Recent Articles

Production Control

Of all the aspects of business, producing the goods or providing the services is the most critical of all. Without this function, the company would have no revenue to operate. Every busienss owner entreperneur should dedicate themselves to this aspect of business as their primary function each day.

Project Reports – Introduction

06/09/2015

There are basically three groups of financial based project reports.  Each set has its own priorities and purposes.  Project reports are a function of production reporting with the exception of the balance sheet set (commonly used for cash flow [...]

Up Time – Business Concept

05/21/2015

Up Time in business refers to maximizing opportunity to generate profit.  There is one key modifier.  If the marginal costs to generate revenue exceeds the revenue generated, the business is no longer maximizing profit. This article will explain [...]

Cost Drivers in Small Business

10/19/2014

The textbook answer defines cost drivers as those factors that determine the overall cost of operations.  As an example, in manufacturing the cost drivers may be processing time or number of steps to produce the product.  In service, the cost [...]

Throughput – Business Definition and Identification

08/20/2013

When a business can maximize the product or service delivered within a given period of time, it has reached maximum throughput.  This is the basis of maximizing earnings and therefore profits for a company.  This article will examine the [...]

Operating Control Reports in Business

02/16/2013

A part of any information feedback loop is the operating control reports in business.  Depending on the nature and financial impact involved, these reports can be daily (Daily Operating Controls or DOC), weekly (Weekly Operating Controls or WOC) [...]

Operate Within Your Range of Production

02/13/2013

One of the basic business concepts is range of production.  It means maximizing the capacity (range) of the assets in your operation.  When the business operation goes beyond the maximum production range, costs associated with the marginal [...]

Find the Bottleneck

01/05/2013

In every business no matter production or service, there exists a bottleneck.  Your job as the owner or manager is to find it and fix the problem.  Once this one is found and resolved; move onto the next one.  There is always a bottleneck to find [...]

A Story About Great Production

12/12/2012

When I started out in accounting I had a job as a controller at a restoration contractor.  They would provide emergency mitigation for water damage jobs, mostly residential damage.  Every now and then we would get a call for a larger commercial [...]

Production – Where the Rubber Meets the Road

12/12/2012

There is no other way to say this other than to outright say it directly:  All the rest of the business issues I write about mean zilch unless you have great production.  This is the one area that you as the business owner need to devote your [...]