Profit Improvement Example

The client is an $800,000,000 per year services company with approximately 2,500 employees with offices across the United States.  The objective was to install a Profit Improvement Process (PIP) and to train a core team of employees to take over further training and operation of the PIP.  This was accomplished within 6 months and the profits began to flow to the bottom line even during training.

The actual first year impact on the bottom line was over $5,000,000.  This represented an addition of over 6% pre-tax profits on gross corporate revenue of $800,000,000. 

Phenomenal success by the numbers:

249 attendees for sessions from 4 hours to 2-days.  Mostly 2 days.  About 10% of total employees.

4,777 ideas developed during training

19.2 ideas per attendee on average

$199,297 average estimated annual profit increase value per attendee

133 ideas taken to initial project phase (0.28% of the total idea pool created during training)

$373,120 average value per project proposed during training

$49,625,000 total estimated value of projects proposed during training

$110,000,000 total estimated value of projects proposed in the first 9 months

The actual first year impact on the bottom line was over $5,000,000.  This represented an addition of over 6% pre-tax profits on gross corporate revenue of $800,000,000.

Here is the training summary: