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Increasing Revenue for Businesses

There is more than one way to increase profits in any business. From strengthening advertisements to changing the structure of a business. One of the best ways to increase revenue in a world where gas prices are rising daily and cars are not selling as well as they used to is to cut down on employees, and that`s just what some companies are doing. Daimler Chrysler AG announced Tuesday the company will cut 6,000 white-collar jobs, or about 20% of the administrative staff, and encourage more collaboration between divisions. The company said it would save $1.8 billion a year after this and other streamlining efforts were completed by the end of 2008. Of the white-collar cuts, 30 percent would come from the management level.

The company wouldn`t specify where the reductions will take place, but most likely will occur in the company`s German headquarters. About a quarter of the administrative staff is in Auburn Hills, the company`s U.S. headquarters and home of the Chrysler Group.The move was the first major company decision taken by Dieter Zetsche, Daimler`s new chief executive who formally replaced his predecessor J?rgen Schrempp on January 1. Since being named chairman of Daimler Chrysler last year, Zetsche`s mantra has been "more with less." He was head of the Chrysler Group from 2000 to 2005 when the division cut more than 40,000 jobs.

In September, Zetsche left Chrysler to take over the ailing Mercedes Car Group and promptly announced that 8,500 jobs would be cut. Zetsche is credited with turning around Chrysler`s fortunes in the US through job cuts and plant closures which saved $8 billion. "Our objective is to create a lean, agile structure, with streamlined processes that will unleash DaimlerChrysler`s full potential," he says.