Keeping people staff happy to improve profitability.

When Labour is a significant part of your production cost, making people happier will make you more profitable.

The family owned business Qualipac said it believes happy staff are more productive and that has helped their bottom line. Arlie Felton-Taylor

The family owned business Qualipac said it believes happy staff are more productive and that has helped their bottom line.
Arlie Felton-Taylor

Seems obvious to you and me as employees, but it doesn’t always seem to be a consideration when companies are planning costs.

Here’s an example from an Australian farm of where taking an interest in staff morale and training leads to better productivity. Might sound small scale, but 90 employees is more than many businesses have.

Article and audio (in the link) that shows how staff (particularly where they are 50% of costs) treatment is good investment. Labour isn’t simply a cost of production, it’s people, and good staff management pays dividends.

http://www.abc.net.au/news/2015-09-16/qualipac-focuses-on-staff-and-reduces-overall-labour-costs/6780364

 

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About Jonathan Rooks

Jonathan is an accountant who specialises in Mangement Accounting, the running of a business. He works with and entrepreneurs to help them increase income and reduce costs.

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