If your company is experiencing swelling spending even as losses? Try to check your company’s expense reports carefully. Many factors make company expenditures swelled, as the cost of production, operations, distribution or marketing costs. High operating costs but not offset by a large income for example, will have an impact on the loss.
Need a sensible policy to suppress expenditure company. A company will not cut the salaries of employees for reasons of losers.
Thus, the efforts of what can be done by the CEO, Director or Manager of the company’s losses to hit? One effort that can be done is lowering operational costs.
If you are still confused as how to lower the operational costs (reduce cost), your company, here are 10 smart ways that’s worth Your try.
1. Reduce the number of meetings at the hotel-hotel
Every company is often times held a meeting to discuss an issue or issues of the company. Indeed need a convenient place so that each Member of the meeting could focus and was inspired to produce the right solution or strategy that is telling. To that end, many companies are ordering meeting room at the 5-star hotels with consideration of providing comfort for the members meeting.
It turns out that this in fact had an impact on the company’s increased spending that much greater. Please check the fine if the decisions taken after the meeting at the star hotel influential contribution to the progress of the company? If not, you must reduce the number of meetings at the 5-star hotels.
Instead of renting a room in a hotel meeting with a high-cost, you better make room in your company. By looking at the purpose of the meeting and the number of members meetings, select the room with adequate facilities in your Office and set it as the room meeting.
2. create policies using aircraft economy class
Smart way both can be done to lower the cost of the company’s operations is the set policy of using aircraft economy class. While there are employees that must assignments Office out of town or have the purposes meets clients outside the region, use aircraft economy class.
Use aircraft economy class or other classes isn’t really the issue because both deliver until at the destination. Well, if it is indeed using aircraft economy class to make your company more save on expenditure, this policy is certainly an option that fit.
To further save, you can order tickets online, to Compare prices and choose the cheapest and quality.
Create clear rules for this policy, to whom, when and what the purpose of the application of the policy as well as socialized to all employees so they know and accept the decision well.
3. Utilize a used paper to print draft documents
The company’s operating costs that are experiencing swelling is the use of paper to print documents or other papers. Well, mostly because of the wasted paper that is printed is not a result of the decision, but it was still in draft form that needs to be examined further.
All employees need to be aware that the high expenditure caused by the use of paper that are less efficient. Ask for their utilizing paper to print draft documents that still need to be discussed.
Paperless movement can also be realized by making use of existing technology. Provide a draft document in the form of soft-files to employees so they do not need to print it.
4. Reduce the number of consultants or contractors
If you have some consultants or contractors which is outsourced, you need to reassess their role for the Betterment of your company. How important is their role and how big an impact caused when their number is reduced or even abolished?
Discuss with the competent employees. Remember, every decision is sure to give you a risk, now tergatung how do you cultivate these risks so as not to cause a negative impact.
Then who can replace the jobs outsourced employees? Your Employees. Manage the workload of your employees and give the responsibility to the employees who are competent but the workload is still lacking. If you are able to do the appropriate approach, your employees will feel proud because it is believed to have more responsibility.
5. Set the time of the employee on leave to lower the cost of overtime work
Employees who are on leave and leave the job he was supposed to finish can have an impact on increasing the overtime work. For that, you must set the time on leave of the employee and ensure he finish the job before taking a leave of absence so that there is no charge for overtime work to be issued by the company.
In addition, set the time of the employee on leave is done in order to set up so that the number of employees who entered still in the reasonable limits. Not to many employees who took leave in one day so that only one or two employees working. This also had an impact on the productivity of your company.
6. Tighten the use of electricity and water daily
Other operating costs that can be saved is electricity and water. Check the cost of electricity and water you normally spend in recent months. If you are a significant increase, you need to plunge directly see electricity and water usage by all employees. Chances are there are tools that are not used but still in condition on so electricity continues to flow, such as air conditioning, a ceiling fan, a computer, a printer, HP charger, dispensers, and other electronic equipment.
For water use, please check the faucets, pipes or drains in your company. If there is a leak, replace it immediately so that water is not wasted. In this case the necessary awareness of all employees to save electricity and water so that the movement is done by everyone in your company.
7. Look for alternative items to replace expensive items
Procurement of goods at a company have an impact on expenses. Moreover, if the purchased items are imported goods. To decrease expenses, look for local goods that have the same functionality but are cheaper than imported products. For example, for the purchase of chairs, tables and other furniture, you can order at the local craftsmen but use a quality material so it becomes cheaper.
In addition, if you purchase electronic items such as computers, we recommend that you search for information about the types of computer and it cost me. Buy a computer to suit the needs and budget of your company. Will be wasteful if you bought a computer with a high specification but only needs to type the document or letter.
8. Limiting the use of the internet that does not need to
In addition to electricity and water, other operating costs that can be saved is the use of the Internet. You need to evaluate further whether all employees need Internet access and how much speed / internet required quota. If it does not all employees use the Internet, you need to limit the use of the internet. Give employees access to certain internet companies that need.
In addition, replacing a package subscription with speed/smaller quotas can lower operational costs. However, you should still pay attention to the needs of the employees against the use of the internet. Do not let the policy restricting the internet instead of killing Your employee productivity.
9. Remove useless training
Conduct training for employees is indeed one of the effort of maintaining a company’s assets, namely the employees to increase the professionalism and performance of employees. If, however, employee training instead of making the company’s bloated expense, you should immediately take a policy so that companies are not losers.
Look for ways to improve the performance of employees without training. If training was to be held, you can do the training internally. Training is done by inviting well-known experts cannot guarantee a hundred percent of your employees will perform well. Give the opportunity to your employees who are competent to give training can increase employee motivation to keep learning and growing.
10. Evaluate the use of company vehicles
If your company has a service vehicle is used to support the distribution of products or other operational activities, you need to evaluate the use of the vehicle. To be able to evaluate with accurate data, you need to ask employees to take note of the use of the company’s vehicles in detail like who is using, for the purposes of what, when, and the place of destination.
The more frequently used, the greater the cost of fuel is spent and the more often the cost of the service and the turnover of spare parts required for the company’s vehicles were not damaged. Well, to minimize related operational costs of the vehicle, you need to evaluate the vehicle’s use of the records of the company.
Lower operational costs cannot be made by the CHIEF EXECUTIVE, Manager or the owner of the company only. Need for awareness and cooperation of all employees involved in the operational activities. If you have set policies to lower the operational costs, the next task is to make employees aware of the importance of doing the savings and benefit from a decrease in operational costs, not only for the company but for the common good.