The Budget Cycle; Spending the 4th Quarter Preparing for Next Year
As anyone in the land industry knows, the 4th quarter is very often marked by a significant reduction in expenditures for land projects. This is not only predictable, it just makes sense. Since many companies’ respective fiscal years correspond with the calendar year, AFEs (Authorization For Expenditures) tend to run out as the fiscal year-end approaches. Projects can be slowed down, put on hold or even cancelled. Even for those companies with non-calendar-year fiscal periods, essentially half of the 4th quarter is dominated by one holiday or another, so people take time off, fewer meetings are scheduled, and less gets done.
For those who spend the 3rd and 4th quarters proposing, fine-tuning and adopting budgets, it is crucial to look ahead in order to avoid the aforementioned negative consequences of depleted AFEs. For those dependent on their clients’ budgets, it can be a stressful time of making do with less, at a time when most families generally spend more on travel, gifts, etc. Of course this is not really news to any of our readers.
The focus of this article is to make best use of the predictable 4th-quarter phenomenon. While the reduction in activity is unwelcome in many ways, it can also be an opportunity to make wise choices with respect to the implementation of technology. Virtually all organizations, even individual contract landmen, understand that they can streamline operations via technology, but most are too busy during the year to sit down and perform the necessary planning and implementation. Well, the reduced activity likely to be afforded you in the next couple of months is the opportunity you’ve been waiting for.
For brokerages, consider your computer network. Unless you have done so recently, have a consultant come in and evaluate your server(s), client computers, software, printers, scanners, copiers, etc. This is money well spent, particularly when it comes to developing policies for data retention and backups, security, remote access and general network use and accommodation. This will not only make you leaner and meaner, and therefore able to provide your clients more bang for the buck, your clients will have a greater level of comfort knowing that you operate your business in a professional and responsible manner.
Similarly, individuals should evaluate their current hardware and software, and spend time organizing and clearing their respective digital work areas of files created and stored during the past year. Developing a solid process of storing information in a secure and easy-to-locate manner will pay big dividends. Individuals also provide a great testing ground for new technologies. You probably know or work with at least one ‘early adopter’. Since these people are always on the front line of technological innovation, check with them to see how the latest scanner or smartphone app or cloud storage subscription is working out for them. In most cases, they will be very willing to share their discoveries.
The companies going through the budgeting process know all too well that now is the time to think of how they can do better in the upcoming year. We are dealing with a number of companies right now for the purpose of including TotaLand in their 2014 budgets.
Naturally, we at TotaLand Technologies believe strongly that we provide great value for those organizations and individuals desiring to streamline operations through the intelligent use of technology. We offer several affordable license options and can even provide GIS and data-entry services. If you want to know more, visit us at TotaLand.com.
Even if TotaLand is not part of your future, now is the time to capitalize on the slower pace so that you will be ready when the fresh budgets take effect in 2014. It is our sincerest desire that next year will be your best year. Thanks for reading.
Bill Justice - Founder/President, TotaLand Technologies