The cost when systems don't work!

Jun 06, 2021
 

Okay, thanks for tuning in.

For today's episode, I want to talk to you about the cost that happens to businesses when systems don't work.

So yesterday, if you join me, you remember that we had a look at the driveway that was being put in at my house.

Now, about 1 pm, I get a call from DJI.

And he's like, man, I've got some bad news.

I'm like, Hey, what's going on? And He said, Well, they've given us cold, asphalt, and my what he's like, yeah, it's meant to come hot.

And then I tip it in the machine.

And then it runs out smoothly.

But the batch that we got, which is the first time that this has ever happened, was cold like it was still warm.

But it was cold enough that as it got spread, it dragged and put holes basically in the drive.

So let's go have a look.

And check out what this is looking like at the moment.

So you can see down the bottom here, the machine.

And Joe came and talked to me ran me through and he's like, may basically borrow who they got the asphalt from, had put in a new, a new system.

Alright, so there it is.

So you can see that is not how it looked this morning.

But now that it's looking good, it's actually working really well they that is, you can actually see the steam coming off it.

Which suggests that this is hot, asphalt.

It's pretty good.

That's the machine down there.

Now that thing has a bunch of burners on the back.

So that it dumps in asphalt and keeps it hot.

So when it gets laid, it actually is hot enough to come out in this nice, smooth driveway.

Now the advantage of me out of all of this is that basically, it's about 30 Well, two centimeters higher, maybe an inch higher than it would have been.

But it's also created a very firm base.

So I'm open this road lasts a long time.

Let's come back in and talk about what's going on here.

what the consequences are.

All right.

So Jai calls up barleys like, mate, you've given us cold asphalt.

And they like yeah, we know.

Now that asphalt itself was around $3,000 worth.

So Baro said Yeah, right.

We are going to reimburse you for the new asphalt today.

So that's why they're back here today because they got new asphalt.

Three grand hits to borrow, look borrows the listed company on the Australian market.

It's not a big deal for them, perhaps, except that it's likely that all of the asphalt that went out of that plant yesterday suffered similarly.

So they may take a hit big time.

Because someone didn't have the systems on point.

Now Jai He himself, he's like, Man, I just I got three, I got a whole crew here.

This is like a $3,000 day for me in the team.

And he's like Barros, not going to reimburse that I'm like, man, and he's like, You know what, I just gotta, I gotta accept it.

And I'm going to move on with my business.

But He essentially had to take a $3,000 hit in running his team for that day.

because Baarle didn't have their systems on point.

So this is the impact that there are consequences on the business itself, in this case, borrow, and then there are consequences on the Downstream businesses Gize business, so it sucks.

He didn't have any control over this.

He's like, trusting that the company Baro would have the game on point, but they didn't.

So He just had to wear it.

It's like, Man, I'm sorry.

But I can tell that the quality is substantially higher.

Like yesterday.

I'm like, they're meant to be gaps occurring in that road.

And he's like, Nah, man, that's not meant to happen.

That's not meant to happen.

They just gave us cold asphalt.

Like oh, okay, it's like it's never happened before and his actual choice was I'll never use borrow again.

Like whoa, okay, there you go.

You know, like there is another cost not only did borrow lose the 3000 but jazz like I'm never going to use them again.

They can't manage this stuff in borrows been around a long time listed company.

They should have this stuff on point.

But it wasn't.

So have a think about in your business where your inability to be on point with your systems has cost you and have a think about the consequences that has happened on your clients.

We're not asking for perfection like this isn't a game of perfection, but it is to be aware of the consequences.

And that if there are serious consequences, then serious amounts of attention should be applied to that particular system.

That's all I got for you today.

If you want to grab some help with your systemization in your business, head over to www.systemio.dev pop in your name and email what's the training there, I look forward to talking to you about the challenges that you are having in systemization.

And I look forward also to seeing you in tomorrow's episode as we continue this journey into the power of systems and processes in leveraging your business for higher sales, profitability, and ultimately, freedom for you.

See you then.

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Even if you have NO IDEA HOW TO RUN SYSTEMS right now!
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