Interesting Article about the Strategy of going green November 24, 2008Posted by Jeremy in Business, Efficiency Process, Efficient Technologies, Green Business.
Tags: Business, Business Efficiency, Efficiency, Efficiency Process, Green Business
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I just read a post on Harvard Business’ Leading Green blog that I really thought might be something to consider.
It discusses the idea of how many companies are focusing on green ideals simply for the recognition of being green or maybe saving a few bucks on an electric bill but there are strategic reasons to be as green as possible. The concepts that are outlined are very interesting to consider.
Much of what is discussed in this article outlines how you can utilize efficiencies to your own strategic advantage. An example is the idea of using local vendors to supply your processes instead of distant vendors. This is a green concept to save fuel but from a strategic viewpoint, how much will that decision save you if gas/diesel prices go back up or when shipping costs rise? As the basics in life continue to rise in price process efficiencies will prove to not only save a little bit of money but also to better position you in comparison to your competitors.
I think that this is a very important thing to keep in mind when considering process efficiencies and green efficiencies… what is the long-term strategic impact of this decision. It may only save a little money the first year but how much over the long term and what advantage can it provide your business?
My opinion on this is quite simple that creating business efficiencies will pay dividends for many years in decreased expenses, increased revenue, and strategic advantages.
Hope that this article and link is something that is thought provoking. Let me know what you think.
Slowing Economy: Why spend money on efficiencies? September 24, 2008Posted by Jeremy in Business Solutions, Efficiency Process.
Tags: Business, Business Efficiency, Business Processes, Economy, Efficiency Process
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I am someone who is very interested in economics and business so I have definitely been reading about all of the issues with the financial industry. This is also having some ripple effect into other business sectors. So, I am sure that many people are thinking that the best move is to just ride out the slow cycle and not “rock the boat” by spending any money on technology and business system upgrades. I will actually say that now may be a great time to invest in efficiencies for a couple of reasons.
Be Prepared for the Upswing
The Boy Scout motto is: “Be Prepared”. I would argue that is great advice for the current business cycle. An upswing is coming. (No, if I knew when I would be having lunch with Warren Buffett) If you utilize this down period to refine and improve your processes and efficiency when business takes off with the next upswing you will be in a much better position to handle the increased business with a much lower cost structure. It is much better to have something in place before you absolutely need it than trying to put it in place after you realize that should have had it 2 months ago.
I think that the current market really lends to the being prepared concept. Now while you have a little bit of time to breathe you can invest in the refinement and optimization of your business. Then when the volume increases the improvements are in place and you can do what you do best – your business.
Step up on competitors
Some of your competitors are considering or are optimizing their businesses but many others are laying low during the slow down. If you take the opportunity to refine and improve you will have a step on them when things turn around. Imagine that you can go into a project with the improvements in place and beat their estimates by 5, 10, or even 20 percent or more because you have optimized your business and your expenses. You now have put yourself in a position to land quite a few more contracts.
Investment In Your Business
This is a pretty simple concept. If you invest in your business now you can and will see returns on it for years to come. During the busy times you may not have time to stop look around and reassess. You probably don’t have time to analyze and improve your processes. You are way too busy for that. Now, take the time and look at what you are doing and invest the needed time into your business. Every business has to improve and adapt in order to continue competing. As you make this investment you will position your business to be more strong and resilient in the future.
To Wrap it up… Carpe Diem
That’s right Seize the Day. I personally believe that this is a great time to consider how to improve and strengthen your business through improving efficiencies. You will find yourself in a much more competitive situation once the market turns. You really don’t even need to hire someone to start this process. Spend some time looking at your business processes. Figure how they can be improved. If you need help then call someone and have them consult with you. You have a golden opportunity to build your business… seize it.
As always, if I can help please contact me.
Also, if you have any stories about your business improvements or you completely disagree/agree let me know with a comment!