During recesion what is most important criteria for a Company to survive ?

While in recession period cash is scarce, we have to deliver profits lest company goes bust.  Thus go slow on developmental areas which will give results later.

Travel expenses can be cut down by having video conferences, tele meetings, etc.

Quality is must to survive.  Thus all team members have to put their best foot forward to deliver quality at least cost.

Cheers!

By investing appropriately in your business and cutting out ALL unnecessary expenses will help keep you financially sound.  

By communicating your company's services and why your product/service is the best choice for the money = value.  Get out and advertise your company services to the appropriate potential customers.

By creating and promoting employee enthusiasm you will get peak performance from individuals. No one will do a job well being depressed or scared.  Now is a good time to evaluate your staff and management and get rid of 'dead wood' or toxic managers that are undermining or hurting your employee moral and team environment.  Hire fresh, personable and motivating individuals to manage your people.  Dont be afraid to think outside the box and be different!

If you are loyal to your cusomter, they will trust you and gie you more work rahter than looking for a new provider.

We seem to ignore the capacity of the human mind to innovate and reuse of already available systems/processes/products.
This is the time where companies - especially in India to do things differently. Most of the companies in India have reached a maturity where common things are well managed (reason for the highest number of CMMI certified companies etc). But where is this common pool of information that can be used as across the companies - to cut costs and improve profits.
Any company that has undergone an ISO9001 200 audit ( - with its intent) should realize the importance of the 8th principle - Mutually Beneficial Supplier Relationships. This is being done only in pockets and not globally. Unless there is a drive to move towards convergence and creating these mutually beneficial systems, it would be very difficult to save cost, increase productivity etc. 
The innovative systems should focus on common issues like document management, security; IT, Facilities, Administration, and see what of these can be outsourced or in-sourced. There have been many six sigma projects and Lean improvements. Why cant we duplicate those improvements in other companies when there are many companies which have similar ISO and or CMMI to their kitty. Irrespective of the individual goals of these companies, common issues are the same  - like hiring, operations management etc. These common issues have to be bridged via innovation and reuse. Unless all the companies come together, each company would be suffering the same situation in a silo.

Businesses have to be adaptive. Business leaders must know that economies go through phases and recession is but a phase in the larger economic cycle. Not long ago, there was talk about the Indian economy being overheated. Everything seemed to hit the roof, be it the SENSEX, real estate prices, inflation, salaries and the sixes that were hit at the IPL!! We are now seeing the other side of it.

As an adaptive business, proactive steps need to be taken to combat the recession and the effects of it. The steps that need to be taken vary from business to business. However, the objective of these steps obviously would be to balance the revenue with the costs.

hi guys  i feel that during an recssion every organisation must introduce flexiblility

Flexibility in working condition like pormoting mutli skills in employess whihc helps in indentifying key workers of the firm and to reduce unnecessary costs as well.

apart from flexibility in working condition, organisations can focus on Recruitments strategy such as Online Recruitment etc., as every organisations will require more talented employees to manage the business once the recession is done..  its better to follow such flexible working terms.

to sum up

HIRING DURING RECESSION IS ONE OF THE BEST MOVE AVAILABLE TO EVERY ORGANISATIONS...!!!

Reduce profit margin !! Thus more clients are likely to choose you in recession!! Stick to your Clients loyally but search for new market options/clients/opportunities etc.

Control over attrition and customer retention would be two essential factors.

Non availability of stocks sometimes make us loose our customer or sometimes the profit. sometimes cash gets blocked in dead items so that capital cost is reduced. and customers are retained. 

In recession getting customer it self is difficult.

As such maintain inventory of fast moving items,sothat customer is serviced for his wants.

Maintain good rapport with the customer. Train the sales  people to attend customers personally. 

Review every process thoruoghly and eliminate all redundancies. Eliminate lavishness. Pass on the resultant cost savings to the customer, if possible.

re-negotiate credit terms both with vendors as well as customers in a mutually beneficial way. Place orders in smaller qualtities and more frequently. In a way channelise efforts in increasing the inventory turn over rate. Minimize exposure both receivables as well as inventory. 

Reduce employee salaries and treat that as a short term deposit with the company not exceeding 2 years. Once the recession is over, pay back employees with interest as per the standard norms.

Ask employees to buy or stick to the product that your organization deals with, if it is a regular consumable item.

1. Enhance product value through value analysis, expand customer base.

2. Analysis od each expense head and ensure the only expense, essential for production takes place.

company during recesion should keep eye on its capital and do whatever possible as described by friends above to keep it intact.

recession is make an deep impact to corporate to all pvt companies. at this criteria try involve in add on services based on Key proffessional existing in Organization.It is one of the helpful tool for improve Business development in the Organization.

Secondly,Try to hold the existing clints through as show the good progress of project.

Apart from theses,Minimize Company expenses & budget -It should reach to Management staff (Higher Level) to bottom Level employee in Organization. It should cosider and implement by each employee .

there r so many ways a company can survive.eg.good reserve funds policy as a practice will definetly help in critical times.slow business period is best for conducting market survey which includes customer base/loyalty factors etc., this activity surely helps in further steps that has to be taken for improvements.market surveys will definetly reveal new things that are taking place around us and show ways in new directions.

A slump or a recession is something one cannot tackle overnight as it happens. It is a slow process, expectations of the populace shift, companies starts feeling the pinch atleast 2 years ahead of time.

So one should have a vision for ones activities based on improving the Stockholder's value. To attain this one should have a short and long term plan which should be closely monitored on a weekly basis and changes made according to changes in the environment.

Once a recession is expected then we restate our forecasts, restate all the plans from Marketing and restating even budgets. This include even relinquishing debt for equity to reduce risk of foreclosure.

This adjustment processes usually takes place for about 2 years and if worse happens even layoffs and wage cuts ultimately. If one is well prepared the the pitfalls of such severe changes can be avoided.

The most important criteria for survival during recession is to regulate cash flow on purchases for company's office items,postpone refurbishing  upholstery,renovation.

Productivity being important factor for any organisation may survive it from recession...So to achieve it in this time company must focus on their own employees first.....