The volatile economic situation in 2020 severely impacted businesses worldwide. According to a Yelp report, 60% of business closures due to the COVID-19 pandemic are permanent While 2020 was a challenging year, businesses also rose to the challenge by adapting to the changing environment. The new year brings new opportunities for business survival through adapting and innovating.
How to prepare your business for 2021?
With an increased trend towards remote work, businesses are going to be relying a lot more on automation. This means companies will look towards implementing a central platform for task management that can be accessed easily by employees. On the contrary, if companies do not level up to the changing market trends, they are setting themselves up for failure. 2021 offers a fresh start, but not without challenges. Let’s discuss some tips to help you get a head start for the coming year:
1. Protect your assets for longevity
As a start, protect your business assets to avoid theft/misplacement and optimize maintenance to prolong lifecycle. The last thing you need is mismanaged assets adding to your bills. The best strategy to protect all your business assets is to implement a tracking software. Use the system to label all your items with a barcode and enter them into a cloud based storage system.
Having a centrally accessible system enables employees to continue operations in a remote environment as well. Workers can easily checkout items they need with user enabled log-ins at their convenience. Such actions improve transparency and make it easier to spot malpractices.
Due to the turbulent nature of work, it is critical to sustain good asset performance. That can be done by tracking asset depreciation on the cloud to monitor maintenance tasks. Regular service ensures all your assets meet regulatory requirements and safety standards.
2. Forecast budgets for sustainability
Not surprisingly, healthy cash flow is a crucial part of business survival. Without proper financial management there is a high chance of expenses getting out of control. In order to streamline business operations from the start, invest in robust analytical tools. As a first step, estimate how much capital the business owns and it’s worth. Next, refer to last year’s budget and adjust it for inflation. This ought to give you an idea of your financial position for 2021.
A tracking software also enables you to track asset related expenses. By adding all assets in your database, you can easily calculate the costs associated with maintenance and service. In addition to this, a tracking solution can also help manage inventory expenses by automating procurement. All this information is extremely useful especially when it comes to cost control in an unpredictable economic environment.
Proper budgeting is key to running a successful business. When you have finances sorted out, you can focus on other aspects of your business like employee recruitment and growth.
3. Collect actionable data to drive analytics
Real time data and analytics has evolved tremendously over the past years and is going to be extremely important in 2021. Given the state of events in 2020, it is likely that companies will need to forecast business strategies to control operations through uncertain times. For this reason, it is important to invest in the right tools for your business.
A cloud based solution software offers the ability to store everything online. This can be asset information, employee data or even inventory reports. The majority of businesses use a tracking system to keep a record of their assets. This way they can generate in-depth capital performance reports throughout the year. Along with the right analytical software, put together a team of data scientists.
Once you have the data you need, pay attention to what can be improved. Collected data is only worthwhile if you can put it to good use. Implementing a robust tracking system can help you deliver effective insights to steer your business in the right direction.
4. Adopt agility for preparedness
No business was ready for 2020, but when it arrived the only option was to adopt or perish. Hundreds of businesses that were heavily reliant on in-person contact suffered from financial losses, operational difficulties, and even closures after the social distancing norms were announced. Taking the lessons learned from 2020 forward, it is clear that agility is an important trait for business survival in 2021.
Pick a working style that is most suitable for your business. Work from home has been a great challenge for the majority of companies, so they decided to open in batches. To avoid last minute policy rejections, always have a backup plan in case plan A doesn’t work out. Account for emergency expenses in your budget and avoid any last minute financial plunges.
Due to slow demand, some businesses have had to scale down. Invest in a tracking software that enables you to be flexible. This way you can protect all your data without having to worry about information loss.
5. Automate operations to improve efficiency
The last thing you need in 2021, is manual processes holding up progress. Take a note of business functions that can be improved with simple automation. If your receipts are piling up, integrate with an accounting software to automate billing. This can even be done with the help of a tracking system that offers third party integrations. This way you can record all assets in one place and monitor receipts at the same time.
Automation in daily business tasks is a great way to gain efficiency and save time. With 2021 just starting off, ensure optimizing the resources you have for the best possible outcomes. Be open to feedback from the team and customers. Such practices will allow you to come up with innovative solutions for business survival.
EZOfficeInventory is a leading asset tracking software. It allows you to track, maintain, and report on inventory from anywhere, at any time. We offer a free 15-day trial – no credit card required!