HOW TO IMPROVE BUSINESS EFFICIENCY ?
In the meantime, The uncontrollable factor is indicate the fate or luck fortune of their business firm. The right place, right time and period should get benefit for business success. Anyway, That is not mean the mentioning right surrounding will always succeed the mentioning business firm. Normally, He/She should have the knowledge all about the basic principle of multi subjects which are support to succeed their business as the following details : - Economics, consider the insight of micro and macro economics, industrial and engineering economics - Accounting, consider the basic principle of accounting, the insight of cost accounting and cost analysis. - Money and banking, consider the basic of each money ratio, capability of analysis of business financial budget and situation. - The local public or state law and taxation. - Application of technology, consider the work study of time and motion especially in labour intensive industry which are not able to replace with process machine and robot, normally suitable for the auto-pilot or state without self awareness. Generally, The definition of business efficiency is the comparison between the output product and the input factor. That is mean the more and most efficiency should be gotten or reached by the increasing or maximum output while use the reducing or minimum input factor. There are many method of increasing the mentioning business efficiency such as : - The ability to replace with process machine and robot or elastic movement after take the work studying. - The relocation of labour intensive industry into the state where less wages cost. - The comparison of the replacement cost and the predict cost reduction. - The least operation and material handling cost of business firm should be decided in the raw material, man power, target marketing and so on. - State’s law, infra-structure or logistic cost. - etc. Nevertheless, The business firm is able to get incremental good will and image by the social responsible activity via the CSR (Corporate Social Response), CRM (Customer Relationship Management), After Sale Service, Environment Conservation Activity, etc. even though that will get the incremental operation cost.
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Basic principle of business management is ‘put the right man into the right job’. This principle is look easily to speak or tell someone else. As a matter of fact, that is very difficult because of business organization and location not only consist of head quarter, officer, branch or subsidiary company office, production plant and so on. These business firms are able to compare with both computer hardware in the computer working system, which you are able to see and touch, and also consist of the overall computer software system, which are able to compare with the management system. The mentioning business management system are the relationship of every employee, every customer of business firm and also the country or state relationship such as state law and tax, residence social culture and religion and so on. In our opinion, we would like to make the comparison that the nature of everybody is different from the process machine and robot, especially in every employee who is under control and manage by the employer, should get to his/her most competency work or job opportunity which is able to get the win-win situation when he/she stand at the peak or the top point of the hill. Moreover, the owner of each business firm should classify the overall factor into the controllable factor and uncontrollable factor. The controllable factor is indicate the capability of the owner that is mean he/she are able to manage the limitation of asset and the surrounding factor to get optimization condition.
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