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Profit Building

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Profit Building

Cutting Costs without Cutting People

Berrett-Koehler,

15 min read
10 take-aways
Audio & text

What's inside?

If you think the last thing your company needs is another department, think again, and make way for the profit making squad, armed with questionnaires, brainstorming, surveys, and techniques to implement change even when people resist it (which they always will).

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Editorial Rating

8

Qualities

  • Innovative
  • Applicable

Recommendation

Perry J. Ludy, a seasoned executive, presents his strategies for building profits and cutting costs in this well conceived book. He provides a team-based, profit-making plan that companies of any size could implement. In this simple, highly effective book, Ludy dispels myths about cutting costs and building profits. He uses examples from his professional experience to show his suggestions in action. getAbstract recommends this book to managers and executives who are responsible for cost cutting and profit building.

Summary

Steps to Cutting Costs

What’s the first thing a company usually does when it wants to reduce costs? Probably about the worst thing it could do for its overall health, productivity, and profitability: it reduces its work force by firing, laying-off, or downsizing. A crunch is the wrong time for a company to make a major decision with long-range impact. These quick-fix decisions have the potential to erode the company’s stability and prevent its growth.

A continuous profit-building plan - or, better yet, a permanent profit-building department - should always be in place, making downsizing the last resort, not the first. With ongoing profit-building strategies based on cutting costs and improving productivity and sales, companies can prevent crises and deal more wisely with the upsets that do occur.

The Profit Building Process (PBP) is a system of step-by-step activities designed to produce immediate and continuous results. Its value lies in applying "concepts from prior learning to create appropriate strategies for many different types of organizations and businesses." While improving profits is one of the main objectives of business, "most managers do not truly...

About the Author

Perry J. Ludy is a business executive.

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