But the one piece of advice that almost seems counter intuitive, but really makes a lot of sense, especially for IT managers is this one: Spend on hiring.
Writer Karen Klein quotes Tom Gimbel, CEO of Chicago-based staffing and executive search firm The LaSalle Network, to explain this bit of advice. He says, "Business owners should hire -- not fire -- during a recession." Why? Because, says Gimbel, economic downturns are usually short in duration but he emphasizes that they could lead to smaller businesses losing the big picture of long-term growth. Klein quotes Gimbel: "It's easier to invest training time for new hires during slower growth periods. Employees that are fired during a recession will have to be re-hired -- which costs companies a lot more money in the long run."
Also, Gimbel points out -- and every smaller business competing for tech talent with larger companies knows -- a great way to get good staff is when bigger companies are experiencing layoffs. "This is a great time to find top performers who will help bring your company to the next level," says Gimbel.
The economy is heading down a rocky road but if smaller businesses know how to take advantage of the situation, focus on their goals, and put a solid team in place, it could ultimately lead to long-term growth and success.