Profit is the key goal that every company longs for.
Hardly can any companies survive from the fierce market competition without certain profit.
The clients do not buy your products even if the price has been offered pretty low.
业务员谈判能力欠佳，客户动不动就不回复（扎心！原来客户不回复的真正原因是。。。Opps！ The real reasons without clients' reply），业务员最终只能妥协，一味让步（不寻常的外贸通杀神技！Mike不外传的谈判杀手锏）。
With bad negotiation skills, the sales representatives have to make concesssions time after time whenever they lose their clients' respons.
So even if the orders are taken by your company, there's no or limited profit left for your side.
In order to save costs and make more money, some companies begin to cut corners and export inferior products. But this is not a long-term solution, which is no different from suicide.
Because once the products lose the quality assurance, the company will die slowly for no business support.
How can we effectively reduce the cost of a company without compromising the quality of its products? Today, I'm gonna show you some tips for your reference.
Saving Energy Costs
Saving energy costs can help companies reduce costs without sacrificing the quality of products.
Many companies do not pay attention to workshop management, resulting in much unnecessary waste of energy, which inadvertently increases the operating costs of the company.
If the companies pay attention to its management at ordinary times, that will be of great help to the cost saving.
High Volume Purchase
Purchase raw materials in demand with high volume purchase orders. Do not buy them very often with small quantities, which will greatly increase the price you get from the suppliers.
High volume purchase orders will get us better prices and save our costs.
Of course, this theory is on the basis of reasonable procurement, combined with real-time actual market conditions, in case of the market price decline after you purchase.
Or, it will not be worth the loss.
Look For Better Suppliers Constantly
"May encounter rather than pray", many people hold such a belief when it comes to the topic of searching good suppliers. But I do believe that all good suppliers are found by ourself, instead of waiting for their coming.
Untargeted waiting is the biggest cost. It's like the ones who are with limited ability, are not willing to believe in others, are not willing learn from others. It turns out to be nothing but repeat their mistakes with an even steeper price.
A good supplier can provide you with better prices, to lower your purchasing costs, with better quality products, to lower your after-sales costs, with more reliable delivery times, to lower your transaction costs.
The best way is to be proactive. We can save a lot of costs by finding better suppliers.
Eliminate Unprofitable Clients
Each of us has a lot of clients. Regardless of the size of their orders, we are doing our best to provide them with our outstanding service. However, some clients are really like chicken ribs, tasteless but wasteful to discard.
We cannot earn any money at all with orders from some clients. But the service for them is kept the best, hoping that we can earn some money in the days to come, which, however, keeps wasting the employees' working hours and increasing the production pressure in workshops .
If we can eliminate those unprofitable clients, we can save a lot of costs and increase the survival rate of the company. The best way to make money is to focus on the clients who bring the companies higher benefits.
Eliminate Unnecessary Spending
For example, some companies often invite some masters of success to give a speech to the employees to get them excited. Personally I think, it makes no sense. If your staff are not capable enough, no achievements can be reached. And the only thing left you can do is to fire them.
The competent employees will work hard for higher achievements even without your push. Coz in foreign trade industry, they are here for sales commissions from the orders. No one will keep sitting there, doing nothing like an idiot.
If they're really with very bad performance, then you should ask yoourself, “ Am I wrong when selecting them in early recruitment? ”
Each company has a variety of consumer spendings, some useful, some not, some seems to be useful but not. If we can find out the unnecessary spendings, and eliminate them, then that'll be a big amount of money.
After reading this article, you may feel that you've got a lot of things to do. Then do it right away. Do you still remember the words Mike says above, “Untargeted waiting is the biggest cost.”