Inflation is good for the economy if the economy is growing. However, the economic growth may not be stable if the wages growth does not match the inflation growth rate. At the moment the wages growth rate is 4.2% whereas the inflation is almost 11%.
So how do we deal with inflation? If you are a business owner, you can focus on saving costs and restructuring your business. The following methods can help you to reduce the cost of your business:
Outsourcing Low Strategic Importance: Importance With Low Process Complexity And Dynamics.
These type of activities can be outsourced because neither it will impact the business objectives materially nor they require expertise and frequent and immediate change. Or
These activities can be automated as mistakes and errors are not very costly and machines will not need to be adjusted frequently and immediately so that costs we not arise repeatedly. Importance With Low Process Complexity And Dynamics.
These type of activities can be outsourced because neither it will impact the business objectives materially nor they are require expertise and frequent and immediately change. Or
These are activities repetitive in nature example Security, cleaning and maintenance, canteen etc
Automation to save your cost: activities like packaging and branding of goods may be of such nature to most businesses.
These activities can be automated provided resources are available.
These are usually one-off costs at initial installation and subsequently, minor changing costs are incurred.
Operating efficiency, Close control, and consistency are necessary if business objectives are to be achieved.