IntelliWork Insiders--a Great Big Happy New Year to you! I hope you are as excited about possibilities that a new day/year can bring as much as I am. There is so much to do, and sometimes we get bogged down with the challenges we face. Even, as we enter 2024, the United States economy stands at a critical juncture, grappling with a unique set of challenges that hold profound implications for businesses, policymakers, and consumers alike. Among these, the persistent issue of supply chain disruptions continues to create bottlenecks in production and distribution. This affects the availability and costs of goods sold across various sectors. Equally pressing are the significant shifts in the labor market, characterized by changing work arrangements, demands for remote work, evolving workforce demographics, and hiring challenges. These are reshaping the country’s economic dynamics and productivity. Many of these challenges are a lingering byproduct of the global economic landscape post-COVID-19. Today, these challenges are set against the backdrop of broader issues like inflation and technological disruptions, underscore the need for strategic consideration as we navigate 2024 and scale our business operations. In this pulse, I’ll share the top five areas of focus to scale your operations this year–with economic uncertainly being the underlying theme.
5 Ideas to Navigate Economic Shifts
Focus 1: Prepare to Adapt to Market Trends
The first step to scaling operations is understanding and adapting to the latest economic trends. Where are we headed as a nation, as a state, as a region, and as a locality….as an industry? I will not go into detail here, but a PESTLE analysis is a good starting point to truly understand what impact these levels will have on your business and what will not? Whether it’s a shift towards sustainability or a change in consumer behavior due to inflation or interest rates, your business model must align with these trends and know when to pivot.
Second, Building Strategic Partnerships is one way to help you pivot and enhance resilience. Look for businesses that complement yours and explore mutually beneficial collaborations. This can lead to new opportunities and resources.
As these opportunities present themselves, third, Be prepared to make quick decisions and adapt your business plan as needed. Agility in decision-making allows you to respond effectively to unexpected economic changes and make innovations in a methodical way, so no one drops the ball.
Finally, re-evaluate your supply chain. You are not alone in feeling the impact of economic transitions, the supply chain will too. This might mean diversifying your suppliers or investing in new technology for better logistics. An essential part of the supply chain will be your workforce. How are you aiming to attract new employees to support your brand’s vision? How will you mitigate downtime and workflow bottlenecks if you experience increased turnover or an inability to hire employees.
A Brief Case Study
One of my clients, began to experience just that. They had a team member go on extended leave, yet lacked capacity to keep up with workflow demands as others were at their max. Not wanting to burnout the other team members, they recently outsourced several administrative support functions to a Nortal VA which was able to reduce that downtime and scale their capacity to deliver. They did so in a much more cost effective way. Overall, understanding the market shifts, and preparing to how you will rebound will serve you well in ensuring business continuity and efficiency.
Focus 2: Leverage Technology
In the age of digital transformation, investing in technology is a non-negotiable. From automation tools to AI in customer service, technology can drastically improve efficiency and cut costs. I have been delving deeper into AI prompting and it is amazing what it can do! Even this cover image to this newsletter was AI generated using Microsoft AI Design. I used Canva Pro to put the Nortal branding on there. There is so much to learn!
Embrace these innovations to stay competitive and streamline your operations. These skills will be beneficial to those who learn to command these systems to work effectively. I recently, had an executive of a rapidly growing construction company reach out stressing the need to synthesize the organizations’ core operations. We discussed Enterprise Resource Planning systems (ERP) and develop a business requirements gathering plan to launch their new digital transformation project. Innovation like these solve some of their pain point by increasing collaboration and reducing erroneous duplications of quote and project implementation tasks.
Speaking of digital transformation, this is the year to expand your online presence. When done well, many businesses have reaped the benefits of expanding their brick and mortar businesses to the web. This year and subsequent years will be no exception. With e-commerce’s unstoppable growth, a robust online presence is essential. This means not just having a website but engaging in digital marketing, building communities, and leverage social media to reach a wider audience.
Focus 3: Revenue Stream Diversification
We all know the adage, “don’t put all your eggs in one basket”. Nothing can be further from this truth. Explore new product lines, services, or markets to diversify your income sources. This diversification is a safety net against market volatility and economic downturns. Diversification is not only for for-profit entities, non-profit organizations too should diversify their revenue streams as they are not immune from sudden cutbacks in grant funding from private donors and the government.
Even, Nortal Advisory Group found the need to diversify it’s revenue streams -not just focus on business operations support and advising, but talent development as well through Nortalent.com. I foresee an opportunity to develop a workforce development initiative in the long-run. Innovation can come out of diversifying services offerings and testing new things.
Focus 4: Customer Retention
Retaining an existing customer is often more cost-effective than acquiring a new one. Build lasting relationships through exceptional service, loyalty programs, and personalization. A satisfied customer is a loyal customer. To do this one must take a deep dive into customer analytics or develop a data strategy to deliver these insights. The best way to understand what people want is to ask them and then test solutions in methodical. Measuring client/customer satisfaction through Net Promoter Scores, regularly obtaining feedback through surveys and empowering your frontline team to document and report these needs are essential. Documentation can be submitted to centralized database and or incorporated into the client file to be a part of regular retrospective meetings and periodic debriefs.
Many times, with the information received, we just start doing random things and seeing what sticks. When nothing does, it is typically blamed on ‘poor strategy or bad idea‘ when it was more like ‘poor implementation and inconsistent measurement of outcomes‘.
Focus 5: Team Development
Your team is your greatest asset. Investing in their development can lead to increased productivity and innovation. Learning the process of employee engagement is a part of organizational research and should be a part of your ongoing practice. Like customers, employees too will provide feedback on various initiatives land on them, training gaps, and the brutal confrontation of how strategy impacting the frontlines teams. Employees are your greatest source of innovation, empower their passion and leverage the expertise they develop overtime. Most importantly, reward them for their candor.
Final Thoughts
In the ever-evolving economic landscape of 2024, scaling your business is not just about growth—it’s about adapting and thriving though change. The current economic challenges demand a strategic approach to ensure your business not only survives but also thrives. Scaling your business in 2024 requires a strategic blend of what I call the InteliWork’s 3 Ps: Planning, People, and Processes. By focusing on these key areas, you can navigate through economic shifts and position your business for sustainable growth.
I invite you to engage in this conversation. Share your experiences with scaling operations, ask questions, or express your thoughts in the comments below. If you’re looking to delve deeper into how these focus areas can transform your business, let’s connect.
For more insights or to learn how Nortal Consulting can help your business thrive with bespoke business solutions feel free to reach out to me at [email protected] or visit our website www.nortalconsulting.com
