Tuesday, October 04, 2005

The VALUE of Prediction - The REWARDS of Preemption

The Monetary Rewards of Prediction and Preemption

The major value of prediction is that it enables you to dodge a bullet, or avoid a crisis.
However, in the world of business, when prediction is turned to preemption, there are monetary rewards that accrue; over and above just avoiding injury.  These rewards appear quickly.  And they are considerable - often expressed as multiples of ROI. 

To explain:  In all companies - all but the perfect in any case - there are trends hidden in the operating dynamic that spell future trouble.  Sometimes large, sometimes small.  And once
these trends and their causes are found and brought into the cold light of day, the instinct of all concerned is to not just fix them but transform them.  And the very act of transformation, triggers a surge in systemic performance. 

So, how much can reasonably be expected?  And how soon?

Well, it has been proven (see previous posts)
 that when just three critical functions of the operating dynamic are improved by 20%, the bottom line shifts upward by 40%.  And that is with just three functions improved; there are other critical functions that have similar, highly leveraged effects on bottom line performance.  And from our experience with more than 200 organizations, we know it can happen very quickly.  Sometimes in a matter of weeks.

For over twenty years our company has specialized in helping managing officers TRIGGER improvements in these three critical functions - the others too.  And time after time we have seen results like those described in the study - sometimes even more remarkable.

The cost of transforming critical functions can be low; the time to do it can be short; the ROI's extraordinarily high.
For further information see posts below, or view our web at www.ManagementConsultants.com.  Contact us at info@managementconsultants.com to arrange a personal time to talk. There is, of course, no obligation; we understand that what we do is not for everyone.

A webinar (web seminar) that addresses some of our diagnostic techniques is coming up - Nov. 16, 2005. It is free to our guests, but seating is limited so please, register early.  This webinar is excerpted from a management course at DePaul University.  There is a modest registration fee to DePaul for the on-campus seminar. Seating there is also limited.

We look forward to speaking with you.

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