Medical doctors routinely emphasize the value of preventive care. Discovering a disease in its early stages usually means a much better prognosis than if it goes undetected for months or years. In the world of commercial enterprises, the same principle holds true. Small problems and seemingly insignificant difficulties can often serve as warning signs. Owners, managers, and entrepreneurs need to be on the lookout for these signs and understand how to distinguish meaningful ones so they can act accordingly. Transportation companies use sophisticated fleet management programs and systems to monitor vehicle conditions in dozens of ways to stay in compliance with FMCSA (Federal Motor Carrier Safety Administration) rules but also to keep repair costs low.
In the financial services sector, banks and brokerage firms utilize vast arrays of technology to prevent hacking attempts from becoming public relations nightmares and profit killers. Companies that sell goods online or in brick-and-mortar storefronts know the importance of nipping customer complaints in the bud. Before a small problem turns into a systemic, company-wide client relations issue, supervisors can take quick action to stop the spread of a counterproductive practice or policy. Retailing giants rely on local store managers to catch accounting, advertising, and other glitches at the local level for the same reason. The following examples from various industries reveal the value of early detection in commercial endeavors of all kinds.
Transport Fleets
Transportation companies are at the forefront of the modern prevention philosophy. Vehicle maintenance programs use sophisticated software like fleet management systems to maintain detailed records of trucks. Small, medium-sized, and large transport firms rely on the apps to report on needed repairs, inspection schedules, and the condition of onboard equipment. FMCSA requires transport owners to have systems in place that can take care of all the necessary reporting. Additionally, it’s critical for managers who oversee truck maintenance to learn everything they can about how to develop relevant checklists related to timely repairs, documentation, and other regulatory reporting requirements. While some might balk at the heavy recordkeeping burden, preventive maintenance can save owners huge sums year after year.
Financial Services
Banks and other financial services entities face some of the most detailed and onerous regulations of all for-profit companies. Not only are there numerous industry standards to adhere to, but federal and state banking and finance laws tend to cover nearly every aspect of daily operations. One benefit for banks and brokers is that sophisticated systems can alert them of hacking attempts and help resolve cyber security issues at the earliest stages.
Retailers
Businesses have been selling goods directly to the public for centuries, which is one reason the early discovery of problems is a well-respected science within the retail industry. Typical warning signs of potentially large problems include unexplained drop-offs in sales figures, an unusually high frequency of customer complaints, employee discontent, accounting irregularities, and missing inventory. If you are selling things online you will have to keep up with the digital pace of your business to avoid some of these issues. Fortunately, modern accounting software can uncover many of the common challenges, but an attentive human eye is required to spot other red flags. Two of the most pernicious dilemmas for store managers include high amounts of pilferage by short-term employees and the inability to retain talented workers for more than a few months.