Tactics for Tough Times
Most of us are concerned about the troubled economy and the current and future health of our businesses.
This is how Chairman Ben Bernanke summed it up in his July 2008 monetary policy report to the Congress:
"At present, accurately assessing and appropriately balancing the risks to the outlook for growth and inflation
is
a significant challenge for monetary policy makers. The
possibility of higher energy prices, tighter credit conditions, and a
still-deeper contraction in housing markets all represent significant
downside risks to the outlook for growth. At the same time, upside
risks to the inflation outlook have intensified lately, as the rising
prices of energy and some other commodities have led to a sharp pickup
in inflation and some measures of inflation expectations have moved
higher."
All of us need to be
increasingly deliberate and aggressive in our efforts to improve
productivity and cut unnecessary costs. What actions are you taking to
improve the way you are doing business? Remember a couple of basics:
- Process analysis (process flow mapping coupled with analysis of performance data) will identify inefficiencies that are costing you money. Every process analysis project we have ever implemented has reduced our client's operating costs by at least five times our fee.
- Improvement teams on fast track timetables with high
expectations for results will get results. You will get it if you
expect it! You should have zero tolerance for lack of teamwork between
departments or any other obstacles that slow implementation of
improvements. A sense of urgency for results will motivate your
improvement teams.
A few recent examples of the results our clients have achieved using these simple tactics:
- A non-profit generated over $100,000 annually by improving the efficiency of payment processing.
- A small materials handling department "found" over $200,000 in lost inventory in one day.
- An operating room saved over $275,000 in annual operating costs by improving procedure time for one surgeon.
These are tough
times that require us to take aggressive action to be as efficient as
we can possibly be, in all facets of our business. Are you doing what
you need to be doing?
If
you have a question about this month’s topic or feedback about Taking
Action, please contact me at 305-598-9880 or via email at doug@thedougwilliamsgroup.com
Warm regards,
Doug Williams
Chief Executive Officer
The Doug Williams Group, Inc.
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