| A global recession triggered by various causes is | | | | unnecessary is made known for alternative uses) to |
| certainly bad news for all businesses in an increasingly | | | | value stream mapping which could be used for |
| global economy. From increasing oil prices, to chokes in | | | | identifying the 7 business wastes for elimination and |
| credit lines for companies to do business, all these | | | | process improvement. Six Sigma, a well-known |
| would spell trouble for world demand, directly impacting | | | | methodology typically used for achieving zero defects, |
| the bottom-line of companies. The usual tendencies for | | | | could be used to discover root causes of high |
| companies in their quest for business survival during | | | | business expenditures so as to facilitate their reduction |
| these turbulent times would have been to get into the | | | | and control. Even the good old process re-engineering |
| acts of headcount reviews, budget freezes and | | | | practices could be used to review and analyze current |
| reduction, and other drastic cost-cutting measures. | | | | business processes for streamlining and improvement. |
| However, overreacting to this situation or merely | | | | Also worth noting is that business improvement |
| following the "order of practice of the industry" may | | | | activities involve teams and encourages teamwork. |
| handicap a company's future growth when demand | | | | Such activities would most certainly improve employee |
| recovers again. What companies should do is to take | | | | morale during the gloom of a global downturn, while at |
| this opportunity of a downturn to re-invent themselves | | | | the same time increase their intellectual capacity and |
| and consider how best to position themselves for | | | | create a learning organization. Don't forget that it is |
| global recovery when it happens. | | | | also the people that make the company, and improving |
| There is usually a silver lining in all recessions, and that it | | | | their morale in turbulent times will go a long way in |
| is the time far-sighted companies are triggered to | | | | firming the foundations for good times that will come |
| re-invent themselves in terms of practices, processes | | | | again. |
| and human resources through business improvement | | | | The bottom line of this perspective on how companies |
| practices. | | | | can survive an economic recession through business |
| Companies could use a myriad of business | | | | improvements is that business improvement |
| improvement methodologies such as Lean, Six Sigma | | | | methodologies provide a valid alternative to the |
| or business process re-engineering to reap current and | | | | "layman version" of cost-cutting measures. These |
| future benefits during a downturn. Lean, largely | | | | methodologies provide a more prudent approach for |
| associated with the elimination of the 7 business | | | | reviewing the business during a downturn for long-term |
| wastes, could be used to review current processes | | | | survival. They also enable the invigoration of |
| and practices for immediate cost reductions without | | | | companies for the next wave of growth. The |
| reducing valuable headcount. Examples of Lean | | | | possibilities are endless. It is up to companies to be |
| techniques worth considering could range from the | | | | innovative for their survival during a recession and |
| simple 5S (a methodology to ensure that what's | | | | beyond. |
| needed is known to be available, and what's | | | | |