The 80/20 Engine: Where Your Profit Actually Lives
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The 80/20 Engine: Where Your Profit Actually Lives
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Your P&L shows averages—but profit doesn’t live in averages. It lives at the intersection of a specific customer buying a specific product.
In Episode 3, Bill Canady explains how the 80/20 Engine reveals which customers and products generate your profit—and which ones quietly consume it. In a typical middle-market business, the best 20–25% of customers can produce more than 100% of total profit because the bottom of the business is operating at a loss.
You’ll learn how to:
• Organize every dollar of revenue into the Four Quads
• Identify your most profitable customers and core products
• Find the complexity draining your organization’s capacity
• Decide what to protect, develop, hold, re-price, or exit
• Run an 11-minute capacity diagnostic with your leadership team
The central lesson: occupied capacity is not available capacity. You must free it before you can redirect it toward profitable growth.