Will the coming wave of inflation stunt your business growth? Get in front of it now!
Updated: May 9, 2018
Now that the economy is picking up, new fears of inflation are beginning to creep in. A recent WSJ.com article outlined this fear in good detail.
But my question to you and your business is this - what are you doing today to prepare for the inevitable pressure of rising costs without the potential ability to raise prices? There are typically only two ways to deal with this - raise your prices at the risk of alienating new and existing customers or lower your costs.
Raising your prices is sometimes an option, but more than not, this is likely not a good option given the competitive landscape that you operate in. However, you have just as much control over your costs as your competitor. So what are you doing right now that directly addresses your current and future rising costs?
Waste in all your processes across the business, slow implementation in each and every area of your business, unclear direction and objectives, uncertain value offered to your customers and clients, a poor sales operation system, confusing priorities across your business (e.g. "everything is important"), key projects that can affect your top and bottom line waiting for resources or the "go ahead" to start or implement. All these things are areas of untapped productivity that keep you stuck where you are and ill-prepared for the incoming wave.
Inaction in a time like this is only an invitation to disaster. Be proactive and do something today that gets you ahead of the inevitable incoming inflation wave.
"Production is the only answer to inflation."....Chester Bowles