How New Technologies Can Increase Your Profits
During times of economic struggle, most small businesses end up making cuts and changes to keep their businesses in the green. From laying off staff to decreasing business travel, reducing marketing efforts and ending bonuses and raises temporarily - there are a variety of ways small businesses look to cut their expenses. At the same time, they look for ways improve Small Business Profitability - especially when operating with reduced staff. Technology becomes even more useful as small businesses strive to increase productivity and efficiency.
Technology has greatly evolved in almost all aspects of life, and workplaces have not been left out. The office environment has changed a lot, allowing businesses to reach a global market, thanks to improved tech. Without a doubt, technology has enhanced efficiency and convenience in handling business.
As such, small and large businesses alike have always been on the hunt to new and useful technology for more significant benefits. That has made the business world competitive than ever before, but this has a desirable effect on productivity. If you have been wondering how technology increases productivity and profits, have a look at the following points
Efficiency and increase productivity
A few years ago, one of the main challenges that most businesses faced was gaining access to information while on the road. This had unwanted effects, such as delayed results when serving customers.
Limited information accessibility means a business cannot reach the maximum potential in terms of performance. However, this has changed with improved technology, such as cloud storage, fast internet access, and more. Businesses can serve their customers more efficiently than ever before.
Reduced marketing costs
Print marketing was associated with a high overall cost. The advent of the internet has brought severe change with the introduction of LED and LCD screens in digital signage and marketing. Businesses can also use social media platforms and other platforms for cheaper yet effective marketing. Besides, it easier to create more targeted ad campaigns, and such approaches do contribute a lot to reduced marketing costs.
Easier to identify challenges
Before improved and efficient technology, businesses had a tough time trying to establish the reasons why they were not doing well. This has changed with time, allowing businesses to carefully analyze their strategies and know what does not work for them. By identifying their weak points, companies can come up with better plans to achieve their objectives.
Better organization and time tracking
It’s easier to reach experts
With the different outsourcing tools available, a business does not have to rely on their employees for all expert advice and service. It’s easier to hire renowned experts who can help a company get the best results. Hiring experts allows the employees in a company to concentrate on their expertise as the experts do their thing.
Improved business safety
With manual records, it was quite challenging to ensure the safety and integrity of information. This was mainly as a result of how the data was being stored, accessed, and maintained. Modern technology has eliminated this challenge by allowing controlled storage and access of data. It’s possible to ensure business data security, as only the authorized people get their hands on the data.
Reduced overall costs
One of the best ways to maximize business profits is to reduce costs where possible. With things like cheaper and more secure storage options, reduced labor costs, and others, businesses can reduce the overall operation costs. Companies can also invest in LED and LCD screens for digital signage, allowing them to interact better with customers and save money in the long run. That way, more cash is channeled to the profits account.
- Communications - technology is well known for its capability to improve the ability for people to communicate with one another. Whether you've got employees on the road or down the hall, virtual phone systems can route calls to cell phones and keep everyone in touch regardless of location. Instant messaging and email provide quick ways to communicate with the written word and keep documentation of these conversations for future reference. Social media and networking sites provide a way to keep in touch with co-workers, customers, and the competition at a glance.
- Data Storage, Warehousing and Search - If you find employees are spending a lot of time looking for certain reports, forms or other data that they need to perform their job responsibilities, investing in network hardware and software to keep track of the whereabouts of your data can be useful.
- Telecommuting - many small businesses also find that there isn't a need for all employees to work in the same office building in order to get their work done. Having employees who telecommute requires the technology to make that happen (a secure network for employees to access data they require to do their job; improved communication systems to receive incoming phone calls at their homes or on their cell phones and the ability to keep in touch with co-workers in different locations). Having employees telecommute can save you from needing a larger office space, which keeps your overhead costs lower, too.
- Customer Relationship Management - having some sort of CRM software to help you manage your database of clients and prospects is well worth the investment. Many businesses will tell you the "money is in the list"; meaning the amount of money a company earns is directly proportional to the number of people on their mailing list. Some companies use software like ACT, Goldmine or SalesForce to track their clients and leads. Others have custom-built software developed to handle unique needs that can't be addressed with existing software. Technology makes it possible for small business to increase productivity and compete with larger businesses on a smaller budget, thereby increasing profitability. Efficiency and organization is improved through the use of appropriate data storage, search and mining, customers are better managed through customer relationship management systems, and it is possible for money to be saved when employees telecommute from home. Before investing in any new technology, identify the unique needs of your business and determine which technology will best meet your needs.
The above are some of the main ways through which technology is enhancing productivity and profits in businesses. Both small and large companies can now use technology to improve their performance and get better returns. The main benefit of technology is that it always evolves to become more efficient and has never-ending benefits.