If an enterprise wants to turn losses into profits, it should either sell in large quantities or reduce costs and expenses and move down to the breakeven point. In the face of losses, you will find that the sales of many loss-making enterprises are still much higher than that of many start-ups
For example:
One company has only 30 million sales a year, while many startups have only 20 million a year, but others' startups can make a profit with 20 million. My suggestion is:
Confirm that * * * has the same goal.
In 20 17, the company should have a common goal-profit from top to bottom, tell employees about the company's current operating conditions, tell employees about the company's target strategy and policy planning this year, and tell employees that our goals are the same. An enterprise should dare to disclose its operating conditions to its employees, gain their recognition and support, reach a consistent goal and work together for the goal.
Timely rewards and incentives
(1) Reward employees:
The more business is depressed, the more employees should be rewarded. We should set reward rules according to our goals. As long as employees achieve their goals, enterprises will reward them in time and stimulate their mobility through rewards.
(2) motivate employees:
We should reform employees' salary, reduce fixed salary, increase flexible salary, let employees make great achievements on their own initiative, reduce costs, reduce expenses, improve people's efficiency, and design our salary performance model according to the idea of result-oriented and effect-based payment.
Implement lean troops and simple administration.
Enterprises should recalculate the break-even point according to the current sales, and simplify administration by reducing staff and increasing efficiency and increasing salary. Faced with corporate losses, many companies dare not adjust their mechanisms for fear of employee instability.
In fact, the loss is to improve people's efficiency and performance, that is, from stability to instability. It is necessary to stimulate the mobility of employees through the salary performance mechanism, and don't be afraid of employees leaving. Our mechanism is to let those who stay do more work, but they will get higher wages, which has really come true: three people do five people's work and get four people's wages.
Losses are not terrible. The terrible thing is that you dare not face it or change it. You think your sales are at a low point. In fact, compared with many enterprises, your sales are still at a high point (pictured), but your burden is heavier than others.
Low or high?
When the enterprise continues to lose money, you need to reduce the burden to improve the performance and establish a mechanism to encourage employees to actively reduce costs and expenses to improve the performance.