How You Can Drive Business Growth During a Recession

I encountered an article earlier that talks about “How You Can Drive Business Growth During a Recession” and here are some of it:

Your Guide to Surviving the Toughest Economic Times

Uncertainty can make it difficult for any company to take risks and grow. In fact, most organisations do the opposite: they reduce expenses and try to cut costs where they can. Except, that’s not the best solution. You can only squeese a lemon so dry, after all.

The solution to making sure you can survive whatever the market (or the world) throws your way is to rethink how you do business. With leaner systems, automated processes, and a new mindset toward cost reduction, you can make your business "recession-proof."

Traditional Ways of Budget Cutting Aren’t Enough

Most businesses rush to draw up a game plan for?how to cut costs?when the market shifts. But rushing to cut costs opens your company up to missed opportunities.

The first things to go are non-essential travel, unused subscriptions, and unnecessary services. Marketing, vehicle expenses, and staffing are other expenses that businesses quickly reduce to pad their cash flow right.

Problems Facing Businesses During a Recession

Any time the market hints at a sign of recession, budgets tighten. People grow more cautious of their spending. Revenue stalls. Executives fail to hit their marks. And everyone turns to cost-cutting measures with the hopes that trimming back a few expenses will save them until the next boom.

The truth is that while you need to identify and eliminate waste, cost-cutting alone won't get your business through a recession. In fact, most businesses overly on it. As a result, they end up doing more damage.

Still, cost-cutting is important. And it should be your first point of action if you feel that your bottom line is at risk in the future. These are a few of the major budget drainers:

Strategies to Grow During an Economic Recession

When consumers lose confidence in the stability of their future, it reflects in their purchases. Businesses are no different. People will be cautious and careful, at least at first.

The key to increasing efficiency and growing during tough economic times is to turn your business into a recession-proof machine.

Use Readily Available Dashboards to Access Intelligent Data

Data is more vital than ever in a recession. You need up-to-date, accurate details on your customer, market, and vendors at all times. And you need it in real-time.

With that kind of transparency, you can make the strategic decisions necessary to deliver on your customer’s precise demands and evolve your business beyond your competition’s reach.

Embrace Effective Communication

Clear communication is vital, not only between departments but also across departments as well. You need to establish clear systems of communication that prevent redundancies, miscommunications and forgotten or lost tasks.

Develop Stable and Reasonable Processes for Business Continuity Your business needs to be agile. If one thing has been more apparent now than ever, it’s the need for your business to have the ability to sidestep unpredictable events.

That means embracing systems and processes that keep your business going while ensuring the safety of employees in ANY situation:

Video Conferencing: Teams achieve success through communication. Emails and chats only get you so far. You need an accessible way to keep the collaboration going at all levels without pause.

Cloud-Based Data: On-premise systems force your employees to be on-site. Without mobility, your business can easily be locked down by unpredictable events. Relying on the cloud means that your staff can access mission-critical information on the go.

Enforce Efficacy: Your team needs to feel empowered to take action. Any slowdowns during periods of uncertainty cause exponential drag. Your employees need access to the tools needed to complete tasks without barriers slowing them down.

Incorporate a Decision Matrix

You need a simple way to delegate decisions between the executive, management, and IC level. With?a decision matrix, you can make that happen efficiently.

This increases your employee buy-in and accountability. However, it also allows your employees to finish more tasks without the fear of micromanagement.

Want to know more? Head on over to the full article here for more ideas and perspective. Afterwards, why not drop me an email to share your thoughts at [email protected]; or call me on 0467 749 378.

Thanks,

Robert