The business landscape has changed faster over the last 20 years than it had ever changed in the decades and century before. Thanks to a merging global economy, newer resources with tremendous capabilities, and ever-improving techniques, companies are adapting themselves to the realities they are now faced with.
These companies – and the people leading them – realize that to survive they must evolve. They are erasing the tried and true ways of doing business and are now implementing newly-devised methods that take advantage of the resources they didn’t have previously. They are coming up with better processes to streamline their operations while finding creative ways to cut expenses.
Continue reading to learn what some companies are doing to adjust to the changing business landscape.
Technology
For centuries, businesses have attempted to make use of the latest technologies. Whether it was to manufacture products with new materials or through more efficient processes, or if it was to find a new niche within a market, companies have always tried to stay on top of technology.
Advances in technology were slower one or two hundred years ago, and companies had time to incorporate them into their business model. However, the advances of the last 20 years have some companies struggling to catch up. The power of the Internet for business applications is only now being understood, possibilities for its use still evolving.
By using online features such as cloud services and storage, companies are able to reduce their need on bulky and expensive computer systems; all they really need is an Internet connection. Marketing methods are changing as the most effective format for reaching consumers is through their mobile devices and computers rather than their TVs or radio or billboards; the most effective format is now the Internet.
Rentals over Owning
Companies are finding it better in many cases to rent their equipment needs rather than owning the equipment outright. By renting or leasing a truck, concrete mixer, spotlight, office printer, or any number of pieces of equipment, companies are finding it cheaper than buying it. They do not have the maintenance costs associated with owning the equipment along with not having to pay taxes when making the purchase.
Outsourcing
Outsourcing the company’s workload is not a new concept. Its initial use on a large scale can be traced to the 1990s, though it had begun long before that on a limited scale. New businesses emerged from the desire to cut costs, beginning the trend of shifting processes to outside companies.
Offshoring – the act of shifting work overseas to take advantage of foreign labor costs or laws – began back in the 1970s but really saw an explosion in the 1990s. Companies today are still sending their workloads or processes to other countries, although the countries of preference are changing because of competition and emerging markets.
Remote and Freelance Employment
Allowing employees to work remote can actually save the company money. Since employees who work from home will not be commuting to the office, their salary requirements are not as high. With this factored in, remote employees will still earn the amount they are looking to bring home.
Combining technology with outsourcing, freelance workers can fill an immediate need without having to keep them on the payroll. By paying people per project, companies can find individuals who specialize in their fields and compensate them for their work but not to keep them internally. Companies doing this save themselves in labor dollars as well as not having to pay benefits packages on these freelance workers.
