How to get a company out of crisis
Video: I Asked Bill Gates What's The Next Crisis? 2024, July
A crisis can occur for many reasons. For example, due to general market instability, poor management, or a wrong development strategy. Of course, the problem is much easier to prevent than to deal with its consequences. But it happens that any actions of the managerial staff cannot prevent a crisis. And then you have to work in extremely unstable conditions.
Instruction manual
1
Reduce costs in all directions. Perform personnel cleaning. Fire employees who dishonestly do their job. Their responsibilities can be distributed among existing employees. Or hire people who will perform the same functions more efficiently. Everyone should do their job perfectly.
2
Dismiss employees whose services are not required for the company. You should not spend money on activities that are secondary to the organization. It’s not worth keeping big staff if you can get by with less staff. Many organizations have unreasonably inflated staff of accountants. If you have a similar situation, leave only a small number of conscientious employees.
3
Reduce rental costs if the premises are not your property. You can refuse some premises or talk with the owner about reducing the fee. Try to minimize utility costs and stationery.
4
Monitor competitors. Perhaps they have changed prices or expanded the area of activity. Analyze how much you need these changes. Introduce rational changes in the work of the company.
5
Expand your business. Think about what additional products or services you can offer the consumer. Analyze the level of costs and planned revenues. If the change pays off soon, enter it.
6
If you produce any goods, reduce the cost of packaging them. For example, cheaper materials can be used.
7
Boost sales. This can be achieved by changing the motivation system of the department of trade. Increase the percentage that each manager receives from the transaction, and reduce their salary. Supervise the sales team.
8
Increase your advertising costs. Look for new opportunities to increase the recognition of your product. Be sure to promote your site in various search engines.
note
Monitor debt repayment. Regular cash injections can help you survive the crisis.
Useful advice
Develop a reward system for regular customers. It’s much easier to keep a customer than to search for a new one.
