In the previous post we looked at interdependencies and establishing the goal of the system. In order to steer our system in the right direction we have to know how to make the right decisions. To do this it is essential that we be capable of assessing to what extent our system is achieving its […]
Business Performance Metrics Every Entrepreneur Needs
“Without this information I would have gone out of business long ago.” Those are the words of a CEO in a recent conversation and he was not talking about Cost Accounting. Cost Accounting is not giving companies all the information they really need. That may seem astonishing but it is a fact. There is a […]
What’s Driving Profitability in Your Business and What Isn’t – How to Find Out
If you knew accurately what is actually making money in your company wouldn’t that then influence all your decisions regarding cost and investment? Well, isn’t that what accounting is for? The problem is, traditional accounting fails to give a complete and correct picture of what is happening dynamically and what is really driving profitability. Every company is […]
Cash Generation in Project Based Businesses – Measuring What Matters Most
In any kind of business, the speed of cash generation through sales is crucial. This is something that cannot be measured by traditional accounting methods and balance sheets. These approaches do not take speed into consideration and that is odd because everyone knows that $1 earned in one day is very different to $1 earned […]
How to Manage Time Constraints and Prioritize Tasks
If you’re looking for a way to prioritize your tasks and increase your productivity, and most of us are, you can take some powerful inputs from the Theory of Constraints. Every day, we all have to perform a number of tasks in different areas of our lives. Clearly, we can’t give equal attention to everything, […]
Connecting Actions to Results: Radically Simple Accounting for Real Information
Cost Accounting is not giving companies all the information they really need. That may seem astonishing but it is a fact. There is a much simpler and more straightforward way to get real information from the numbers a company is producing. These numbers are what are needed to make the right decisions about what things are […]
How to Find Out What is Actually Making Money in Your Company (and What Isn’t)
If you knew accurately what is actually making money in your company wouldn’t that then influence all your decisions regarding cost and investment? Well, isn’t that what accounting is for? The problem is, traditional accounting fails to give a complete and correct picture of what is happening dynamically. Every company is trying to achieve a goal. Sometimes […]
Time Constraints? Try This…
If you’re looking for a way to increase your productivity, and most of us are, you can take some powerful inputs from the Theory of Constraints. Every day, we all have to perform a number of tasks in different areas of our lives. Clearly, we can’t give equal attention to everything, so how can we […]
