Tulosblogi
Jarmo Manninen & Muutosdraiveri Oy
What does each person in your company produce for your company?
From a financial perspective, the company's sole task is to achieve defined performance targets continuously. When it comes to producing a person, it means only monetary value in this context. There are two basic questions related to the financial management of a company. Question 1: What monetary value can each person in the company produce for the company? Question 2: How much monetary value can each person produce for the company? In answer to question 1, here are a few examples, each of which directly affects the company's results:
1. A person can produce additional sales.
2. A person can produce margin as added value.
3. A person can produce margin as added value.
4. A person can reduce the company's costs.
5. A person can raise prices.
6. A person can produce margin for the company as an "In-house service".
7. A person can produce value specified in the order.
8. A person can produce added value in the execution of the order.
9. A person can increase the utilization rate.
10. A person can increase efficiency.
11. A person can produce calculated value related to the company's results.
12. And so on.
For each of these means that affect the company's results, a metric must be defined, a target value for the metric and a schedule for achieving the goal. Unfortunately, in too many companies, both in Finland and abroad, generating monetary value for each person in the company is not yet part of the company's financial management. This is one of the main reasons why so many companies in Finland are unable to consistently achieve their results targets. On the other hand, this is an excellent opportunity to positively differentiate themselves in the market. The answers to questions 1 and 2 must be defined company-specifically.
Did the above things spark your thoughts?
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:
https://kirjakauppa.bod.fi/catalogsearch/result/?q=jarmo+manninen
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