Is labor a big expense in your business?
For most businesses it’s the largest expense category and one that needs focused attention to obtain the best return for your labor costs investment.
Here are three proven ways that you can ensure your labor dollars are being maximized:
1. Document Your End-to-End Business Processes
From the time your customer “says hello” through the time they pay for a product or service is the “end-to-end” process. Writing down this client journey begins to identify gaps and inefficiencies. Your team then has a recipe to replicate success in an optimized set of steps.
2. Ensure Strong Hires
Take steps to hire the right person the first time and eliminate waste and frustration. Looking for a person with the attitude and desire, as well as the skills and aptitude will make a good fit for your team. Write out the expectations for every job to provide yourself a “sure hire” checklist.
3. Create clear expectations for your team
People want to know how they can contribute. You must set clear expectations for the quality, timeliness, throughput and attitude in order to maintain your company brand. Make it easy for them to succeed by communicating what needs to be done.
With increasing wages and other costs, you can maximize the efficiency of your labor dollars.
Putting these practices in place will provide you a better return on your investment for your labor costs.
- List the end-to-end process steps for your main product or service
- Set up a meeting with your team to walk through the process with them
- Let them know the goals, targets and expectations for the process
To your success!
Karen Logan & Team Renaissance
PS: Don’t spend time figuring it out for yourself — click here to schedule a no obligation one-on-one professional coaching session to start maximizing your profits.