FOR IMMEDIATE RELEASE
CEO warns business owners that staff cutting may cripple their
business
10X CEO, Nic Clark, warns Australian business owners that staff cutting can be detrimental
to your business. Instead, strong leadership is the key to helping your business survive the
recession.
Staff downsizing may seem like an obvious cost-cutting measure for businesses looking to
survive the current recession. However, according to Nic Clark, CEO of national business
development franchise 10X Limited, cutting down on staff can often hinder a business’s
growth and profitability rather than helping it.
In fact, as Nic Clark points out, recent studies as detailed by the Certified Practicing
Accountants of Australia (CPA) have shown that half of all businesses that cut down on staff
do not reduce their operating costs, two-thirds do not increase profit and over three-quarters
do not increase productivity, showing that staff cutting does not ensure the ongoing success
of a business.
As an industry specialist with 16 years experience advising small-to-medium businesses
across Australia and New Zealand, Nic Clark has experienced first-hand what downsizing can
do to the profitability of a business. “Staff cutting is often the first thing businesses do when
they try to reduce costs,” says Nic. “However managers often don’t realise the impact such
a practice may have on staff morale and the workplace spirit. Job insecurity can be
damaging to staff motivation and is likely to result in reduced productivity. Although
management may have made the decision as a way to decrease costs, the opposite is often
what actually occurs.”
In line with new findings from a just-released report on Australian businesses, Nic Clark
suggests that, instead of downsizing and looking for ways to reduce costs, business owners
should take more initiative and seek other ways to keep their businesses afloat. “In such
dire economic times, what will differentiate a business from its competitors is strong
leadership. Business owners must lead with vision, connect with their employees, implement
high performance management practices and have a positive attitude.”
10X teaches effective leadership techniques to business owners throughout Australia via the
10X Coaching Club. 10X partners with leading accounting firms across Australia to make this
service available to business owners seeking to recession-proof their business.
The 10X Coaching Club is a coaching and mentoring service that provides small-to-medium
business owners with ongoing assistance to improve their business, and serves as a
professional support group for like-minded business owners in non-competing industries. To
help your business not only survive but thrive through the economic downturn, please
contact 10X on 1300 658 221.
About Nic Clark
Nic Clark is the CEO of 10X Limited, a public company specialising in the setup of business
development divisions within accounting firms across Australia and New Zealand. Nic has
had 16 years hands on experience advising hundreds of small-to-medium sized businesses
throughout Australia, New Zealand, the USA, Canada and the UK. He has assisted in the
completion of over 890 comprehensive business plans covering a broad range of business
areas such as Management, Marketing, Operations, Human Resources and Finance.
Nic Clark has owned, operated and sold his own consulting businesses and has worked
closely with a variety of firms in different industries, including professional service-based
organisations such as legal, accounting and architectural firms; the fast food industry, from
pizza Franchises, to corner stores and catering firms; distribution and wholesale
organisations in electrical and lighting through to household goods; service-based industries
such as computer software, plumbing etc.
As a previous Director of Action International, the current market leader in business service
franchising and the founder of 10X Limited, Nic is regarded as THE expert on white collar,
business service franchise development in the Asia Pacific region. He is also the creator of
the 10XPERFORMANCE PLANNER business planning and business performance system, and
10XEXPANDER business consulting and profitability tools.
For further comments/interviews please contact:
Monique Van Dijk at 10X Limited on 1300 658 221
Further reference information:
Media fact sheet (attached)
Article: “Recession Proof Your Business – Win Their Hearts & Minds”, Tony Vickers-
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