I trust by now you’re thinking a little more about that bottom line and how you are able to cut your expenses. At a seminar I attended last weekend, the speaker clarified the old adage, “Don’t work harder, work smarter.” He took it one step further…”Work right.” It might seem like the smart thing to do, but you must take the time to analyze whether or not it’s the right thing to do for your business.
Here are few more great tips to help you grow that bottom line while reducing your expenses.
7. Go Virtual. If your operating expenses are through the roof, and maintaining an office for you and your team is becoming an increasingly financial challenge, consider virtual communications. You know your team, and if you feel that they’ll still be productive working outside the office, then telecommuting might be a great idea. Trust me, they’ll love the work/life balance that it can provide.
8. Buy, don’t rent. This is kind of the opposite of the one above. Just something to consider, if you’re in a different financial position. If you do own a building or are considering buying one for your business, you might want to rent out some of the space. Use what you need, and then have your tenants’ rent help cover the mortgage. Another great advantage here is that you’ll be building equity in your business assets.
9. Drop ship. In my last position as VP of Operations for a sporting goods manufacturer and distributor, we rented a huge distribution center (DC). Working with the big box giants like Target and WalMart meant keeping a lot of product on hand and staff to manage daily shipments. When we were able to restructure our deal such that we could drop ship product directly from Asia to their DCs…wow, what a savings…not to mention, one less headache. Keep in mind, you need to be partnered with vendors to trust and are very reliable, because you’re reputation and account are on the line if they don’t deliver the goods. Errors in shipments will cost you a fortune in “charge backs.” The retailers have strict rules regarding all aspects of logistics and they impose serious fees when you don’t comply. Making mistakes will quickly eat up what you’ve saved by drop shipping. Take your time and do this right, and you’ll be very pleased with how it can positively impact your bottom line.
I’ll have a few more tips tomorrow. Keep working out your expenses and you’ll be in great shape.
If you have any questions or comments,
please write them below or email me at Robert@RobertFinkelstein.com.
Hopefully I’ve got your mind thinking, “Sell, Sell, Sell…and Save, Save, Save!” Celebrate all the great sales, but keep that bottom line in plain sight. If ever it gets obstructed, good luck staying profitable.
Face-to-face marketing/networking beats traditional paid advertising…if for nothing else, it can be free. If you can create good rapport with potential buyers, you’re leaps and bounds ahead of trying to convince someone through an impersonal ad. Find out where to go…and go there. Don’t forget about social networking via the Internet. The only cost here is time…but it can be very effective.
Sales are up! Time to celebrate! Not necessarily. Just because sales are soaring, it doesn’t mean the company’s profitable. When expenses are not well managed, they can eat up your sales in no time. If the company’s not profitable, future growth is highly unlikely…and staying in business will eventually become a challenge.
1. Business Insurance. You gotta have it…but at what cost? Shop around, know your needs, and do a cost/benefit analysis. Rates are very competitive. Don’t buy more than you need. You can always add when the business justifies it.
In conclusion, the easiest way to figure out how to motivate your team is to ask yourself what motivates you. Take a step back and a more global view. Does the environment you’ve created encourage the team to not only be motivated from above, but also from within?
Create an environment that motivates you, and you’ll create one that motivates your team. Lead by example. Communicate. Be a strong supervisor, stick to your convictions and your team will stick with you.
Consequences or no consequences, that is the question? The answer is a resounding “yes.” A fearful supervisor might think otherwise, but I can assure you that company is running a muck and morale probably stinks.
As the CEO of Zappos said yesterday at a conference I was attending, “Be slow to hire, and quick to fire.” When you’ve taken the time to assemble a great team, make sure they’re rewarded. You can kill great morale by allowing unaddressed problems to fester. A supervisor needs to be strong. In order to be successful, he or she needs to make tough decisions to insure the company’s success and the culture maintained.
July 26, 2009. Does excellent customer service mean breaking the rules? Some say excellent customer service is a dying art, but I beg to differ. I just experienced four days of “no is not in our vocabulary” kind of attention. If you asked, the answer was always yes…no matter what. Which begs me to ask, “Does excellent customer service really mean breaking the rules?”
I’m going to keep this one short but motivational. I’m attending a seminar and my time online is very limited. As I mentioned in my blog “
. Keeping the team informed about their individual performance is key. It’s hard to keep them motivated if they don’t know how they’re doing. So schedule reviews – I recommend every six months – with the year-end being more detailed. In my book, a review does not constitute a pay raise. If it’s earned, and the company is in a healthy position, an increase can be delivered anytime. Trust me, it won’t be turned down.
One of the keys to successfully motivating your team is good communication. There are few things that kill morale faster than a lack of it. And it all starts with clearly defined expectations. If the team doesn’t know what’s expected of them, how can they possibly be successful?
All too frequently, supervisors think they’ve laid out the plans, goals, targets, deadlines, requirements in a way that’s impossible to misunderstand or misinterpret. But look at the blank expressions on the faces of the team, and you’ll know otherwise. It’s crucial that there’s no ambiguity. As a manager, take the time to ask for questions, feedback…make sure everyone knows the desire outcome.
Keep this same philosophy in mind when the plans or requirements change before a deadline is reached. When that happens, it can really throw the team off track. It’s very important that you give an explanation. Maybe you can’t say everything, but at least say something, especially if the deadlines have to be moved up. If you don’t, you can expect the employees to wonder whether their supervisors know what they’re doing, just winging it or don’t care about the undo stress they’re causing. If the reasons are…well, reasonable, the team will continue to be supportive.
We’re off to a good start. This is going to be Motivation and Morale Building 101. Without this foundation, the building won’t be solid. Okay, I trust you already have the smiling down, so let’s move on.
If you base your business decisions on whether or not the team will like you, you’re not being an effective manager. Be decisive, supportive, empowering, informative (no one likes to be in the dark), an advocate of change, dedicated to the cause, a positive influence and, of course, lead by example (ah, there it is again). Simple keys to being a great motivator. And you know what, you still may not be liked…but you’ll be respected and remembered. So let’s assume the best and take it from there. 
An important aspect in engaging your employees is having very positive conversations, using simple, yet powerful words. I remember a few years ago having an employee in my office to discuss why she had decided to leave Target Corporation. She reported to one of the department heads below me. “Quite simply,” she said, “if Monica said ‘Thank you’ once in awhile, I’d have stayed.” That’s all it would have taken. “Thank you.” What I’m getting at is the importance of using encouraging, supportive, grateful comments. “Please”…never underestimate their value…or your team’s.
When you’re in a management position, it is your responsibility to make sure that your team is motivated and that morale is high. This might seem like a daunting task, but it’s really quite simple…if you take it seriously. And you should! You have an incredible impact on your employees, and an obligation to make them feel valued. It’s as important to them as their compensation and opportunities for advancement. So if you’re not already dedicating the necessary time to motivating your team, I would suggest you get on it, before they’re looking to be traded.
How you show up to work sets the tone for the workplace. The team will look at you and determine what the climate is today and in the future. Although it’s not always easy to do, I try to leave the stress of life outside the front door. We all have our ups and downs in life, but as a leader, you don’t want to carry your troubles on your sleeve. If you telegraph a defeated, stressed, unhappy attitude, I can assure you, the team will pick up on it and it will kill morale. I’ve said it before and I’ll say it again…and again…”Lead By Example.” Change your mood or state before you walk in. Smile, show confidence and enthusiasm. Take time to say hello and get people energized. This isn’t difficult to do, but it requires some effort. It’s totally up to you.
Behind the Scenes / Virtual COO 