|
The Cost of Disconnection
The Cost of Disconnection
Leaders who set new direction in a vacuum miss out on the input, vision and creativity of their teams and risk demoralizing talented people and missed opportunities with clients.
The CEO did things his way and watched gross margin decline by 25%.
Once he included his leadership team in the planning and the vision, they turned the losses around in six short months.
In this $20 million company, losing 25% in gross margin resulted in a $400,000 drop in their bottom line.
By recognizing the problem and investing in the solution, the gross margin returned to earlier levels.
|
Process |
Cost |
|
Gross Margin for 6 months |
$ 400 K |
|

|
Strategic Planning Session Leadership Development for 15 Productivity Loss for Participants
|
$ 12 K $ 22.5 K $ 15 K
|
Run the numbers --
|
(Gross Margin Change - Rx Cost) |
* 100 |
= |
ESTIMATED |
|
Rx Cost |
|
|
ROI |
|
|
|
|
|
$400K- $49.5K |
* 100 |
= |
708% |
|
$49.5K |
|
|
|
Read the Case Study: Why Isn't Your Team as Enthusiastic as You Are?
Take the PowerStep
|