Transportation Business Management Growing the Business
Workshop Outcomes • Read and Interpret your own financial statements • Analyze budget and profit and loss statements for profitability • Complete a SWOT analysis and plan for future directions • Identify specific operational options for greater fuel efficiency • Implement environmental controls • Apply business ethics • Identify labor laws and minimize legal exposure and create a checklist for your own organization • Implement time management techniques • Optimize your IT system • Optimize your electronic systems and communications • Identify components of workplace safety and wellness (unique to the transportation industry) • Build a business plan • Implement effective pricing and costing strategies
Agenda Day One • Welcome and Class Overview • Day Review
Agenda Day Two • Welcome Back • Day Review
Agenda Day Three • Welcome Back • Day Review
Kicking Things Off • Who are you? • Who do you work for and what do you do? • Why are you here? • What do you want from the class? • What will you contribute to the learning process?
Business Utopia • Take a few minutes to brainstorm what you think it takes to be an effective business.
Looking at Your Own Organization • S • W • O • T
SWOT Analysis • What strengths would you like to continue to see your company focusing on going forward? • What specific weaknesses do you believe the company should begin working on immediately? What ideas would you implement? • What opportunities would you like to take advantage of in the next year? How might you go about making these come to life? • What threats should you work on managing in the next year and how would you work on this?
Financial Statement Analysis • Accounts Payable • Accounts Receivable • Accrual Accounting • Assets • Balance Sheet • Cash Flow • Depreciation • Fixed Assets • Income Statement • Inventories • Liabilities • Capital Budget • Capital Projects • Operating Budget
Financial Statement Analysis Review Cont. • Fixed Costs • Gross Margin • Gross Margin Percent • Operating Income • Net Income • Operating Expenses • Debt to Equity • Earnings Per Share • Return on Equity • Return on Invested Capital (ROIC) • Return on Investment (ROI) • Inventory Turnover • Shareholder’s Equity • Return on Assets
Read Your Financial Statement • Allows Develop a 1 minute presentation that you would share with another employee. The presentation would help the employee understand your financial statement in easy terms. Use the space below to plan your presentation.
Budget Scenario • Asking You are the manager of trucking company with approximately 100 employees. The past year has been challenging for you and your team. You have experienced a hiring freeze which meant you did not get to fill 3 positions you desperately needed to run the company effectively. • Your boss (the owner) has just informed you that there are several major initiatives rolling out in the next year and your budget situation will be impacted. You have been asked to reduce discretionary spending elements of your budget by 10% this next year. This seems nearly impossible for you since you already feel as if you do a good job of managing your expenses. Last year, you trimmed your budget by 6% and kept expenses to a minimum. • This year is like many of the other years. You don’t have as many jobs as compared to last year and you are down a few drivers. You are also now running another department and need to come up with more ideas for process efficiencies. • In the end, your Total Operating Expenses will need to decrease.
Scenario Questions • How is your business unit tracking to their actual expected YTD compared to the forecast? • What discretionary expense areas do you specifically have control over? • What types of forecast alterations should you make in order to reach the 10% reallocation (effectiveness changes, etc.)? • How would these changes affect employees? If negative, how would you position the communication with employees so they understand why you are making these budget changes? • How will these budget changes impact other parts of the company? • How will these budget changes impact the company’s Shareholder Value?
Fuel Efficiency Operational Efforts • What are you currently doing to effectively manage your Operational Fuel Options?
Pricing and Costing Actions • What areas do you need to effectively price and cost in your company? • How do you currently ensure you are getting the best price possible for your goods and that you are bidding the best price for the job? • How can you be more effective in this process?
Environmental Controls • asfasfsdafs
Business Ethics • Ethics is defined as: • Ethos (Greek), “custom”, “usage”, or “character”, science of the ideal human character or moral duty • Dr. Albert Sweitzer defines it as: • “…the name we give to our concern for good behavior. We feel an obligation to consider not only our own personal well-being, but also that of others and of human society as a whole.”
Your Ethics Plan • Key behaviors to focus on for the company • Steps to ensure these behaviors are integrated and educated throughout the company • Steps to ensure there is follow-up and accountability built into the company
Documentation • Apart from following the company's performance review process, documenting various conversations with employees is necessary because it may impact the type of discipline you administer, including whether to terminate employment.
Documentation Tips • Document "performance and conduct" conversations on the same day that the conversation takes place. • All documentation of conversations with employees should include the date of the conversation, your name and title, and the employee's name and title. • Do not abbreviate, editorialize, or characterize in your written record. • Always include the "take away" from the meeting in your notes. • Make notes regardless of whether the conversation is considered a formal action (i.e., verbal counseling, etc.) under your company's discipline policies.
