thePath:lens 01 ยท 02
Financial Health
Does this make the organization stronger, or merely cheaper?
A saving is only strategic if it does not weaken what the organization will need later.
Financial Health: the argument
Financial health matters. Cost reduction can strengthen an organization. So can greater capacity, better decisions, stronger customer relationships, reduced risk, new services and opportunities that were previously difficult to pursue.
The relevant distinction is not between profit and purpose. It is between taking value out of an organization and increasing its ability to create value.
A short-term saving may be worthwhile, but only if it does not weaken the knowledge, relationships, capability or resilience the organization will need later.
A saving is only strategic if it does not weaken what the organization will need later.
your business future
The other three questions in this lens.
your answer
What do you think?
Does this make the organization stronger, or merely cheaper?
Answer this question