As a child, something I enjoyed very much was working with my dad. We did all kinds of work on our home, both inside and outside, typically building or fixing something with his many tools and great talent. One of the tasks that had to be done each time was to take whatever trash that was created, throw it in our wheelbarrow, and dump it into the proper receptacle. While wheelbarrows are great for moving a lot of materials around quickly, they are not very stable and have often tipped over, spilling their contents all over. Not fun.
The one thing that I’d always asked my dad was, “isn’t there a better way to do this?” It seemed to me that if I was tipping this thing over, then other people probably were, too. There had to be a better way.
Sometimes, in business, we get used to doing the same thing over and over. It works. Some people will say, “If it ain’t broke, don’t fix it!” or, “the risks are acceptable. Keep moving.”
Short term gain. Long term loss. Taking the time to review ways to make your company more efficient – operate at a higher capacity at a lower cost – is one of the keys to operating a business that continues to grow, despite competition in the marketplace. Understanding what the true cost of production or delivery of any service will give you a true picture of your profitability.
Many business leaders tell me, “well, it’s just me doing. I don’t have to pay anyone else.” So, essentially, if that business leader ends up unable to produce whatever portion of the business they are responsible, the business is out of business. However, to ask them what their plans are for their business, they respond, “I’d like to make six figures, sell the business and retire someplace warm.”
It won’t happen unless you are running your business like a business. Part of running your business is managing – being aware of and monitoring – all of the expenses as they change.
Upgrade your wheelbarrow.
Aepiphanni Business Consulting: The Business Strategy People is an Operations Management and Business Strategy Consulting Firm dedicated to serving the needs of small to medium sized business leaders. We specialize in helping leaders create extraordinary businesses.
We welcome clients in the personal and professional services industries, including Creative and Design Services, Software & IT Services, Professional Services and Specialty Consumer Services. As always, we welcome your comments, thoughts, questions and suggestions.
If you are seeking a business assessment, or have further questions about creating your strategy or developing your vision, please give me, Rick Meekins, a call at 678-265-3908, or email us at [email protected].
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