The entrepreneur's time has a very high opportunity cost, and it is essential that you do not abandon your dedication to developing strategies to perform only operational tasks.

Escribe Sandra Felsenstein

In times of crisis it is natural for SMEs to retract their expenses and investments and implement savings measures. On the other side, many times it happens that the need leads companies to seek greater efficiency, which could be the positive aspect of these situations.
An action that usually triggers these types of periods is stagnation in the hiring of personnel and, many times, including the dismissal of collaborators. In several cases, SME owners evaluate “this function can be done by me” or “I can start taking more tasks from the company”.
You have to be very careful with this topic and not forget that the businessman's time is worth a lot; It has a high opportunity cost and it is essential that you do not abandon your dedication to developing company strategies to perform operational tasks..

Lower costs?
When it comes to reducing costs, it is essential to try to simplify the processes: make them simpler and simpler.
Not only to reduce the habitual expenses of the company but also the "superfluous ones" that do not generate an added value to the final product, increasing its cost and, due, its price.
This means minimizing the internal bureaucratic processes that, definitely, they use time and resources that do not translate into advantages or benefits for the consumer.
Time to optimize existing resources and processes, and identify the products or services with the best results.
While this vision should always be present, It is in times when consumption is in decline that it must actually become a reality.
Why? Today the consumer makes a much deeper evaluation of what to invest their money at and at what price..
The ideal would be to implement this cost reduction through the analysis and optimization of processes, but the truth is that, in many cases (in despair) processes are shortened -or part of them- that actually generate value in the product or service that is marketed.
In this way, what we achieve is a deterioration in quality.

Items that weigh, but they don't press
In relation to inventories, two opposite situations are generated: in some cases the lack of liquidity, market uncertainty and the decline in sales generates the decision to decrease the stock of many companies.
In others and on the contrary, inflation generates an increase in inventory due to the constant increase in its replacement costs. This largely depends on the financial capacity of the company, the characteristic of the products (perishable, seasonal, etc.) and storage capacity. It should always be remembered that the stock translates into fixed capital, occupied space, handling costs and breakage risks, whereby, for each case, the advantages and disadvantages of increasing or decreasing the inventory must be analyzed..

Do we stop communicating?
On the other side, there is a contraction in the investment in advertising and marketing of SMEs. Today, we can locate many tools that allow managing the relationship with customers without the need to invest too much, that is why DINKA always recommends that the important thing is to allocate economic resources more efficiently, without abandoning commercial management, which is precisely essential at times when consumption is withdrawn.
The implementation and use of social networks, el mailing, direct marketing, the polls, etc., They are very effective and economic tools to establish a fluid contact between companies and their clients..
In any case, clear identification of the customer profile is essential to then carry out more effective actions.
In parallel and in relation to commercial management, it is extremely useful to have boards (simple) for monitoring customer satisfaction, their rotation and monthly contacts.
In this sense, The importance of having a thorough knowledge of our client's experience when consuming our products or services is highlighted..
In a withdrawn market, where there are many players competing to “win” the sales that are generated, offering high added value is essential, not only in the product that is marketed, but also through the entire customer shopping experience.
Many times with “little” we manage to stand out in the market, leveraging really beneficial results.

Cold mind
The desperation to want to sell more is also a characteristic situation of times of crisis and retraction of the market, although it is not a concept directly associated with an adjustment. It is common to see entrepreneurs trying desperately to increase sales, as to counteract the drop in results.
The truth is that the focus should be on optimizing the performance of companies, with special attention to leverage the segment of products and clients that represent the highest performance.

Sell ​​better and not "just" more
You have to be able to identify, of all business units or products offered, which ones generate the best results and put the energy there.
That is to say, allocate the largest amount of resources to leverage the most profitable.
The same thing happens when identifying the types of clients: there is always a group to which special attention should be devoted.
On the other side, It should be noted that for SMEs there are programs to support business restructuring, grants and loans at competitive rates, which can be accessed not only to face the effects of difficult times but also by applying this capital injection to reorganize the company, redefine objectives and implement strategies and tools aimed at greater efficiency.
This can be a good investment to leverage future results of the veterinary company., although in reimbursable cases, the ability to repay later must also be well evaluated before facing the commitment.
Conclusion, crises only make us more efficient, more creative, most innovative. Today, in such a competitive market, this is essential not only to overcome the situation but also to grow, develop and stand out as entrepreneurs.
Innovation is a process, not an isolated act, which is to do things differently to adapt to new market demands.
It does not necessarily mean having to invent a new product, but maybe how to add value to what you already have.
Constantly reinventing ourselves is challenging, but that today should be part of the culture of each company.
As the American motivator Anthony Robbins says, economic problems are not solved with money, but with imagination.

 

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