The seeds of opportunity

OUR COVER STORY | IAN BARKER, IAN BARKER GARDENS

Twelve years ago the world faced what is now referred to as the ‘GFC.’ It was at this time that I was forced to consider the viability of retaining all my staff. I wrote the names of all my employees on a whiteboard, just over 30 staff. Reflecting on those names was a very sobering experience. I knew I could not retain everyone, it was clear I was going to have to make some very difficult decisions. Those decisions were generally going to be based on good, sound facts, not on personality or personal bias but on who added most value to my business. It was with a heavy heart that several weeks ago, I felt a sense of déjà vu, here we go again... Despite the fear I also knew that I had to keep making informed decisions. Not decisions based on emotion but based on as many facts as I could gather. One of my first steps was to look to the past to see how other businesses had survived previous downturns. “The recession we had to have,” as announced by the then Treasurer Paul Keating in 1990, is a perfect example. Researching how business survived through this tumultuous period was one of the most valuable steps I undertook and it has stood me in good stead for this current crisis. Still, make no mistake, that sense of fear is still with me, particularly so with this crisis, however, there is no choice but to forge ahead. As an employer, manager or supervisor one of the most important roles you have is to lead. Your staff are looking to you more than ever for guidance and reassurance. This is often very challenging, you won’t have all the answers and that’s okay but my advice would be to be as well informed as you possibly can; be honest, frank and inclusive. Times of stress are often the most effective times for staff to really feel they are invested in your business. It is at such times staff can clearly relate their work ethics and contributions to the achievements of your business as a whole. Remind staff that now is the time to stay calm and make good decisions. Ask your staff to concentrate on only the things they can control and don’t stress about the things they can’t. Giving them 2 or 3 simple key items to concentrate on is far better than telling them nothing. Be positive but don’t lose their trust by being overly optimistic. Market your business. Now is not the time to stop marketing. In fact, if it is within your means, step your marketing up; while of course paying careful attention to cashflow. There is lots that can be done that doesn’t cost the earth. Look after your current clients. I know we all need new clients, either now or in the months ahead, but don’t forget the clients you have now. Chances are that they will also be under tremendous stress and may be looking for the smallest indiscretion to put your job on hold or cancel a service, so look after them. Make sure your staff are also looking after them and remind your staff that the only reason your business has work is because of the ongoing support of clients. The Seeds of Opportunity I commenced in the landscape industry as an apprentice in 1986 and started my own business in 1996. Before this current situation I have worked through three serious droughts and two global financial crises. All these events dramatically affected business. How you manage your business during the downturn, and perhaps even more importantly, how you plan for your future beyond the crisis, can set your business up for success in the years ahead.

Sales, not to be confused with marketing... Once you get a sale make sure you are doing all that you can to come across in a calm and professional manner. Dress appropriately (make an effort), clean your car because your clients will notice. How you present tells them a lot about how you will treat their house. Present the quote professionally and obviously follow up after a week or so. I know all this may seem obvious but it is especially in uncertain times that these small things add up and can make all the difference between signing a job or losing one.

Financials, we’ve all heard about ‘conserve your cash’ but what does it mean? For me, it is minimising debtors, invoicing quickly and then politely chasing the payment when it becomes due. Paying suppliers when the invoice is due but not early, 14 days could mean the difference between you having a buffer in your account or not.

Where possible look after your suppliers, when we come out of this you will need them as much as they need you now. If you do get into trouble speak to them early. In general, suppliers would much rather negotiate terms rather than lose your ongoing custom when the economy recovers.

Identify savings no matter how small, a little saving from multiple sources will add up and can ultimately make a significant impact on your business. One of the positives that can be gleaned from times like these are the lessons we can learn. I love seeing those members of our team that really step up when it counts. Use this opportunity to refine your planning and clarify who and what is really important in your business.

When life returns to normal you will have a far more streamlined business that will be better equiped to manage the next crisis when it ultimately eventuates. As Benjamin Franklin said, “Out of adversity comes opportunity”.