• Authors
  • Keith N. Cleland

Table of contents

  1. Front Matter
    Pages i-xvi
  2. Keith N. Cleland
    Pages 25-32
  3. Keith N. Cleland
    Pages 49-54
  4. Keith N. Cleland
    Pages 55-62
  5. Keith N. Cleland
    Pages 63-68
  6. Keith N. Cleland
    Pages 75-82
  7. Keith N. Cleland
    Pages 83-90
  8. Keith N. Cleland
    Pages 121-126
  9. Keith N. Cleland
    Pages 135-140
  10. Keith N. Cleland
    Pages 141-148
  11. Keith N. Cleland
    Pages 155-162
  12. Keith N. Cleland
    Pages 165-192
  13. Keith N. Cleland
    Pages 193-203
  14. Keith N. Cleland
    Pages 205-206
  15. Keith N. Cleland
    Pages 207-208
  16. Keith N. Cleland
    Pages 209-211
  17. Keith N. Cleland
    Pages 214-215
  18. Back Matter
    Pages 217-221

About this book


Business of all sizes have a problem: How do you know—in real time—whether you are earning the profit you need to grow or even just stay in business? And which products or services are doing the “heavy lifting” in contributing to profit? Financial statements tell only part of the story. They are backward looking, for one thing, and they generally show results only in the aggregate. Worse, they never seem to reflect the hard work you’re doing on a daily basis. As one manager said, “If I’m adding 25% profit to every job, why am I getting barely 5% net profit at the end of the year?”

Improving Profit: Using Contribution Metrics to Boost the Bottom Line solves this dilemma. As this book shows, Contribution-Based Activity (CBA) measures focus on two key levers that are fundamental to the operation of any business: financial contribution and units of activity. Knowing how to use these levers gets your company off the treadmill and on your way to stellar profitability. And as the 21 case studies show, CBA is surprisingly easy to apply to businesses of all types and all sizes.

What is “financial contribution”? Simply the amount above and beyond the cost of goods or materials sold that contributes to covering overhead and creating profit. As entrepreneur, business consultant, and professor Keith Cleland shows, few managers actually know the financial contribution their products and services make, nor how to amplify that contribution by  incremental adjustments to one or both levers. As you’ll learn, the financial tool Cleland created, TARI (Target Average Rate Index), provides insight into each product’s value. You’ll not only learn which products are contributing the most to the bottom line, but how to unlock the profit potential in run-of-the-mill products or services. Improving Profit will help you:

  • Restore and boost profit levels for your entire operation
  • Relate your daily efforts to a transaction's actual profitability
  • Focus on the two key performance indicators that can help you identify and solve problems affecting finance and productivity
  • Help everyone in the company—from CEO to janitor—understand how their activities help or hinder the company’s fortunes
  • Make effective financial decisions

If you’ve ever wondered why your results don’t match your hard work, hopes, and dreams, read this book. As the case studies make clear, identifying and applying TARI results in a significant—and often dramatic—boost to the bottom-line.  

Bibliographic information