Revenue is the lifeblood of any business. As consumer prices and global energy costs rise further, companies continue to fight an uphill battle to keep their operations afloat.
What once seemed like transient inflation is becoming a longer-term problem, and it’s impacting communities, businesses, and individuals around the world. According to the Bureau of Labor Statistics, the latest consumer price index rose 8.6%, the largest 12-month increase since the period ending in December 1981. In these uncertain times, prices may continue to rise , especially with ongoing political conflicts, public health crises, supply chain issues and a growing global population.
Businesses are no strangers to market fluctuations; however, the challenges posed by inflation in 2022 are particularly acute and unpredictable. Whether the current period of inflation ends up being transitory or not, the fact remains that companies must make a real effort to change their business practices now if they are to survive a tumultuous year. Fortunately, the technological acceleration of the past two years is already helping to combat today’s economic problems. Now is the time to not only secure your business prospects for the coming months, but also to hedge your operations against inflation for future peaks with new technologies.
If you’re ready to stop just surviving and thriving in the marketplace, your game plan must include scalable growth and thoughtful reinvestment programs to deliver more substantial purchasing and pricing capabilities. The end goal should be to minimize reliance on volatile labor markets and maximize revenue, while maintaining high employee retention rates. Transforming tedious and time-consuming manual business processes into automated ones can save companies time and money.
It is difficult to cut costs in times of inflation when prices are rising rapidly. So be proactive about your turnover and increase your cash flow. Regpack, a software company that enables quick and easy automation of invoicing and other business processes, wants to elevate the concept of “self-service software” to a new level of satisfaction. The Regpack system works like Lego blocks, allowing customers in all industries to create flexible, customizable solutions to manage automated payments, customer onboarding, and several other business processes.
“Using the power of automation to shorten the checkout process is smart at all times, especially in an inflationary environment such as the one we currently find ourselves in,” said Asaf Darash, Founder and CEO of Regpack. “Inflation is hitting small businesses hard, and our technology can help them weather the headwinds by putting payments and many billing functions on autopilot.”
Reducing labor through automation means less manpower will be needed to run operations. This allows employees to focus on strategic, value-added activities, which benefits the business and increases retention. Plus, full automation streamlines processes for the highest level of efficiency and transparency. This eliminates the risk of late payments, reduced productivity and a negative relationship between the parties. The automated invoicing process not only creates less work for everyone involved, but also ensures that invoices are paid and not overdue since there is no burden to track. Payment is simply made.
Beyond labor cost savings, automation can promote organizational stability. Investing properly in automation can protect cash flow, generate higher revenues, and reduce disruptions to supply chain, labor productivity, and demand. Businesses can use their new productivity and cost savings to pre-emptively create cost management systems that allow them to invest strategically while building the resilience to weather high inflation.
There are no magic solutions to a difficult economy. The fiscal backdrop for 2022 looks set to remain volatile, but your business doesn’t have to buckle under the pressure. By controlling expenses and automating back-office tasks, businesses will be better positioned to weather rising inflation and other economic challenges.
With today’s data resources and analytical power, there is no reason not to explore an attractive strategic response to inflation rather than trying to choose between tactical price increases, impact on margins or reductions in quality.
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