"Prevention is the only way to avoid loss."
Joseph A. Dear, OSHA
Introduction
Elements
Lemonade StandThousands of workers die each year, and many more suffer injuries or illness due to work related work conditions. But not very often do owners or managers hear about these issues. For this reason, many owners and managers do not understand why there is controversy about job safety, health standards, inspections, citations, etc.
However, the reason for these standards is prevention. Prevention is the only way to avoid loss. By having successful safety and health activity, it will enable the business to avoid any possible losses in the future.
Many people confuse the idea of "accidents" with the notion of Acts of God. The owner or manager of a small business cannot prevent floods and tornadoes, yet workplace accidents can be prevented. However, floods and tornadoes can be anticipated and prepared for, thus you must have a plan to prevent accidents.
It is not a difficult task to develop such a plan. Basically, you only need to concern yourself with those types of accidents and health hazard exposures in which could happen in your workplace.
Four basic elements that are found in a good accident prevention program(OSHA):
1. The manager or management team leads the way, especially by setting policy, assigning and supporting responsibility, setting an example, and involving employees.
2. The worksite is continually analyzed to identify all hazards and potential hazards.
3. Methods for preventing or controlling existing or potential are put into place and maintained.
4. Managers, supervisors, and employees are trained to understand and deal with worksite hazards.
This approach usually does not involve large costs. Especially in smaller businesses, it generally does not require additional employees. Usually it can be integrated into your other business functions with modest effort on your part.
The boy working in "Open for Business" is painting the price for a glass of the groups lemonade. There probably was not many scientific pricing techniques involved in deciding on a price. If he were to find an optimum price he would incorporate some of the pricing techniques listed above. He could calculate production costs and put a mark-up on top of that figure or simply ask frequent customers. If the entrepreneurs truly want to make a profit they need to calculate the right price for their product.