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The entreprenurial franchise?

Sep 22

Posted by Steve Gray in Excellence!, Franchising, Growth, Innovation and Creativity, Leadership, Planning, Starting out in business, The Board Room | 1 Comment

It’s probably thought of as a no go zone, the franchisor wants their members to follow a system, and the franchisee wants to have a system that ensures ongoing viability, and therefore $$ in the bank to fund their lifestyle.

For most the entreprenerial activity in a franchise will happen at the “top end”, where the franchisor develops the business and puts a lot of effort into finding opportunities the franchisees can utilise. This is the real entreprenurial catalyst area, being proactive, being innovative and taking risks… But wait, what would happen if the franchisees did that too! ARRGH! You want them to follow not to lead… well yes… to a point.

Imagine you have a franchise with 100 franchisees, and only you provided the system and there as no feedback, sounds ideal right… but What if… they were to find ways of doing things better and pass them on to you. If each of them put in one small idea that impacted the business by 1% then you would have a business that was 100% better! (okay stop laughing its a concept not a mathematical model! But you get the point.)

Many franchises have fully functioning adults as franchisees, and over time you could utilise their collective intelligence to make a difference to the overall business, to their business to our business experiences as customers. Often all you need to do is ask.

- Provide an avenue for the franchisees to have input into the business, from start to finish.

- Encourage them to think outside the square (not to create headaches) to find ideas and opportunities that could make a positive difference to the way the business runs.

- Explore focus groups and think tanks so they can feel part of the whole business and ts overall success.

- Become a business that is known for listening and then acting when appropriate. Then encourage your franchisees to do the same.

Whatever the orientation of your franchisees entreprenuerial or not… utilise their expertise and experience to build a business that can offer greater stability and strength, in the long run a well managed entrepreneurial franchise will always beat the compeition hands down, due simply to being one step ahead of the game.

The Franchisor has a duty of care…

Sep 20

Posted by Steve Gray in Excellence!, Franchising, Health and Safety Dept, Planning, Risk Management, Starting out in business, The Sales Dept | No Comments

In business we all have a duty of care to some degree, we also have to make a profit at some stage by providing a product and or service that’s what makes us a business and not a charity.

In franchising I see it that the duty of care is still there, its perhaps very different to working directly with an employee but it still exists. In some areas Franchisors have been criticised for some of their practices and over time regulators have put in a lot of work to ensure unscrupulous operators are out of the system or not supported, by putting into place some devices to make their business be seen as one that cares at a deeper level will only assist them in sales and their longevity in the market place. If the duty of care is lacking there can be issues arise that cause more friction and pain than good will and esteem.

So what sorts of things can they do to bolster their duty of care?

1. Stop the churn - Churning is a term used to describe a person giving up their territory and the main company reselling it at a future time, so they get a number of start up fees from the one territory. This great for them but not for the person trying to sell their territory. it causes a sour feeling for the seller and perhaps some tension from the franchisors side, over time the wound may well heal but the stigma remains. if they had worked with the initial owner to create a business that was glowing, and perhaps create a ‘passive income’ then they would not have to sell, in fact they would have created an asset of greater value.

2. Make the start up better – Sure new franchisees get training and before the training is the sales process. What if before the sales process came a due diligence checklist? Or a guide to what makes a successful franchisee in their business… It would be great to have info that showed a scenario of how to make the business work rather than a risky stab in the dark. It could also be a model of how to operate the business if they get into it. It serves two purposes, to inform as to how the business might run, and as a qualifying device to pick the right franchisee and not just any franchisee. Take it further and insist they spend at least a week or two helping out another franchisee, then ask if they really want to do it, find out the whys and why nots and build on that to make the business stronger. Even go so far as to provide them with a simple financial checklist or spreadsheet, that shows the average costs of running the business and then do some financial from there, it could be an excel preadsheet they use ont he computer to punch in various figures to see what they could make, not trying to figure out roughly what’s possible.

3. Train better – It’s one thing to learn about a product or service but another to learn about business skills, even if you have some already. Business is such a diverse device that one type of business may not mean the skills are transferable. Role plays, scenarios and various practical examples can be useful as well as the mechanics of leadership, finances, marketing, HR and so on. The more info you get to work with the better. Then add to the training later on, seminars, franchise group meetings and conventions go some way to doing this so make it a feature.

4. Communicate more – So you have a new franchisee, a contact at head office and over time they get disgruntled and you wonder why… make the effort to have the team keep in contact, when you contact them they say, “We would be more productive if you head office people did not keep calling us!! Ha ha! but hey keep it up the support is great!” An email occasionally is nice, a newsletter okay, but the real McCoy of face to face or over the phone contact regularly makes a real difference. Be there for the franchisee, not just pay lip service to it so they can really sense you care.

5. Use your FAC – The franchise advisory council or whatever you choose to call it, should be a vital link to the inner workings of your organisation. It should be the guide to improvement, the quality development device that you call on to get momentum happening. Lets face it the franchisees are the customers to the franchisor so the FAC becomes the focus group to learn from. Well trained FAC’s can become mentors, and get feedback from the people at the coal face.

6. OHS – In most cases where a duty of care is mentioned, Occupational Health and Safety is the area where it gets mentioned. The same here, all the above points are about caring for the franchisee physically and mentally. So consider using some form of OHS plan to find ways pf helping the franchisees. It may even be as obvious as showing them ways to boost their own OHS in the workplace and becoming “safety watch its” that may make a difference.

7. Minister and discipleship – Not totally in the religious sense, but in the setting of standards, the leadership of teams, the passing on of the “good word”. Be the way, the truth and the light… Be the person they respect as a leader, be the one who is the font of knowledge and is there with the right sort of advice and helping hand they need when they need it. It’s more of a holistic approach to caring and your role in the organisation as the leader. Consider it as mentoring, coaching, leading, ministering, discipleship and or anything else you care to call it, be their right hand and be it brilliantly!

8. Do the internal stuff - It’s one thing to work with the franchisees, but how often do you focus on your staff? How are they awarded and rewarded for their contribution above and beyond the $$ they earn. If the franchisees and prospective franchisees are doing their job they will notice the turnover of staff, any annoyances in the background etc. Your job No: 1. is to build the esteem of the internal team so that they glow with enthusiasm and delight at being part of your team and the things it achieves. Tey in turn will look out more for the franchisees and any issues they have more readily.

None of the above points are meant to be easy, in fact they might just add to your workload a little, However if you want your franchise business to be exceptional in all it does, these are a guide to finding the way forward and the franchisees will love the care and attention you show.

Choosing a supportive franchise

Sep 18

Posted by Steve Gray in Franchisees, Franchising, People!, Planning, Risk Management, Starting out in business | 2 Comments

Starting in any business is fraught with challenges, in franchising its the same, there are challenges. The aim however with a franchise is to diminish some of the risks so you can begin with a solid system behind you that offers training and support as well as a proven brand people want to buy from.

It is important therefore to select a franchise that can work with you in a way that suits you and while people have different things they want from a supportive business arrangement here are a few points to guide you.

Note that prospective franchisees have a great deal of power, the sales person wants you to buy, you are looking and therefore have the power to say no, the power to ask lots of questions and can walk away at anytime if it does not suit you. Use this “power” to make sure you are getting into the right kind of franchise, because a rushed decision can cost you dearly over time if its the wrong one!

This article is part of a series on franchising, you may like to see the first one in the series, it’s here.

Business and practical skills training - A caring Franchisor will provide both, therefore, as you work on the business you can work in it as well. The training provided is vital to ensure you are able to tackle the business with ease, not with trepidation. So ask lots of questions about the training and how they measure the results of that training. E.g. do they follow a competency based assessment model to ensure you meet a set std or do they simply show you and expect you to figure it out later… A supportive organisation will make sure you know the right way to do things and how to build your business to be all you want it to be and more.

Ask for examples – Of how they have helped existing franchisees with their businesses, then get their contact details and verify that this is the case, check for gaps in the communication they say they are offering and the actual communication taking place. The differences can be huge, so the smaller the difference the better. I would also ask franchisees how the organisations leaders operate, if they are leaders and how they prove that (note, not dictators but leaders… their team love them, the franchisees love them)

Fluff and bubble – Some franchises have franchisee meetings, seminars and or conventions, are these full of “fluff and bubble” or are they of real value to the franchisees? Yes you should be asking all about these things as they may well form the backbone of support for your business after the initial training. A caring and supportive franchise will certainly want to make these sessions power packed, relevant and to the point.

Transparency – Is the main Co transparent in ALL their dealings? Of course most will say “yes” however does that include the financials? Head office staffing issues (happy, sad, turnover of staff) all these things can have an impact on the stability of the overall organisation. Of course it may not be as transparent as a cooperative group where the members are like shareholders and an active part of the organisation, however the amount of transparency is useful to know. Often people trust a transparent organisation more than one that appears to hide information.

Ease of information – The main Co should be way to get info from, they should have been through the hoops before with these issues and have the ability to answer the questions with ease. If things are starting to become challenging with a few questions, imagine how they might be in a few months after you joined their business. the aim is ease of working with them.

Passive income and you… – Ask them about how they can help you specifically to build a business that provides you with passive income, they should have an easy to follow system to assist you over time. Passive income? Income where you don’t do too much to get a return on your outlay. Initially it would be build the business, make a profit… then you install a manager to run it for you, you do little and reap the rewards, mainly income.

Sales reps and you… – The sales rep for the company could be anyone from the CEO to the State or area Manager. Ask yourself, did they respect you? This can show up as a range of things, like, were they on time? Did they have a clear presentation? Did they stick to a set time frame? Did they bring material to leave you with? Did they do anything else they promised to do? I judge this on a ten point scale, if they start at a ten and then fade, from there I would start to evaluate if it’s worth it below say a five or four. I am not saying the rest of the company is like them, but chances are the first impression can be a vital indicator.

That’s the list. Its a starting point to ensuring your investment in the business system is one that ensures you will be cared for, if not I would ask is it worth it? Remember this information is provided as an educational device and not speific advice, the decisions you make are up to you.

In the end it’s all about a great business model and the relationships they build from there.  If you feel it can grow and blossom or fade and wither. I know which I would prefer!

The exceptional organisation.

Sep 17

Posted by Steve Gray in Excellence!, Growth, Human Resource Management, Innovation and Creativity, Leadership, People!, Personal Development, Planning, Risk Management, The Operations Dept | No Comments

The exceptional organisation according to Tom Peters associate Ed Michaels, is one that provides and nurtures rigourously the following…
“Remarkable challenges, rapid professional growth, respect, satisfaction, fun, stunning opportunity, exceptional reward, amazing peer group, full membership in ‘Club Adventure’, maximized future employability…”

All this leads to attracting more of the right people both internally and externally. In a world where skilled and motivated people are in hot demand then this list is just a starting point. Now take the list and make your organisation “fit the bill” or miss out, the race for influencing great people to partner with your organisation is fast running out of options!

