Labor is the largest cost in a business, and it makes up as much as 70%, says Paycor. Cost savings with labor may include hiring methods, wages, benefits, use of freelancers, and where everyone works.
There are other actions businesses can take to cut costs besides labor too, including reviewing suppliers and vendor agreements, using automation and other technology, and reviewing product and service costs.
Growing and making a profit in 2023 may be challenging for most businesses; therefore, reviewing where costs can be reduced without compromising sales and customer service makes sense. This business blog article looks at how organizations can cut costs in the following ways.
- Labor
- Suppliers and vendors
- Marketing
- Workplaces
Labor
If your business is performing well but needs to shrink costs to ensure it gets through the next recession, then it can not look past its labor investment. It’s not a given that you’ll