the disappearance of the previous period. Incentives may be a holiday bonus based on a 1% drop in absenteeism
28. A variable payment program needs to be created that will lower the management fee from 5% to 10% on board, and put these dollars into a bonus set. If there is a goal to reach, managers have the opportunity to get even higher levels of compensation. However, these dollars are at risk if managers do not achieve profit targets. The ability to obtain a higher compensation level will help this item.
29th Controlling the turnover of staff is another way of reducing operating costs. Implementation strategies throughout the human resource cycle to ensure that all systems, procedures, policies and practices strictly prevent workers from cracking. I refer to this as a closed loop of human resources. If you think about it, you will see that there is a cycle for the human resource process. It starts with the inclusion, interviewing, selecting and placement of the record, and continues the orientation, training, payment administration, performance evaluation, development, promotion and, finally, termination. Then the cycle resumes. Make sure all of these areas are employee friendships and are designed to retain employees. Identify areas where improvements would reduce the number of outgoing workers
30. To decide where to place additional checks, measure your labor costs by cost per unit, cost per test, cost of guest checking, etc. Breakdown of labor costs to the lowest unit helps to better identify cost savings. This also facilitates control and control.
Other Personnel Costs
This category typically includes the fees associated with
. · The burden of applied wages
· Superannuation Employers share
· Holidays paid
· Patient breaks
· Short / long-term disability
· Group Medical
31. Make sure your company has a program that allows full-time employees to receive higher payouts instead of accepting certain benefits (such as medical, dental and life insurance). Today, many employees have a spouse's plan. Why not let employees choose higher income instead of benefits? As long as wage growth is less than the cost of benefits, the company saves money and employees increase their income
32. Evaluate the cost of survival. There are competitive programs that can reduce administrative costs. The simple assessment of three different companies determines whether or not there is a chance to make savings. Even if you do not want to change your current parental administration, you may still be able to negotiate better terms by presenting your assessment
. Reduce employee compensation by aggressive reduction of accidents. Evaluate an actual analysis of employee compensation to determine your claim history. Most companies set a real rate and never re-evaluate them, even though their experiences change. Depending on your business, you may be surprised by the potential savings here.
34th Use the internet to make charity surveys to match the similar costs of similar organizations.
35th Challenge third-party service providers to reduce administrative costs using the Profit Maps Model and transfer these savings to you.
36th Compensation costs for workers should continue to be monitored and action plans should be drawn up to reduce it
37. Develop a work program that places injured workers in alternative positions. There are times when injured workers remain active in the body and proper positions are available
38. Negotiation in settlements when long-term workers dictate situations of compensation.
39th Eliminate alcohol in any activity supported by the company. This approach can prevent accidents, reduce the cost of drinks for features and reduce risks
This category typically refers to the
long-distance phone charges
· Mobile phone
· Data lines
· Fax Lines
40. Allow a telecoms consultant to analyze all the communication costs for the fees charged, the tools used and the programs offered, available promotions, usage, mobile phone options, distance agency performance and prices, fax and security rows combinations, past rentals and soon. Install the contract by consulting the consultant as a percentage of the cost savings or rebates received. In this way, there will be no cost for you if the consultant fails to improve the bottom line. Review all areas of communication to mock these costs, which often go unnoticed. Pagers and cell phones were usually ordered and distributed without the benefit of an organized plan. There are real and meaningful discounts when doing business.
41st Continue renegotiating prices and conditions with service providers. Set up a continuous procedure for a constant renegotiation of prices and conditions
42. Monitoring and controlling the costs of communication based on a unit of test-based cost (guest checks or the like) in order to determine where the sites perform additional checks
Typically related fees in this category  · Gas and electricity utilization
43. Allow an Utility Advisor to analyze the utility costs. Such consultants would know how to effectively handle local public service providers in order to discover the advantages and disadvantages of gas and electricity services. Full control over existing equipment and records should be authorized. You need to discover an index and analysis and generate search charts to find situations where they may be overcharged. You can also represent these issues to the Public Service Committee.
44th Pay your counsel as a percentage of your savings associated with your action steps. The typical ratio is 25% -30% of the savings and refunds shown over a period of time. You should not pay if you have not been saved.
45th Take the energy saving steps, including setting the thermostat at 72 ° F. Automatic controls must be used to check the temperature during the shutdown time
46. Turn off the lights in conference rooms, washrooms, and officers when not in use
47. Turn off any light that is unrelated to security when closing the business.
This category typically includes professional fees, for example
. · Legal and Human Resources Related Charges
· Suggestions (domestic and international)
· Technical Services Fee
· Other Professional Awards
Cost Savings Ideas
48. Talk about prizes. If your lawyer does not raise the subject of fees then. Do not be ashamed. In business matters, lawyers are free to determine their own fees. The best time to discuss is at the start of a new legal affair
49. Try settling the cases rather than litigation.
50th Attorneys plan common forms that you can use for routine transactions.
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