The info was sourced from www.tompeters.com and makes for great reading.

Suggestion, make a list of the items above and get your team and or yourself to create a list of ways to make it happen, I would do it as a table or matrix and see what’s already in place and what can be added. Go on go for a WOW organisation!

The hard yards of franchising

Sep 16

Posted by Steve Gray in Franchising, Negotiation, Planning, Starting out in business | No Comments

When it comes to buying a business or starting out in a brand new venture, it is vital to do your “due diligence” so you can know if the business is right for you. In franchises its the same, however it is reasonable to expect the franchisor should be able to supply you with more information beyond the usual sales pitch so you and your support team (accountant, advisor, mentor, business coach etc.) can make a rational decision on what’s possible. It should alsoguide you to see if there is a suitable match between your skills and attitudes for the business. In an earlier post on franchising I gave a broad outline of the major things to look for, now lets go deeper and see what else you might do before you make a “leap of faith”.

You will have found a few franchises worth looking into and now you are about to come face to face with their sales representative. Sure they will make it sound all nice and rosy, but you can cut to the chase once they have done their presentation and give yourself more info to work with if you ask a few poigniant questions. I have listed a few questions and some likely resposnes so you can second guess their responses and get greater depth. (That’s the theory!)

Is there growth potential in the market? – The usual response might be “Oh sure we have doubled the amount of franchise businesses in the last 12 months and it’s growing from there.” This may well be true, your aim is to find out how many were sold in the last few years so you can compare, then ask about how long people stay in their franchises, e.g. how many get out at the end of the first contract period? And what statistics do you have that you can show me the customers are growing, not just the franchise numbers? (It’s one thing to project to sell x franchises and entirely another thing to actually do it! And another thing to have the customers to buy what’s on offer. They should have clear statistics showing the amount of sales in existing franchises.)

What opportunities exist? - “Oh there’s lots, things are going ahead in leaps and bounds, let me show you a map of your suburb” You may be looking at an area to explore, however do the right thing and ask to see a map of where they currently are and where they want to be, some have maps of the country with different coloured pins in the various territories and you should be able to see the sold ones, and the one’s up for grabs. For you this gives a big picture view and lets you see what other areas might be available for expansion later.

Tell me about the competition? – They will no doubt tell you about other franchises in your area, some may even “bad mouth” them to build themselves up. What you really need to know is if there are many smaller players that could eat into your business, if they have done the research they can tell you more, if not they might be at a loss to know more about your region or territory and the actual customers you can expect to see through the door.

How long did it take for the average franchisee to get a return on investment? – “Of course this varies and its so hard to tell.” But they should be able to do a model of the AVERAGE so they can give an indication of the return. Imagine putting $200k into a business but not getting a return on that investment for 12 months, that could be very alarming… better to know now than later. If the franchisor does not know the answer, then ask some of the franchisees, if they don’t know maybe the training and support team can tell you… or maybe they have no idea, remember the aim of buisness is to make a profit, so they should be abel to tell you when on average that might happen.

Does the business develop into a passive income stream? – Who wants to work all the time, if you can get a return on your investment to the degree that you do not have to work, then that might be useful… so ask how many have achieved that, then get their details, if you sign up they should become your mentors! or if nothing else a great point of research info on the company in question.

What hours does the average franchisee put in to make a real go of the business? – Again it’s profit, and the how hard do I work question. It’s not a job you are buying, it’s a business system, it would be ludicrous to go from working a 5 day week to a six day week for the same return or even a lower return! Sure the change might be great (sick of the old job?) but how long will that last?

Staff, are they easy to get and train in this industry? – Back to the passive income section, you will need people to do it for you right? So lets make it easy to do, not a struggle. Some franchises will have people queing up to work for them whle other will avoid it due to the hassle.

This list of questions is a starting point to choosing a suitable franchise, its up to you to develop a longer list of questions but these ones will probably be the key ones in time. Enjoy the hunt for the right business for you, I ope the list makes it a little easier at least.

Here is a link to a checklist on franchising questions (Australia) a prospective franchisee should ask. Franchise Checklist

The ideal monkey

Sep 14

Posted by Steve Gray in Growth, Innovation and Creativity, Leadership, Negotiation, People!, Personal Development, Planning, The Sales Dept | No Comments

No this is not about Homer Simpson getting a helper monkey! it’s about the ideal clients we all want to chase, but hey there are issues about going for gold, its time, money and often our attitude.

Firstly the ideal customer “monkey” is at the top of the tree, try to climb it too fast you might scare the monkey (not good!) Those that have wooed the monkey in the past know that once they are off the ground and climbing, they have to entice the monkeey (influence it if you will) with the right food, if you have things right the monkey may even come to you!

Secondly you have to be aware that the non ideal monkeys don’t like to work so hard to get to the top of the tree, and therefore they stay to the lower branches and on the ground, they are lazy and want you to go to them, enticement or not, they cost time and money in the long run, but they help to pay the bills. These monkeys create a hard bond to break.

Okay, so it would be good if you could climb the tree quickly and quietly and be back in time to look after the monkeys on the ground, but the top monkey wants to be courted on their terms, not on yours, so what to do?

In an ideal world your sales rep could be trained to court the monkey in the right way while you keep the lower end monkeys happy, but until that happens not much can happen, and note how the lwer level monkeys keep you too busy and not earning enough to hire a sales rep?

Its an age old conundrum, if you take the slow path, costs can overrun you, but once the top monkey is in the giving mood you can then free yourself up to look after more of them and jump readily from tree to tree as the other top monkeys can see you coming at their level and are often more welcoming.

To get to the top monkey takes a strategy, and an action plan to ensure you have the steps in place to get to the right monkey at the right time. This is called a sales process, its a step by step method of research, sending info, and building up to the final presentation. Then and only then if they are happy with what your offer, will they give a little.

Some monkeys are a pest, but a top monkey can be a sought after leader in the pecking order of business, If you want to get the “monkey of your back” you have to find ways to get to the top monkey.

7 steps to finding the right franchise

Sep 9

Posted by Steve Gray in Franchising, Growth, Planning, Risk Management, Starting out in business, The Board Room | 1 Comment

With hundreds of franchise business opportunities to choose from it can be a daunting task to find the right one, retail, service based, business to buisness and each has so many options avaiable, and to top it off the costs involved can make the choice easier (less options available) but harder (cheaper does not mean quality will follow).

If you have not been in business before find resources on getting started in business (Business forums, glossaries of business terms and books) and familiarise yourself with some of the terminology used, so that when you get into the research you can have a better understanding of what they are talking about and how it might effect you. It can be confusing to try and get your head around terminology you do not understand when a sales person is doing their level bet to sell you something.

Here are some tips for making a selection, remember this is not specific advice, but a starting point on the road to your education on franchises and their ability to provide what you need. Best of luck with your decision!

1. Competition and demand for the product – This is basic but can be overlooked, just becuase a franchise has developed a business system does not mean people in your area will want to buy. Ask about and do your own research on the competition in your area, (just because there may be none at the moment does not mean there has not been some in the past which may have learnt the hard way that the locals do not buy that service or product.) – Is the cost to the consumer feasilble? – Is the concept one that your community (or territory) finds okay and wants to utilise? – Is the brand brilliant? – Is there going to be sustainable demand for the product so you can be readily rewarded for your efforts?

2. Profitability and costs – This is what business is all about, you are not creating a charity, so you need to know how profitable the business is, or is going to be (and how long that will take!) Ask if the profit they might quote to you is after wages (your own included…) too many people find the costs too hard to handle and the profitability is not there despite many hours of hard work and determination.

3. Ease of operation – Does the company provide a simple business plan? – Simple operational systems? – Do other franchisees follow it? – Does it work ALWAYS? – How does Head Office respond to requests for assistance in this area? Now ask yourself this, if I am going to buy a busness is it going to be easy to run or a pain? I know what I would want! I also know that in time I would want it to be able to run itself so I can enjoy the passive income it can provide.

4. Support - Like anything a business can “fall over” with out the right foundation and support. You will need support from the company’s head office, your family and friends. This can include moral support when things get challenging (and they will!) Training, meetings to assess the group performance (Franchise meetings), one on one support from a company “area manager” or similar. Now ask yourself, am I able to listen to this information and put it into practice? Will I be able to work with them? All of this adds up to ensuring your business success.

5. Costs – There will be the start up fee, ongoing franchise fees and of course your overheads (the costs involved in running a business.) This is probably a good time to involve your accountant or even a bookkeeper, to work out some of the costs involved in running the type of business you are thinking of. For many people they go from being employed to running a business, they see the money come in and then (almost mysteriously) go out again! It can take a while to understand what’s taking place and how to handle it, for some what’s left after the expenses is not enough to live on. Understand the costs involved and even project what level of work is required to meet the costs so you know what sort of effort you need to put in to make the business thrive, not just survive.

6. Me! – Can you do it? – Do you have the skills required? – Can you learn the skills? – Do you have the right attitude? For many the answers will be yes, yes, YES! But in reality often this is due to the emotional excitement of the thought of running the business, not based on reality. Ask lots of questions of family and close friends. Chat to the company about how they go about assessing prospective candidates (their process should be vigorous!) Then ask yourself am I really up to this?

7. Research – Do lots of research, chat to many of the existing franchisees, and ask them all the same questions so you can really gauge how things are from the other side of the business. Get yourself into the business and offer to work with one or a few of the operators for a few days, pick their brains to save you a lot of stress later on. Find out what sort of hours are they putting in to the business to make it work, and watch out for two partners working and taking out one wage, it can look very productive, but in reality its two people earning half as much. When chatting to other franchisees, ask them about the franchise support meetings and the value directly to them, this an give a good window into the inside of the business. Also ask how many franchise owners currently make a passive income out of the business?

Thats the list. If you get into any business I wish you all the best, and franchising should offer you a great deal more than just trying to fly by the seat of your pants in your own start up phase, but you need to find out exactly what that is and how it will work for you, or not.

Post Cards As An Effective Trade Show Giveaway

Sep 8

Posted by Michael Crooks in Innovation and Creativity, Planning, Starting out in business, The Marketing Dept, The Sales Dept | 10 Comments

Tired of handing out pens and other junk at trade shows that don’t give you any return on your investment? Consider the benefit of a 4″ x 6″ postcard.

A postcard is a great trade show handout …. IF, it is backed by an effective idea. Many describe a great postcard handout as little more than a giant business card. While a postcard may be better than a business card, it’s still a yawner — unless it contains something of value or potential value to the prospect.

