No one ever cut their way to prosperity. Remember “Chainsaw Al” at Sunbeam? Destroyed the company. I’ve seen others. That’s one reason I find the current budget debate in Washington so disheartening. There has been almost no discussion about the necessity for investment–especially in infrastructure in all the current national budget debates even though the country sorely needs infrastructure upgrades to support growing businesses.
In an article in the Wall Street Journal, a number of CEOs called on the government to reduce regulations on their activities (no shock there), but also called for government investment in infrastructure.
It is the same in business. Is your company simply cutting costs? Are they cutting costs to eliminate waste, or are they cutting cost simply to try to find profitability? There are two paths to profitability in the short term. One is to increase sales; the other is to reduce cost. For the long term, only the first one works
I’d love to see more talk about intelligent investing in growth as we try to expand this recovery (and, yes, we are still in a recovery). I favor the people who go out an d make things happen.