Using creativity to boost profits in recessionary times - broadening the playing field

Basadur, M.S. and Paton, B.R. (1993). Using creativity to boost profits in recessionary times - broadening the playing field. Industrial Management, Vol. 35 (1), pp 14-19.

Abstract

Imagine a consumer goods business with 5 to 7 percent annual market growth, a high-quality product with near mystique status, growing market share and world class profit margins - what could go wrong with a business with attributes such as these? Unfortunately, a multi-year recession could come along and flatten that market growth; a deep-pocketed competitor could decide to invest heavily in a successful new product launch; a difficult crop year could sharply raise the cost of a key raw material; and profit growth, so important to growing shareholder value, could begin to look anything but world class. One such manufacturing company, faced with exactly this dilemma, responded not with the typical external consultant approach to reduce costs with employee cutbacks, but instead turned to its employees for help in reducing internal waste.

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