How to Add Business Value while Reducing Costs Effectively

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A Successful Example
Canon, the world leader in imaging solutions told in an interview recently that along with the recent fluctuation in business because of COVID-19, they improved their efficiency and output, and that too, with reduced prices. How exactly, one may ask.

They observed a 20% drop in hardware and a 15% drop in printing requirements. But, due to people working from home, the demand for at-home printing and scanning displayed an increase. With the flexible cloud solutions and products that have a low carbon footprint, it gained them customer’s trust and skyrocketed their business.

Thus, adapting to the latest customer requirements, fulfilling it by rendering successful Solution Consulting services gave a significant advantage to Canon. This is just one of the many examples of organizations that have grown amidst the pandemic crisis.

Steps to Undertake

The current situation has forced organizations to re-evaluate their strategies and business models and come up with innovative and sustainable procedures to implement. Following the below-mentioned steps would help to pave a path towards development in the long run:

1. Business Transformation is Inevitable
Organizations that could not adapt to flexible working procedures or embraced digitalization have faced roadblocks, which have hindered their success and forced them to take unwanted decisions. Such situations hamper the growth of the organization and employees.

So, to avoid such situations, adaptability and business transformation is beneficial. Automation and flexibility of working are some of the steps that have proven successful for businesses.

An amazing example of this is the Toyota Production System (TPS) which uses the process of producing the vehicles only when required and that fulfills the customer’s requirements effectively. They have saved time and reduced any waste owing to it.

2. Prioritize Costs and Manage Expenditure
You should do a detailed assessment of all business operations and the expenditure on it to get the time, effort, and capital being spent on it presently. After analysis, the projects which bring lower value to the organization and are non-resourceful should be paused or terminated, and focus on the important ones should be highlighted.

An Expense Management Solution should be put to use in such circumstances that can reflect the gravity of the situation and also provide solutions to overcome it.

Strategic business processes and overall process optimization help to eliminate waste, like it worked for Toyota and this improves organizational efficiency in the process. Upskilling your employees is also a great way to put to good usage of time. This will increase their productivity as well as provide the confidence to achieve more.

3. Optimize Marketing Processes & Focus on Customer Satisfaction
Marketing is a continuous process for an organization. Switching to social media for marketing and connecting with customers is a great way to empathize and generate business value, and it's not as costly when compared to other traditional marketing procedures.

You should keep your customers updated with the present scenario and work process you follow so that they know how you are managing it and helping them benefit. Webinars, social media polls, live videos are some ways to connect.

4. Devise a Sustainable and Productive Plan
Owing to the present situation, uncertainty is high. But, one thing is for sure. You need to be ready with a short-term survival plan as well as a long-term profitable plan that can support the organization.

Bob Fifer, the author of the book Double Your Profits said that if you need to save a lot in very less time, then creating a budget is an efficient procedure to come out of IT turnarounds.

An immense focus on the core business requirements, KPIs, and pivoting it accordingly would eliminate risks and act as a safety net for the business.

Conclusion:
The pandemic has taught everyone to be ready to face dire situations and come up with optimized efforts. Controlled expenditure, reduced marketing costs, and developing some new work practices guide the organization’s success path. With Inspiredge’s Solution Consulting, you get an expert team with rich experience who understand your requirements and provide dynamic solutions accordingly.

Impeccable Solution Consulting Services with Inspiredge IT Solutions