The strategy to improve Axiata's cash flow focuses on three primary approaches: optimizing operational efficiency, diversifying revenue streams, and strengthening strategic financial planning. Each of these approaches includes specific action items. For example, to enhance operational efficiency, implementing cost-cutting measures and automating processes is crucial. Such measures lead to cost reductions and process improvements, thereby increasing cash flow.
In terms of diversifying revenue streams, Axiata can explore partnerships and expand into new markets. Creating upselling and cross-selling strategies could further boost revenue. Lastly, on financial planning, dynamic pricing and regular financial reviews are essential to maintain a balanced structure, ensuring long-term sustainability.
The strategies
⛳️ Strategy 1: Optimise operational efficiency
- Conduct an operational audit to identify inefficiencies
- Implement cost-cutting measures in non-essential areas
- Negotiate better terms with suppliers for cost reduction
- Streamline processes through automation
- Reduce inventory holding costs by optimising stock levels
- Enhance credit control to speed up collections
- Standardise procurement processes to achieve discounts
- Set key performance indicators for operational efficiency
- Implement energy-saving measures to reduce utilities costs
- Conduct regular reviews of operational processes
⛳️ Strategy 2: Diversify revenue streams
- Explore partnerships with technology providers to offer bundled services
- Identify new market segments for existing products
- Develop premium service offerings
- Implement a subscription model for recurring revenue
- Leverage data analytics to understand customer needs and offer customised solutions
- Create upselling and cross-selling strategies
- Invest in marketing for new product launches
- Expand into emerging markets with high growth potential
- Offer consultancy services based on company expertise
- Form strategic alliances to increase market reach
⛳️ Strategy 3: Strengthen strategic financial planning
- Review and update the financial forecasting model
- Assess the capital structure to optimise debt and equity balance
- Establish a contingency fund for unexpected expenses
- Implement a dynamic pricing strategy to maximise profitability
- Set strict budgeting controls and regular variance analysis
- Develop a rolling cash flow forecast updated monthly
- Build relationships with multiple financial institutions
- Conduct scenario planning to anticipate potential challenges
- Monitor financial metrics and adjust strategies accordingly
- Incorporate sustainability initiatives for long-term savings
Bringing accountability to your strategy
It's one thing to have a plan, it's another to stick to it. We hope that the examples above will help you get started with your own strategy, but we also know that it's easy to get lost in the day-to-day effort.
That's why we built Tability: to help you track your progress, keep your team aligned, and make sure you're always moving in the right direction.
Give it a try and see how it can help you bring accountability to your strategy.