Documentation Tips Continued • If you write your notes in a document on the computer, do not maintain them on a shared drive. • Do not manage employees through e-mail! • Follow your company's policy regarding which documents should be included in the official personnel file and which should be in your manager's file. • Be sure you do not keep notes of conversations with employees about private matters
Objective and Subjective Criteria • Always hire/promote the most qualified candidate • Use objective criteria to guide your decisions such as merit, performance, and job qualifications • Apply all policies consistently • Avoid assumptions about an employee’s abilities, career goals, or intentions • Address concerns of discrimination separately from performance issues • Avoid banter and related conduct
Workplace Discrimination • Title VII of the Civil Rights Act of 1964 is the cornerstone of the federal laws that prohibit discrimination in the workplace. • This law prevents discrimination or harassment of employees because of race, color, religion, sex (including pregnancy), or national origin. Oregon law also includes gender and sexual orientation. Title VII also prohibits employers from retaliating against employees who have raised a complaint or filed a claim of employment discrimination.
Labor Laws • Family medical leave act (FMLA) • Equal pay act of 1963 • Older workers benefit protection act • Religious discrimination • American with disabilities act • Glass ceiling • Age discrimination act • Pregnancy discrimination act • Race discrimination • Fair labor standards act
Minimizing the Risk • Guard your words and actions • Investigate and document • Get help when you are involved in an issue • Be consistent and professional • Avoid unnecessary litigation
Your Legal Checklist • Minimize legal risks to your company • Identify actions to implement to prevent legal exposure and situations • Create educational processes to ensure all employees work towards this goal
Typical Operational Styles • Jumper • Perfectionist • Skimmer • Indecisive • Procrastinator • In-Sight • Out-of-Sight • The Piler • Pack Rat • Classic Slob
Managing Your Desktop • Get organized • Touch it once • Adopt a constant companion • Reroute • Respond • Read • Recycle • Strip, clip and flip!
Time Management Matrix • Urgent • Not Urgent • Important • Not Important
Time Bandits • WHO ARE THE TIME BANDITS? THEY ARE THOSE MISCHIEVOUS SPIRITS WHO SHACKLE US TO OUR CLOCKS, MISPLACE OUR CAR KEYS, AND DOUBLE-BOOK OUR MEETINGS EACH DAY. TIME BANDITS SLYLY STEAL OUR PRECIOUS MOMENTS BY IMPOSING OBSOLETE RULES THAT NEED A NEW TWIST TO FIT OUR RAPIDLY CHANGING WORLD. THEIR GREATEST PLEASURE IS TO STEAL OUR TIME AND ENERGY, THEN GLEEFULLY WATCH US RUSH THROUGH LIFE IN A FRANTIC ATTEMPT TO CATCH UP. IF THEY COULD, THEY WOULD REMOVE ALL OF THE JOY AND SPONTANEITY FROM OUR LIVES. TIME BANDITS OPERATE IN THE DARK; WE DO NOT SEE OR RECOGNIZE THEM AS THEY UNDERMINE OUR EFFORTS TO BE CREATIVE AND PRODUCTIVE. BUT ONCE THEY ARE BROUGHT OUT INTO THE LIGHT OF DAY, THEY QUICKLY LOSE THEIR POWER OVER US AND CAN BE DISCOVERED AND ARRESTED. • Ann McGee-Cooper
Alignment • Write down the vision for your organization. • List at least three of your major goals and objectives. • What are your core responsibilities/deliverables to external and internal customers? • How do you align your daily/weekly/monthly activities to support the vision/mission and objectives? • Identifying your areas of professional development and skill improvement. • How much time are you devoting to your development on a monthly basis?
Prioritization • Do it now! • Do it today! • Do it this week! • Do it in the next few weeks!
How to Say NO! • Helping others see things your • No to more work • No to Colleagues and Coworkers • No to unwanted overtime and unwelcome business travel • No to clients and customers • No to the Boss • No to unreasonable demands • No to time wasters • No to impossible assignments • No to bad ideas
Optimizing Your IT System • What are you currently doing to effectively manage these systems? • What can and should you do to enhance the effectiveness of these systems? • How will these changes improve the business?
Workplace Safety and Wellness • List the actions you are currently taking as it relates to workplace safety and wellness. • What should you be doing? • How can you effectively manage and implement a world class workplace safety and wellness program?
Building a Business Plan • Actions • Process • Timeframes • Owner • Costs
Workshop Closure Assessment(s) Feedback Evaluations