Business management: the challenge of change even when everything seems to be going well

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Business management aims to analyze a business plan or the management of a company, to identify the difficulties and opportunities for business growth.

Business management is usually done when an entrepreneur wants to start a business or when he or she needs to break out of stagnation. But today, we’re going to talk about how this observant eye can transform a business, even when everything seems to be going well.

Day-to-day business management
When you analyze the possibilities for changing a business on a daily basis, you can more easily identify areas for improvement. You can save water, energy, materials and other resources by proposing more sustainable ideas, for example.

Any stage of your business can be a turning point. All you need to do is pay close attention to all the details of the processes. And this idea doesn’t have to come from management alone. Generally, employees who work on the day-to-day process know every nuance of the tasks and can suggest improvements.

The challenge of changing even when everything seems to be going well
But a good example is worth a thousand words. So, to show germany phone number lead that even large companies have accepted the challenge of change even when everything seemed to be going well, we have brought two examples – which have even become marketing legends – of multinationals that improved business management with a simple idea.

McDonald's and the powdered milkshake
Ray Kroc, the partner who turned the first McDonald's restaurant into a success throughout the United States, was ambitious and spared no effort to transform the restaurant into a phenomenon.

The wife of one of the franchisees, Rollie Smith, proposed that the ice cream in the milkshakes be replaced with a powdered version. This way, they would save on the energy that was wasted on the large ice cream freezers.

At the time, Kroc went over the heads of the McDonald brothers, his partners, which led to a fight between them. The story can be seen in the movie The Founder , but the powdered ice cream milkshake was a success and resulted in huge savings in electricity – and greater profitability – for the partners and franchisees.

Tubeless toothpaste and boxes
Our second example of good business management takes place in a toothpaste factory, probably in the 1990s, belonging to a multinational company in Campinas. The toothpaste production line had a frequent problem: some boxes without anything inside ended up in bales and were sent for sale.

Complaints were constant and the company began to invest in solutions to the problem. R$8 million was spent on installing state-of-the-art precision scales that, once attached to the conveyor belts, detected empty boxes, which were lighter than the others.

When an empty box was detected, the conveyor belt was automatically stopped, a mechanical arm pushed the empty box out of the production line and the system was restarted.

Three months later, with no cases of empty boxes being shipped to stores, management went to produce a report and realized that the system had been down for two months. What had happened then?

When they questioned the supervisor, they discovered that the machine was stopping the transmission line and preventing the workers from reaching their targets. They then turned off the machine, took up a fundraiser and bought a large fan, which they placed next to the conveyor belt.

Every time an empty box passed by, the wind pushed it off the conveyor belt. In other words, the company invested 8 million reais in a solution and an 80-real fan was more effective.

This shows that sometimes a simple idea can revolutionize your business and bring many benefits, whether it be increased productivity or reduced costs, even when you think there is nothing else that needs to be changed in the processes. Business management must be continuous and always look for improvements and savings.