Why now is the ideal time for businesses to take a step back
Businesses around the world are facing – and for some time have been facing – breaking point. Companies that were operating to fine margins prior to the COVID-19 pandemic rearing its head are now wondering if they will ever be able to get back to where they once were, while many firms that were contemplating growing or diversifying are now having to take stock.
It has been said on countless occasions, but it deserves to be said again: we are living through unprecedented times. Economies around the world are struggling, and long-term recovery plans, though being put in place, are liable to be modified and remedied countless times over the coming months.
While the pandemic has left many confused and scared, it has also given business leaders and company owners the chance to reassess, and allowed them to change direction, alter targets and streamline approaches where necessary.
2020 has been a difficult year for everyone, yet for many entrepreneurs and company directors, it could well have enabled them to set out plans that will lead to greater success in the years to come. So, if you are a business owner, what should you be thinking about?
Contemplate Costs
Regardless of the plans you had for your business prior to the pandemic, it’s incredibly likely that they will now have been thrown out of the window. All companies have, to some extent, had to completely alter their approaches and ambitions, and the first consideration that tends to be contemplated is costs.
Whether it be negotiating on rent fees for office space, sorting out contacts that are in place with suppliers, or considering whether marketing and advertising efforts need to be streamlined somewhat, every single outgoing should be assessed to ensure that no money is being spent unnecessarily.
Seeking ways to reduce costs has never been more essential to guarantee business survival.
Enhance Levels of Communication
Something that can often be overlooked when it comes to restructuring a business or altering approaches is that communication is absolutely key. Whether it be chatting with employees to let them know what is going on, or letting customers know about any changes that are liable to impact them, it is absolutely critical to be as open, honest and informative as possible.
Here at Woodville, we aren’t just accountants. We can advise and help you make plans for your business that help it grow in the most difficult of environments. Get in touch to see how we can help you.
Not only will this showcase that your business is very willing to be transparent, but it will also make people more aware of what your company is doing and planning to do, which could ultimately help to bring in more customers in both the short and long-term.
Assess Staffing Needs
One of the toughest things that many businesses have had to do during the pandemic is making employees redundant. With most businesses having to completely alter what they do, and likely reducing their output, losing employees is, unfortunately, unavoidable in a bid to minimise outgoings while also keeping the operation running smoothly.
Leadership is absolutely vital during times of difficulty, and this is really where business owners and directors will have to step up to the plate and make those difficult decisions. By reassessing your business’ goals, objectives and requirements for the next few months (at the very least) you will be able to better understand which roles are necessary and which aren’t. Communication is vital here; you need to make the employees fully aware of the situation, why certain decisions are being made, and also make them aware that you will offer them support – if required – to ensure they are able to get another job.
It might sound quite clinical, but the pandemic could also give businesses a chance to fully analyse their current hiring processes, and then put in place the best practices to ensure that, when the time comes to bring new people into the team, they fit the culture, have the right attitude and will be able to add value to the overall business proposition.
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