Prepare for the New Normal!
By Joe Smith
In recent years not only have Australian businesses had to deal with a global pandemic we have also had raging bushfires, floods and cyclones impacting our businesses in one way or another. What we have seen locally is that well run businesses that have the ability to innovate, adapt and grow are still performing well after these challenges.
As Australia begins to open up again there are some potential issues that may impact local businesses. We already have supply chain issues due to the pandemic with the building industry an example where there is a huge demand for their services however we are hearing that there is a shortage of timber and steel required to build the houses.
Further to this, there is the issue of sourcing employees to ensure businesses have capacity to meet the level of work that they have on. In my role at UHY and as President of Gladstone Chamber of Commerce and Industry (GCCI) I speak to a lot of business owners and for most of them sourcing employees is the number one issue in their business. This was backed up by the recent GCCI business survey responses.
We can also see issues internationally and domestically regarding the impact of employees having to self-isolate due to catching COVID-19 or being a close contact of someone testing positive. Australia Post have a huge number of employees self-isolating currently and this has come at a time where demand for their services is at record levels.
With these issues in mind there are a number of things that businesses can do to prepare for the new normal. One that I would recommend that businesses build a financial war chest when times are good. Bill Gates was known to have an amount set aside totalling one years’ worth of business expenses – this may be out of reach for some businesses however setting aside two or three months may be possible.
Another thing is to monitor the profitability of services, jobs or projects individually. As capacity may become an issue for businesses due to supply chain or staff issues, it may not be feasible to accept every job that comes your way. If you can identify the areas where you are most profitable and have adequate resources to deliver then these should be the areas to focus on.
At UHY Haines Norton CQ we advise our clients and build bespoke strategies for their business to prepare them for the new normal! If you would like a no obligation chat with us regarding any of our services, please call UHY Haines Norton CQ on 07 4972 1300 or email firstname.lastname@example.org