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Please give me details on ways that an office staff of 50 can reduce operating costs. I do not want to hear about reducing payroll, and I have no control over insurance. Ways that each employee or department can reduce costs.

2006-10-19 06:51:15 · 9 answers · asked by BG 3 in Business & Finance Corporations

9 answers

One must review the input and outlay of each department - citing it's goals and objectives - time it takes to achieve a whole task and breaking it down from section, to area, to employee --- In other words , an organizational chart.

Once the tasks are reviewed, departmentally, one must determine whether the amount of outlay, compared to the overall income - by percentage is reasonable.

Time management
Perhaps the tasks are being duplicated or delayed
Perhaps there are not effective and defined policies and procedures in place to keep everyone on task
Perhaps there are cheaper options for maintenance of electronic systems or machinery

The questions one must ask is --- is the task being done - or redone , how many hands does it pass through, is it necessary for the task to pass through so many hands?. How can the objective be reached without so many hourly paid employees? Is it necessary to have so many full - time employees with benefits?
Is the planning for proven increase or decrease of the business a consideration --- Is there a fluctuation? Does the fluctuation of staff reflect this? Would flex-time help the production?

Basically - you may need a management consultant to review this --- for all departments --- or have the department heads write a job description for each employee and create budget for their departments. Give them guidelines --- see what they can do.
.
Review their results an see if they come in line with the companies percentage goals. Reducing wages may not be in order, but reducing staff may be. The producing staff may end up
with a raise.

Service contracts may want to be reviewed.

Many companies have reduced staff over the last ten years - they pay well and treat their employees well - they also expect effective use of time. How much wasted time are you paying for?

How much middle management do you have? Are they necessary? Are meetings well coordinated and production discussed in each meeting for each department? Are deadlines being met?

You have hard costs - that you cannot do without and soft costs - Te hard costs of operation of the normal communications equipment and any other essential equipment - should be checked - including maintenance contracts. Office equipment - paper et al should be checked and budgeted for.

These are some things that are done.

2006-10-19 18:00:39 · answer #1 · answered by Anonymous · 1 0

Centralizing functions is a great way to cut costs - rather than having 6 unconnected people doing the same thing in a disorganized way, have 4 people working on it together. This is a great strategy to use with supplies and purchasing. By having one or two people buying for the whole company, you can leverage your buying power, get bulk discounts, spend less time trying to find the best deal. If you have a water cooler, coffee maker, etc. have the employees who use it contribute to a fund to pay for it rather than being funded by the company. Renegotiate copier costs with your service provider. Use electronic mailings rather than paper.

Etc.

2006-10-19 07:01:03 · answer #2 · answered by Phoenix, Wise Guru 7 · 0 0

You may be able to save on things like long distance telephone service, paper products and supplies, and ink and toner cartridges if you shop several vendors for each one. But payroll expense tends to be one of the biggest expenses. Don't allow people to use 411 for information, make them look up the numbers in the phone book or Yahoo.

2006-10-19 10:27:39 · answer #3 · answered by hottotrot1_usa 7 · 0 0

Save on the electricity by putting out the lights in the office after ur working hrs. Cut out on paper usage but not on toilet papers please Assign a person to keep a check on people using the office utilities like the stationary or paper u may never know who mite b shipping things off from the office so ration the supply and make people sign for whichever items they have taken for their use.
If ur into meetings then cut out on the frequency coz it means more stuff goes in peoples mouth then in their brain.
Make use of the internet and save calls via the phone.
U can book a agency who does the cleaning on a cheaper basis maybe u can cut out on the materials ur company uses to clean the office and appliances.
Phone bills can b manipulated with the help of the telephone service providers giving out the economy plan and if at all stop people making personal calls for free from office charge them money directly from their salary infact u can cut out ( for eg. $10 ) from everyones salary in itself saying miscellaneous usage tax.

2006-10-19 08:59:31 · answer #4 · answered by kittana 6 · 0 0

Consolidate trips out of the office, cut the paper trail ,heat at 68 ,search around for better cleaning services or do it yourself, email instead of post and install energy efficient fixtures,lights ,heating ,insulation , get rid of the slugs, leave the lights out at night, get on a buiness phone plan, variate breaks for your employies while keeping the office running and the list go's on.

2006-10-19 07:09:50 · answer #5 · answered by KaptainSurf 3 · 0 0

there are several ways, very few of which will be appealing to the staff.

The general thing to do is to review your previous year's expenditures and determine which items can be sacrificed as non-essential.

In the realm of costing money to save money going paperless is a cost saver over 5yrs.

2006-10-19 06:55:29 · answer #6 · answered by phillytocalifornia 3 · 0 0

Cut back on paper try to use your computers more. Limit phone calls. If possible hand deliver some mail instead of mail service. Limit business trips bag lunch. Talk to your staff see what they come up with.

2006-10-19 07:05:52 · answer #7 · answered by prizelady88 4 · 0 0

try giving incentive of 50cents for each dollar save

2006-10-19 18:19:46 · answer #8 · answered by tkbay 2 · 0 0

in come leakage through all means from estate management to time management.

2006-10-19 07:00:28 · answer #9 · answered by prince47 7 · 0 0

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