During difficult economic times, it is important to drive down costs. Although there are many ways to accomplish this, some cost cutting can cause permanent damage to your business. My approach to cost cutting is to turn it into a contest, which I have named “Blood From a Turnip”. Here is an overview.
Find creative ways ways to lower our costs without cutting staff. Our strengths as a company are our people, capital, processes, and reputation. With that in mind, come up with ways of improving each.
There will be rewards given to everyone that comes up with improvements that are implemented. Value of reward will depend on the impact the initiative has on the company. The grand prize is a trip to Hawaii.
The entry must have a name that summarizes the initiative. Give a clear description of how you would like to go about gathering date to analyze and project impact. Send an email to me to review. I also instituted a deadline.
These economic times are tough. We need to utilize this pressure as a catalyst for creative ways of managing costs and creating new revenue. We need to look at other opportunities to cut costs, not people. Remember our strengths.