Lets explore some examples. Let’s say you own a high end women’s clothing store. In that case your postcard could offer the prospect a “Private In-Home Showing”. High-end buyers like to be catered to. A private clothing showing in the prospect’s home or place of business speaks to that desire. The card asks the prospect to call to make arrangements. Over the phone you get her preferences, likes, dislikes and sizes. Then you make the appointment and take a fine selection of clothing to her. This also allows you to gauge your Return On Investment (ROI). Best of all, it allows you to develop a personal relationship with the prospect.

Lots of marketers, eager to cast a big net like to offer discounts and freebies on their postcards. By and large, I detest dollar-off coupons, discounts and freebies to build a loyal, money-spending client base. Mostly they attract “bottom-feeders” with whom you are establishing a relationship based on price. If your goal is to make money, then a relationship based on price works in the prospect’s favor — not yours.

If you insist giving away the store to get new clients or prospects … at least make it a buy one get one, a buy one get the second for 1/2 off or a dollar amount off with a specified dollar amount in purchases.

A more effective approach to rewarding prospects and getting your name spread around is to offer an imprinted promotional item or gift with purchase. This can really help drive trade show traffic to your retail location. This way, you are only giving promotional products away if they actually take the time to visit your location and spend money. For instance, a restaurant could offer a free steak knife with purchase of two dinners. Combine this with a punch card program and give customers the opportunity to collect a complete set though subsequent meal purchases.

Another way to use a postcard is to make it a ticket to a special after hours store event. You can give the highlights of your product or service at the trade show. Those who seem genuinely interested, receive the “ticket” for a more in depth demonstration, product review or test drive at the special event. In this case, you only give the postcard to those who express a desire for your product or service. Those who show up for the event are genuinely interested. And genuinely interested prospects and are YOUR golden ticket.

If any of the product lines you sell has a co-op program, check to see if the post card can qualify for one or more of your suppliers co-op programs. This will help you lower the cost of the entire program.

Use of the tactics described above can also help drive traffic to your website. In cases where the postcard is used as a ticket, you can give people the option of reserving their place at the event via phone or through your website.

By and large, a postcard that’s little more than a glorified business card is a waste of your time, energy and money. However, if you marry the postcard with an effective idea … then you may have promotional marketing trade show gold.

My 3 favourite articles…

Sep 4

Posted by Steve Gray in Excellence!, Growth, Innovation and Creativity, Leadership, People!, Personal Development, Planning, Risk Management, Starting out in business | No Comments

 Okay world, here are my 3 favourite articles for the period Sept 2006 – 2007 our first year of www.freebusinesstips.com.au

Jenny Stilwell  3 pillars… Because at the time it knocked me flat! I loved the depth yet a simplstic approach that ANYONE in business could follow. I love most of Jenny’s work and so the link is her name, but this one article grabbed me, and to think that its available free for all to use WOW!

Business profiling a 3 tiered approach  Because it has the potential to make waves, waves of understanding, there is still more to come to add to this but time will tell. I am very proud of this one, and yes its mine… It came about because of freebusinesstips.com.au and my involvement in it, it was like shuffling through so many options and possibilities and then it hit me, it had to be done.

My third choice is a culimination of the many “Cries for help” that have echoed across the forum posts, some are loud, some are probably caught between the lines as pockets of distant hope, pockets loaded to the hilt with grief, drama and pangs of guilt. To those with the strength to put up their hand I salute you, to those that put in to the whole web page experience here at free business tips, then I say a HUGE thanks for assisting us to make this all possible.

“From the dirt and moisture comes a sprout, a tiny green organism pointing skyward, its roots grabbing tight to the ground its potential unknown. It may be a weed, a strangling vine or a mightly tree that lasts for a few hundred years. Either way it makes its imression on us, lets hope that impression is highly valuable.” 

Tear it down then rebuild it.

Sep 3

Posted by Steve Gray in Innovation and Creativity, People!, Personal Development, Planning, Risk Management | No Comments

Take a business or division of a business that is doing okay, (note… not doing exceptional, just okay…) take a good hard look, is it doing what you want, chances are no, you would prefer an exceptionally performing team right? So what to do?

You could do a review, and implement some extra training… chances are though the resultant change and upward jump in productivity will be short lived, a few months at best.

You could sack a few workers and try some new blood… destabalise it a little and see what happens… Chances are the changes will force a few to leave out of fear, and a few to perfom poorly due to the fear and a few to become more pushy as they try to handle the added stress of not knowing what’s next (if anything.)

Or.. You could walk in, and address the issue head on, It probably will not need a lot of ranting and raving. It probably won’t need a lot of cash injection either. Here’s a possible strategy that may get some lasting change.

  1. Get the whole team in and show the stat’s, facts and figures speak volumes.
  2. Outline what was expected and note the gap… Call it gap analysis if you like.
  3. Break the team into smaller groups (min 3 max 5) and then ask them to jot down the issues as they see it. do it in 90 secs or less, but don’t tell them how long they have.
  4. Collate the info on to a white board, and ask them to prioritise it. (60 secs)
  5. Mix up the groups, now get them to specifically come to conclusions as to what has to happen and how it can be done. Jot down these ideas in 90 secs or less. Create Key Performance Indicators for each conclusion.
  6. Create a 3 month action plan to implement it (or less if you can).
    Invite people to become leaders to oversee each part of the plan and keep a tab on the Key Performance Indicators.
  7. Set dates to review the process and make sure each review is short sharp and to the point.

Now set them free to make it happen.

My views… It needs to be fast, it needs to happen without warning, it needs to put them on the spot but without finger pointing and attributing blame, it needs to be an exciting plan to be a part of, finally it needs to be accountable.

Then sit back and provide the resources to make it happen, cut out any red tape, just get what is required (within reason) to make it happen.

At the end of the process your team will have either risen to the occasion or maybe failed dismally. If its the latter then you need to evaluate your coaching style (or lack of it) as a leader and find ways to alter it to suit.

Have fun – Play hard – Get results!

It’s about the money….

Aug 31

Posted by Steve Gray in Finance, Growth, People!, Personal Development, Planning, The Board Room | 2 Comments

In business it comes down to cash. numbers, $$ samoulians, do rey mi, dosh, call it what you will its the “stuff” that makes a big chunk of the world go round.

so check this out.

Where’s the money?

It’s a post in our forum, and it has some interesting twists and turns. basically it gets to a situation when you do the numbers, you might get a shock (and often not a good one…) so take a look and let us know what you think.

Your magic business…

Aug 30

Posted by Steve Gray in Excellence!, Finance, Growth, Health and Safety Dept, Human Resource Management, Innovation and Creativity, IT Dept, Leadership, Negotiation, People!, Personal Development, Planning, Risk Management, The Board Room, The Customer Service Dept, The Marketing Dept, The Operations Dept, The Sales Dept | No Comments

Today you are doing what SPECIFICALLY…

- to make your business more profitable?

- to cause the staff to LOVE you?

- to cause the customers to LOVE you and your team?

- to cause your suppliers to jump through hoops to give you great deals (and LOVE you)?

- to ensure your workplace is the best place to work, form both a safety and aesthetic perspective?

- to cut down on red tape?

- to create more elegant systems?

- to ensure your business is growing well?

The list can be as long as you like, with out this kind of input your business can stagnate and fade, in short it can shrivel up and die… So do something today to make it thrive.

Caring leads to loving… yes loving!

Aug 28

Posted by Steve Gray in Excellence!, Growth, Health and Safety Dept, Human Resource Management, Innovation and Creativity, Leadership, People!, Personal Development, Planning, Risk Management, The Customer Service Dept, The Sales Dept | 2 Comments

Caring for your staff can lead to respect, the word caring means showing positive and real interest towards each other. I am suggesting we take a caring approach to build the love we have so we can avoid, bullying in the workplace, foster greater connection with our customers and staff.

This article mixes well with “Your staff and service made easy” and should probably be seen as the next step on from it.

Of course there are various levels of love and I am sure you will appreciate and respect peoples personal boundaries and expectations in this regard, the aim is not to get into “hot water” but rather prevent hostilities!

In the beginning love needs to come from people who appreciate love and indeed have love for themselves (I’m not talking about egocentric over the top love here…) so on the list of “lovers” it would probably look like this.

1. They love themselves – then they know what its like and can lo ve others.

2. They love others, their close personal team – family then friends and workmates.

3. They love the customers - without them you are not in buisness so give them some love too!

4. Love being in business – no point in doing something you hate…

5. Love your offerings - are you selling great products and services or???

6. Love you business environment – take a look around, is it a gret place to work? really? get witht he progra and sort out some of the details so you can make thing humm!

7. Love the work teams - you may not be able to have much input into how they work together but if you love the team principles you can have a more productive and fun work place.

8. Love their communications – go on foster some great communications, break down some barriers and watch the teams flourish.

9. Develop a love for leadership skills – and instil these in everyone, make them all leaders (of their own projects.)

Okay so how would you do all of this?

1. Get great at coaching – mentoring – supporting and leading. Find out what you can do to be good at these and you will become a powerful support device to cause your business to fourish.

2. Create systems and methods to create closeness – then watch how the individuals and teams work to make the most of the situation.

Your aim in doing all of this is to create a work culture that supports, cares, holds people in high regard… in short it builds the love.

Your staff and great service – EASY!

Aug 27

Posted by Steve Gray in Excellence!, Growth, Human Resource Management, Innovation and Creativity, Leadership, People!, Planning, The Customer Service Dept, The Sales Dept | No Comments

Your staff and great service – EASY!

When it comes to service, practically all organisations I come across say they aim to have great service and if they don’t have it they will work on it. Problem is not many know how to make their service great, let alone good. Lets check out a bunch of points and shed some light on this always, topical issue.

Firstly there are a few things we need to get our head around, each business has people at the front line, they then have an environment (virtual and actual) and these coupled with human interaction create a culture. I put these in simple terms I call PEC’s (People – Environment – Culture). When these are coupled with Marketing, Operations and Management you have the nucleus or foundation structure of business.

Most people in business recognise this but are at a loss (often due to being too involved in the business to see it clearly) to be able to do anything about it. One feature of businesses that can improvise, overcome and adapt to situations are able to innovate and find creative ways to instigate the changes required to make things happen.

Lets put together some points to assist in the development of a customer excellence strategy.

