Adding Value

Use mobility to deliver value.

In the late 1980s, Avis introduced mobile technology to make renting cars easier. Using “point of contact” curb-side service, agents were able to process customers faster, avoiding unpleasant delays. Avis used mobile technology to improve the value for their customers; improving their bottom line.

Does your business have a process or service that can be mobilized? If yours is like most, you probably do. Look at your operation. Which processes or services are being limited by a lack of mobility? Which ones can benefit? Seeking answers to these questions lead not just to a better understanding of your operations, but to a fundamentally better grasp of your customers’ perception of your business.

Mobility differentiates; differentiation creates opportunities to add a greater value for your clients and customers. In these tight times, leveraging mobility can improve your bottom line results.

Saving Time

What is their time really worth?

How much is your employee’s time worth? The short answer: a lot. Considering the dramatic pressures on all of our businesses, we need to maximize every minute of their time. When they use their time inefficiently, your business loses money.

On average, a typical field service operation can see productivity gains of approximately 50 minutes per day per employee by properly employing mobile technology. Using an average salary of $18.00 per hour for an HVAC technician, a mobile solution could yield savings of $4,100 per person in the first year. Add in savings from reductions in inventory shrinkage, errors, paper use and fuel, and the total savings is compelling.

Mobile technology enables field workers to be smarter and use their time more efficiently. See how much time you can save through mobility.

Weathering the Storm

Using the Economic Stimulus Act.

If your business has plans to make investments into your IT infrastructure, you may want to consider making acquisitions before the end of 2008. The Economic Stimulus Act provides generous tax depreciation rules temporarily in place for this year.

The Stimulus Act provides maximum “Section 179” deductions up to $250,000 for tangible purchases that do not exceed $800,000. Businesses can also claim first-year bonus depreciation equal to 50% of the cost of most new equipment and software placed in service during 2008.

Mike Luxeder, CPA with Libman Goldstein Kopperman & Wolf commented, “This means an eligible business can often claim first-year write-offs for the entire acquisition cost. Unless further legislative action is taken, the Section 179 deduction will revert to about $133,000 in 2009 and the bonus depreciation will expire at year-end.”

If your business is positioned to make acquisitions, this may be a great opportunity. Make sure that you consult with your CPA or tax advisor regarding your specific circumstances.