Prosper or Perish
When people were getting familiar with some alphabets like V , L, U , W to describe the possible Post pandemic recovery of economy, there is new letter K on the scene with which everyone of us especially professionals like CAs, Lawyers, Engineers and consultants need to get familiarized.
K letter for recovery tries to explain phenomenon which is already visible in the stock market, job market etc. The recovery will be in two directions, there will be winners represented by upper line of K , attached to the vertical line going upwards and losers represented by line sloping downwards.
Firms and companies with highly qualified employees with good education and higher level skills are expected to be in the category of winners with greater certainty of profit and growth. However industries with which you are associated should also be in the winner category.
Professional firms may discover that in spite of innovating and adapting , survival is becoming difficult due to low margins and falling revenue. The smart firms will not only survive but will be the first to prosper and become winners.
Smart and quick decisions affecting revenue and costs in these difficult times ,as also in the long run , would require right information systems for decision making in real time. Those who wait for quarter or year to end to analyse the data, would be the losers.
Gabriel Marquez, Nobel laureate’s famous remarks “wisdom comes to us when it can no longer do any good.” should be kept in mind by every professional to ensure that they take necessary steps to get right information (wisdom) in right time before it is too late.
Many professionals work hard but hardly pay attention, in time, to profit making . Cash accounting system (where principle of matching of cost against revenue is given a go by) heavy dependence on analysis of past data, focus on time sheet data for billing alone, inadequate information systems, reluctance to invest in technology are some of the reasons for stagnation and low profitability.
Attempt is made here, in a series of short articles to present a methodology, which was conceived by our firm and has been evolving continuously with inputs from many professionals using the same. I hope that the professionals and those in service sector in general will find this unique but simple methodology extremely useful and easy to adopt. This methodology would help the firms design their information systems, strategies and practices properly to ensure not only survival but also prosperity in all situations.
I would love to get feedback from the readers to help me improve my thinking in this area.