  1. Why should they? – Chat to the staff about why good service is of value to them, the WIIFM or ‘what’s in it for me?’ try working the job security angle, or how it will make them feel giving great service.
  2. Train them – Ask them ‘Coach them – Model it’ By raising these issues and finding ways to create better service and setting the example yourself, you will be leading by example and acting as their service coach.
  3. Variety - Develop with the staff a range of ways they can respond to customers so they have to think more about the interaction  move from ‘Can I help you?’ through a range of other responses to make the relationship develop further than just a buyer and seller one. Give them the chance to build some depth with the customer.
  4. Do it in doses - Break up long customer service face-to-face and phone contact so that staff, don’t burn out.
  5. Put them in the customers shoes – Change the role around and let them critique the service exchange you could do it as a role play in a training session or simply send them to a few stores to buy things and report back on what’s working and what’s not.
  6. Develop great communication skills – “Ask lots of questions” use please and thank yous and explore building rapport which helps to build stronger relationships.
  7. Talk about caring - You cannot pay people to care (long term) but you (as the leader) can learn to push their buttons so they can learn more. Caring for each other builds trust and that equals easier sales processes.  if you can figure out the staffs buttons, they will be able to learn customers buttons as well. Here’s a clue its all about their motivation

There is more, lots more but for now that should give you and your team a great start to building a great service skill set and a culture of service excellence.

Why be in business?

Aug 27

Posted by Steve Gray in Growth, People!, Personal Development, Planning, Starting out in business, The Board Room | 1 Comment

You want to go into business? Some people wiill say you’re nuts and the rest of the world might seem to view you with suspicion! (well some days it might seem that way…) So why do people go into business? here’s a few starting points to consider…

  1. It can provide a great lifestyle for you and others.
  2. It can make you happy!
  3. It can be a good investment
  4. You can create something profitable out of a minimal outlay.
  5. You can assist the community to grow and develop. (think global act local).
  6. You can make a profit from developing a skill you have into a business venture.
  7. You can take an idea and profit from it.

Note in this list there are a lot of CAN’s in there, by being in business it  does not mean you automatically get or have those things, it means you have the opportunity to make those things happen.

So its one thing to get into business and entirely another to make it happen how you want it to. Welcome to the land of opportunity.

Your income and you…

Aug 24

Posted by Steve Gray in Finance, Growth, Planning, Risk Management, Starting out in business | No Comments

So here is a question, how much personal cash did you make from your business in the last year?

I know a lot of you have transferred personal payments to your business where you can… and that aside HOW MUCH… $$ ok it’s an ozzie thing to not discuss $$ but hey I’m not asking you to tell us out loud.

I want you to seriously think about how much YOU made and can say “I took X home this year in cold hard cash!”

Was it $10k – 20k – 50k – More?

How much does it need to be?

Okay many of us are small business operators and will not command the multi mill $$ salaries of big execs, BUT they are paid well for the RISKS they take, the DECISIONS they make and the RESPONSIBILITY they take.

You do the same… so do I. So what is your goal for your personal income to make it worth while to make the decisions, take responsibility and take the risks you take.

When I go out and buy my next franchise I will be asking questions from many of the operators like “Do you make $100k+ ?” if not is it really worth my while?

What do I want to do? where do I want to be? how will I achieve these things?

Plan people, make a move, set a target, reap the rewards.

here’s a place to start Very Happy
http://freebusinesstips.com.au/wp-content/uploads/the-mini-business-plan.doc

Reflect now, you might not get the chance later.

Aug 7

Posted by Steve Gray in Excellence!, Growth, Innovation and Creativity, Planning, Risk Management, The Board Room | No Comments

Ask the 2 big questions in your buisness, What’s working and what’s not.

Jot down a list of each, perhaps a coloumn each or a sheet of paper each. Take a solid look at the list and ask what can I do about the things that need to be better, and what can I learn about the things that are working.

This form of reality check is vital to be able to develop bigger plans, better business sustainbility and work towads realising your dreams.

Want to take it further? With the things that are working, how many of them actively bring $$ into your company… Sure your OHS kit might be great and the conference was a big hit.. but what about the sales, the $$ in? Is it time to push the list around to make MORE Direct sales show up on the list… (chances are YES!) So remember to add that to the list of things NOT working!

Work Backwards

Aug 1

Posted by Steve Gray in Excellence!, Innovation and Creativity, People!, Personal Development, Planning, Risk Management | No Comments

Seems silly to say that, but reverse goal setting can work a treat to make things work.

Another way of putting it is to begin with the end in mind. Create the visual outcome in your minds eye, then step backwards bit by bit until you get to the present time, and you will then know how to get the goal.

Too simple? Of course it is. BUT the thing is many simple things are often the best. Often we do this naturally, just on a smaller scale. Example; your kids might say lets go to the beach, what comes up? A picture in your head of the kids on the beach… then your brain makes a quick list of what’s required, towels, swimwear, car, petrol… you get the idea, and it happened in the blink of an eye.

On bigger pojects it may not happen in a blink, but if the goal is really doable then it may not take too long.

I urge you to try it and get ready to achieve many things once you get the ball rolling. Oh and remember a project management plan can be a great way to set the ball in motion.

Marketing Lessons From A Grade-School Lunch Box

Aug 1

Posted by Michael Crooks in Growth, Innovation and Creativity, Planning, Starting out in business, The Customer Service Dept, The Marketing Dept, The Operations Dept, The Sales Dept | No Comments

Remember when you were a kid? Lunch time held a certain magic. What did mom pack? The anticipation … the apprehension … the delight — and sometimes the disappointment at finding your stupid apple had crushed your snack cake.

If you’ve been using the same approach with your customers and clients for very long … it’s sorta like getting peanut butter and jelly in your lunch for 37 days in a row. It’s boring, predictable and memorable … for all the wrong reasons.

Lesson Learned: Keep your main offer fresh.

In today’s market, a fresh new approach can mean the difference between clients eating up what you have to offer … and getting your snack cakes crushed.

For example, I remember the day I opened my insulated bottle to pour my milk and out came CHOCOLATE milk! Mom had my attention. Yeah, making sure I had milk to drink showed she cared. And for a 9 year old that’s all well and good. But chocolate milk? Well that just moves mom up on the list of “stuff that’s swell”. And from that day on, there was a little twinge of excitement when I opened my lunch drink. Problem was … it never happened again. After a while, the slight twinge of excitement that came with opening my drink … disappeared.

Lesson Learned: Every now and then, you have to change it up to keep the excitement alive. Putting a different type of juice or chocolate milk in my lunch one day every three weeks would have done it.

By the same token, if you’ve been sending the same old postcard announcing the “Sale of the Month” … next month try sending the card in an envelope instead. Better yet, send it along in an envelope with a 25 sheet sticky notepad with your logo, name and number imprinted on it.

Think about that for a minute from the receiver’s standpoint. You’ve been getting a postcard from LMNOP for 2 years. SUDDENLY, you get an envelope from LMNOP. You’ll open it with renewed interest. Why? Because you don’t know what’s inside. Something unexpected and out of the ordinary happened. But because the same old postcard in an envelope could be anti-climactic, you want to include a little “excitement enhancer” with an inexpensive sticky notepad.

Mom’s lunches weren’t all bad, though. Part of effectively changing your approach is understanding that while an apple, an orange and a banana are all fruits … they are different fruits. Mom added variety to my lunchbox fruit course by constantly changing the fruit. She did the same with the veggies, alternating carrots, celery, sweet peppers, radishes and pickles. Similarly, a postcard, an envelope and a package are all direct mail, but they’re different. The same way a pen, a note pad and a refrigerator magnet are all promotional products — yet different. Even with postcards, you can change the design while maintaining the integrity of your corporate identification.

And now the main course — the offer! Mom knew I would be ok with ketchup on bologna even though I preferred mayo. Mustard is fine on pork/ham. PB &J was fine. Egg salad would fly like a lead balloon, sandwich spread was great and I’d eat anything with cheese on it …. except PB&J, hold the cheese, please.

Lesson Learned: Want to keep your target relatively happy and interested? Get to know them, keep changing the main offer and give them what they like.

What do you know about your clients and prospects? Do you know what they like, how much they buy or how often they buy? For small retailers it can be as easy as utilizing a punch card program. Swipe type cards coupled with the right computer program can allow you to capture a lot of useful data. But even the smallest retailer can send/give a survey and reward respondents with a low-cost, high perceived value promotional item. This is an excellent way to start or expand a database.

Change the main offer. Even if all you sell are chairs. Change the featured chair. Tell why it’s a great chair – features and benefits. Tell them something they don’t know. Give them something they can sink their teeth into.

Finally, the treat! Whether it was a piece of candy, a snack cake or a fruit pie, I always looked forward to the treat!

Lesson Learned: Treat your clients, customers and prospects. Treat them to a mint (regular and sugar free) at the cash register, have fresh coffee and hot water for tea available, have stickers or waterless tattoos available for the kids. Train your staff to treat customers and prospects like they are welcome. Treat them … like your business depends on them.

Your Business… Your success…

Jul 31

Posted by Steve Gray in Excellence!, Growth, People!, Personal Development, Planning, Risk Management, Starting out in business, The Board Room | No Comments

In business the success you get is often based on what you do as the business Owner/Operator, Director, Manager, CEO… Sure there is a matter of Luck, being in the right place and the right time (serendipity) but mainly the L.U.C.K. boils down to Learning Under Correct/Constant Knowledge.

Over time you might be able to ‘fluke’ a few results that make you feel good, look good etc… However there is often a more logical approach that can be taken to ensure your business success.

Firstly lets look at a few starting points, one being Business Profiles the other being your efforts towards success at the level of the profile you are at or want to be at. If you start with a level one business (and many do) the writing can be on the wall if you allow yourself to not see growth potential or take into acocunt the principal of making a profit. Mind you, you could do yourself in if that is all you were to see.

Business is a wholsitic device, which requires a number of things to happen to get apositive result. No matter what level your business is at you need to be aware of the positive and negative forces at play that can make or break it.

I would suggest that as a successful business operator you need to be able to have your finger on the pulse of what’s is happening, what could happen and what you want to have happen to make your business be all it can be.

Business failure rates are high, and to overcome that devices like the Business Profiles can give some indicators as to how you might explore the level you are at and decipher what to so to get to where you want to be.

Success is many things to many people and if it is about working towards worthwhile goals then your goal must surely be to create a successful venture. Using the profiles above and developing a plan of action from that to provide you with your goals is therefore an important factor in getting to where you want to go.

What level are you at?

Jul 21

Posted by Steve Gray in Excellence!, Finance, Leadership, People!, Personal Development, Planning | No Comments

I took a list at the Australian Business Review Weekly’s top 200 rich list.

I was not in it… BUT plenty were (200 in fact) what struck me was the list at the back of the notables that were dropped off the list from last itme, one person still had a fortune of $121mil but it was no where near enough to get him into the top 100 list. In fact he was near the bottom of the ousted group.

So, I’m not at his level (no where near it…) but it got me thinking about levels, new businesses starting out and older businesses that have only got so far. I am fortunate to be able to have access to a lot of startups via a business forum and offer some assistance in their journey in business, they are looking up, I am looking back.

But with the higher groups I am looking up and want to find those looking back to provide me with the info to take me to the next level… Mentors? Coaches? Perhaps.

