Slicing and Prioritising the options
Here are the three main areas for which you can develop initiatives.
The cost structure
The financing
The product mix
Along those areas we will prioritise courses of action:
by level of control
Try to understand what you can control and what you cannot control. Focus on the options that you have most control on.
For example the behaviour of your customers, and of your suppliers tends to be outside of your control.
In contrast, the cost structure, the marketing channels you use, and the pricing you offer to your customers and suppliers tends to be under your control.
by impact
In times of crisis, there are two elements that make up the impact. The amount of cash that is generated and the timing when you receive it. First try to understand what measures will lead to quick improvements. Also try to understand which measures have the biggest impact on your cash generation.
Which ones to focus on first? Your current cash situation is a good starting point:
If your cash flow for the next three months looks tight, then you will focus on the quick wins first. These are the cost cutting and the refinancing measures.
If you have more room for manoeuvre, then try to understand which measures bring the biggest cash impact in a realistic time-frame. You might then focus more on strategic measures.
Some simple back-of-the-envelope-calculations can help you quickly assess the financial impact of each.