Are you a customer, or a client?
I’m deviating a little bit from my last two articles which were specifically around products or solutions, to talk about identifying and managing hidden costs, and what their true impact is on your business.
But what exactly are hidden costs? It’s different for every industry and business, but we could essentially call these out as broken processes. Everyday things you or your staff do that are inefficient and reduce productivity. Greater efficiency leads to greater productivity, which can lead to greater margins and increased revenue. If you were presented with a solution that offered your business greater margins and increased revenue, can you tell me any reason why you wouldn’t snap that up?
“Technology should be working for you, not against you.
– Daniel Pritchard
A recently performed audit of a client’s processes turned up a massive scanning deficiency. Between three staff (total of 114 hours per week) they were spending 37 hours each week just in scanning. That’s almost a full week of productivity lost, each week. At $25 per hour that’s $925 per week, or $48,100 per year. This client had no idea the impact of scanning – it’s just something they do.
Now imagine if this client could implement a solution to reduce the time spent in this area, and redirect even 50% of that time into other dollar productive areas, instead of archiving. Suddenly they’ve taken a broken process and improved efficiency, which lead to greater productivity, which means they can generate additional revenue.
This is an extreme example, not every business has this many lost hours, but imagine if yours did? How would you identify this as a problem area? The fact is that you’re too busy running your own company and specialising in your own product or service. You rely on your account managers to advise on areas to improve your processes.
So this begs the question, are you a customer or a client?
Delta is transforming the way we manage our clients. We consult with our clients as much as possible to understand how their business operates from front door to back dock, from reception to accounts receivable. Our audit process is designed to find out those small niggly issues that seem minor but are stacking up massive productivity wastage.
Does your account manager sell you a product and then vanish for five years, when they knock on the door asking for another sale? Or do they sit down and understand your business, really get into the nitty gritty and work on solutions that make you work better, faster, and at less cost?
The overarching theme of my previous two articles is that technology should be working for you, not against you. But this also applies for the team of experts you rely on to operate your business. Are they working for you, or against you?