Every business owner or management team is looking at ways to cut costs as 2019 approaches. Without massive layoffs or drastic spending cuts, how can you save a little money to increase your bottom line in the coming year? Before you start cutting too much, here are some ideas to get you started on your budget for next year.
Consider Contingent Workers
Partnering with a staffing company, recruitment process outsource service or workforce management can go a long way to reducing your spending in 2019. When you work with an outside service, you’re effectively eliminating the cost per hire and replacing it with the cost of services.
This is especially true when you may need additional help on a shorter-term basis. The cost of hiring isn’t reduced when an individual is only onboard for a contract, and sometimes they can add up to more if you handle this process yourself.
Renegotiate With Suppliers
You may not think about it, but you always have room for negotiations with your suppliers. However, before you approach them asking for a reduction in cost, be sure to have a plan in place for the meeting. Put together your metrics and the reasons behind your request.
In this process, you will find many of your suppliers would rather cut a deal than lose a loyal customer. And if they aren’t willing to work with you, you have the option to shop around for a new supplier.
Challenge Your Team
You can also ask your team and managers to help tighten their belts for the coming year. Before the end of the year, ask each department to determine one expense they can cut to save money. It could be anything, but must not affect operations, motivation or productivity.
You may be surprised to find there are areas of your business that have become obsolete or items and technology that are no longer as useful as they once were.
Source Unique Ideas
Another way to get your entire team involved is to ask everyone to come up with some unique ideas that can impact the budget positively for the new year. You can even host a competition where the prize is a small bonus or time off.
There are many things that can decrease your overall budget, but sometimes it takes a new perspective to discover it. So asking your team is a great way to find out new ideas.
Do you want to know more ways to cut cost in the new year?
About Anserteam Workforce Solutions
The ANSER to your North American workforce management needs starts with A-Team solutions. Anserteam is the alliance of North American staffing and employment resources. Since 2004, Anserteam has grown to service over 1,500 locations across the United States and Canada. Are you a best-in-class staffing firm looking to increase your client base and secure a greater market share? Find out how to become part of Anserteam.