Now, more than ever, businesses need to tighten up expenses to ensure longevity and sustainability. There are plenty of actions that you can take to ensure you "check under every stone" to find expense savings and improve the bottom line. While the actions we listed may not be all-inclusive, they are worthy of review and consideration to make a genuine impact.
Scrutinize Your P&L
You have heard the expression “death by a thousand cuts?” This is what can literally happen when you don’t conduct frequent P&L reviews. What expenses can you immediately make an impact on or what can you truly do without? Expense review and management should have a routine attached to it so that it’s always being analyzed. You can also have a professional consultant review your financial statements and make recommendations to help you manage costs out of your business.
Negotiate!
Whether it’s an expense, a supply, or the cost of goods, it’s time to go back and negotiate. Many times, businesses get in a comfort zone with the way things are operating, but you always need a routine for negotiation. Particularly as your business expands, you have to leverage scale to drive down costs. We are always looking for ways to reduce expenses; negotiating with vendors, suppliers, and manufactures are just one other way to help manage business costs.
Improve Efficiencies
When a business operates inefficiently, it can dramatically impact costs and expenses each year. And it’s not just a production or manufacturing business that we are talking about; it could be simply wasted time in an office. By understanding business efficiency and the strategies for improving it, you can help your organization waste less effort and time, allowing reduced expenditures and costs. Let Envisicore walk you through some strategies to help improve your business efficiencies.
Consolidate Your Business Focus
Over time, we can all experience over expanding our business, even if it was unintentional. Consolidating your business focus is one of the most effective strategies to improving your bottom line. Think about the services that are unproductive, or perhaps a product that is not producing the revenue results you expect. By limiting the types of products and/or services you offer, the more productive you will be and will produce a higher-quality outcome and cost reduction.
Embrace & Leverage Virtual
We understand, it’s Zoom fatigue right now, but it’s also the new way of life…might as well embrace and leverage it. Research suggests that virtual and other types of flexible work arrangements have positive implications for employee morale and job satisfaction, both of which are positively correlated with productivity. Going virtual also directly impacts business’ bottom line by reducing space required, utilities, travel, time, and more. Our recommendation is to embrace this new world to help evolve and shape so that it’s taken to the next level.
Review Your Marketing Spend
When was the last time you evaluated your marketing spend versus results? There are so many companies and solutions available, that it is smart business to ensure you are always reevaluating your marketing spend. This effort includes all marketing, such as traditional platforms, social media, online platforms, events, and more. Speaking of social media, remember that social media marketing, including free posts and tweets, costs nothing but your time and labor needed to produce it. Inquire with Envisicore today. We are able to provide social media marketing efforts with inexpensive, value-driven solutions.
Reduce Your Physical Space
Do you need all of the physical space you own today? The world has changed since the impact of the pandemic and the need for physical space has reduced over time. Especially if your business is an office-based company where many decisions have been made to allow teams to continue working remotely. Consider subleasing some of your extra space that you may not need if allow your team to work remotely. Additionally, review your future workspace needs to determine if it truly needs expand as your business grows, or can you make do with what you have?
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