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How to Work With Us

We work on a collaborative basis with clients to make their businesses more regenerative while increasing revenues, reducing costs, and maximizing profits. Contact us to brief us on your project and to schedule a time for an initial discussion.

Contact Us

Regenerative Business Ventures LLC
412 Huntfield CT NE
Leesburg, VA 20176

(703) 880-5154

info@regenerativebusinessventures.com

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Cost Reduction

Reducing expenses is usually the fastest way to increase profits and economic value added. Assuming a 40% tax rate, for every dollar of expenses eliminate, you increase profits by $0.60. Although there are “Expense Reduction” consultants (including several franchises) that operate on a shared savings basis, the reality is that these entities only generate savings in a limited number of overhead areas, mostly by switching their clients to alternative vendors, and do not address the root causes of real waste spending that usually are not even visible in accounting records:

  1. Overproduction
  2. Waiting
  3. Transportation
  4. Overprocessing
  5. Inventory
  6. Motion
  7. Making Defective Products
  8. Overburdening
  9. Uneven Production & Sales
  10. Unused (or Wasted) Talent

For agricultural businesses, most waste will come in five areas: labor, production, input costs (feed, seeds, fertilizers), energy, and inventory – not in general overhead items like telecom, office supplies, or merchant card fees. Although cost reduction starts with careful review of historical accounting records and budgets, most of the cost reduction results from implementing Lean Farming practices and changing farm management practices. Adapted from Japanese quality management practices at Toyota and other Japanese manufacturers, Lean is essentially a production system that focuses on value creation and elimination of waste that leverages both management and workers to continuously improve the business and its profitability. We take a consultative approach working with our customers to understand their business model, identify waste, and help them implement measures to reduce it. We use a variety of tools to find and eliminate waste while also making businesses more competitive. These include:

  1. 5S (Sort, Set in Order, Shine, Standardize, Sustain)
  2. Value Stream Mapping
  3. Minimizing Moves
  4. Lightening the Load (Make Every Ounce Count)
  5. Don’t Overdo – Eliminate Unneeded Washing and Packing
  6. Asking Why Five Times To Get to Root Causes
  7. Employee Mistake Proofing (Poka-yoke; employee task sheets)
  8. Shortening Cycle Times
  9. Eliminating Bottlenecks
  10. Selecting Appropriate Technologies
  11. Switching to Just-In-Time Inventories
  12. Practicing Production Control (Stop Hoarding)
  13. Replacing Low Profit Items with High Profit Items (Change Product Mix)
  14. Maximizing Fixed Costs (Increasing Asset Utilization)
  15. Leveling the Load
  16. Implementing Metrics to Measure Your Work
  17. Completing Energy Assessments to Identify Energy Efficiency and Renewable Energy Investments That Reduce Energy Costs
  18. Recommending Investments in Value-Added Processing
  19. Changing Nutrient Management & Grazing Plans to Implement Regenerative Practices to Increase Yields and Reduce Costs
  20. Implementing Holistic Management Practices & Helping You Understand Your Holistic Context

As we work with a customer, we will identify the major areas of cost and waste that need attention. If you spend $200,000 per year on feed costs and $2,000 on telecom, you want to focus your effort on eliminating the feed cost waste.