16. December 2009 by Noel Guilford.
It is obviously difficult to live in a society that is permeated with the idea that only total and absolute disaster can be the catalyst of necessary and long over due change. That may be the case for most of us, but we have the choice to be a fish that slips through the net or canned tuna. Many, many businesses and organizations find themselves too far along to take any type of corrective action that will make a difference. They flop around on the deck in vain protesting to be thrown back into the sea. The sad part is, that as the net of this recent economical environment sweeps up more and more businesses…I mean fish, how many will really be missed in the commotion?
So a show of hands for everyone that would prefer to sabotage their own business by being reactive rather than proactive…anyone? Great!
Now, lets not make this complicated shall we? It takes more courage than anything to put ourselves underneath the microscope. I’ll give you 7 easy steps to giving your business a self diagnostic and we know that checkups should be done regularly so your first time should not be your last.
Never stop asking this question as the answer can change over time. The current answer will be the direction that you drive your business in and the ultimate goal of all your work. If you don’t clearly know, you will be like a ship lost at sea with no bearings. Totally subject to the forces around you and utterly powerless to determine your own destiny.
There are no right or wrong answers here just honest realizations. Are your a front-line type of leader or more of a hands-off delegate type? Perhaps you don’t need to lead your business at all and it would be best lead by another person accountable to you. It could simply be that you best serve the business by managing the financial aspects rather than the day to day. Decide and stick with that decision.
On a scale from one to five, rate exactly how you believe your business performs in four separate areas. Five being excellent, three being fair, and one being poor. Not sure what a five looks like, that’s where step four comes in. This step is to make sure you calibrate what you believe to be good performance.
If the President needs an adviser then so do you. Some solicit the counsel of other business owners that they may know or have met through an organization of business owners. Others opt to enlist that aid of a consultant, personally this is an instance where the more really is the merrier. Let your adviser or advisers rate your business on the same scale and see what they have to say. At the end of the day the decisions are still yours to make. If others can help you see your situation from every angle would you not be able to make a better informed decision?
Take everything you know and everything that has been said by your adviser or advisers and lay it all out together. Give it all equal amounts of consideration, if it doesn’t work (even if its your idea) then it hits the cutting room floor? It helps at this point to remember step one. Keep what works and what has never been used. From these things create your business plan. This can be an overall business plan or one to tackle an area of your business that needs improvement.
Before you start leading employees out to the gallows lets give this a second look. Everyone has their strengths and their weaknesses, and in order to use an employee to their fullest you must know what those are. As loyalty is hard to come by, before you replace someone determine if there is another position on the team that makes good use of their talents. If not then the decision is clear. Always use a diagram on this step. It helps to make sure that you pair who you have and what they can do, with what you need done.
Alright coach, now you should know your role, know where you are, have a goal, have what your need done, and who you need to do it. Great! Now it’s time to get everyone on board. This may require one large meeting or several small ones. Lead as many as dictated by the role you play in your business. Just remember that most of all they need to know why they are there (why they work for you ), where they stand in performance (just the facts), what function they have, and what needs to be done next. Lastly give them your reasonable expectations to be accomplished in a reasonable time frame and who will be holding them accountable to these expectations and why.
Wondering who is going to hold you accountable? Each time you perform this seven step check up have your previous one handy. Commitment and accountability should begin and end with you regardless of your role. Even though no business fails in a day, and no business corrects itself in a day, there is only one time to begin change and that time for you can be today.
Posted in Creating the Culture, Being the Boss, Training | Print | 64 Comments »
15. July 2009 by Noel Guilford.
As a business owner have you ever asked yourself any of these questions? How to I get my employees to go above and beyond my expectations? How do I maintain loyalty and develop my employees potential? How do I control job turnover and create longevity among my staff? Well as that business owner I’m willing to wager that you have all of these answers already. Many business owners have seen a business model that they either believe they can duplicate or improve upon, that’s why they believe they are capable of being successful. Take some time and solve these and other issues that you may be facing with this very simple exercise. Approach this with an open mind and be as detailed in your responses and you can.
Step 1: Take a regular 8×11 sheet of paper and turn it length wise. Now draw one vertical line down the middle and another horizontal line through the middle of the paper creating for quadrants. If all else fails just fold the paper to create the quadrants, this will help you as you complete the exercise.
Step 2: Take a moment to reflect on every thing that you enjoyed about your previous employment experiences that pertain to the organization itself. In the top left quadrant write down as many of these things that you can remember. For example, did they offer an excellent training program that allowed you to easily become comfortable performing a required task or tasks.
Step 3: Now take another moment and in the top right quadrant list all of those thing that made you or others feel disconnected from an organization. How was the overall morale and why, are easy ways to dig deeper into this quadrant.
Step 4: Each of us at some point or another has had a superior that has inspired us to be greater than we are. Those who are lucky have had many of these leaders guiding them through their professional career. In the bottom left quadrant list all of the characteristics of these leaders whom have earned your respect. Yes this quadrant might be a little more difficult that the others, but the next one should go rather smoothly.
Step 5: Lastly, it shouldn’t be very difficult to think of all the characteristic of those leaders whom no one respected and no one followed for whatever reason. List these qualities in the bottom right quadrant to finish your assessment.
Now here comes the hard part. Just rip the paper right down the middle from top to bottom. You should be holding in your right hand the potential reasons for all of the problems that you possess and in your left hand you hold all of the answers. Take some time to really look at your business with an objective eye and ask if any of the things in you right hand are festering within your own organization and just how soon can you begin to replace them with more of the things in your right. Take the challenge, go for it!
