"A nickel ain't worth a dime anymore." - Yogi Berra      The Circle of Profit Planning My problem lies in reconciling my gross habits with my net income. - Errol Flynn

If, at the end of the fiscal year, your firm makes a profit equal to or greater than this target percentage, there are many other ways TMG may be of assistance to your company, but Profit Planning probably isn't one of them. If, however, you consistently fail to meet these targets, and even more crucial than this, you cannot figure out why you are not meeting them, then we encourage you to read on.

Profit Planning is the systematic evaluation of cost in order to identify and maximize profit opportunities. Mapping goals and targets for both cost and profit and measuring how well you meet them keeps your fingers on the pulse of your business.

Profit Planning will help you find intelligent answers to these and many other questions: should I take the order? Can I cut the price 10% and still make money? How much does the job really cost to produce? Who are my best customers - not by revenue, but by the amount they contribute to bottom line?

The complete system of profit planning (see the illustration) not only sets goals for earnings, it will pinpoint exactly where and by how much you either fell short or excelled. It scrutinizes each step of the order process, from estimating to job costing, and this discipline of examination by its very nature is a tool of continual improvement.