Textile companies always encounter bottlenecks in the development process. The majority of reasons are high operating costs, but it is difficult to find the cost. Just like the hidden disease of life, the long-lasting, lingering, leaving the operator quite a headache. If we can find these "implicitly-formed" prescription drugs, companies will break through the bottleneck and usher in new opportunities. This article summarizes the “implied costs” that often exist in textile companies, and companies can use this to compare themselves.
1 Manufacturing process costs
Business management is cluttered, because too many processes are cumbersome. The slow-moving companies have such common problems, and companies have to bear the high costs, but they are always difficult to detect. The scientific and rational process is the industrial chain operated by the enterprise. The process manager will lose the systemic control of the work and cause many tasks to be abandoned. Many jobs need to be reworked, thus constraining the advancement of the enterprise.
2 Talent flow costs
Many companies have no rules on human resources management. They think that talent is unlimited. Since the company is an "iron-plated camp," employees naturally become "water soldiers." However, corporate managers often overlook some necessary upfront costs such as employee orientation training, and rarely realize that the departure of old employees may cause companies to lose some important internal information or information, which also adds a Philippine invisible spending.
3 procurement costs
Purchasing this link has different ways in different companies. This is also an important cost that affects the business operations. In this link, companies usually only pay attention to the price and quantity of procurement, and often ignore other factors in addition. For example, once there was a company, when it was doing a new project, the daily operating cost of the project team was 80,000 yuan. On the eve of product launch, the procurement department spent a week in order to purchase more than 100,000 yuan of packaging. The reason was to Finding suppliers with lower prices to save procurement costs to the greatest extent, making the entire marketing team unable to sign contracts with customers due to overdue. This phenomenon is not uncommon in enterprises. Blindly pursuing the reduction of the direct cost of procurement and ignoring the simultaneous existence of “hidden costs” will often backfire. The procurement department of an enterprise must comprehensively weigh the various indicators from the perspective of overall operations in order to truly control the cost of procurement.
4 meeting costs
The conference is a collective activity for companies to solve problems and deployment work, and it is also a high-cost business activity. Many companies’ managers do not have the skills to hold meetings. There are six phenomena: “no preparations before the meeting, no topics at the meeting, no implementation after the meeting, no need for attendance, no time for control, and no speech”. This is a serious increase. The cost of the company's time, due to the large number of people in the meeting, makes the company more costly.
5 credit costs
This is a cost related to long-term returns. Many companies use agencies that default on suppliers’ payments or default on employees’ salaries to temporarily ease the pressure on corporate liquidity. However, in the long run, this will not only seriously affect the corporate image, but also face the risk of being punished.
6 risk costs
It is every entrepreneur's dream to push the company to the fast lane, but the risk factor will increase accordingly. In particular, large and medium-sized enterprises, although they have developed rapidly and are rich in income, they will have serious consequences in the event of a crisis. A number of cases have proved that many of the company's risks are caused by unanticipated or poor management. Hidden risks have long been buried before the risk. In this regard, business managers must keep up with the times, constantly update the business philosophy, and timely reflect on the problems existing in the business operations, so that "early detection and early treatment."
7 Communication costs
In business operations, communication is an essential and important part. However, unfavorable communication is a common problem in many companies. In the process of communication, there is often a phenomenon of “understanding distortion” among colleagues. This is mostly due to the fact that the words in communication do not reach meaning or are not answered. Small communication mistakes often result in disorganized or ineffective processes, causing losses for the company. Therefore, companies with this problem can develop training in "communicative competence" and guide employees in expressing their ideas in a concise manner.
8 stagnant resource costs
Stagnant resources can be described as the most widespread "hidden costs" of companies, such as idle equipment, backlogs of inventory, low-utilization job occupations, etc. As part of the company's assets, companies will bear the implicit cost of such interest. Enterprises should increase resource utilization and maximize the value of each asset.
9 Corporate Culture Costs
Corporate culture is just like the soul of a company and it is reflected in the spiritual outlook of each member. Corporate culture affects the atmosphere of employees' work. Many managers disapprove of them, causing employees to be apathetic, inefficient, and difficult to retain quality talent. Therefore, at the beginning of the establishment of the company, managers should establish a good corporate culture based on the characteristics of the company itself, and integrate the corporate culture into the employees' production and life through training and activities.
10 entrepreneur costs
This cost refers to the cost that entrepreneurs bring to the company. Entrepreneurs are like the heads of an army. They themselves are the employees who pay the highest costs. However, the lack of entrepreneurial personal factors will add a heavy cost burden to the company. Therefore, corporate managers should know how to behave well, learn from others, listen to suggestions that are beneficial to the development of the company, and enhance the combat capabilities of the team.