If you're dissatisfied with your company's financial performance and are willing to modify existing business practices, these five steps will help you form a profit action plan to provide for real profit growth rather than a forced balance. Compare your firm's performance in these areas with an ideal firm running at peak efficiency. Sales staff converts leads to good margin sales. Conscientious long-term employees perform duties efficiently and accurately. Products or services reach customers on time and exceed their expectations.
Customers pay promptly, which in turn allows timely payments to vendors.
Costs are held in line with budgets, providing healthy profits. Don't try this alone. It is impossible to see all the opportunities with only one set of eyes. Involve your company's management team to help identify proactive profit initiatives. Expand responsibility for profit Communicating and assigning responsibility are key ingredients in enlisting everyone's involvement in your profit quest.