For many companies, database software has served as an important provider of workplace information and analytics that can help them make crucial business decisions. If a new survey is any indication, business owners around the country may need to rely on that data more than ever to shape cost-cutting efforts in the year ahead.
The Federal Reserve Bank of Philadelphia released its December Business Outlook Survey, which queried business owners around the country. According to the results, most companies have been faced with higher input costs in the past few months, and many expect that trend to continue into the new year.
In fact, more firms predict their operating costs – which include both labor and non-labor expenses – to increase in 2012 from the previous year, suggesting many business owners are prepared to buckle down for financial challenges.
An analysis of the data by The Wall Street Journal notes that many businesses have been able to find a balance between rising expenses and increasingly frugal consumers by getting the most out of their current workforce. However, the analysis questions how likely it is that companies can continue this strategy in the months ahead, as many workers have already been stretched thin.
At the same time, business productivity technology, such as database software, may provide owners with a clearer view of their operations to determine where inefficiencies may be hemorrhaging finances. With these metrics at arm's reach, managers may be able to make stronger, productivity-focused decisions to reduce needless expenses and run a tighter ship in 2012.
Additionally, custom application development offers companies the tools they need to ensure a more productive workforce. Those who fear their employees' output may be lacking may be able to resist financial pressures by relying on database software as an efficient workplace tool.