Summary:
Listed are ten strategies for reducing business costs. Among them are bartering with other companies, networking to increase options, renting equipment vs. buying, and continuously searching for new suppliers. Following these easy strategies can create cost-savings that could amount to a significant number.
Article Quote:
“If you have a business that should be bartering goods and services with other companies. You should try to trade for something before you buy. Barter deals usually require little or no money. Plan Ahead and make a list of business supplies or equipment needed for the future. Keep an eye on the shops that have a big tuover. Purchase goods if they are on sale before you need it.”
Link: http://technologyofmanagement.blogspot.com/2009/11/10-effective-ways-to-reduce-business.html
One tip that could have made the top of this author’s list is having the right technology in place. The author doesn’t suggest implementing strategic planning technology as a means of reducing costs, however everyone knows that when time is saved, money and resources are also saved.
That said, these strategies are easy to follow and could contribute to reducing costs. One of the tips suggested is negotiating. Interestingly, when we think about negotiating, we usually vision more expensive items, such as the purchase of a new home or a new car. In our society, we rarely think about negotiating prices on less expensive purchases, such as appliances or furniture. However, many retailers are empowered to negotiate if the customer asks.
For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/
Summary:
Holly Green compares waving a magic wand in movies or books to the attitude management often takes when it comes to implementing their strategic plans. Managers put a lot of hard work into developing the plan, then everyone sits back and hopes that somehow they will magically get their desired outcomes. Yet developing the plan is only half the battle. In order to achieve your goals, you must break the process down into manageable steps. Begin with a comparison of where you want to be and where you currently are. Then come up with the benchmarks needed to transform your current reality. Ask what operating goals and strategies you can realistically achieve in a given time frame, then supply the resources and support necessary to get you there.
Article Quote:
“In today’s chaotic markets, nothing is more critical than figuring out where you need to go as an organization. Once you do, put away your magic wand and invest the time in creating your incremental, substantial, and transformational action plans. These will ensure that all your hard work during the initial planning phase doesn’t go to waste.”
Link: http://bx.businessweek.com/strategy/view?url=http://www.business-strategy-innovation.com/2010/01/magic-wand-of-strategic-planning.html
Breaking down goals into tactical plans requires careful consideration of the businesses current capabilities and what is needed to move forward. Leadership must think about what resources are needed to improve skills, competencies, or processes and how much your organization can absorb without getting off course. Keep the plan active by constantly monitoring results. Accountability increases when everyone on the team knows who is assigned what, at what level the task is completed, and what the rewards or consequences are for the outcome.
For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/
Summary:
This article addresses several core principles of scenario planning as described by the author’s experiences using planning methodology. Scenario planning is about moving confidently towards tomorrow and towards the aspiration of what an organization wants to become. In the hands of a skilled facilitator this process can be a meaningful way of engaging stakeholders in a process of thoughtful change that strengthens the strategic intent of an organization.
Article Quote:
“Building scenarios is more art than science and while it engages the head, scenarios often more about passion, vision and heart. As a result, scenario planning is a useful tool that works best where there is leadership, openness to change, uncertainty future, and the time to process the uncertainty. Conversely, if the way forward is predetermined or an organization is in the midst of a crisis or otherwise does not have the capacity to absorb long-term change, scenario planning will be less helpful.”
Link: http://facilitationprocess.com/scenario-planning-as-a-facilitation-tool
When creating scenarios, one needs to build time into the process to twist and turn scenarios until there is alignment across several dimensions. When groups work together to bring a scenario into existence, they begin the work of creation.
Once created, the strategies and actions that support movement towards the realization of the scenario becomes a self-fulfilling direction. Possessing the right mind set from the very beginning will help bring the scenario into existence. A right mind set is positive to change and ‘rolls with the punches’.
For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/