Doing more with less remains a principle at the core of many successful businesses – both in the technology industry as well as other business sectors. Being able to reduce expenses without hampering the organization’s operational efficiency is the goal for many IT leaders. How they accomplish it doesn’t take fancy accounting tricks or everyone working 20 extra hours of unpaid overtime each week.
If you are interested in cutting costs without a subsequent loss in production or employee morale, check out these insights. Good luck in your own managerial efforts!
Choosing Between Reduced Perks or Layoffs
Even in the IT industry, downtimes do happen now and again. Your organization may be faced with reduced revenue forcing you to also reduce expenses. Instead of considering layoffs, lowering salaries, or any other steps that adversely impact employee morale, consider cutting some of the other perks your company gives its employees. The most important point is to keep your team’s productivity level at its highest; this is more important than weekly golf outings or free gym memberships.
In this scenario, worrying about offering lavish perks to gain an advantage when competing for the top technology talent isn’t as important as cutting your expenses. Ensuring the long-term success of your company remains paramount.
Business Travel Expenses Are Ripe for Cutting
The money spent on business travel offers a great opportunity for cost-cutting with minimal impact on your company’s operations. In fact, travel costs ranks only behind payroll when it comes to business expenses. Making some cuts in this area – like foregoing business class airline tickets for coach – provides the means to reduce costs without causing too much clamor among your staff.
Open Communication matters when it comes to reducing Expenses
It is vital to be upfront with your employees when the business climate forces you to start making cuts. Keep your communication channels clear and open and be welcome to insights from your staff regarding cost-cutting strategies. In fact, consider surveying your team regarding which perks and other expenses are the most important to them.
It’s this kind of open and proactive gesture that keeps employee loyalty at its highest, even during a time of difficulty for your business.
When your company needs additional insights on building and managing a top ranked technology team, talk to the experts at Strategic IT Staffing. One of the nation’s leading technical staffing agencies, we offer the great candidates able to contribute to your organization’s success. Click here to contact us today.