Reduce Cost, Increase Profit and Productivity

If you are looking to reduce cost or increase profit and productivity, there is a really simple way to get it done. So simple, in fact, that it is often overlooked. Look at the image below: We were taught in grade school that the shortest distance between two points is a straight line, right? We have discovered over the years, however, that the line is rarely straight, and that it is really easy to get off track. Let's assume that we are at point "A" and that to increase profit or productivity or to reduce cost, we must get to point "B."

Since it is likely that we will get off track in the process, we might wind up at point "C" instead. We know that it might be easier to get back on track when the distance from the A-B line and the A-C is small, and more difficult if not impossible as the distance increases.

The biggest reason we get "off track" is that we do not have a system in place that alerts us as soon as we begin to get off the A-B line.

What we need is a system that keeps us constantly informed and allows us to make adjustments as needed. Look at the bottom image of the A-B line. The little verticle markers can be called "gates." If getting to "B" is really important to you and your business, here are the rules that will guarantee that you always get there:  As you move off point "A" and arrive at the first gate, ask yourself three questions:

1. Am I still on track?
2. Am I still heading toward "B"?
3. Is "B" still the goal?

Before you begin to move toward the next gate on the A-B line, you must have "YES" as the answer to all three questions. If not, make the necessary corrections, and then move. Simple logic tells us that if we do this, we MUST wind up at point "B."  When you first try this, keep the "gates" close together. Plan each move carefully, and then execute. This really works. Try it!