We are in uncertain times for business at the moment. The economy seems to do well one moment, at other times there is doom and gloom.
I’m not an economist, yet even I understand that despite some good signs there are fundamental economic indicators that are worrying, including interest rates, international GDP trends and unemployment. I’m a business owner just like you, and while I look after my business as best as I can, I do realise that there are things happening that is outside of my control.
However what is important is that we keep track of wider economic trends and see how they affect us, and, even more importantly, implement strategies that mitigate risk. So when I received an email last week from Sheryl, a follower of my blog, asking me what “common sense” things she should do to ensure that she was prepared for whatever might happen, I reached into my toolbox and pulled out 10 strategies that are useful in difficult times.
In over 30 years’ of consulting to business and other organisations, I have found that history often repeats itself. So why reinvent the wheel?
In this video I run through 10 business survival strategies for difficult times that are “common sense”, can be instigated now, and that I have seen work in other times of economic woe. Would you believe the first paper I wrote about these strategies was for a conference I presented to in 1987? Since then I have refined them at least three times as the world economy fluctuated over the last 28 years.
There’s no secret really – here they are again:-
- Communicate with your financiers and advisers
- Prepare realistic budgets and cash-flows
- Prepare and receive timely and accurate information
- Reduce costs – intelligently
- Watch accounts receivable – closely
- Watch inventory levels
- Reduce variable as much as possible and move towards predictability
- Balance or “match” your financial liabilities to their purpose
- Maintain profitable sales
- Use a collaborative approach to decision-making
I can’t guarantee your business won’t get into difficulties – make sure you hear me right! However if you work on these 10 strategies, at least you will be mitigating the risks and be prepared to steer it out of trouble.
Surely I’m not the only one who has seen this before? Get over to the website at https://teikoh.com and leave me a comment – what’s been your experience?
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