Shortsighting the shortsighted

This was pulled from the March 2009 issue of CFO Mag (CFO.com)

Don’t Be Shortsighted

I agree that focusing on improving revenue is the surest way to maintain viability during tough times (“And in This Corner, the Price-Fighter,” December 2008). Let a third-party expert cut your expenses on a true gain-sharing model. Our expense-reduction business is up significantly, but companies should continuously be reviewing expenses for opportunities to cut costs. So much focus on cutting travel expenses and head count is shortsighted at best.

Patrick Driscoll
Director
Expense Reduction Analysts
Northbrook, Illinois

With all due respect to Mr. Driscoll, it’s statements such as these that give the beancounters a bad name. Yes, expenses should be continuously reviewed. However, the primary objective should be to maximize value to the guest (i.e., customer).  A savings today that loses customers tomorrow is no savings at all.

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