In tough times, it's become standard advice that companies shouldn’t freeze in place. That's true. Problems that were obvious even in good times become infinitely worse if you do nothing when your market is shrinking. The challenge now is to find a way to move forward without adding risk.
The first step is to leverage your best assets. Your people.
Start at the top and make sure your stars are doing things that only they can do. Have them delegate everything else, then go through the same process with every level of staff. You'll eliminate the 15-20% of busy work that no one at the company should be doing and immediately foster higher job satisfaction. People who like what they do also start to innovate better ways to do it.
When the economy comes back, your business and your people will be ready to take advantage of this new-found focus.