TEE 0.00% 10.0¢ top end energy limited

restructure started at tee, page-7

  1. 617 Posts.
    both of you are a little wrong.

    the costs of contractors is much cheaper than the costs of internally managing them, with RDO, vans, equipment etc- unless they are 100% utlised they are a cost that keeps ticking away. The revenue from cabling and install is not as much as maintenance- of which most is done remotely.
    it's the workforce out there that if they aren't getting the sales in is costing more than the deal is worth just to hang on.


    The overheads of TEE are too large- drop those in half and it makes the company that much more easier to manage in times of slow sales- pick up sales and you don't have to recruit new peiople- you just pass the jobs out to the copntractor list. sure you lose margin, but what you gain is a fixed margin per deal, instead of variable margin depending on utlisation of staff.

    i worked in a telco company many years back- we did the same- and it actually made our bottom line improve and makes the company more sales focused as you can spend the staff dollars on sales reps instead of support personal, also letting those contractors do their own business for multiple clients as well.

    I'm interetsed to see what the savings are per month...that's the biggie
 
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