Hasty Decisions are rarely ProductiveDuring a depressed economic climate, many business owners panic and often react by eliminating positions, merging job duties, decreasing wages or reducing hours. Often, these decisions are made in haste and the long lasting effect of those decisions can be detrimental. While, in certain circumstances, this strategy may be necessary, it should be a last resort rather than a defensive maneuver.
Merging Job Responsibilities and multi-tasking can cost your business $$$$In a misguided attempt to cut costs, merging job responsibilities has become common practice. It is imperative that businesses recognize and analyze the benefits of certain skill sets, experience and productivity before implementing such drastic cost cutting measures.
Outwardly, multi-tasking may appear to be the most cost effective solution; yet, the reality of which, may negatively and sometimes, irrevocably affect the fiscal health of the business. Many times business owners review revenues and compare costs, but fail to acknowledge and understand job description roles. Employees bring with them distinct and respective talents that may or may not be listed under a computer generated “job description” list. Suffice it to say that all jobs are not interchangeable!
Your Employees are your Best Resource for IdeasBusiness Owners should be visible, approachable and open to suggestions. The value of dedicated employees cannot be underestimated; they are your best, in-house resource for ideas and improvements. In today’s business environment, a successful business owner must invest valuable time cultivating and maintaining business relationships with peers, staff and clients.
Before you cut jobs to cut costs...THINK!
While it’s true that many businesses are reeling from the negative impact of a depressed economy, it is important to be mindful of long term ramifications that can result from a hasty decision. Yes, businesses must review cost versus revenue; however, eliminating staff or merging job responsibilities may not be the best answer.
A Proactive Approach is Always Best
It is imperative that all factors and options be carefully weighed.
Finally, ask yourself this question, “Will the solution I am proposing address this situation from a proactive approach or a reactive state”? If the response is the latter, more evaluation time is required.