The aim here, to get  you thinking about your level and where you want to be.  Seek and ye shall find!

Strategy, tactics, methods? Which one???

Jul 19

Posted by Steve Gray in Negotiation, Planning, Starting out in business, The Customer Service Dept, The Marketing Dept, The Sales Dept | 2 Comments

I have fielded a few enquiries over the past few months on how to market products and services and have noted there are a number of organisations that have started a business but had no ideas about the sales side, what tactics, strategies and or methods they will use to get people to spend $$ with them.

step 1. Know that you need a plan of action.

step 2. Know that you NEED to build a relationship with people so they trust your organisation enough to want to buy from you.

step 3. Find out what their needs are, then propose a solution.

step 4. Take time to develop all this and get it running… otherwise you will be chasing your tail…

Hope that helps!

What’s in your blind spot?

Jul 19

Posted by Steve Gray in Excellence!, Growth, Health and Safety Dept, Personal Development, Planning, Risk Management | No Comments

In a car you have a couple of blind spots that mean you have to turn your head to see out of a side window to see what is really happening, and I see the same in business, in retail it’s often called store blindness where the details become common place and things that need to be changed, cleaned up repaired etc are not seen. and I guess due to us being in our businesses so much many other things escape our attention.

Yet funnily enough the blindness disappears often when we go to someone elses business, we are able to turn on our radar and spot any number of minor things that irritate us.

So to be able to see the blindspots in your busness and then do something about them is vital. Here are some poitnsto consider.

  • Ask others – customers staff members, friends and family.
  • Use your professional support people – accountant – coach – bookkeeper.

Whoever it is get them involved in taking a look at what’s happening and give you real feedback. make a list of what needs work and do it or delegate it.

They say its true… 600 jobs gone…

Jul 18

Posted by Steve Gray in Growth, Human Resource Management, Innovation and Creativity, Leadership, People!, Planning, Risk Management, The Board Room | No Comments

The news today is saying they will drop 600 jobs at Ford in Geelong in the casting plant, as they can get the engines cheaper o/s. That might be true but what about the carnage… not just the jobs, the investment.

The Victorian Government has put in over 60million dollars investing in the car maker to keep it here, keep it viable and so forth, but now has that money gone down the drain? Probably.. Will the Detroit big guns be swayed by a delegation from down under… nah probably too late… Will we as tax payers see the millions back in our coffers… “Sorry boys we spent it already.

Someone has made some cash out of the whole thing.

One thing is for sure even ten mil could have provided for those 600 by providing jobs in other areas in the region. A think tank on how to use 10 mill to make a highly sustainable range of businesses so that jobs and enterprise could be secured would have been useful.

But instead the people in power have had their arms twisted to give away a lot more and get little back. Lets see if anything good comes of the situation as the Detroit big guns throw their hands in the air and say “Hey there’s nothing we can do!”

Welcome to the clever country peoples!

Time For A Business “Forms Review”?

Jul 18

Posted by Michael Crooks in Growth, Human Resource Management, IT Dept, Planning, The Customer Service Dept, The Marketing Dept, The Operations Dept, The Sales Dept | No Comments

When was the last time you updated your business forms? This issue came to light recently as I sat in a doctor’s office filling out forms. While I wasn’t there because of a pain in my rear, I was quickly developing one.

For starters, there was barely enough room to write my first name, let alone my middle and last name. Where I was to put ‘city” there was only enough room to put the first four letters of Butte. And I was only able to squeeze in 3 of the 5 zip code digits. To make a long story short, no one manufactures a pen with a fine enough point to allow me to squeeze in the information the form asks for.

Then I get to the medical questions. Half the stuff they ask, “if I’ve ever had’ — I just now developed as a result of trying to fill out the form, including eye pain, double vision, a headache and anxiety.

Then I read the following: “Have you ever had any of the following problems?”. Really?
Do they really mean

    ever?

1) Frequent Urination. Well, yeah. I mean, you simply can’t pound a six pack and not have frequent urination. 2) Testicular Pain or Swelling. Again, yeah … there were a few times in gym class during dodge ball I thought I was going to swallow my eyeballs. And, I don’t know any father who hasn’t fallen victim to an over-zealous 2 year old with a “cute little plastic baseball bat”. I’m rolling on the floor, writhing in pain, can’t catch my breath and my wife’s telling me to “man up”, get over it and take care of some heavy-lifting in the garage.

But seriously, when WAS the last time you updated your business forms? It may be time for a “forms review”.

Is there really enough room for anyone, including the elderly and those with arthritis, to easily fit their information in the space provided? Pretend your name is Samantha Allison Jamison-O’Hara or Johnathon Abernathy Wellington. Can you really fit a long street name and an apartment # in the address line?

Room to write is one issue. Another is relevant information. If you’ve been using the same forms for a number of years, they may be outdated. Many forms created years ago weren’t designed to capture “Late Trend” information such as e-mail addresses, cell phone numbers or allow for blended family name or female hyphenated name issues. A “forms review” is the perfect time to address these issues.
Seek input from your patients, customers or clients — those who must fill out the forms. Are the questions really clear? Is the sequence of the information asked for logical? And while some comments and suggestions will be totally irrelevant, by and large, you’ll end up with some quality input. It’s also a great PR move.

Your patients or customers will feel like they have some ownership in the form and it will create goodwill. You can even add a line at the bottom such as, “This form was designed with the thoughtful input of our patients to be as user-friendly as possible.”

In addition to having your office staff sit down and actually fill out your office forms, ask them if they’d improve anything. It’s possible they’ve been hearing complaints for months or years and simply smiled and nodded knowingly to the complainers.

Once the forms are redesigned, make full-size copies and have people actually fill them out and evaluate them. Have the staff do the same thing over a couple day period. Often, errors are overlooked in the rush to get it done. Take the time to do it right, because if past performance is any indication of the future, you’ll be using these new forms for years.

The 12 page business plan

Jul 18

Posted by Steve Gray in Leadership, Planning, Risk Management, Starting out in business, The Board Room | No Comments

Okay some of you are saying “another one!”, we have a one pager, a fully blown (dunno how many) pager and now I have seen everything a 12 pager!

That’s okay I figure whatever works for you is a great plan to have. Too many clients have plans that don’t work, or no plan which I think is even worse.

So here goes a 12 page plan, are you ready for this one? (probably not…)

1. Get 12 peices of paper – (any size is okay) the bigger the better in most cases.

2. Write a month on the top of each – Jan to Dec.

3. Split each into four -  One each for Marketing – Management – Systems – Quality

4. Now fill in the gaps – For each of these area write in a few things that either need doing or you want to have them done at some stage.

Break it down into easy bullet points in each section and then take action each month to compete the tasks you set, spread themout in your diary and at the end of the month tick off those that have been started, those compelted and those not done transfer them tot he next month. Celebrate the competed ones, keep going on the rest.

NOTE: I have specified the four areas above, as I believe they will make the biggest difference to your business in moving it forward. It will generally cover all of your business activities anyway.

Have a go and see if you can devise a range of business goals from the above to make a solid difference in your business.

Ford to dump workers…

Jul 14

Posted by Steve Gray in Human Resource Management, Innovation and Creativity, Leadership, People!, Planning, Risk Management, The Board Room | No Comments

Ford may dump workers at its Geelong (Aust) plant in a chance to rebound from a slump in sales of its larger engines produced at the plant. This has people from all sectors of Government and industry bodies jumping to try and stem the flow on effect this may have IF it happens. My view, lets see what happens first and not jump in too hastily.

Okay companies have dumped workers before (Geelong Cement threw out 150 workers, closed up and walked away) and despite claims of many ill effects, generally little happens due to a range of paramaters that kick in. Some take early retirement, some redploy readily (some happily), some will move out of the area to seek a new start,  some may even start a business, so they can be their own boss… and so on.

In the case of Geelong Cement many of these kicked in and the leftovers took a little while to find their place but generally the kicking and screaming was VERY minimal.

I guess there will be some that struggle if the company closes part of its facility but things are far diferent now that a few years back when Australia was in the throes of recession and much higher unemployment.

My point… Times change, people move on, (some struggle, some find it easy, some may even say its the best thing for them to be pushed into something new.)

In business things change, and life charges on. Goverments can throw a lifeline if they wish, but perhaps they should use caution and watch proceedings develop first rather than be part of the “sky is falling” mob.

Business changes are bought about through various changes in what the market wants… Typewriter sales went out the window with computers coming in… Things change and we have to addapt to that.

Sure jobs are important, but in a climate of low unemployment, skills shortages in a range of industries, perhaps Ford’s “dumping of staff” will assist other businesses to flourish and not cause nearly as much devastation as the protagonists would have us think.

Pass me the keys please…

Jul 13

Posted by Steve Gray in Growth, Human Resource Management, Leadership, People!, Planning, Risk Management, Starting out in business | No Comments

No not the keys to the car, the keys to my business success!

Wouldn’t it be nice to have a few keys to making your business better? For many in business its about building the team they have so they can leverage their time and money more effectively. So here goes, check these key tips out to help you create a team to assist you to be more successful in business.

1. Know you need to plan for people - If you aim to get staff at the last minute to fill a gap, chances are you will end up with a few challenges down the track, get a clear idea of what sorts of skills you want and the attitude you need to make the job work for you. Then hire carefully with these key points in mind.

2. Train them - Okay so you are not big on training, it does not need to be big, just effective. Make a list of what things they need to know and tick them off as you show them… Where things are, who the OHS officer is, how the system works, who does what, who their buddy is. Do it bit by bit and share the load with others if you have a few people in the team already.

3. Buddy them – Link the person to a buddy, a buddy will look after them for proably a few weeks until they know things inside and out. Then you can assess the persons performance three ways, from your observations, the buddies view point and a chat to the person in question.

4, Chat to them – Find out how day one went, then day two, day four, day seven and so on. Keep them in the loop about things that happen and things you expect. Remember to be friendly and fair, so tell all the team the same things in a friendly way, inspire them, don’t push them.

5. Start them late – Most people start a job on a monday, but what if its was a thursday or friday… they don’t get a brain overload that way and you ease them into the role in a more relaxed way… Chances are they will remember more of the info you want them to remember as well.

6. Career path - Provide a series of steps for them in the business, its probably only a title and then a small rise in pay, but it can build a sense of self esteem, self worth, growth and development and not just become another job they turn up to day in day out without any opportunities.

7. Reward them with incentives - It may only be a few small things, concession items like dinner for two, an award plague for x years of service, but the aim is to show you care about their contribution and provide the little things along the way that make their job worth doing. ure  you pay them but this little add ons can have a huge bonus effect becuase people generally love it when they are noticed for all the right things.

