Happy New Year, we hope to be a part of helping you make 2014 a successful year!
One of our goals in 2014 is to ensure we provide valuable, helpful and timely information regarding test equipment and measurments instruments that will help you succeed. So please - take the time to provide feedback in our comments section at the bottom of each blog; let us know your questions, your needs and how we can help.
In 2013 we shared a lot of information to help you improve your bottom line with the right instrument to improve your production and product quality. At Kett, we are constantly assessing how our products affect your profits, we know that we are dealing with quantitative professionals. Individuals who seek data to determine the best moisture at which to harvest grains hold the same attitude when it comes to measuring the returns on their investments.
Take Advantage of Opportunities
The attitude of any researcher seeking to optimize a result must both reflect on past mistakes and look forward to future goals. We mentioned Section 179 in a previous blog, a key tax break for those in the manufacturing industry that allowed businesses to take up to a $500,000 deduction on purchases made in 2013. In 2014, the tax break still allows for a deduction on the entire cost of new property, but at only a fraction of that offered in 2013, at $25,000 total.
Perhaps your company didn’t have the budget to update in 2013, or perhaps you are only hearing about the Section 179 deduction limit now. If your company didn’t take advantage of the full Section 179 tax deduction in 2013, there are always valuable lessons to be learned from a missed opportunity. At the rate technology is improving within the manufacturing and agricultural industry, it’s impossible to keep up with all the opportunities available to a growing company. This fact is why it’s crucial to learn from the past when looking forward. It’s never too late for a fresh start!
So, as you reflect on your year end reviews, what are your 2014 company’s resolutions? In other words, what missed opportunities will you grab ahold of in the coming year?
Understand The Real Costs
We’ve spoken to hundreds of customers who have the same goal: waste less, optimize more. Whether it’s money, time, human resources, goods or space, our customers are constantly striving for efficiency. Whereas a year end review reveals hard numbers and financial goals for the future, annual internal audits can help point the way to new opportunities to meet those goals. However, in order for an audit to be effective, you must be looking in the right place.
Shockingly, most manufacturers don’t even consider what their broken, out-of-date, mis-used or defective test equipment is costing them annually. Operating with a moisture meter that’s inaccurate even by 1% can cost up to15 cents/bushel at current commodity prices. If you’re dealing in lumber, you could be losing hundreds of thousands of dollars in selling wood that’s overly rich in moisture, even damaging your goods. Sometimes, issues of inaccuracy can be cleared up with some simple maintenance or further operator instructions. However, purchasing an updated moisture meter may be the only option. In 2014 this may also ring true when it comes to meeting new USDA/GIPSA Unified Grain Moisture Algorithm (UGMA)-based technology standards.
New test equipment can open unique new possibilities for savings in some unexpected places. Operator costs are reduced with a grain moisture analyzer, moisture meter or other piece of test equipment that is simple-to-use, requires no sample preparation, provides instant readings and offers fast cleanup. Less time and money spent on operators and prep supplies means more funds can be channeled to R&D, resulting in more efficient overall operations.. Our portable test instrumentation saves valuable space, as do many of our small desktop models (like our composition analyzer) that can be used for more efficient laboratory utilization.
Your Next Step
Opportunities to save money and increase profits are plentiful, you just have to know where to look. Whether consulting your accountant, lawyer or internal budget department, keep your resolutions in mind this year. Not sure where to start? We’ve always got industry experts on hand to help you identify the best ways to maximize your opportunities in 2014. Contact us directly here.