Search
Close this search box.
Search
Close this search box.

Tumultuous Times Are The Ideal Moments To Push Forward With New Business Initiatives

© AdobeStock
When you can't see a clear path ahead, it may feel safest to kick the can down the road—but it will cost you in the long run.

Executives at the helm of companies today are driving on noticeably rougher roads than in recent years.

An increasingly tense geopolitical environment means the stability required for global trade and commerce is no longer a given. Domestically, corporate layoffs have been moving full steam ahead. The twin specters of stubbornly high inflation and the rising cost of capital have added a degree of difficulty to doing business. And to make things worse, the crisis that took down Silicon Valley Bank and others has raised uncomfortable questions about the resiliency of the U.S. banking system.

Common sense suggests companies take it slow and not make big moves or start business initiatives during a tumultuous time like this. But accelerating, not decelerating, into transformation is exactly what company leaders should be doing now.

The fact is, the business environment has been upended. So, whether your business has changed or not, it needs to catch up with the outside world as it currently exists.

Maybe you need to review procurement arrangements that were put in place when times were smoother to wring out cost savings. Or perhaps figure out if you’ve over-hired in recent years. Are you consuming the right amount of resources at the right cost? Embarking on initiatives that help bring the company into alignment with today’s economy is smart business.

But people – even high-powered executives – tend to defer making tough decisions during uncertain times. If they don’t see a clear path ahead, kicking the can down the road feels like the safe thing to do.

Here’s the thing: Postponing decisions is not free. Every day spent studying a problem that’s leaving money on the table is another day not getting your hands on that money. When you know there’s a gap between your potential and where your company sits today, failing to take action is like throwing money away. That’s the cost of deferring a decision.

To be clear, gathering information and studying a problem is standard procedure, but there will never be perfect information available. At some point, executives need to shake off the fear, make a decision and move forward despite the uncertainty that surrounds them.

Corporate history is chock full of legendary business figures who launched bold initiatives when times were tough and wound up reinventing their companies in the process, turning them into powerhouses: Look no further than Jack Welch and his work at GE, Lou Gerstner’s turnaround of IBM or Steve Jobs’ return to Apple that made it into the company we know today.

There are many lesser-known examples of this spirit. I recently spoke with the CEO of a public company who was facing uncertainty from seemingly every angle around manufacturing operations: regulatory, engineering, pricing, supply chain and new development.

What they realized is they needed to focus on items that were under their control and start driving the cost out of them. In doing so, they were doing more than reducing overall spend and increasing efficiency: They were creating the next evolution of their company and positioning it to win in good times and in bad.

I also worked with a different manufacturing company that was deeply concerned about the macro business environment but pushed ahead anyway with an initiative that targeted the way the company handled the routing of its trucks to and from job sites. They learned they were using vehicles that were too big and heavy, incurring extra fuel charges. In many cases, they could deploy a smaller vehicle and, using the latest routing technology, realize further savings.

The point is that despite an uncertain environment, there are exciting business initiatives that you can launch to zero-in on costs, improve operational efficiency and secure a lasting advantage.

No matter how confusing or frightening the landscape might be, there is a need to make tough decisions and move forward. Deferring decisions on areas that are holding the business back will only cost you in the long run. Now’s the time to hit the gas, not the brakes.


MORE LIKE THIS

  • Get the CEO Briefing

    Sign up today to get weekly access to the latest issues affecting CEOs in every industry
  • upcoming events

    Roundtable

    Strategic Planning Workshop

    1:00 - 5:00 pm

    Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process

    Executives expressed frustration with their current strategic planning process. Issues include:

    1. Lack of systematic approach (70%)
    2. Laundry lists without prioritization (68%)
    3. Decisions based on personalities rather than facts and information (65%)

     

    Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns.  They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning.  Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process.  This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented.  If you are ready for a Strategic Planning tune-up, select this workshop in your registration form.  The additional fee of $695 will be added to your total.

    To sign up, select this option in your registration form. Additional fee of $695 will be added to your total.

    New York, NY: ​​​Chief Executive's Corporate Citizenship Awards 2017

    Women in Leadership Seminar and Peer Discussion

    2:00 - 5:00 pm

    Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations. 

    Limited space available.

    To sign up, select this option in your registration form. Additional fee of $495 will be added to your total.

    Golf Outing

    10:30 - 5:00 pm
    General’s Retreat at Hermitage Golf Course
    Sponsored by UBS

    General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.

    The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.

    To sign up, select this option in your registration form. Additional fee of $295 will be added to your total.