Profits hack # 3 – Increase Margin.
Here is the final one. Increasing Profit Margin.
Firstly, cut the cycle time
One of my favorite way to create margin is to cut the cycle time of your operations,Frequency is actually one of the most ignored. You know waiting is wasting. What you want to do is map out your process, especially the most important and repeatedly used one’s and ask yourself how do I cut the time by 20% 30%? And you’d be surprised that it is possible.
The key is to sit down and do it systematically, get a few fresh perspectives from colleagues, other entrepreneurs whichever way find somebody you could share it with – Map the process cut the cycle time
Are you actively delegating the bottom 20% of what you do to the rung below you and are you encouraging them to do that further down, so delegation and automations are the next one, when you drive these you will then climb up with the free time and you will hand that down to the next person who does that constantly what this does is create a learning cycle in the organization.
Last one, Co-marketing
Marketing is one of the biggest lever you will have in business in fact it is one of few areas where you start off as an investor from the day one especially if you figure out how to get your customers, one of the best way to grow your margin is to partner with somebody else who is targeting the same customer as you we call it co-marketing, essentially instead of just managing the budget you have effectively, you are leveraging theirs and your budget and go forward together.
So put together these are the three ways you can increase your margin at least by 15%