Raúl Gorrín: How productive is your company?

How productive is your company? There have been no shortage of companies that have collected billions of dollars and still could not pay it's bills. Those companies were not productive. True they were very successful in sales but the cost of producing the product was more than the market would allow them to charge. 

The only way that the company could lower it's cost was to lower it's quality and they were not willing to do that. There had to be a way to lower the cost without lowering the quality. 

Many companies such as Henry Ford found such ways to lower production cost and still either maintain or increase the quality of the product. Henry Ford found the answer in creating a more efficient assembly line. You can find such answers for your company. This amount to increasing or modernizing the technology that your company is using. 

To update your companies technology will usually mean a large capitol long term investment. You have to plan for the future.  Such an investment will cut down your cost and possibly increase your quality of product. Increasing the quality of your product can allow you to charge a higher price for your product or services. You will see productivity increase because now your product can command a higher fee and your cost of production will at the same time go down. 

This will require a investment in long term goals such as technology and may require your company to take out a loan. This will be one of those cases where it takes money to make money. 

Your company needs to see what technology can be added to the company to make it more productive. You will need projective charts of what you can expect your company to produce and collect in revenues with the new technology. Then draw up projective charts of what it will be the new cost of production with the new technology. Do a comparative analysis of the present productivity against the new productivity with the updated technology. If the numbers show productivity increases then make the change and do the investment.

There is an old business saying "Stagnation equals death". If your company does not change with the changing times and modernize, today's successful company can quickly become tomorrow's failure.

Globovisión, Raúl Gorrín, Raúl Antonio Gorrín, Seguros La Vitalicia Raúl Gorrín, Medios de comunicación, Venezuela, Gobierno, Empresarios, Emprendedor,

FOLLOW ME..

https://twitter.com/GorrinRaul

https://www.facebook.com/raulgorrinemprendedor/

https://www.linkedin.com/in/ra%C3%BAl-antonio-gorr%C3%ADn-66350610a

https://plus.google.com/u/0/b/108283813382383671377/108283813382383671377/posts