Rick Phelps

Synchronous Solutions

In September’s article I talked about the generic objective of every business: To make more money now and in the future. In that article I delved into the ‘make more money’ part of the objective, exploring how the three key results to ensure you are making more money are Throughput Dollars, Inventory Expense, and Operating Expense. This month I would like to explore the second part of that generic business’s objective: “and in the future.”

Reasons people leave

It is not sufficient to strategize on how your business will make more money in the near term. You must also consider how the actions you take today will impact your future ability to earn more money. This leads logically to a secondary set of generic objectives for every business:

How you take care of your customers,

How you take care of your team,

How you take care of the environment.

How you take care of your customers

There is no future if you don’t treat your customers well. That is obvious! And yet the research shows that the largest reason customers quit doing business with someone is “perceived indifference,” coming in at 68%. Too many businesses rely on inertia to keep their clients – the “cost” of changing from you to another supplier… What a terrible plan!

There is not much you can do about clients dying, moving away, or selling to a friend who got into the business, but there is a TON of stuff you can do to make sure your customers know you value them! Build those things into your annual strategic plan.


How you take care of your team

Years ago, I did some Lean Implementation consulting work for a nylon manufacturing plant. When you walked into the main hallway of the facility there were faded murals on the walls, one of which read “Employees are our most valuable assets!” What a great sentiment.The first two Kaizen events I facilitated with teams of hourly workers put $3,000,000 and $5,000,000 dollars per year to the bottom line. (I know this only because years later their Lean Coordinator asked me for a reference, sharing this information with me). On the Monday morning of the kickoff for the third Kaizen event, there was a palpable tension in the air as I walked past that mural. Something was wrong, and I soon found out what it was – the company had laid off 300 of their employees (including team #1) and rehired them as temps for less money and no benefits.

I did not lead that third Kaizen event. 

If you can’t afford to pay your team top wages for your area, you probably shouldn’t be in business. Build into your strategic plan everything it will take to be the ‘employer of choice’ in your community. It’s just good business!


How you take care of the environment

Be a good neighbor and great steward of the environment in which you operate. As a popular bumper sticker states: ‘There is no Planet B’.

Maintaining your ‘permission to operate’ is critical to your future, so build this into your annual plan as well!

2023 is rapidly coming to a close. As you start thinking about 2024, build your strategic plan around being:

  • A great partner to do business with
  • A great place to work
  • A pillar of stewardship in the community

And you won’t be able to help but “make more money now and in the future.”


If you need help with your strategic planning, reach out to us at Synchronous Solutions! Contact us though our website www.synchronoussolutions.com/contact-us/ .