Complete Story
06/10/2014
Sales vs. Expenses: The On-Going Civil War
By Dr. Albert Bates, president, Profit Planning Group
One of the never-ending challenges in improving profitability is the great deal of uncertainty within many firms as to what sorts of actions should receive the most attention. This uncertainty is seen most clearly in trying to determine the relative importance of sales growth versus expense management.
The sales versus expense issue is exacerbated by the fact that sales growth has great public relations while expense control has the world’s worst PR. For most managers, sales growth is what is right and good, while expense control is considered inherently evil, at least until sales start to fall.
