Can You Produce More Than You Can Sell?

Below, 12Faces goes through problems and solutions inventory, operations and/or production. Operations is where the work of the business gets done. It should scale up and down with Sales Revenue, otherwise there can be a large impact on Profits.

Alternatively, You Can Sell More Than You Can Produce

Inventory monitoring has a major role with inventory intensive businesses, for example, wholesalers, manufacturers and retailers. The Profitability of all businesses is tied to its Gross Margin. Are you monitoring this important analytic tool?

Selecting Next Diagnostic Step

Learn to use the 12Faces Diagnostic Process to best advantage, click More Info.


Choices for Problems and Solutions Inventory, Operations or Production

I Can Produce More Than I Can Sell

This link covers Sales and Marketing, pricing strategies, customer retention, expanding your sales territory, amongst other solutions. Increase leads and customers who purchase and stay with you. Watch your Revenue grow as you sell the product that you are producing.

I Can Sell More Than I Can Produce

Problems and solutions inventory and how to improve the production and operations elements of your business. It is crucial to optimise these areas so that you can increase production to meet demand.

Operating Costs Are Going Up Faster Than Sales

Have your labour costs increased? Have you discounted prices? Are you managing you inventory costs – this applies to all businesses, from stationery through to large items? Do you employ casual labour, have these costs gone up? Go to this link to discover more areas and solutions.

I Have a Falling Gross Margin%

Don’t understand what the Gross Margin% is? That’s ok – this link explains the theory behind. It is a window into one of the most common reasons businesses experience a fall in Profit. Learn about the 5 Whys Technique which will assist with working out your problem and solution.

I Have a Problem With Operating Efficiency

When you improve your operating costs and productivity the improvement goes straight to your Profit. There are many areas to work on depending on your symptoms. This link will guide you to the right solution.

I Have Too Much in Work In Progress (WIP)

Has this caused a problem with Cash Flow, struggling to pay bills. Improve your Inventory Management, it has a major impact on Profit and Cash Flow. This applies to all businesses, not just manufacturing. 

I Have An Inventory Problem

As with too much WIP, too much inventory also impacts Profits, Cash Flow and Liquidity. These articles also cover delivery related problems. In addition to the link in the heading, refer to the 12Faces article – Cost of Over and Under Stocking

Find Solutions to Symptoms

Click on relevant links to drill down on solutions to the symptoms your business is exhibiting.

Your business symptoms not covered?

We add to our Symptoms Checker as new issues are uncovered.  If your business symptoms are not covered here, email us and explain the symptom.  We will try to address your issue and add it to the list already covered so you will be helping those who come after you.

Click here to explore other diagnostic solutions

Other Tools for Business Diagnostics and Solutions

Business Diagnosis and Solutions for Known Business Problems

When you know the business problem you want to solve, start here to access our Known Problem Business Diagnostic Funnel

Business Diagnosis for Unknown Causes of Revenue Decline

Click this link when faced with a revenue decline but you are uncertain of what is causing it.

Use Business Diagnosis on Unclear Inventory. Operations or Production Problems

Use this link to start the process of resolving problems in operational aspects of your business.

Apply Business Diagnosis to Cash Flow Problems when you can’t pay bills

You can really feel the pain and stress when you don’t have the cash to pay bills and wages.  Start here to run a Business Diagnosis to find solutions

Begin to Diagnose your Business’s Viability and Future Direction

If your viability and future direction is hazy, start here to begin a systematic process to get a clearer path forward.

ID: SN- start


error: Content is protected !!