by Michael Biwer, Cavallo CEO
A CEO of a $50 million distribution firm was celebrating 10% revenue growth until a new analysis revealed that a startling 30% of its orders were actually losing money.
The culprit was a series of invisible operational mistakes, or “profit defects,” compounding with every transaction. They were scaling up losses, not profits. This is the reality most companies miss.
Every order tells a story about how a business operates. It reveals pricing discipline, customer behavior, operational efficiency and, most importantly, whether the company is making money. Most distributors see orders as mere activity. The smartest ones treat them as intelligence, and the difference between those two mindsets is enormous.
Read the full Forbes article here.
