Feel the Field Costs

Recognize that operating costs below the margin line may be just as important or even more important out in the field.  It can be much harder work to oversee the field.  However, it may be crucial to bringing home positive net income from field operations.  The farther away the location is, the more important this can be.  If they are located in another country, this magnifies the challenge.

•    Know how much your field operating costs represent out of your total operating costs.  Does the field get the attention it deserves from you?
•    Get on the road.  Get there before a crisis hits.  You will learn things you cannot tell from reports alone. 
•    Build the relationships.  Open up the lines of communication.  You become more real to them.  It becomes easier for them to tell you when problems start happening.  It gets easier for you to pick up the phone periodically and find out how they are doing.
•    Learn from their good ideas.  Cross-fertilize between locations.  You might even pick up some good ideas for running headquarters better as well.
•    Get feedback from them about headquarters.  What does corporate do that makes their jobs much harder?  What is a waste of time to them?  What can you streamline or cut out?
•    Think about what is done at headquarters versus what is done in the field?  Are there some operating tasks you would be better off consolidating at corporate?  Are there other tasks that the field can do better because they are closer to the action?  In some companies, accounts payable processing could be smoother in the field.  They know the products and services better.  They have the local relationships and can take care of supplier issues quicker.
•    Give your field heads the reporting and other services they need.  Make it easier for them to run the operations well.
Recognize that operating costs below the margin line may be just as important or even more important out in the field.  It can be much harder work to oversee the field.  However, it may be crucial to bringing home positive net income from field operations.  The farther away the location is, the more important this can be.  If they are located in another country, this magnifies the challenge.

•    Know how much your field operating costs represent out of your total operating costs.  Does the field get the attention it deserves from you?
•    Get on the road.  Get there before a crisis hits.  You will learn things you cannot tell from reports alone. 
•    Build the relationships.  Open up the lines of communication.  You become more real to them.  It becomes easier for them to tell you when problems start happening.  It gets easier for you to pick up the phone periodically and find out how they are doing.
•    Learn from their good ideas.  Cross-fertilize between locations.  You might even pick up some good ideas for running headquarters better as well.
•    Get feedback from them about headquarters.  What does corporate do that makes their jobs much harder?  What is a waste of time to them?  What can you streamline or cut out?
•    Think about what is done at headquarters versus what is done in the field?  Are there some operating tasks you would be better off consolidating at corporate?  Are there other tasks that the field can do better because they are closer to the action?  In some companies, accounts payable processing could be smoother in the field.  They know the products and services better.  They have the local relationships and can take care of supplier issues quicker.
•    Give your field heads the reporting and other services they need.  Make it easier for them to run the operations well.


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