Controlling the variables

摘要

Every business has a peak level of turnover it can achieve, and once it is reached, the only way profit can be increased is to reduce the costs associated with the business, whilst maintaining turnover. Genus consultant Tony Brown considers some of the ways this can be done. No cost in any business is fixed. Electricity, water, labour and feed costs can all be addressed, as well as the true variable costs, However, the key to success is identifying the costs for each enterprise, comparing them to industry data to highlight areas of weakness, and setting new strategies to minimise the weaknesses.