Do you make a profit on every product or service you sell?
If not, is this deliberate (such as a loss-leader strategy) or accidental? Or do you have no idea but just hope that generally it all works out sort of ok?
In business we need to do more of what is working well and stop doing the things that lose us time and money. That is nothing new! But how do we know what is working well and what is losing us time and money?
We need two things
- Excellent business data that records income and costs by product or service (and ideally by customer and job too)
- Good analysis skills that can turn that data into insightful information.
Then we can do more of what works well, stop the loss-making activities and make more profits by doing less work or make even more profit by doing lots more of what works well. Definitely worth the investment in good information!
