Moorcroft Group (MGPS) has launched a service that helps organizations, large and small, increase sales and improve productivity.
Social Capital is a poorly understood and under-used resource within organizations. By tapping into and leveraging Social Capital, companies can see dramatic improvements in productivity, communications and innovation leading to increases in sales and profit.
Social Capital is the relationships we have and the embedded social resources
that exist within them. Essentially, the higher your level of social capital the
greater the access to resources you will have to accomplish your
goals. Improving performance means employees commit to corporate
objectives.
Moorcroft Group provides workshops that teach organizations, including management and employees, as well as small business owners, how to leverage their Social Capital.
Social Capital: Turning Relationships into Social Income
Showing posts with label profitability. Show all posts
Showing posts with label profitability. Show all posts
Monday, September 24, 2012
Thursday, December 17, 2009
Disciplined Expense Management Can Drive Earnings
The recent news release from Best Buy (December 15, 2009), of their improved Earnings per Share over last year further confirms the wisdom of not only focused expense management, but also of the advantages of focusing on non-core expenses.
Bob Willett, CEO of Best Buy International, noted that "[their] diligent focus on expense management this year" helped improve overall profitability. It was noted that Selling, General & Administrative (S,G&A) expenses decreased from 22.5% of revenue to 21.3% of revenue. This has a direct impact on the bottom line as well as on cash flow. Even with only a 5% decrease of non-production costs, the impact is both real and noticeable.
While the focus of any company should be on increasing sales, sound expense management practices are always essential. Non-core areas, although smaller than core areas, can nevertheless impact the bottom line. Ignoring non-core areas ultimately leads to inflated expenses and lower profits.
At least Best Buy has it worked out.
Bob Willett, CEO of Best Buy International, noted that "[their] diligent focus on expense management this year" helped improve overall profitability. It was noted that Selling, General & Administrative (S,G&A) expenses decreased from 22.5% of revenue to 21.3% of revenue. This has a direct impact on the bottom line as well as on cash flow. Even with only a 5% decrease of non-production costs, the impact is both real and noticeable.
While the focus of any company should be on increasing sales, sound expense management practices are always essential. Non-core areas, although smaller than core areas, can nevertheless impact the bottom line. Ignoring non-core areas ultimately leads to inflated expenses and lower profits.
At least Best Buy has it worked out.
Monday, June 15, 2009
Chrysler Group
Chrysler Group has emerged from bankruptcy protection as the "New Chrysler" with FIAT owning a 20% stake (with an option to increase to 35% and later 51% if certain financial and operational targets are met).
At the helm is CEO of FIAT, Sergio Marchionne, a dual Italian and Canadian citizen.
The future for Chrysler was bleak to say the least, but this is a good start considering Marchionne helped turn around FIAT. In 2004 FIAT was losing money but under Marchionne began turning a profit in 2005 and has since grown in profitability and revenue. Additionally, while other automakers were shedding jobs, FIAT increased total employees by over 20% from 2004 to 2008.
What's interesting is that Marchionne, prior to FIAT, had no automotive experience. However, he has worked as a chartered accountant and as a tax specialist and has a strong financial background, all traits that helped him improve the Financial performance of FIAT.
Marchionne believes in accountability of management and looks for new talent. Perhaps this different approach, that is, a willingness to clean out myopic management, make the necessary changes and introduce new ideas will be the ingredients that will enable Chrysler Group to succeed.
At the helm is CEO of FIAT, Sergio Marchionne, a dual Italian and Canadian citizen.
The future for Chrysler was bleak to say the least, but this is a good start considering Marchionne helped turn around FIAT. In 2004 FIAT was losing money but under Marchionne began turning a profit in 2005 and has since grown in profitability and revenue. Additionally, while other automakers were shedding jobs, FIAT increased total employees by over 20% from 2004 to 2008.
What's interesting is that Marchionne, prior to FIAT, had no automotive experience. However, he has worked as a chartered accountant and as a tax specialist and has a strong financial background, all traits that helped him improve the Financial performance of FIAT.
Marchionne believes in accountability of management and looks for new talent. Perhaps this different approach, that is, a willingness to clean out myopic management, make the necessary changes and introduce new ideas will be the ingredients that will enable Chrysler Group to succeed.
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