I work all night, I work all day to pay the bills I have to pay.
Ain’t it sad?
And still there never seems to be a single penny left for me.
That’s too bad.
Nobody could have said it better than ABBA. Money is a red hot topic when it comes to your business. And, more often than not, you’re wasting it in places you wouldn’t suspect. Indeed, maintaining positive cash flows is more than a matter of how many products you can sell. Considering improvements that can help you to cut down on unnecessary and invisible wastes could be a game-changer for your budget. Are you ready to explore the four most common money leaks in companies?
#1. Seriously, this is a light bulb moment!
A lot of offices have a surprising relationship with their light bulbs. Indeed, it’s not uncommon for companies to keep the light on at night. However, when you consider that one light bulb consumes around 60 watts per hour, you needn’t be surprised by the energy bill at the end of the year. The Energy Management Association warns about mindless energy waste within the business. More often than not, a simple change in habits can improve your energy consumption without affecting your work performance. The same principle applies to energy-vampire processes, leaking windows and doors that let the cold air through in winter – ramping up your heating costs – and appliances that are unnecessary left on.
#2. Meetings = 70% productivity lost!
What’s a workday without meetings, right? In reality, businesses are in danger of falling for the trap of organizing too many meetings throughout the day. Unfortunately, face-to-face meetings can cost up to 70% of your productivity throughout the day as they interrupt day-to-day tasks and thought processes. However, the reason why discussions and interruptions occur within the workplace is a result of trying to keep up with the tasks at hand. You can significantly save your team productivity if you replace some of your meetings through workflow management tools that let you coordinate projects and communication from one platform. More importantly, you can keep people focused on their job without disruptions.
#3. Your office is gloomy
Should office decor play a role in your business performance? The answer is yes! Most of your employees spend, on average, eight to ten hours a day in the office. Lack of decoration and overall gloomy atmosphere can affect their mood and motivation. Brightening up the workplace might seem like an unnecessary investment, at first, but it is tightly linked to a boost in productivity, happiness, and a decrease in absenteeism and stress levels. In the long term, undecorated and dull offices dramatically harm your team performance.
#4. My best employee gets a bonus this year
Every company wants to reward their best employees. However, HR experts warn that the process can backfire. Indeed, when you single out one member of the team, other employees who have contributed to the growth may feel unappreciated. There is no such thing as one-person success; most people collaborate throughout a project. Ultimately, isolating only one person from the group is unlikely to motivate the rest of your team to carry on working for you.
Whether you’ve left the lights on or you’ve chosen to reward one person in the team, there are many ways in which your business is wasting money. Identifying potential leaks could significantly improve your cash flow and your overall strategy.