8. Share the businesses successes - Peoople often like feeling they played a part in the development of something and in this case it can be a big buzz to know you helped the business to win a job, create better systems and so on. BUT you have to tell them about it and not just expect them to figure out that things are going well.

So there’s a few keys to your business success, keeping the team firing on all cylinders. Its not rocket science but it can cause your busines to shoot for the stars!

Get a Grip on Your Business!

Jul 10

Posted by Jenny Stilwell in Planning, Risk Management, Starting out in business, The Board Room, The Marketing Dept | No Comments

Not wanting to over-simplify the whole ‘running a business thing’, but I’ve developed a list (based on my own experiences, and that of my clients and other business owners), which covers some of the things we need to know for different stages of building a business:

Start-up phase:

  • Start a business because you want to, don’t just fall into it
  • Do your homework – know what you’re getting yourself into, and who else is doing it too
  • Do what you love – have a passion
  • Recognise that it’s going to be tough and be prepared
  • Budget for a completely different level of income (!) (that’s a lower income, not a higher one…)
  • Talk to people who remember setting up their own business, and learn from their advice.
  • Use suppliers who can meet your budget. Don’t be ‘sold’ into paying more than you want to – there will be time enough for that when your business is making plenty of money.
  • Know where you want to go, and don’t lose sight of that
  • Make sure you have plenty of capital to get you through this phase – you’ll need all of it. Keep expenses to a minimum – it will take time to start generating an income.
  • Depending on your financial position, join relevant networks and associations, and attend events. Make sure they’re the same groups where you will find your target market.
  • Draw up a database of all your contacts and spend time getting out there and talking to people. Tell them what you’re doing, and listen to what they need.
  • Try to do business with people you want to do business with. This is likely to be amore effective strategy in generating referrals and building your business.
  • Don’t neglect the marketing fundamentals: understand what it is you can offer potential clients, understand what they need, develop a very clear value proposition, and know who your competitors are and what makes you different. If you haven’t sorted this out, you aren’t ready.

Up and running:

  • Keep the momentum going – keep selling, keep acquiring new business, watch the cash
  • Use good financial measurement systems to understand the key drives and key performance indicators of your business. Think of it as a control panel.
  • Relationships are critical – pay attention to them (staff, clients, associates, etc.)
  • Don’t employ staff until you need them, and provide clear guidelines to those you have.
  • Make sure you understand your financial and business reports, and generate them on a regular basis.
  • Keep your costs down, even when you don’t need to worry. It’s a good discipline for when you need to pare back, and will keep you in much better financial shape.
  • Don’t take you eye off the numbers! Know how your cashflow is tracking.
  • Secure yourself some reliable and competent advisors – accountants, financial advisors, a lawyer, a business mentor
  • Start to build your knowledge and expertise in areas where you’re not naturally strong (finance, marketing, sales, etc)
  • Have goals, know how you’re going to get there, and just do it! Planning without action won’t get you anywhere and you’ll never move forward.
  • Sell before you buy – don’t extend yourself before you have the required level of business coming in
  • Keep focused on your priorities. Don’t sweat the small stuff but don’t ignore the big stuff. Focus on what will generate revenue (and be profitable).
  • Customer retention is important in maintaining stability. If you focus on this now, it will provide a strong foundation for the future.
  • Stay healthy – it takes a lot of energy to maintain and build a business.
  • Get support – business and emotional support is essential. We all need help in some way.
  • Understand the different business models which you could be using, and which are more effective. Don’t be scared to re-engineer what and how you deliver to your customers if a new model is more profitable. This is really very important.
  • Build you reputation and your image. Be consistent in the process!

Established & Growing

  • Implement systems where you can – it helps make the business run more efficiently and makes it less reliant on you
  • Focus on the big picture and know what it looks like.
  • Have a vision and a strategy to realise it.
  • Keep watching the cash.
  • Innovate to stay ahead of your competitors
  • A good client list and a cash cow product will be the key to you ‘having a life’
  • Look seriously at growth strategies and why you want to grow – acquisition, organic or both

Wisdom of experience:

  • Finance & funding are critical – know what you need, be prepared, understand your options – always.
  • Sales and marketing are critical to success – never stop these activities.
  • People management and leadership – start the way you wish to continue
  • Systems and process add value to your business – you may want to sell it one day
  • Revenue from cash cows frees you up from your business. It’s all tied in with the business model.
  • Strategy and execution are a never-ending cycle.

What do you know…

Jul 9

Posted by Steve Gray in Human Resource Management, Leadership, Personal Development, Planning, Risk Management, The Board Room | No Comments

People are only as good as what they know. That’s a simple piece of information everyone should know. But very importantly in business its a great thing to be aware of with staff and customers alike. You might assume they know lots of things like you do, but when push comes to shove you might find out too late they don’t know what you thought they knew… and that can be VERY CHALLENGING.

Here’s an example, I remember in Uni I wanted to buy a typewriter to do assignments with (my handwriting is illegible to most…) and my father in law asked me did I get one that was a word processor? I gave a blank stare, at time I did not know what that meant… I fobbed him off with a “Oh yeah it can plug into some thing to print out a thingy…” and I did everythng I could to change the subject.

Clearly I did not know what the term meant or how it would be of value to me.

There are plenty of examples I am sure you can think of. Of real interest to me here though is to raise the awareness of management training to small and medium business operators. Many are tradespeople who learn a skill, start a business but are unable to grow the business successfully as they do not know how to manage it, they were never taught that.

And often its right across the board, staffing, finances, leadership and so on. So to ensure you are able to make your business sustainable, make the time to learn more so you can be, and do more in your business.

Blogs Are Roads; Intersections

Jul 7

Posted by Bren Ryan in Excellence!, Innovation and Creativity, Planning, Starting out in business, The Marketing Dept | 1 Comment

I feel we have a fairly unique product here at Free Business Tips.

One of the reasons the blog and the rest of the site is unique is because, well, to be honest we had no idea what a blog ‘should be’ and what it ‘should do’ and what they features ‘should have’.

This means that we just told our web designer what we wanted, simple right?

Yes and no.

Our lack of “blogging savvy” means we have set things up a little differently to other blogs (and unique is cool), but it also meant we have been a little slow on the uptake on what makes a blog popular and how to get love from Google, Technorati, Alexa, Bloglines etc etc.

Lately I have been surfing around, madly reading blogs and researching what makes a good (popular) blog.

I was having a read at Darren Rowse’s Problogger site and Darren had linked back to a blog post Blogs Are Roads; Intersections by Steve Remington at Skinny Moose Media (cool name)

Steve points out that you shouldn’t be scared to share some “link love” from your blog,

The first biggest mistake most business blogs make is not linking out to external blogs. Some people are afraid it will drive traffic away to potential competitors.

He uses the analogy that you need to place your blog in a position to gain traffic from other blogs, like other fast food restaurants position themselves on the same intersections as McDonalds,

Look at Burger King and McDonald’s. You will always find them across the street from each other, or at least on the same strip of road in any given city. Burger King may lose some business to McDonald’s but in the long run they would actually be losing more business by moving out on a back road somewhere hoping people will come to them.

See how this is working already? Steve writes a great article for people new to blogging, Darren links back to him, I read Steve’s blog because I value Darren’s opinion, I am impressed by the article so I write one of my own and link back to Steve as well. I read the comments on Steve’s article and follow some of the links to the sites of commenters who might have said something particularly sensible, my track back will appear in Steve’s blog as a comment, and potentially we will get some traffic from Steve’s site………

See how the link love works!

Ok, so all you experienced bloggers will say, “Duh, we have known this for ages” I know, I know, bear with me while I catch up!

Have a read of Steve’s post On Skinny Moose Media (it is a cool name, I love it), it’s well worth it if like me you are a little green on the blog thing.

As for us at Free Business Tips, we will be working very hard to increase the traffic, and ranking of the site.

In the near future we will be changing the way we post in the blog a little. We will still have our own unique blogging format (articles written by our very smart contributors) but we will also be blogging in a more traditional way, more topical posts by myself and Steve Gray , more reviews of other blogs and business sites (to get the link love going!), we might even do some competitions, Speed linking (see an example of Speed linking on Problogger) and some other methods.

We are also looking at a layout change.

So, any suggestions are more than welcome, and please drop me a line if you see something on the web that you think deserves a little ‘link love’ from us at FBT

What can Madonna and Martha Teach You About Writing Copy?

Jul 3

Posted by Lorrie Morgan-Ferrero in Excellence!, Innovation and Creativity, Leadership, People!, Personal Development, Planning, Risk Management, The Marketing Dept | No Comments

Love ‘em or hate ‘em, you can’t argue that pop queen Madonna and domestic doyenne Martha Stewart are two master marketers.  One is a calculated maverick who’s stayed at what has to be the world’s toughest and most fickle business for nearly a quarter century.  The other turned an at-home catering business into a multimedia empire that even a prison term couldn’t derail.

What lessons can we draw from these power players?

Madonna:  You know your business best.
Madonna runs a giant organization, but everything she does is based on her own vision.  She knows she’s the one who cares the most about her own success, and acts accordingly, which empowers her business.  The same holds true for you when you write your own copy.  You know your business strengths better than anyone, and, when you master this very learnable skill, you empower your business.

Madonna:  Pick what you like and make it your own.
Although she is known as the Queen of Reinvention, Madonna knows no idea is completely new.  She gets ideas from an amazing range of sources, from Marilyn Monroe movies to geisha stories to Broadway musicals to what the kids in a Tokyo neighborhood are wearing this week – then she gives it her own spin.

Build swipe files (a collection of great copy clipped from all around you) from magazines, direct mail, and even tabloids.  Capture great copy you see in daily life, whether it’s a billboard or a picket sign.  (I keep a spiral-bound deck of index cards handy to jot down these nuggets.)  Even if the ad or letter seems way outside your target market, parts of it may be just the kick in the pants your copy needs.

Madonna: Embrace your passions wholeheartedly and without apology.
Madonna would understand your desire to shuck off your current identity and dive into something completely different. Nude centerfold to nursery rhyme writer, boy toy to the reincarnation of Queen Esther: she’s leapt even further and thrived just fine. It could be argued that without her continual reinvention, Madonna would be just another ‘Where Are They Now?’ 80′s Pop Tart.

Martha: You are the sole CEO and brand manager of your own life.
Not your boss, your company, your friends, or the people who tell you you can’t do it. Madonna runs her empire modeled after her own vision and values, no matter what those happen to look like this season.

Martha:  Publicity is powerful.
Successful entrepreneurs like Martha not only score publicity at crucial moments, they use that attention to get more attention, unleashing a domino effect of business-boosting buzz.  She started with a book and put herself out there as an expert on entertaining, which led to appearances on TV, radio…you know the rest of the story.

