Uncertainty must be met by agility
Friday, 04 February 2011
So many regions of the world seem to be going through economic or political upheaval at the moment and, of course, the UK hasn't been spared. Government cutbacks, union disagreements and ministerial reshuffles abound. The uprising in Egypt has also made the money markets nervous and now there are fears that oil supplies will start to be affected if tanker access via the Suez Canal becomes restricted.
Political unrest, market instability, oil price rises, inflation fears. For those who've been in business for some years, it's all familiar stuff. And yet for UK businesses, it also suggests that the future is frustratingly uncertain. Even some analysts seem to have stopped predicting with their usual confidence which stocks to sell or buy. To me 'hold' says "I really can't predict what's going to happen so I'll play it safe for a while."
When it comes to managing business costs during periods such as these, it's wise to keep a careful eye on cash. And it's always a good bet, no matter what the climate, to compare serviced office space with traditional long-term business leases when the occasion arises. Even if you can renegotiate terms on a conventional lease, if a break does come up then I urge you to take a look at your local business centre and think hard about the short, medium and long-term advantages of switching to a different model of office space.
We've recently been debating what 'agile officing and meetings' really means to our business and, after much discussion, we've decided it works both ways. What we offer in terms of serviced and managed office space (as well as meeting rooms) means that our clients remain agile, light-footed and free of cumbersome leases, legal fees or rent hikes. At the same time, our proposition to building owners offers them more flexibility and gives them 'agility' too.
So my mantra this week is 'keep agile'. Keep your options open.
Philip Parris, Chairman, Harvard Managed Offices
