- Assess your business’s health
In the months leading up to a recession, consumer spending and available capital can both decline, which can cause a business to feel a pinch in their budgets. This means some difficult decisions may have to be made regarding product pricing, marketing initiatives, hiring, benefits and even new launches.
- Implement change
Now that you’ve identified the trouble areas of your business, it’s time to make changes that will make your business more resilient in this (and every) economic climate. This could include: Realigning your staff or restructuring your organizational chart, Evaluating products and services to ensure the market demands continue to be met for your clients, Readjusting benchmarks and projected growth targets among others.
- Maximize your talent
When the recession puts a squeeze on your resources, including your human capital, consider how you can maximize the teams you already have in place.
This could include: Providing encouragement and reassurances to your existing leaders and staff and identifying undiscovered leaders in your organization and calling on them to step up
- Meet the needs of your employees
A recession is hard on everyone, and while it can have a damaging impact on morale, you need your employees to be more efficient and productive than ever.
You achieve this by understanding your employee’s personal needs.
Listen to your employees. If you experience recession-induced stress in the workplace, it’s likely that employees are suffering through financial, emotional or interpersonal strains at home, as well.
- Recession proof your business
Business owners who understand that recessions are normal and should be expected can prepare for them. Those who plan for all possible outcomes are best poised to survive.
Actions to take: Think long-term and conduct regular checkups.
In summary
Recessions are unavoidable, but if you plan ahead, your business can survive and grow stronger as a result.
- Regularly assess the health of your business.
- Readjust your products and services and the resources required as necessary.
- Build a lean, efficient team and remind them that you appreciate them.
- Listen to your employees’ needs, and they will give discretionary effort for you.
- Never stop thinking about how you can accomplish numbers 1-4 better and more efficiently.
By Jennise Chaffold, Performance Consultant
Culled From: https://www.insperty.com/blog/managing-a-business-in-a-recession/
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