Think of the area where you’re the expert, and start offering to share the (knowledge) wealth with local media.  Don’t put off writing that press release a minute longer. With so many publications, e-zines, blogs, sites, podcasts, satellite radio shows out there, the media needs fresh content like never before.  They’re all dying to talk about something interesting – so be snappy and interesting!

Martha:  Learn something new every day.
Martha closes out all her interviews and shows with this motto, embracing skills too numerous to mention and maintaining curiosity about everything from the names of birds to the best wax to use on your car.  Take a look at any of her magazines, and you’ll find yourself drawn into something you never dreamed could be fascinating, thanks to the great copy and stunning design.

To build your own business, make it a point to soak in something every day:  subscribe to e-zines, browse the bookstore, take a teleseminar or an e-course. When you make the commitment to never stop learning, you put yourself far above the pack.

Madonna AND Martha: When emulating role models, you don’t have to buy the whole package. Both have qualities you can cherry-pick from. Take what you like and leave the rest. Make yourself into the “you” you want to be.

Self-Managing is Job One!

Jul 3

Posted by Jenny Stilwell in Leadership, People!, Personal Development, Planning, Starting out in business, The Board Room | No Comments

If you can’t manage yourself, don’t expect to manage a business, or other people, or clients, well.

We use a really effective technique to help our clients self-manage. “Big Rocks” is a management concept of sorts which has been used in various ways for some time. It’s a concept which I use with all of my clients, and we use at BOSS Management Group, to keep focused on what needs to be done to move the business forward.

There are many techniques to use to help us self-manage, but I’ve found ‘Big Rocks’ to be easy to remember, easy to visualise, easy to keep focused on, and consequently it produces results.

My definition of Big Rocks, in a business context, is those actions or projects or achievements which will actually move your business forward. If you have two Big Rocks for a month, and you achieve them, it will actually move your business forward. Think of them as critical foundations for the business you are building.

Being busy vs being productive:
Imagine you have a bucket, which represents your capacity or available time, in any given day, week or month. Now, imagine you have a number of big rocks that need to go into that bucket. Put them in. You’ll still have room for a few pebbles, and then you’ll be able to add some sand to fill up the rest of your capacity, and if you really want to, you could add still more if you add some water into the bucket.

You can fill your time with lots of activities and be very busy as a result, but the key to effective self management is not to be busy but to be productive!

Big Rocks must go first!
The point of the story is not that you can always fit more into your day, or month, but that if you don’t attend to the Big Rocks (most important priorities) first, you’ll never fit them in.
Sometimes we can all get consumed by the day to day, and at the end of those days, we feel drained and also that we haven’t really achieved anything or made any forward progress. It sort of feels like treading water.

Big Rocks = Bigger Game
Keep focused on what your Big Rocks are for the month, and if you can achieve at least one of them each month, you’ll be moving your business forward. Big Rocks help keep you focused on the bigger game, and allow you to still deal with the pebbles and sand each day.

Once you have the important priorities identified and in focus for yourself each month, you can use the same tool for each of your key staff, or teams.

These are the four key points to remember:

  1. Self management is Job One.
  2. Use Big Rocks as your simplest self management tool, to keep clear on priorities.
  3. Big Rocks move your business forward.
  4. Use the Big Rocks concept with your team to keep them focused and on track.

Procrastination

Jun 30

Posted by Tony Alessandra in Leadership, Negotiation, People!, Personal Development, Planning | No Comments

“Don’t put off for tomorrow what you can do today.” (My Mother, ever since I can remember.)

Procrastination is like a virus. It creeps up on you slowly, drains you of energy, and is difficult to get rid of if your resistance is low. Procrastination is a close relative of incompetence and a first cousin to inefficiency, which is why their marriage is taboo. These suggestions will help you conquer the virus:

1. Give yourself deadlines. In moderation, pressure motivates. Extreme pressure debilitates. Set appointments, make commitments, write out your goals, and otherwise develop the determination to succeed.

2. Don’t duck the difficult problems. Every day we are faced with both difficult and easy tasks. Tackle the difficult ones first so that you can look forward to the easy ones. If you work on the easy ones first, you might expand the time that they take in order to avoid the difficult ones waiting for you.

Many people put off difficult or large tasks because they appear too huge to tackle in a reasonable period. They feel that if they start and complete the “large” task at one sitting, it will prevent them from accomplishing any of the other tasks they have to do on that day. The answer to this problem is to break all large or difficult tasks into their smaller subparts. Then, you can do each of the subparts of the larger project over a series of days, if appropriate.

3. Don’t let perfectionism paralyze you. This is a problem that many writers have when writing articles or books. They sit with pad and pen in hand waiting for the “right” words to come out. What they are doing is avoiding the process of writing. Be prolific in your activities. You can always go back later and polish those things you are unhappy with. Better yet, you can delegate the polishing to someone else.

Because humans are so susceptible to procrastination, you must work at building up your immunity to it. Effective action is the best medicine.

Your profile tells tales…

Jun 27

Posted by Steve Gray in Leadership, People!, Personal Development, Planning, Risk Management, Starting out in business | No Comments

Is your business profile telling you you are doomed to a life of mediocrity, or that there is hope for the future?

Take a look at the profile (see the PDF attachment Business Profiles) and ask yourself the following.

1. Are you at a clear profile level, or moving between them?

2. Is the profile level totally accurate for your position?

3 Is there anything you can do about it? A YES!

It does not take long to realise there are no hard and fast guidelines about where you stand in the profiles and that they can be starting points to understanding and then growth, should you decide to accept that as an option.

The trouble is many people have no idea of where they stand and fail to do anything to alter their position. Sure there are ‘comfort zones’ people operate in and those that choose to bury their heads in the sand do so at their own peril.

One of the beauties of the profile as a simple system for understanding, is being able to recognize where you are at so you can progress, or at least more fully appreciate your weaknesses so you can focus on developing them into strengths.

The profile levels are not a truly accurate device but they allow us to make sense of our position (at least to some degree) so we can realise our greater potential. If we merely accept our profile position and stay there, is it fair to say we are in a stuck state (one that allows limited if any growth potenial) or are we playing comfort zone games with ourselves and not opening ourselves to the full potential we can become?

I hope your profile position inspires you to look further, do more, be more rather than possibly stagnating. like the old saying says “Use it or lose it”.

It’s A Banner. What’s To Think About?

Jun 27

Posted by Michael Crooks in Innovation and Creativity, Planning, Starting out in business, The Marketing Dept, The Operations Dept | No Comments

I couldn’t help myself. It just sort of slipped out. “Well, Shelly … you’re gonna have to either get a shorter banner or taller kindergarteners.”

A brief moment of silence was broken by her laughter letting me know I hadn’t “blown it” and that she had a sense of humor — something I really like in a client.

“Oh yeah, right,” she said. “If the banner is four feet high the kids will have to hold it above their heads for the whole parade.”

Like most things in life, there are few things to think about when ordering a banner for an event. For starters, if the banner will be carried in a parade, how tall the carriers are in relationship to the height of the banner needs some thought.

How the banner will be used and for how long will dictate the substrate or, the material, of which the banner is made. If the banner is for one-time use such as an indoor press conference or other short-term indoor use a lighter, banner paper that is less expensive is fine. However, if the banner will be used in multiple parades and/or hung up for long-term viewing after use, then you have other things to consider as well.

A heavier, more durable substrate such as a 13oz vinyl banner material is recommended for multiple uses to withstand foldings/rollings and “trunk abuse”. If the banner will be hung in a window, an Ultraviolet (UV) laminate should be considered to prevent fading of the colors.

When a banner is to be used for a parade, we generally engineer horizontal “pole pockets” across the top and bottom. A pole that is roughly two feet longer than the banner is wide is inserted, making a comfortable carrying handle. We recommend PVC pipe as it’s lightweight and inexpensive yet strong enough to offer the support you want.

Sometimes people ask for vertical pole pockets at each end with an opening at the bottom and the pocket sewn shut at the top. The problem with this is that the banner carriers must remain a specific distance apart to keep the banner tight through the whole parade. It’s harder to do than it sounds and can make an otherwise enjoyable parade walk, miserable. The horizontal pockets are much easier to deal with.

The reason for the bottom horizontal pocket is to prevent the wind from blowing the banner either forward or back rendering it unreadable. We’ve found that a length of PCV pipe, that measures the width of the banner, with a couple end caps works great. You fill the pipe with sand, cap the ends and insert it into the bottom pole pocket giving it enough weight to remain stationary even if the wind blows.

If the banner will be hung after a parade, you’ll also want to have it manufactured with grommets that will give you more hanging options. We usually place grommets every two to three feet depending on the banner size. Anything over three feet high we usually put a grommet in the middle of each side as well.

For storage, rolling a banner is preferred to folding when your substrate is vinyl or paper. In cases where you have a digitally printed image on fabric, then folding is fine.

Once again, make sure the banner is short enough that the people carrying it in the parade can hold it about chest high without the bottom of the banner touching the ground.

Giving a little thought to your application, use and duration of use can produce a functional banner that looks great!

Know Your Customers – the 80/20 Rule

Jun 12

Posted by Jenny Stilwell in Planning, Risk Management, Starting out in business, The Board Room, The Customer Service Dept | 1 Comment

We all know our customers. We know their names and their businesses, and we often know something about their lives outside of work. Usually we have lists of who our customers are. However, what many small business owners usually don’t know is what’s happening in the mix of their customer base.

When you analyse your customer base, and you should, you need to identify the following indicators:

  • What are the broad customer categories by dollar spend – eg: up to $1,000 per annum, $1001-$3,000 etc. You will obviously select categories which have more meaning to your business.
  • What is the average customer dollar spend by category, and how do they compare
  • Overall, which customers generate most of your revenue – eg: the top 20% may generate 80% of your turnover, or close to that, or your top 10 customers may generate 80% of your revenue. The objective here is to identify those customers which are vital to your business in terms of revenue.
  • What products or services are your customers buying? All, some, a mix? Is it changing?
  • Is the average dollar spend by category increasing or declining over previous periods?
  • Which customers have been active (purchasing) over the longest period of time?
  • Which customers have become inactive (not spending) and why?

When you’ve identified this information, you need to look at what you’ve discovered:

  • Who are the most valuable customers?
  • How many customers add little value, or cost money to service?
  • What is the profile of the preferred high value customers?
  • What products or services are not really selling? Which are selling well?
  • What is the risk identified by your 80/20 analysis? Do you have all or most of your eggs in one or just a few customer baskets?
  • If you were to lose any high value customers, you know what the impact to your business would be.

What actions can you take from there?

