Cutting costs without reducing your team is actually possible

One of the things that many companies around the world are notorious for are their layoffs when they need to reduce costs. It seems that at least the assets of these companies are their employees. As fierce as it may sound, many group-sized companies reduce their costs every day. It is surprising that there are actually dozens of different ways for companies, especially smaller ones, to reduce their costs without sending their employees home. Not to mention that small businesses are not in the best position to tell their employees when they are already struggling with growth and expansion.

First, look at the circumstances and reasons why small businesses resort to firing their employees and completing their contracts.

Reasons for Company Completion of Their Employees

  • Your Employee Employee is below Claims

The biggest and most likely reason why an employee's firing is when they can not perform according to the set goals. After this is a valid reason, you should always follow the entire process and release your employee most morally and professionally possible. Tell them that they also have the right to cancel companies when companies do not pay them as promised and vice versa.

  • Your employee is not honest

You have noticed that your employee is not honest. They try to spend time doing nothing behind you and interested in what they should not worry about. There is a risk that such an employee will work with the company.

  • Your Worker Works In Hard Times

One reason why many employees can not do their best is because they can not fit in the culture of the workplace. It is either religious, personal or ethical attitude that does not allow them to be part of the team.

  • Your employee does not care

Believe it or not, some employees do not care about the rules and regulations of the workplace and be in a professional place. They curse people around them, try to act as pretentious, not punctual, and do not pay attention to the code's policy.

  • Your employees cost you too much

This is a rather oxymoronic situation because the people who bring you business are the ones that cost you money. Sometimes businesses get financially weak and the only way they need to reduce their costs is to launch employees. This helps them save money on employee wages, bonuses and incentives.

Is an employee terminating the only way to reduce costs?

Not at all! There are many other ways for companies to reduce their costs without losing their employees. Here are some.

  • Negotiations with Suppliers and Suppliers

You can view the current list of suppliers and retailers and look for opportunities to reduce costs. You must realize that there are a group of procurement organizations that are specially developed for this purpose. Furthermore, search engines are designed online specifically for businesses where you can find other companies that can help you reduce your costs.

  • Buy in bulk

One simple way to reduce costs is to buy in bulk. Whether you buy products or subscribe to software or online platform services, bulk purchases will always help you reduce your costs. As a company, you subscribe to dozens of different online services and purchase various items monthly or weekly. Buy them for a few months or a complete year to save the cost.

  • Reduce Dedicated Costs For Now

It's amazing that companies offer their employees free refreshments, coffee and tea, but it's time when you can do this with ease. Until and beyond you have reached a level where giving such luxury does not interfere with you at all, do not introduce them.

  • Investing in the Right Technique

Whether you are buying an electric generator for your office, bulbs and lights, ceiling fans, air conditioners or machines, you must invest in the latest and energy-saving technology.

  • Market Wise

Marketing can suck a lot of your business out of business depending on the type of marketing you are doing. However, it will be rewarding to you if you use analytical information to only reduce marketing campaigns that are lucrative for your business. Destroy them and continue from spending on marketing efforts that have not been successful.

You can also find many other ways to reduce your costs without sending workers home.

Risk of Breaking Your Employees

While letting your employees be the last in the Cost Reduction list, you must also know how many risks are in termination of employees. Here are some.

  • Social Democrats Sharing with Competitors

When employees are not happy with your decision to firing them, they could not think about what action you can take against them. They may intervene with your competitors and share your business secrets. This may be a big return for you if your competitor decides to take advantage of the situation.

  • Lawsuits

When employees believe they were fired on grounds of unfair reasons, they could try to take you to court. If it is proven that unjustified termination exists, it may be expensive for your business. Always be sure to terminate the termination procedure or make sure that termination is justified.

  • Social Media Attack

Today people have a voice and some are willing to listen to their voice. Social networking is a great place for employees to disregard your brand and calm your picture if they think they have been misrepresented with you.

  • Bad Performance of Current Employees

It does not matter how much you care about your employees. They can have a stronger relationship between them than they have with you. Therefore, when you finish an employee and causes some dissence among the ranks.

Therefore, it's highly recommended that you consider many other ways to lower costs for your small business before choosing to resign your employees.

Source by Pierre Jean-Claude

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