In these troubling times every business seems to have one major goal -- cut costs. Unfortunately this happens most often as a knee jerk reaction with across the board cuts in payroll and everything that even smells non-essential. But what if there was a better way? And you could learn about it for FREE??

One of our clients has grabbed the Toyota concept of efficiency (lean) and taken it to an art form – and they are so passionate about it that the President of the company has felt the call to duty and is hosting a daily radio show on AM790 from 4 – 5pm. There is also a local website dedicated just to the war on waste (LeanRI.org). The show and site focuses on efficiency and cost cutting without using the all too common slash and burn process. If you can’t tune in, the show streams live from the 790 website and there are other tips you can read online. Here are some links to get you started.

http://www.790business.com/sectional.asp?id=35739
http://www.leanri.org/
http://www.facebook.com/pages/K-Dubs-Lean-Nation-Radio-Show/205913446176

What is lean anyway?
Lean is eliminating the 7 deadly wastes that are in every corner of our businesses, homes, and government.

1. Waiting - people or goods idle while a process finishes
2. Over production – making more than you need now
3. Over processing – doing more work than is necessary (too many steps)
4. Motion – reaching, turning, bending, or walking to your resources
5. Transportation – moving product around
6. Defects – we all know this one
7. Inventory – do you need more than you could have on-hand tomorrow?

I know these sound like they only apply to manufacturing but don’t be fooled. They apply to everything and anything that involves a process resulting in a finished product (even making toast has a process to it). What I’m saying is: everything is manufacturing when you think about it. For example (and I’ll pick a tough one) - an insurance agent. They might not have a machine shop but they do go through the process of obtaining leads, researching, quoting, revising, and ultimately binding coverage - all which results in the finish product of an insurance policy. Their equipment is a computer, printer, and fax machine instead of drill presses and grinding machines - but they still go through a process - and that process is burdened with the 7 wastes above.

You will never reach the perfection of a totally waste free environment but the idea is to continuously improve towards that goal. For a lot more on this topic check out one of the links above. You’ve got nothing to lose and it will make you look at your business in a whole new way.

By. Norman LeBlanc, CPA
Tax Services Group

Labels: Accounting, efficiency, KLR, LeanRI, LeBlanc

As I write in my own KLR blog, I got to thinking about the challenges and opportunities of keeping the nonprofit board involved and aware of what is going on in their not-for-profit organization. It struck me that many organizations are only scratching the surface of technology when it comes to communications with the board.

Many are using e-mail to announce or confirm meetings and many are using e-mail for critical votes that must be taken between scheduled board meetings but technology can assist organizations much more. Here are some ideas.

Sharing documents via e-mail is a great time and paper saver. You may have to purchase a scanner in order to turn documents into PDF files and provide additional training but teaching your board how to comment on documents by inserting comments into the PDF document and “replying to all” may be a way to facilitate understanding and reduce the time required at the meeting to discuss the item.

You might also consider creating a section of your web site which is accessible only to Board members. This provides you with an even easier way to inform members and archive the information so that members can check back whenever they feel the need to double check something in the past.

Prior board minutes, certain policies such as the conflict of interest policy, board meeting attendance policy, etc., could also be available on the internet portal as well as the by-laws and other documents one has an occasional need to refer to but which are seldom easily available when needed.

I’ve been at board meetings where certain staff were presenting an education session for the board about one of the organization’s programs or services. This is very important and helpful information for Board members. An alternative and perhaps better way of providing board members with this information may be in the form of a webinar which a board member can watch at their convenience from wherever they like. In addition this information would be continually available and possibly find uses in other areas.

CEOs might want to consider starting a blog to continually communicate with the Board. Comments and thoughts of the readers would be instantly shared among all board members.

If you would like to discuss ways technology can help your board or would like assistance implementing your ideas, please feel free to contact me. We have a technology arm of KLR that can help you achieve whatever your goals may be.

By Frank Monti, CPA
Not For Profit Group

Labels: Board, CPA, efficiency, KLR, Monti, Nonprofit, Technology