When it comes to our organizations, we’re not immune to occasional unforeseen issues that can disrupt the flow of business. Once you’ve identified the cause of the issue, a new problem may emerge.
When getting rid of a problem would be a costly or time-consuming process, what should you do next? While the obvious answer is to simply put your solution into practice regardless of the cost, the truth of the matter is that budgets are rarely so flexible. More often than not, the prohibitive cost of fixing an issue can make it seem easier to continue with the status quo. However, before reverting to the “this is how we’ve always done it” mindset, consider these thoughts.
Expensive Problems Often Need Expensive Solutions
When faced with a large-scale problem within your organization, it’s important to realize that the issue is often complicated. Thus, the solution to this issue will need to be equally multifaceted, which could lead to significant sticker shock. For example, consider the problem of high employee turnover. You already understand the financial implications of coping with the problem, but fixing the problem will also be costly.
It’s likely you need to address your policies and procedures in many areas. To truly solve this issue, you’ll need to invest plenty of money and time. While such a significant investment can seem daunting, eradicating the problem is worth it; especially when you consider that the payoff will eventually make its way to your bottom line. Over time, a more substantial investment in solving a problem will cost less than merely putting a bandage on the issue.
The Devil You Don’t Know Can Still Harm You
As a leader, you’re likely aware of the price of inaction, but what are some hidden costs that you might not be considering? In the case of employee turnover, the immediate costs are clear. However, other consequences quickly come to light when you delve deeper into the issue. From lapses in productivity to falling customer satisfaction levels, an issue like employee turnover can soon cause a ripple effect. Many areas of your organization can feel this negative impact. While the cost of actually solving the problem can seem prohibitive, failure to do so could leave you with a much bigger mess down the road.
Your Organization’s Long-Term Health Matters
When we’re in the thick of dealing with a problem within our organizations, it can be challenging to think about the next week, month, or year — let alone our long-term forecast. However, when formulating your plan of action, it’s important to consider what could happen in five, ten, or even fifteen years if the problem is allowed to continue. In many cases, the problem will have the potential to worsen and subsequently become more difficult to solve. Taking the time to imagine how the issue could impact your organization in the future is an important step in analyzing the cost of your solution. While it’s always important to consider budget, allowing a problem to continue could ultimately lead to your organization’s failure.
As a leader in your organization, the ability to identify problems is only half of the battle when it comes to overcoming potentially disastrous issues. Your organization’s long-term success also depends on your resourcefulness when implementing solutions. A large-scale problem that is allowed to fester unchecked is likely to cause damage that will ultimately take a much higher toll on your organization. It’s true that sticker shock can be hard to overcome but remember: Sticker shock is only temporary, and the results of your efforts will be well worth the cost.