Issue link: https://read.dmtmag.com/i/668677
19 Oil Prophets BUSINESS STRATEGIES said that myself last month as we were talking about customer portals! LOL Cost: This depends on the severity. For instance, a receivables clerk who doesn't like or won't learn the EFT portion of a good software product could cost a company millions in delayed cash. A salesman who won't use a CRM might produce only half the new volume as a sales person embracing better processes and efficiencies. If you began using email inbox "rules" just think of how much time you personally wasted before you set those up. Cure: First and foremost, ask your software provider to do a one day onsite review of your processes and procedures if it's been more than 18 months since your last review. Also ask your team to make a list of every spreadsheet they use. These spreadsheets immediately identify system gaps. Put "Technology" as an agenda item monthly to discuss with your strategic team. Ask your front line where they see competitors exceling in tech. Ask your salespeople what customers are requesting. One of my clients recently added a customer portal and has been amazed and delighted with the results. They dragged their feet for a year before implementation and are now kicking themselves! Poorly maintained or underutilized equipment, vehicles, buildings, etc. As I write this last item, I'm thinking about the front porch of my office. I'm blessed with a turn of the century Victorian home which we converted to a beautiful office years ago. Trouble is, with all the rain in Texas lately, numerous cracks have appeared in our porch. So we put a rug over them, step over them and basically ignore them. I'm tolerating something that needs a major overhaul. What is it in your business that needs attention and isn't getting it? Are you tolerating drivers leaving trucks messy? Are you tolerating tanks that need painting or sites that need a major facelift? How about your driver to truck ratio? Are you maximizing truck assets? Cost: Not split seating? Figure your lost per truck hour revenue. Tolerating poor image? How much revenue and profit are you losing from customers who aren't buying from you? Truck, pump or cooler breakdowns from lack of service or replacement intervals? You get the idea and can do your own math. I promise you won't like it. Cure: It's not what you think. It's not complicated. It's simply to have a single person accountable for each asset group you own and for them to have maintenance and replacement guidelines you strictly adhere to. Set expectations, set a realistic budget, then hold people accountable. One of the things I adore about the executive coaching I do monthly with petro CEOs (and receive personally as I am a believer and follower as well) is the ability for an outside coach to see and expose blind spots, the areas being "tolerated" or simply accepted as normal and to challenge that person to a new level of excellence. I was preparing for one of my education sessions and asked a progressive client who has always been highly profitable why he sought out Meridian coaching. He said, "Betsi, don't you remember? In our first session together as I explained that our gallons had dropped a little each year due to the economic downturn in our area, you asked, 'why don't you grow them? Why are you accepting that?' And I knew right then and there you, Meridian and M-Power™ were the right choice for me." I hope this article has made you pause and ask yourself the question, "What am I tolerating?" and furthermore, quantify the cost. Then use the pain of that cost as a motivation to stop tolerating! I am certain your profits will increase when you take action. Since 1991, Meridian has provided insight and services to over 3,400 petroleum marketers, growing and expanding their market share, while increasing their cash flow and profits. Being the leading petro valuation provider in the nation, Meridian is also trusted for buy/sell transactions. To find out what Meridian can do for you – Call us 800-728- 9005. www.askmeridian.com Serving the P&CMA and its members, with gratitude. www.nowellagency.com Contact the Petroleum Insurance industry leader at 601.992.4444 to prepare a customized insurance quote for you today. 5