You can’t gain a permanent increase in margin by decree.
Don Magruder, vice president of Ro-Mac Lumber & Supply in Central Florida and former chairman of the Florida Building Material Association, describes in the 2010 article below what Profit2 has known since we were founded: Increased margin requires pricing discipline and sales people buy-in. That’s why our service includes not only solid pricing strategy, but also training, mentoring, and reporting so you can see if optimal prices are actually being used.
[titled_box title=”Industry News & Opinion: Why Your Operation Needs the Margin Police” variation=”slategrey”]
Why Your Operation Needs the Margin Police
- By: Don Magruder
It never ceases to amaze me of all the great ideas on margin that executives have. They create some of the most well-written guidelines you can imagine, and then no one follows them. The reason for the insubordination is simple: they don’t have a Margin Policeman who is checking business reports on a daily basis to make sure employees are not violating the guidelines. read full article[/titled_box]