Tough Times Call For Working Smarter

From the April/May 2009 Issue

How would you or your client like to place this ad in the Employment Section
of your local newspaper?

Help Not Wanted:
Our accounting department doesn’t need another person to keep up with
the Excel spreadsheets or do data entry. We’ve been paying $40k for
this job, but now we have a system that is so efficient at handling our
processes that we eliminated a position. Do not send your resume.

ALL SYSTEMS GO FOR A RESTAURANT GROUP
A restaurant group with 25+ locations said they eliminated just such a position
when their new business management system got up and running. It wasn’t
part of their plan, but it was a direct result of eliminating so much manual
work that there was no need for the position. That type of help was no longer
needed.

For the restaurant group, the system came first and then the reduction in
workforce. That’s not the picture we see in companies where the economic
downturn has resulted in a drop in sales and the inevitable layoffs that follow.
The work must still be done. Some businesses will just pile more on the folks
still there, but forward-thinking companies will see this as an opportunity
to fine tune their processes and look at upgrading, replacing and revamping
their internal business systems.

THE WAKE UP CALL FOR A ROOFING SUPPLIER
Consider the roofing supplier who never had an inventory system he trusted so
he relied on Bob, the warehouse foreman. Everything they needed to know about
inventory was in Bob’s head. When he walked through the warehouse and
saw he was low on something, that was when he ordered. That got them by in the
good times, but Bob was on the layoff list when the slump in the housing market
took its toll. That was a wake up call when the owners realized they really
had no clue of what was in stock, what was a big seller or which clients bought
what.

The answer was clear: They needed to get a handle on their inventory, and
it had to be a system in which they could have a high level of confidence. As
it turned out, the investment in an integrated business management system with
inventory control was less than it cost to keep Bob on the payroll for another
year. It also automated their knowledge, which made them much less vulnerable
to the comings and goings of employees. The unexpected side benefit to them
was much improved customer service because they knew immediately what was in
stock. Now they use the system to forecast needs, which has also reduced their
inventory carrying costs and improved the bottom line.

Strong internal systems will always help a business do more with less, but
it doesn’t always have to be based on technology. An improved system can
be just good old attention to detail and old fashion analysis.

INVESTIGATIVE ACCOUNTANT STRIKES GOLD FOR A HEALTH CARE PROVIDER
Consider the case of the health care provider who really wanted to keep all
their people during what they hoped was a temporary drop in business. They encouraged
their team to use their downtime to look hard at all the many aspects of their
business and see what efficiencies or savings they could identify. An enterprising
accountant decided to pull out the files filled with the thick phone bills that
come each month and do an analysis at a level that had probably never been done.
Bingo!

On the company bill they identified an extra phone line they had been paying
for that was no longer needed. On the cell phone bill, they discovered monthly
charges for a GPS add-on that enabled users to find local restaurants or businesses
when they were traveling. That was fine if they needed it, but many of their
employees did not. Turns out the cell phone company added it on to all new phones
as a free trial for a month and nobody ever bothered to stop it after the 30
days had elapsed. Yes, you do need to go check your cell phone bill.

The accountant next attacked their credit card bills. They struck gold again.
There was a recurring charge for an old dial-up Internet account that had not
been used in years. Ka-ching!

A HOMETOWN BANK RETURNS TO ITS ROOTS
Finally, there was the case of the local hometown bank. Customer service and
customer acquisition is the lifeblood of the banking industry, and with the
bad news in banking this regional player saw an opportunity. Going back to its
roots, the bank decided to target customers of the larger banks with a focus
on their customer-friendly atmosphere and variety of services. Unfortunately,
like their larger counterparts, they too had to make do with less after some
layoffs.

Their bank officers and managers knew they were dropping the ball on selling
their mix of bank’s products to new and existing customers. With less
staff, they needed a better way to target and track prospective customers and
build on their relationships with prospects and customers so they could improve
their sales and bottom line.

What they needed was a systematic way to help prospects and customers better
take advantage of the bank’s offerings that could bring value. They found
their answer in ACT!, a lower-cost contact management system that brought the
structure and process flow they needed. With information documented and organized,
they were able to make up for less people by using technology to do more targeted
marketing and follow-up that was fine-tuned to the individual needs of their
prospects and customers. It worked and business improved. So too did customer
satisfaction.

THE HELP MAY ALREADY BE RIGHT IN FRONT OF YOU
Tough economic times are always a wakeup call for businesses to build efficiencies
and fine-tune processes. Improving internal systems should always be a priority,
but it seems to be less so when times are good. Well, it has our attention now.
So take the opportunity to help your clients find the goldmines in their business
operations by looking at all aspects of their operations for ways to save money
and increase revenue. Truth is, the help you wanted may already be right there
in your office.