  • Make sure your most valuable customers are well looked after and serviced.
  • Revisit your product or service range and make changes where necessary (delete items from your range, look at developing new products, proactively promote some products or services more than others, etc.)
  • Assess the structure of your sales team – you may have a direct sales team (or advisors, or consultants, or technicians, or whatever is appropriate to your business) manage the top customers on a one on one basis, you may have a set number of your team sharing the management of the next tier of customers, and you may consider a telesales or telemarketing person or team to manage all of the small customers. They may also be managed via a website interface, for example.
  • Now that you know the profile of your preferred type of customer, you need to ensure that you focus on this profile when attracting new customers. This will spread the risk of having most of your revenue generated by just a few customers, and will build your business in the right direction.
  • Finally, don’t forget about building the value of your customers: ask them what they think, what they want, what they may want to see changed, and what else you can do for them. Now you have them, and you know them well, build on that to build your business.

3 Pillars of a Healthy Business

Jun 5

Posted by Jenny Stilwell in Planning, Risk Management, Starting out in business, The Board Room, The Marketing Dept | No Comments

We all need to focus on three key pillars for success: marketing our businesses to build clients and income; management practices and procedures to establish the framework for our business as it grows; and mentoring support to keep us on the right track, and provide different levels of support as our business grows.

1. Marketing to Build Your Business

The following table provides a checklist of fundamental activities you can either do yourself, or outsource to a specialist provider. If you work with other small businesses, these services need not cost you a lot. Get creative and look at providing your services in exchange for their services, or even payment terms in instalments over a period of time.

Remember to do what you’re good at, let other people focus on what they do best, and if you can’t afford them, wait until you can.

Always have an objective or an intended outcome for your marketing, otherwise it will have no focus and minimal results.

Marketing Options and their Objectives

Opt 1: Speaking engagements (Conference, special interest group, radio, business groups)

Doing it/Plan to do

    The more ‘doing it’ the better! If not, then plan quickly & do it!

Objectives:

    • Raise your profile in target market
    • Establish your expertise

Opt 2: Direct marketing

Objectives:

    • Present an offer & call to action
    • Raise awareness of your product/service
    • Educate/inform
    • Generate leads

Opt 3: PR

Objectives:

    • Raise profile
    • Create awareness
    • Establish expertise & credibility

Opt 4: Exhibitions & conferences

Objectives:

    • Establish positioning in market
    • Educate
    • Network – identify opportunities
    • Showcase products to captive target market
    • Establish credibility if speaking at conference
    • Generate sales leads

Opt 5: Industry & business publications – submit articles

Objectives:

    • Establish credibility & expertise within target market
    • Position yourself as specialist
    • Raise profile
    • Generate enquiries

Opt 6: Telesales/telemarketing

Objectives:

    • Prospecting for new business
    • Build leads
    • Customer service

MARKETING TOOLS
• Case studies – explains the client problem or need, and your solution
• Testimonials – statements of endorsement from satisfied clients
• Press releases – use them to send to media, or to customers or placed on web site
• Award entries/winning awards – winning awards sets you apart
• Newsletters – printed or electronic; write them yourself or ask for contributions
• Company profile – also a ‘credentials’ document to establish your credibility
• Website – make it work for you
• Brochures – try not to change these too often (requires time and $$), but don’t let them date
• Video/CD presentations – particularly if you are in the creative field

Start marketing now and don’t stop!

2. Management Practices & Procedures

Make sure you address each of the following key areas as your business grows, otherwise it will become extremely difficult to manage once you have staff, more customers to manage, higher revenue and profit targets, and more priorities to manage and set.

Sales

  • A top priority for any business in growth mode. Face to face selling, telemarketing, sales through agents or distributors will build your network, generate leads, and ultimately result in revenue. Sell, sell, sell!
  • If you don’t feel comfortable selling, then pair up with someone who does. It may be a business partner, or commission agent, contract salesperson, or telesales organisation.
  • Track your sales efforts and follow up. If people are interested in your products or services, or want more information, or are expecting you to call them back, then do so. A lost opportunity is just that, but it is also bad for your reputation as a professional.
  • Make sure you can deliver.
  • Use templates for your database, for tracking sales, doing forecasts, and reporting weekly sales activity for a team. If it’s organised it’s easier to manage.

Marketing

  • Refer to point 1 of this article.
  • Use templates, record your marketing activities, record outcomes to measure effectiveness.
  • Use document templates where you can, and develop a schedule of activities for the year ahead.
  • Have a well thought through plan. Prioritise and stay focused!

Goals & planning

  • Know what your big picture is.
  • Have a vision of where you’re going and where you want to be.
  • Set realistic, memorable and achievable goals
  • Break down the big picture into achievable components – the next week, month etc
  • Follow up and track your performance – if you don’t achieve your goals, what are you doing?

People management

  • Get it right from the beginning.
  • Recruitment is critical in attracting and retaining the right people. Pay attention to the process.
  • Have an induction program for new people. Don’t just let them try and work it all out for themselves. Help them become productive quickly. That makes everyone happy.
  • Manage their performance and their development. Provide performance reviews, and appropriate development training when required. Provide feedback. Encourage and support.

Systems & Processes

  • Document your processes wherever possible.
  • This doesn’t happen overnight but it is an extremely worthwhile exercise. It helps organise the business, makes it operate more efficiently, and makes it easier for you to start removing yourself from day to day operations as the business grows.
  • Start anywhere, such as HR for example – how you recruit, induct, review and manage your staff can all be systemised and documented for easy reference by you and by your staff.
  • A well-organised business has more value to potential buyers, investors, business partners. It’s also easier to work in!

3. Mentoring for Support

Last, but not least, is the Mentoring pillar. Business mentoring from an individual or a group, formal or informal, is invaluable. A business mentor or mentoring program can:

  • keep you on track
  • help you through the rough times
  • demand that you celebrate your successes, however large or small
  • provide another point of view
  • challenge your approach
  • share experience
  • help you to reach new heights with your business
  • provide support and encouragement
  • most importantly make you feel that you’re not alone, and that you have someone else to talk to about your business when you need it.

Marketing facilitates growth, management provides a solid foundation to build on, and mentoring fires your enthusiasm and encourages your development.

What is stopping you?

7 Surefire Tips to Make Your Order Page Work Harder

Jun 2

Posted by Lorrie Morgan-Ferrero in IT Dept, People!, Planning, Risk Management, The Customer Service Dept, The Marketing Dept, The Sales Dept | 1 Comment

So your prospect, Mary, is sitting at the computer reading your compelling sales letter. She’s convinced she needs your product. So she clicks on the order link, with her credit card next to the mouse. She’s taken to the order page. What she sees next makes her change her mind and click away. Can you prevent bail out at the crucial moment of ordering? You betcha!

Here are 7 surefire tips to make your order page work harder for you…

1. Check marks the spot. Add a check box with a big, bold “Yes! I’ll take it! I understand I get blah, blah, blah.” For extra impact, consider adding a red border around the box so it stands out.

2.  Repeat yourself. Remove all doubt about what the prospect gets for her moolah. List all bonuses and the guarantee (if there is one). Include directions on when and how the product will arrive. Hold her by the hand and take all the mystery out of the order.

3. Be kind. Remind. We all want to feel like we made a great choice. You already know how cool your product is. Let her know it too. Something as simple as, “You’ve made a smart decision. Imagine how much your life will improve with this widget.”

4. They like you! They really like you! The order page is a natural place for a stellar testimonial. As my friend Jonathan Mizel (one of the original Internet marketing pioneers) told me, “It’s not over until they actually order.” Consider adding audio as well. www.redhotaudio.com Studies show it adds a human element to your testimonials.

5. Type the easy stuff first. Psychologically the credit card fields should be at the bottom of the page after the prospect’s name and address. Once she starts typing, the sales resistance goes down and the buy in begins. (Note: One Shopping Cart does this by default.) www.clickstartcart.com/

6. Give ‘em options. Some people are still nervous to reveal their credit card info online. If you don’t have alternate methods of ordering like by fax or phone, you could be leaving a lot of money on the table. Marty Foley (http://www.convertmoretraffic.net) suggests you reassure your prospect that your security (SSL) has “bullet-proof encryption”.

7. Wait! Don’t leave! We all hate pop ups (and many are blocked). But they work. if the prospect clicks away, why not add a pop up box with another offer, like the downloadable version at a cheaper price? After all, she’s leaving anyway. What do you have to lose? Tom Antion does this masterfully at www.wedding-toasts.org. (By the way, for an unblockable pop up ad, I recommend the one I’m currently using on my website by Ad Impact at www.red-hot-copy.com/recommends/popup).

These improvements should take less than 30 minutes to put in place so there really is no excuse for putting them off. Tiny tweaks to your copy go a long way toward improving your sales. Never stop improving.

From business to BUSINESS! See it and believe.

May 30

Posted by Steve Gray in Excellence!, Innovation and Creativity, Leadership, People!, Personal Development, Planning, Risk Management, Starting out in business | 2 Comments

Here’s a thought – Imagine two years down the track (visualise clearly now) that you have a business that is running itself, and people call you saying how brilliant the staff are, the range of services is to die for and they love the level of service they get! You drop in to the office every now and then and tele commute. Your income is worth the effort you took to build the business.

Now ask yourself,

  • What do the clients look like?
  • How much will they spend with you per year?
  • How many of them are needed to take the business to this level?
  • How do you beat the competition hands down every time with exceptional ease?
  • What sorts of exceptional people have you poached, and recruited (attitudes, personality, looks etc…?)
  • What sort of office or work set up is everyone working in that sets the standard and then some!?
  • How come the systems they use are so elegant?
  • How is it that your business attracts all the right attention and is seen as a ‘darling’ by the media, in fact they chase you for stories!?
  • Why is it that prospects become customers with such ease and then on to clients and raving fans about the business in no time at all?
  • How is it that your business rewards the staff so handsomely they do not want to leave, they in fact are head hunted and refuse to leave.
  • What is it about the way your team market the companies services that they have no challenges recruiting new prospects and influencing them to becomes customers…?
  • What personality, attitudinal and energy changes would you need to alter to ensure all of the above can come to fruition?

What does all of this look like… REALLY, imagine it, visualise it, develop a plan, a five year strategy perhaps based on the above… Then break it into achievable chunks.

Are there other questions you can add to the list to make the picture clearer, stronger, brighter, bolder, better….

Dare to dream, dare to live, dare to strive for the highest, dare to step outside of your comfort zones, dare to be the best, and then better that, dare to set bold goals, dare to be the one that makes powerful differences in the lives of those around you by setting incredible standards.

Don’t just sit there, Grab a pen and some paper create a plan and make the world yours, consider it like a bud about to bloom, and when that ones is finished there is another and another just coming into bloom! and watch as bees come and take the pollen and your flowers become the pick of the crop for the bees…

The business of business can be a tricky road to traverse, but with the right attitude, mindset, skills and ability you too can make it a golden one.

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