With interest rates rising, the stock market falling, and layoff announcements from large tech firms, the signs are all pointing to an imminent recession. I'm frequently asked what this means for our business, and what business owners should be doing to prepare.
Below I’ve shared my six key pieces of advice every business owner needs to weather a tough business climate.
- Diversify your revenue streams: Having multiple sources of income minimizes the impact of a downturn in any one area. If all your revenue comes from the mortgage industry, it would be wise to look at other verticals that are more recession proof.
- Control your costs: Carefully manage your expenses and look for ways to reduce costs without sacrificing the quality of your products or services. During periods of high growth, high-cost elements can creep into your business that haven't returned value. Review your costs and uncover these areas of waste sooner rather than later.
- Automate, automate, automate: Now is the time to examine all of your manual processes, identify areas of waste or delay, and automate! Process mining is a great tool to uncover areas of delay, unnecessary manual effort, or inefficiencies/complexities that can be simplified.
- Invest in technology: Technology streamlines your operations, reduces costs, and improves the efficiency of your business. Automation platforms, such as Decisions, help companies make better use of the software they already own. Supplementing SAP or Salesforce with a process automation solution can help reduce manual work and codify your business processes with repeatable rules and .
