A Tight Labor Market Means Businesses Need to Be More Efficient
The U.S. Department of Labor reported that the September 2019 unemployment rate hit a fresh 50-year low, matching a level it last saw in December 1969. The natural rate of unemployment is 4.7%-5.8%, so less than the natural rate presents challenges for businesses who cannot find enough qualified workers to keep operating at full capacity. This means that businesses, small and large, need to find ways to work smarter, be more efficient, and increase productivity. SAFIO Solutions helps companies do just that.
WORKFORCE CONCERNS AMID POSITIVE BUSINESS GROWTH
In the September jobs report, the National Federation of Independent Business said 57% of owners reported they are hiring or trying to hire workers, but 88% of these owners reported that they are having difficulty finding qualified candidates for the positions they are trying to fill. The NFIB, who calls itself “the voice of small business”, reported that 23% of business owners’ No. 1 problem is finding qualified workers.
“The strong labor demand is a clear indication that small business owners are optimistic about prospects for the economy. Hiring has slowed down, but it’s due to the inability to find qualified workers, not because of a lack of customers,” said NFIB’s Chief Economist Bill Dunkelberg.
INCREASE EFFICIENCY ACROSS THE COMPANY
The opportunity for growth combined with a shortage of qualified workers means that the current workforce will have to be more productive. SAFIO Solutions has helped their clients increase efficiency through use of the Sales Analysis & Forecasting Tool©. In fact, one client had planned to add an inventory planning staff position, but then discovered it was not necessary because the Tool was so efficient.
The Sales Analysis & Forecasting Tool© enables its users to see their sales and inventory data in an easy-to-use format, analyze it and make strategic decisions quickly and efficiently. Customizable reports allow their clients to get the information they need in their desired format at a click of a button. Exception reporting enables the users to focus on the priority items – those items that will have the greatest impact on the business. Users are able to spend their time gaining insights and planning for growth rather than gathering, organizing and mining through their data.
In addition to the efficiencies gained by the management and inventory planning staff, other departments of the company also benefit from the use of the Sales Analysis & Forecasting Tool©. The warehouse distribution staff realizes increased efficiency due to improved receipt flow and improved logistical productivity. Production can be prioritized and workforce scheduled accordingly. The Sales Team also gains competitive advantages through the insights provided through use of the Tool.
The new tax laws and a strong economy are very supportive of business growth and profitability. With the help of SAFIO Solutions, businesses can work smarter, not harder, to achieve greater productivity and sales growth.