Iconic New Zealand-based menswear manufacturer, Rembrandt, has been in operation for 75 years, producing clothing in New Zealand before selling to Kiwi and Aussie retailers.
Managing Director of Rembrandt, David Lyford, shares his best advice for how businesses can survive and succeed tough economic times.
For Lyford, making changes is necessary for adapting to periods of economic downturn.
"It's very easy to just kick the can down the road and think 'it'll come right,' or blame the issue on the market, or your competitors, rather than look inward for the answer."
He advises businesses to be prepared to find solutions, make changes, and adjust and learn when problems inevitably arise.
When tough decisions need to be made, Lyford said that it is helpful to listen to the input of others and involve them in the process.
"If you're anything like myself, talking about problems and potential solutions with other people helps me understand what is needed. If you are making big changes, you need to take everyone involved in the business along the journey, no one likes surprises so being upfront early will do wonders when tough decisions are made," he explained.
In terms of battling economic pressure, Lyford said that businesses should consider all the levers they have at their disposal.
Reducing costs, stock levels, capital expenditure and debtors, should be considered as options, given their positive cash impact.
However, Lyford also recommends businesses to pursue some of the more difficult levers like adding capital, introducing new shareholders into the business.
"This was something we did which was beneficial on numerous fronts," shared Lyford.
During lockdown, Rembrandt completely overhauled its technology systems, which has been instrumental for the company in helping it build a better platform for the future.
“In the last six months, the company has seen the return of corporate black tie events and weddings and strong interest by Kiwi men in suits for these occasions.”
"Even in tough times, when there are difficult decisions to make, it's great to be able to find opportunities to come together and celebrate when we can," concluded Lyford.