Posted in Creating the Culture, Being the Boss | Print | 1 Comment »
27. May 2009 by Noel Guilford.
In a continued effort to remain competitive in a shrinking market many brands have resorted to invading the coined territory of their competition and enticing their customers away. As disposable cash is slowly becoming extinct, desperation has become the best fuel for innovation. I’m sure many will say their version of a desired product or service is better than the one currently offered by the market leader. Well, in the best interest of your core demographic it better be better than what you can offer. Tackling the challenge of expanding your business model to attract more customers can be an exhausting task even if done correctly. Some might consider this type of evolution to be more of an offensive than defensive tactic to emerge out on top.
Before you decide to do the same, first ask yourself how you fare in your own market. Unless you are sitting at the top of your market it could be very unwise to tread in someone else’s backyard. It’s a toss up between being a knockoff and innovation at its finest. In addition to that, not many businesses can afford the time away from their core product to explore the possibility of greener customers in another pasture. Many businesses get lost in trying to adapt to the needs of every single customer and the end result is a business with no identity and mediocrity is all they have to offer.
Keep in mind that your venture to draw in new customers with another businesses core product or service will be heavily scrutinized. Direct comparison with the original will be made even before the consumer has an opportunity to experience it for themselves. The upside is the increase in customer traffic if for nothing else than sheer curiosity, giving an opportunity to impress those that would never otherwise patron a business. Trust me I understand that many brands are fighting for their lives, and it’s extremely difficult not to believe that if you could out do the other guy then the customers would come but that’s just not the case. Battle with your individuality and make what you do best your greatest weapon, improve on that and let the other guys run around.
Posted in Marketing, Being the Boss | Print | No Comments »
29. April 2009 by Noel Guilford.
It matters now more than ever for small business owners to explore the options of using local talent to streamline business costs. Far too often cutting payroll seems an easy and immediate fix to rising costs and declining sales. Issues of controlling labor cost should be left in the hands of the management - at least for now. Given the cost of hiring new employees, outfitting them with uniforms if necessary, and the time needed to train them properly, this is not as cost efficient as some may believe. Not to worry, there are still other options that actually are more impactful to your business annually. If you use Bulldog Rule #8 – “Re-examine your business often”, then you’ll find that you are easily able to pinpoint your areas of opportunity. Here are a few ways you can go local.
Marketing
Look for opportunities to spread brand awareness at minimal costs. One of the more common and successful tactics is a business co-op. Form a working partnership with other local businesses and use incentives to increase customer counts for you and your partnered businesses. Get creative and remember all businesses involved must handle these shared customers with the greatest of care.
Another source of low cost marketing is supporting a charity. Keep in mind that just as the community is there to support its businesses, those same businesses are there to support the community it operates in. If customers believe they can contribute to the community through your business you have gained their loyalty.
Products and Services
Now is a good time to consider how your products are presented to your customer and how to better meet their needs. The name of the game in this arena is Convenience, Cost, and Consistency. It should be easier to get the same quality of products and services for a better cost. Keep an eye open, it might just be easier to purchase the same products from a struggling retailer than a struggling distributor.
Distribution and Shipping
That big time distributor might not be as convenient and cost efficient as he use to be. Don’t hesitate to change distributors or explore your options locally to meet your customer’s needs. In the event that the cost to ship goods from a central location becomes unfavorable, search for local distributors that can provide the same quality product and form a working relationship. Remember the objective is to make sure that your customer receives their product faster for a good price.
Customer Interaction
Even though I like to speak to a person when purchasing products or services, there are many who would rather not. Options include online purchasing, or using some form of automated service to interact with your customers on their schedule. The time and resources saved on errors, miscommunication, and labor more than make up for this type of premium upgrade to your business.
Overall the market is still very full of opportunity; you just have to: Assess the Situation, Plan the change, and Act on it to fight your way through the storm. Or as the timeless saying goes, when the world gives you lemons, make lemonade!
Posted in Creating the Culture, Saving Money, Making Money | Print | 11 Comments »
7. April 2009 by Noel Guilford.
Any one that has gone into business is surely doing so in hopes that it will be extremely profitable at some point. At the end of the day a business is an investment and investments get sold every day. Unfortunately for many business owners this becomes reality at the worst of times. Now businesses are sold for various reasons and I’m sure that everyone can name the worst of them. The truth is that sometimes a better opportunity presents itself and it comes right down to what is best for business. Either way, when the day comes the objective is to get as much return on your investment as possible, plain and simple.
That’s right, for most business owners there is the reality that the business will one day come to an end. How that day goes will depend on how many of these three things can be brought to the bargaining table. With the right preparation this can be an easy thing to accomplish, saving time and energy for everyone involved.
Growth (Past)
Giving records of sustained growth is simply not enough. All instances of documented growth should include the factors that contributed to that growth. This not only lends credibility to those fine financial statements but also reinforces the viability of the business model.
Consistency (Present)
Every business will experience some ups and downs. However it is important to show out how profitable the business can be when the right factors are in harmony. For some it might be a combination of Leadership, marketing, and operations. Whatever the factors might be, providing detailed records of the business functioning at an optimal level and having it currently doing so, will showcase your businesses muscle.
Potential (Future)
This will require you use Bulldog Rule for Business #12 Be aware of your entire business. Having an intimate knowledge of your customer base and the opportunities there to include proposed actions to tap those opportunities is potential.
Yes your accountant can provide evidence enough, but they can’t sell your business for you. Financial statements give an overview of the life of the business, but thorough records provide all the details potential buyers are looking for. Invest in a Business Consultant to assist with creating a system and finding the tools needed to properly document the performance of your business. When the time comes to move on be prepared, and make a difficult process into one that mutually benefits both parties.
Posted in Being the Boss, Saving Money, Making Money | Print | 11 Comments »