We are always talking about the importance of the "P's" with our clients:
Done right, these 4 P's inevitably come together to create the 5th "P" which is Profit.
It all starts with Planning. We view this not as an academic or optional exercise but a mandatory practical strategic guide necessary for growth, innovation and sustainability. Of course, passionate people are needed to create and implement the plan, and processes are needed to ensure consistency and measure the progress.
Profit, like any successfully achieved goal, rarely happens by accident. So make sure you mind your P's for a profitable 2012!
In this newsletter, several members of the Strategy1 team
have come together to share their ideas about the 5 "P's" with you. Enjoy!
It's amazing how often I hear business owners say:
"I don't need a plan. I know what I need to do."
Well would you take your family on a camping trip by car without a specific location in mind and a map or GPS to guide you? If you have no clear destination, how will you know you have arrived or were even headed in the right direction?
Look upon a Living Action Written Plan as the road map for your business. A written plan forces you to address issues necessary to make/maintain a successful business. Even if you miss your projections, and with the recession many did, without a plan you have no "baseline" from which to make adjustments. A plan, like a AAA "Triptik", need only address the following 4 questions:
1) Where am I now? (a picture of your business as it is today)
2) Where do I want to go? (goals - objective - desired results)
3) How am I going to get there? (strategies/action steps that must be taken to get the right products/services to the right customers)
4) What are the possible "obstacles" I might encounter and what alternative routes are available? (increased competition, new government regulations)
Remember: "Failing to plan, is planning to fail" (anonymous).
Let's work together to create and implement your 2012 success plan.
Do you work to live or live to work?
"The kind of commitment I find among the best performers across virtually every field is a single-minded passion for what they do, an unwavering desire for excellence in the way they think and the way they work. Genuine confidence is what launches you out of bed in the morning, and through your day with a spring in your step." - Jim Collins
If 80% of your life is spent working, then doing something you are passionate about makes for a happier and more satisfying life. Think about it for a moment. When you face each work day do you consider it a horrendous chore or a happy choice? What about your employees?
When our life's work is also our passion we are able to achieve more, dream bigger and perform effortlessly. We enter a state of flow where our perception of time changes, we feel energized and even joyful. This state of focused motivation is contagious; to our family, friends, coworkers and customers.
Or as comedian George Burns said, "I'd rather be a failure at something I love, than a success at something I hate."
Our job is to help make you successful at what you love!
Business processes are designed to add value for the customer
Every business is a collection of related, usually structured activities that produce a specific product or service for a specific "customer" (who can either be a paying customer, employee or supplier.)
There are three types of business processes: 1) Operational processes
, which make up the core business and create the primary value (such as Sales, Manufacturing or Purchasing)
2) Supporting processes
, which support the Operational processes (such as Accounting, Payroll, Technical Support or Human Resources)3) Management processes
, which govern the operation of the business (such as Planning, Budgeting or Management Review).
In challenging times, businesses must serve their customers faster and more efficiently (than you did yesterday, and that your competitors are going to do tomorrow). This makes improving your business processes more critical than ever.
If more profit is important to you, you'll probably find it hidden in your business processes. Adding profit by improving your processes is always easier than adding more sales, and more cost effective than adding people.
Business process improvement pays for itself in added profits, so process improvement efforts basically cost you nothing. Ask us how we can help you improve your business processes.
Happy Employees = Happy Customers = Increased Business/Profits = Happy Owners/Shareholders!
One of the most important factors in building a sustainable business is to build strong relationships with employees in the same way you build long-term relationships with your customers and strategic partners.
1) Communicate with your employees, not just about work-related matters. Show that you care.
2) Help them instill a sense of purpose, find meaning and passion in work, Live their calling, not just the job.
3) Coach them on how to align their individual values with organizational values.
Here are a couple of companies that have an "Employees First" culture:
- Marriott's Corporate Culture: "People First" - "Take care of your employees, and they will take care of your customers."
- Southwest Airlines' Corporate Culture: "We put our Employees first, then our Customers, then our Shareholders."
These organizations believe that when you treat your Employees right, they will treat your Customers right, and in turn that results in increased business and profits that make everyone happy.
If you have the goal of happy employees, talk to one of us at Strategy1!
Was last year's profit less than fine?
Now is the time to refine your approach to profit. Many business owners focus on sales growth each year without much thought to their bottom line. It's not how much makes it in the door, its how much you keep at the end of the day that counts.
Commit to taking the Five Proactive Profit Plan Steps to improve the productivity of your business and watch your profits increase in 2012:
1) Refine Your Expenses: Cut the unnecessary, get new quotes for insurance, re-negotiate your lease, and review your use of technology.
2) Refine Your Sales: Understand your profit per transaction or unit as well as profit per customer. Identify the most profitable, lowest stress opportunities and target them.
3) Refine Your Vendors and Advisors: Build a network of trusted advisors instead of overhead expenses. Ask yourself if your vendors are actively helping you take your business to the next level.
4) Refine Your Processes: Make a list of your key business processes, prioritize and get to work improving at least 1 per month.
5) Refine Your Time: Track your time in detail for two weeks - are you spending more than 20% on grunt work?
We can help you focus on strategically growing, managing and refining your business for greater profit.
|Strategy1 offers innovative, world-class business services to increase long-term sustainability and maximize the performance of entrepreneurs, businesses and non-profit organizations. |
Our integrative solutions for strategy, profit and people include:
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|900 East River Road|
Strategy1 provides unparalleled strategic business consulting, accounting, marketing, human resources and leadership development services to results-oriented organizations, teams, entrepreneurs and individuals to select cities across the US.
By playing a significant role in our client's success and prosperity, we build long term working relationships and are recognized as influential innovators in our industries and communities.
1) Our Attitudes
with all of our Stakeholders:
We are always professional, respectful and lead by example with our ethical and visionary leadership.
2) Our Professional Standards:
We maintain the highest levels of qualifications, knowledge and skills through continuous training, professional development and improvement in all business operations.
3) Our Client
We offer exceptional value for all of our services and are fully accountable to our clients.
4) Our Collaboration with Strategic Partners:
We serve our client's needs with a full range of complementary services by collaborating with proven partners who are aligned with our passion, values and goals.
5) Our Community
and Social Benefits:
We make a positive and lasting impact in our communities through our efforts to develop better leaders, stronger organizations and more fulfilling lives.