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Reducing Costs

The Payoff

Reducing costs can include one or more of the following expenses: turnover costs, ‘shrinkage’, training, workmen’s compensation, costs of sales, costs of new client acquisition, lost opportunities, etc.

The Premise

All of these expenses are influenced by the quality of employee work product, employee integrity and employee retention. Improving employee morale, improving the success of new hire decisions and promotion decisions will drive these costs down.

The Process

The process begins with diagnosis to identify the highest leverage opportunities for reducing costs. Interventions are designed and executed quickly to address these opportunities. New leadership systems are designed and implemented to enable managers to monitor and manage continuous improvement.

The Price

Solution investments vary based on the problems being addressed and their scope. Developing objective information is very quick and relatively inexpensive. Some interventions may take more time to implement than is required to design your strategy due to conditions beyond your immediate control.

The Return

ROI varies with each situation but the potential payoff is typically substantially more than the required investment. Many cost savings are permanent and directly increase recurring profits and shareholder value.

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