1. Employee Skills Matrix
A skills matrix is a very simple but very effective tool to assess the training needs of your organization, it is also a great guide as to the suitability of individuals for: Additional tasks, Promotion (to a higher role), Team/group participation or Suitability for a newly created position
2. Overhead Recovery Rate Analysis Calculator
If you can control your labor you control ultimately your profitability, especially in a service based business involving technicians or mechanics for example. Your profit on your materials should look after itself as you should be putting sufficient mark up/profit on materials anyway.
3. Run Rates
Run Rates is a unique method of sales analysis and reporting to evaluate whether you are on track to budget and also to indicate the variances by week, month or whatever period you choose.
4. Performance Metrics
These target metrics form part of your overall performance metrics for the business and should be monitored overtime to check for any adverse movement away from the required numbers or percentages to meet your goals.
5. Break Even Point
The sales break even point (SBEP) is the point at which the contribution margin and fixed costs (or expenses) are equal, in other words there is no net profit (loss or gain), and the business has what is called "broken even". A profit or a loss has not been made.
6. Customer Lifetime Value
The RFM principle stands for Recency, Frequency and Monetary Value. Using these three principles you can develop your customer lifetime value, or simply, how important the purchase patterns of each customer is to your business.
7. Pareto's Law (80-20 Rule)
The 80-20 rule (often referred to as Pareto's Law) asserts that a minority of causes, inputs or effort usually lead to a majority of the results, outputs or rewards. Taken literally this means that, for example, 80% of what you achieve in your business comes from 20% of the time spent.
8. Price Elasticity of Demand
This is a measure of the responsiveness of demand to changes in price.
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