Impact Levers for Business Growth - Profits

At Winning Edge, our mission is to nurture organizations toward sustained success. We have identified 3 components of our Impact Levers for Business Growth. The levers are:

1. People
2. Customers
3. Profits

We will be discussing the 3rd one today: The Bottom Line – PROFITS. 

The prerequisite for any organization’s survival is to make money. In my career, I failed by prioritizing people over profits. I learned that without profits, I could not help people. 

We have identified 3 areas of focus that will help us grow the bottom line: 

1. Sales and Marketing
2. Cost Control
3. Efficiency Patrol

1. Sales and Marketing   

Who in your organization is focused entirely on this task? Do they have your support? Do they have the budget, systems, processes, people, and leaders to create more and more sales? Without sales, we cannot make money. Because of natural and unavoidable attrition, we must focus on new customer acquisition. Otherwise, our business will shrink over time. Once the right people in our organization are focused on finding new customers, as well as maintaining and growing our existing customers, then everyone will be clear and determined to grow the business.

2. Cost Control

Are your expenses under control? Has each been evaluated as to their necessity and usefulness? Does your organization spend money on wants that are masquerading as needs? Are the right people focused on understanding the difference? Are they asking probing, detailed questions about each expense? What is the purpose of an expense? Who benefits from it? Does it make us more efficient? This cost control exercise will help identify the purpose for each penny spent. When the effective stewardship of money is understood by everyone in the organization, then we all will minimize our expenses to establish a solid foundation.

3. Efficiency Patrol

Now that we understand our sales and expenses, how do we make our operations more efficient or productive? We must do more with less. Do we have our products and services priced at the highest competitive rate? Are we utilizing vendors to optimize our cost of goods? Are we deploying teammates in a way that eliminates redundancies and maximizes productivity? Lastly, are we focused on asking these specific questions every day? When streamlining processes and seizing opportunities becomes an inherent part of our culture, then our profits will grow and everyone will share in the rewards.

When your leadership team walks in the door daily and has your people understanding how they affect these areas, profits will grow, helping everyone take another step.

Which one of these issues stops you from making money?

Where are you strong and how are your profits growing?

Let’s connect to dig further into these areas to assist you in understanding the necessary steps needed to make the bottom line grow!

I would love to hear your success stories on how you and your team have conquered any of these 3 elements to grow your bottom line!