No
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Action Item
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Completed
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1.
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Review your Budgets and set realistic and achievable targets for 2009.
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2.
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Get rid of can’t pay/won’t pay customers.
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3.
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Review debtors list and chase up overdue invoices.
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4.
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Offer existing debtors extended payment terms and/or discounts.
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5.
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Make sure your terms of business contain explicit payment terms.
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6.
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Assign responsibility to one individual for invoicing and collections.
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7.
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Agree extended payment terms with all suppliers in advance.
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8.
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If appropriate, review banking facilities and discuss future needs.
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9.
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Put extra effort into making sure your relationships with your better customers are solid.
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10.
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Review and flow chart the main processes in your business (e.g. Sales processing, order fulfilment, shipping etc) and challenge the need for each step.
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11.
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Encourage team members to suggest ways to streamline and simplify processes (e.g. sit down and brainstorm about efficiencies and cost reduction).
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12.
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Use ‘bottom up’ budgeting where everyone in the office gives input on areas over which they have control – target a 10% cost saving.
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13.
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Review your staffing needs over the next 12 months and make weak or unnecessary individuals redundant now.
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14.
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Get your members of staff involved in a discussion of likely trading conditions and get their input on reducing costs and maintaining revenues.
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15.
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Review your list of products and services and eliminate those that are unprofitable or not core products/services.
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16.
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Establish your key performance indicators (KPI’s) and measure them on a daily basis e.g:
· Sales Leads generated
· Orders supplied/fulfilled
· Cash balance
· Stock Turnover
· Debtor Days
· Gross Profit
· Net Profit
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17.
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Review efficiency of business processes and consider alternatives such as outsourcing certain activities locally or overseas.
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18.
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Pull everyone together and explain the business strategy and get their buy-in.
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