Over
the past sixty years, our country has survived eleven recessions.
On February 7, 2008, Minnesota's state economist Tom Stinson
informed legislators in St. Paul, “There is no longer any
doubt a recession has arrived.”
What can HR professionals do to help their businesses? HR
can place an increasingly larger role in fighting a recession
by maintaining a positive attitude. Regardless of what the
economic conditions and regardless of what your competition
is doing, refuse to participate in the negativism that goes
along with a recession. If we are growing our business for
sale, we have the wrong attitude.
The following ideas my assist you in maintaining a positive
attitude;
Innovation
Know your strengths and capitalize on them. The first challenge
manager’s face in a recession is uncertainty and they focus
much of their attention on cutting costs. Companies like General
Electric and McKinsey, accelerated innovation during recessions.
Successful companies know what their company can do and spend
an increasing amount of research improving these core processes.They
forge strategies and alliances designed to work in good times
and bad and narrowed their focus on areas in which they could
establish a clear lead. During a recession winning companies
walk away from bad business and losers do not. They reevaluate
their vendor relationships and lock them in with long term
contracts that help them improve their profits during good
times.
During tough times, winners of the last recession sought their
customers help and discovered new products and services. Your
business will profit greatly from the repeat purchases your
customers make. Get your customers involved in your business
and let them help you be successful.
Capturing good data
High performing companies invest in information systems designed
to measure and gain insight about their products and services.
They not only gather the information, but they use it to determine
where new profits can be found. This information can also
be used for budgeting and eliminating services no longer profitable.
Communication
HR Managers can assist their companies by creating and utilizing
communication with everyone in the organization. More than
ever, during an economic slowdown, everyone in the organization
needs to be aware of where the dollars are coming from and
how they stack up against the competition. This knowledge
will assist everyone in making tough budge decisions with
a clear understanding of the potential impact.
Training and networking
There is no substitute for on-the-job training. Learn what
works and why; and what doesn't work and why. It’s not the
first sale that’s important but the next 10-100 ongoing sales.
Once a product or service shows a track record, capture it,
and train, train, train. Your ongoing goal is measure, communicate
and train.
Keep the ideas flowing by joining and getting involved in
professional organizations. Hand out your business cards and
take theirs. Listen to what other companies are doing, capture
the best ideas and bring them back and share them with your
company.
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Reproduction
of this article cannot be accomplished without the expressed
consent of Human Resource Staffing. Don Schmitz is a popular
speaker and writer on all aspects of HR and CEO of Human Resource
Staffing. Don holds graduate degrees in Education, Administration
and Human Development.
Contact Don@HumanResourceStaffingInc.com
952 854 6040
