You could argue that the medium or long term prospects of many organisations will be the last thing on the minds of their management teams at the moment. Cost of materials and transport are rocketing, currencies are fluctuating wildly, share prices are all over the place and I haven’t even mentioned credit or the lack of it. I was working in the advertising industry the last time things slowed down and remember all the arguments that we advanced for increasing spend and not cutting back like the competition. Some clients were able to heed this advice and some weren’t and I learned that there is no general rule. I am working with two contrasting organisations at the moment in this regard. One, Oracle, is talking about encouraging businesses to avoid succumbing to the trench mentality
that today’s economic uncertainty understandably is provoking. They argue
that with the right support
this could be a once-in-a-lifetime opportunity for innovators and entrepreneurs
to fight their
way out of the downturn with creative products and services. The other organisation’s cup is half empty (I won’t mention who) and see a downturn in consumer spending exacerbating an already tight situation. Innovation is still important but it will be turned towards cost-reduction rather than true creativity. Which side of the fence do you sit on and what will the implications for your organisation’s future focus?