The current economy demands that every business model be as efficient as possible when it comes to costs, sales, profits, and methods. It's difficult to control what you have not measured. Once something is measured, it is much easier to effect the desired outcomes.
We live in the era of "big data", and data analysis is essential to support critical decision making. Businesses that know how to mine, leverage, and analyze their company data, will be able to discover unknown patterns and correlations to better support management decisions. Companies that make decisions with a higher predictive value, will be able to navigate from more strength. A business can still be waste deep in information, and yet starved for knowledge. Solid data analysis can provide that vital knowledge.
In addition, business resources are finite, nothing is neutral anymore, every management decision either adds to bottom line, or takes away from it. It's been said a company can stay in business as long as it has enough money to pay for it's mistakes. Even if a company is financially strong, it can still be strategically weak. One firm's competitive strength is another firm's competitive weakness, and vice versa. Small changes in systems, procedures, or controls
can have a dramatic impact on a company's bottom line and return on net worth.
Regarding your cash flow, do you spend .95 cents to make a nickel? Do you know how a dollar cycles through your business? Many times it's not a cash flow issue, but rather cash retention. Just a $100 uncollected account receivable is worth $2000 in lost revenue at a 5% net operating profit. Small leaks can be costly, the "elephants don't bite, the mosquitoes do." Are you getting an ownership return of 10% or more? If not, maybe you are just trading dollars in your business.
Discover the advantages of having your own management dashboard of internal controls and capture 2% - 4% more of each dollar, by having your business professionally analyzed.
