There has recently been talk of a triple dip recession. There is a recession when there has been two consecutive quarters of negative growth, a definition based on numbers. In Q4 2012 UK GDP contracted by 0.3% and growth in the previous quarter was 1%.
In my work I particularly enjoy helping businesses use numbers to make better decisions. Having the right figures to hand allows benchmarks to be set and for performance to be monitored and improved…. in short numbers can be empowering.
…however, incorrect figures or misinterpretation can be dangerous. There are plenty of companies that have run out of cash, having looked at their world through rose coloured figures and not the realities. Conversely taking too bleak a view can also be unhelpful!
What about the economy? A contraction of just 0.1% in the next quarterly GDP figures would mean that we are technically in recession. “Triple dip recession” would make for sound bites, column inches and hype, despite there being regional and sector variations and (I suspect) the reality of an economy that is bumping along the ground. A term like “recession” does need to be based on numbers, but it is best to get past the headlines and to avoid the hype!
Numbers are empowering… if used properly! If you would like to know more about how numbers can inform your business please contact David Lewis, on 07836 331677 or e-mail email@example.com