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We at Bennett Packaging, have operated our business for a long time. We have seen both good and poor economic conditions. We have always stressed quality of products and services; knowing that these are essentials of a successful business. Like most business owners, we focused on growth. In 2003 we had record sales for the month of January. When we saw that our profit did not grow commensurate with or greater than our revenue, we knew that we had to do something different.
We have learned that the principles of making a profit are as essential as exceptional quality of products and services. Before we implemented the principles and mathematics of profit and trained our management and employees, we would wait until our end of month financials were completed to find out if we had made a profit. We ran our business well and often we were profitable. However, many months we should have had better profits. Even our best profit months could have been better.
Without optimal profit, we were cheating ourselves, our employees, and our customers. We understand that profit is a primary business responsibility.
We began reengineering for profit by implementing a financial model of the company. Using our past financial data, we developed a model of what our company could become. Our financial model showed us that a consistent profit could be obtained from a well run business. Using trade secret mathematics and methodology, we measured the performance of our revenue generating departments. Once our managers and our employees understood the numeric performance measurements and how to achieve them, we experienced dramatic improvements in the bottom line.
These resultant measurements also pointed to areas where improvements would deliver more profit. They revealed the work centers that were most profitable based on
what our market is willing to pay for our products. This helped us direct our sales team to close business in the most profitable areas of our marketplace.
This information was also useful in pricing. We are in a very competitive market. We learned how to price our products to capture profitable market share. We now see our competitors price their products poorly. We have learned to avoid the mistakes that make companies weak and unreliable. We know that we are going to be a strong supplier that competes aggressively and well for our share of the market. Our knowledge of how our company generates profit gave our sales people new power to compete and win business that drives the bottom line.
We are still working to improve our company and our profit. We are currently implementing measurements and methodologies in our marketing and sales teams that will allow us to have dependable management information about sales. These measurements will allow us to know with a
high degree of confidence what our sales will be over the next three months or more. We will no longer be surprised by a down turn in sales. We will know our market penetration. We will know if the market is expanding or contracting. We will be able to manage our company and employ resources at the right levels based on this far sighted data.
Our managers run our business by the numbers. This gives them the certain knowledge of the level of performance they are achieving. Bennett Packaging is a stronger, better company because we have eliminated the waste that is common in most of our competitors. Because we have reengineered our business to be profitable, we have protected the interests of our owners, our employees and our customers.
BENNETT PACKAGING OF KANSAS CITY, INC
220 NW SPACE CENTER DR
LEES SUMMIT, MO, 640641182
816.379.5001
www.bpkc.com
  
Being more profitable, we provide a better quality of products and services to our customers, and that makes us even more profitable through the added growth in sales revenues.
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We have learned that the principles of making a profit are as essential as exceptional quality of products and services. |
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Without optimal profit, we were cheating ourselves, our employees, and our customers. |
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Our financial model showed us that a consistent profit could be obtained from a well run business. |
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These resultant measurements also pointed to areas where improvements would deliver more profit. |
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Bennett Packaging is a stronger, better company because we have eliminated the waste that is common in most of our competitors. |
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