Unlocking Profits & Cashflow Your ability to grow profits and cash requires that you follow a systematic approach! Assess your company based on Jeffrey’s system for unlocking your profit and cash. Rate your company based on Jeffrey’s metrics 1 = Not in place at all. 2 = Needs significant improvement 3 = Sort of in place, but not implementing consistently. 4 = Doing consistently well 1. A Prosperity BudgetAccrual based budgetingMonthly budgets, Rolling budgetsDivisional budgets, gross and netIncludes depreciationIncludes proper owner’s salaryHourly rates recalculated annuallySnow rates cover the hidden costs1 2342. Unlock the CashContracts written to keep from being upside downDivisional upside-down spring cash flow minimizedEquipment ROI is tracked, equipment treated as an expense not an assetAR is kept as low as AP, key Balance Sheet indicators are tracked and optimized1 2343. Sell at a Higher ProfitSalespeople have goals for margins and salesSalespeople are on same page as production for margins.Estimating is accurate and repeatableSnafu’s are reviewedSales mix is reviewed e.o.year, optimized for profit and growthClient base reviewed e.o.year, trim & optimize for efficiency and sweet spot1 2344. Be Smart about Tools & TechnologySoftware in placeTechnology used actively to keep company on leading edgeEquipment and tools – organized for optimal efficiency1 2345. Track and Share Productivity MetricsProduction goals are reviewed daily, weekly, monthly.Job costing is reviewed weekly or monthly.Down time / non billable time is managed and minimized.Culture of continuous efficiency improvementOvertime is managed weekly.1 2346. Systems to Create Repeatable ProfitsFinancial and performance feedback systems in placePeople systemsProduction systemsA system for design and implementation of systems - a systems systemA culture of continuous upgrading of systems1 2347. Rewarding – with and without moneyProper activities rewardedProper results rewardedInnate ego-needs are understood on specific types of workCulture of group and individualappreciation1 2348. Nurturing a Growth MindsetLearning organizationBad apples identified and removedRight people in right positionsTraining organization1 2349. Planning To Hit the Big GoalsBudget follows a plan and assumptionsA Strategic Plan (Jeffrey’s Success Strategy) is in placeMid-season strategic reviews are conducted.1 23410. Is Your Company Accountable?Employees are held accountable by managers, at least 3 times per yearLeadership team holds each other accountable for hitting goals, weeklyOwner has outside mentors, coach and peer group to hold accountable1 234Time is Up!