Profit Blog

Jarmo Manninen & Muutosdraiveri Oy


Are your company's investments in resources being implemented in line with the goals?

21. huhtikuuta 2025

All the company's resources are all the machines and also all the people working in the company, from employees to top management. All the company's investments in resources are investments. Before a company makes any investments, an investment payback calculation must be made for each investment. The investment payback calculation represents a financial plan for how much the company's operating margin will increase with the investment and how quickly the company can pay back the investment with the increase in the company's operating margin. Once the investment decided by the company has been implemented, the implementation of the investment calculation must be monitored against the payback period of the investment calculation and if deviations occur, they must be reacted to in the right way. This procedure must be followed for investments in all the company's resources.

Every investment by a company is either an investment to increase the company's operating margin or an investment in the company's profitable growth. The goal of these investments can be, for example, to improve the efficiency of operations or to invest in new products, new services or new business. If a company does not know how profitable each product and service produced by the company is, what value added each resource of the company produces and what the company's capacity utilization rate is, then the company's financial management conditions are not in order. When this is the situation in a company, in practice this also means that the company does not have sufficient conditions to make reliable investment payback calculations, because concrete actual figures for investment payback calculations are not available from the company. In other words, when the company's financial management conditions are not in order, investment payback calculations are made entirely based on guesses and assumptions. Such an action is as uncertain as playing the lottery with an investment. Once you have guessed the figures for the investment payback calculation, all that remains is to wait for the results of the investment's implementation, blindly believing that this investment will surely pay back itself in accordance with the objectives, even though there is no basis for this belief.

I hope your company has the financial management conditions in order, or does it?

I encourage you to share this blog post of mine on social media. If you have any suggestions for the topics of the next blog posts, I will gladly accept them.

I hope that you were interested in this matter and that you can continue to be involved.


I have written four books on creating the conditions for the company's financial management, and they are available in well-stocked bookstores and online bookstores in Finland, for example from BoD (Books On Demand) at:





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