Issue 189 - Leveraging Profits Up

If raising your profits seems akin to world moving consider this quote from Archimedes “Give me a lever long enough and a fulcrum on which to place it, and I shall move the world.”

The lesson to be learned from Archimedes' quote is that you do not need to exert more effort to move the world, you simply need the right tools and processes in place to multiply your efforts. In this issue we look at how you can use this simple strategy to make the most out of the effort you exert.

Thinking Inside the Box Take a look at the illustrations below. Does one of these images this represent your company, are you stuck in balance unable to increase your profits without adding more effort (manpower)? Or are you stuck seeing profits fall despite increased effort?

If so, before you start pouring more effort in the form of labor costs into your company consider what Archimedes said about having a long enough lever. It may be time to start multiplying your effort instead of adding to it. By applying the appropriate processes and technology you increase the length of your leverage multiplying your efforts, allowing you to increase your profits.

Seems almost too easy, right? Well here's the catch. Leverage only work if you apply your effort to the end of the lever. If you or your employees skip steps in the process, or don't utilize the technology they lose the multiplying effect you invested in. Take a look at our Thinking Inside the Box for the example.

Invest in Technology and Processes to Multiply Your Effort.
Encourage Utilization to Ensure Effectiveness.

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Issue 189 - Leveraging Profits Up

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