English
English
Español
Français

Sign Up for Our E-News!

Join over 18,000 other roofers who get the Week in Roofing for a recap of this week's best industry posts!

Sign Up
R-Club Peer Forum - Marketing - Join R-Club - Q4 2023 - Sidebar
NFBA - Sidebar Ad - Accredited Builder
Estimating Edge - Sidebar Ad - Industry Collaboration Means Contractor Success (Podcast With Duro-Last)
Labor Central - Sidebar - 10 Free Searches
TRA Snow & Sun - Ad - Sidebar
Johns Manville - Sidebar Ad - EPDM Roofing 101 (Lunch & Learn)
RoofersCoffeeShop - Where The Industry Meets!
English
English
Español
Français

Missed Opportunities Can Result in a Big Cost to Your Business

Ken Kelly Cost of Doing Business
June 13, 2019 at 8:28 a.m.

RCS Influencer Ken Kelly says that their biggest cost of doing business last year were the chances that his company didn’t take.

Our biggest cost in the last 12 months was the opportunity cost.  Opportunity cost is the chances we didn't take.  In our situation it was not hiring more salespeople to estimate the extra leads we received.  It was not bringing in more crews to handle the additional workload, causing our lead times to go out too far to win more work. 

We failed to promote team leaders fast enough and then give them the authority to run their division as needed.  It was a mistake to not put more emphasis on customer communications, risking our reputation via negative reviews.  We didn't stay on top of collections like we should have, hurting our cash flow and preventing us from taking full advantage of supplier early-pay discounts. 

Our focus on putting out fires distracted us from running a lean organization, continuing to cut costs even in booming times.  Looking back over the last 12 months I realize our team missed out on opportunities, which cost our organization. 

But we learn best from the mistakes we make.  I can confidently say; these are mistakes that will not happen again.  And, even with all the opportunity costs, we still had our best year ever.  I'm proud of our team and what we accomplished.  Here's to another 12 months of learning opportunity costs.

Ken Kelly is President of Kelly Roofing. See his full bio here.



Recommended For You


Comments

There are currently no comments here.

Leave a Reply

Commenting is only accessible to RCS users.

Have an account? Login to leave a comment!


Sign In
SRS Roof Hub - Banner Ad - JobNimbus Integration
English
English
Español
Français

Sign Up for Our E-News!

Join over 18,000 other roofers who get the Week in Roofing for a recap of this week's best industry posts!

Sign Up
NFBA - Sidebar Ad - Accredited Builder
EVERROOF - Sidebar Ad -  Branding Campaign
Rocky Mountain Snow Guards - Sidebar Ad -  Widest Product Offering in Industry
Western Colloid - Sidebar Ad - FAAR Best Practices
Franklin International - Sidebar Ad - eBook
Westlake Royal Roofing Solutions - Sidebar Ad - Rise Above With Superior Roofing Solutions