Survey results show that electronics manufacturers are responding to the recession with constructive and forward-looking initiatives, such as targeting new markets and developing new products and services, to increase revenue. These initiatives will help them emerge from the recession with more potential customers and new offerings in the pipeline, and the benefits will be long lasting. They are also making long-term investments in process improvement, staff development and upgrading facilities and equipment.
On the cost-reduction end, changing suppliers or renegotiating supplier contracts was the most highly rated strategy for its impact on the bottom line. Administrative decisions such as salary freezes and travel cuts were also cited among those having the highest impact.
In addition to tracking basic revenue and profit, most companies in the industry also measure their sales growth rates, cost of goods sold as a percent of sales, and return on sales.
What is your company doing to weather the recession? Leave a comment below.