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Change and adversity is a brilliant trigger for innovation and growth…… but you must take action
[Updated: 2.45pm 26 September, 2026 The RBA unanimously agreed to lift the cash rate 25 basis points to 4.60%]Today we are expecting interest rate changes and no doubt a lot of negative media buzz around that with a reactionary view. That’s what gets the clicks and what people respond to (as shown in a 2023 study in Nature Human Behaviour that showed negative words in headlines measurably increase clicks). Apart from the obvious increases around high-interest savings and to the cost of capital in Australia from these decisions, the effect on the economy is of course important for business owners and that’s what I want to talk about in terms of mindset, decisions and action.
I challenge you to read and think beyond the headlines. It’s a risk of being in business that we’re often rocked by the external environment we operate in but we also have so much control over how we respond to that. The bigger risk is your reaction. Small business owners have a huge advantage from nimbleness and flexibility to leverage but we also have the advantage that sometimes a very small change is all that’s needed to realign things. So is it time for action stations? Or not. You may realise that this is going to be a non event for you or, you may realise you need to take action. Change is a given, always. Standing still rarely delivers a great result. Either way you need to review and decide.
Types of action in business
So there are two kinds of necessary action I think about when there are external factors about to impact my business 1) The immediate do I need to do something questions and action that is often logistical or tactical on a day to day basis and 2) the essential long term direction and trajectory adjustments type of action that keep us responsive to the future and correctly positioning for that in terms of personal and business goals. Both require the usual mantra I have which is ‘stop and think’ – you’ll see and hear that a lot with me and it’s in my marketing report card book too.
Stop and think : pattern interrupt
When we are reading headlines and everyone is talking about the economy tanking it’s most important to stop and think. What actual effect am I experiencing right now and do I need to take any immediate action? Often, there is very little immediate change in lieu of that news, so you can remind yourself you are actually fine for now. But there will no doubt be implications and market changes you will deal with or perhaps an acceleration of what’s already at play. What impact will that have on your business now and in the future. Interrupt and challenge your thought processes on this. What are the expectations? How important is it for you to effect action and in what timeframe will this be a requirement?
Instinct and data
There is an instinctual element to these decisions. I learned many years ago to trust that you innately know what you need to do (and if you are reading this I’m thinking you have a general idea already). But getting back to decisions and what’s needed now. Look at your data and confirm or deny what you think might be happening or what could happen for your business and industry now and in future. Figure out what you need to do.
Trust and aligned action
The business killing move I see most often is owners who see and talk about external change going on, who know they need to take action, who have figured out a plan, but then do nothing. This can become a cycle causing a slow decline. Jim Collins, in How the Mighty Fall, found the same thing across decades of company data: decline is usually self-inflicted, it’s well underway before anyone sees it in the numbers, and it’s reversible if you act early.
Perhaps unpack why you are hesitant to make the changes you know are needed. What is the fear, what’s the impact of doing nothing? What outcomes do you actually need? Which is scarier?
Goal check : what you want is possible
Re-check your goals. Ask for exactly what you want in business. Dare to dream as they say. What gets you fired up? Things change when you take action and get feedback and thats actually good. Are you in limbo? Is this the time to reassess what you want or are your goals still solid? It’s always good to check in on that aspect from time to time. Business exists and survives in every state of the economy. What needs to die and what needs to be born (or reborn)? Is this an opportunity vs this is an opportunity… something to consider every day to be honest! Where are the opportunities?
The sky is not necessarily falling
I am remembering the story of Chicken Licken / Henny Penny from when I was a kid. Did you read it? ‘The sky is falling! The sky is falling!’. Maybe this was an influence because I don’t tend to react with unchecked emotion in business unless I have hard evidence in front of me and direct experience and even then it’s around taking action and the emotion is short-lived. Take a deep breath. I’ve learned this over time. Change and adversity is a brilliant trigger for innovation and growth. Use it if you feel worried and get to your business truth beyond the reactions.
Sources:
RBA Monetary Policy Decision, 29 September, 2026 (TBA)
Robertson, C.E. et al, “Negativity drives online news consumption”, Nature Human Behaviour, 2023
Collins, J., How the Mighty Fall, 2009
Resources:
ATO – Manage your business cash flow
ATO – Managing your small business cash flow (newsroom)
business.gov.au – Improve your cash flow