Ideas for Thinking Managers 17           

Surviving in depressed markets:

2008- 2010 will remain extremely difficult for most, if not all business sectors.

Survival is the first goal.  Cut costs and sustain market share are the two golden rules.  This will certainly mean a harder working establishment and lower margins and profits.  Face it NOW.

Even in this stringent period, sacrifice what establishment you must, EXCEPT the resource to innovate.

When the markets recover, they will not be the same.  Think and plan for these changes in your core business.

Do not rely on core customer loyalty, they can't afford it!

Cash is King , work hard at debtor control.  Plan a regime where there is a discipline that is absolute.

Let the work force share the idea of survival, inculcate the idea of the necessity of change, and the need to save costs and cash.  Explain the need to tighten up the ship and if necessary lighten the load.  Be open and be fair when the hard choices have to be made.

This a time when good leaders will excel.

Sometimes it is hard to step back and evaluate your position, this might be a good time to invite in a Consultant you can trust to help with your resolve.  Preferably stick with your resolution, but call in the cavalry if the opposition internally is too stressful.

(c)   Anthony James & Associates 2008