Not mine but Tom Peters. Thought it was a worthwhile document to read and take on board! It’s got some useful reminders in it….

http://www.tompeters.com/blogs/freestuff/uploads/Heart_of_Strategy_ANN_033009.pdf

There are early warning signs that a business is in trouble:

1. Complaints by the senior team that it never used to be like this.

2. Lots of new competitors taking a large share of what you used to do.

3. Excess provision of what you do in the market place.

4. Your only differentiator is price and, as a result, margins come under pressure.

5. Too much risk management and an excess of market research.

6. Belief that it won’t happen to you.

7. The MD spends too much of his/her time looking over their shoulder.

8. The business is static, gripped in a fever of stand off. Avoid the issue and it will go away.

Big and small, a downturn takes no prisoners. Thousands of business with the above problems are being gobbled up by business with dynamic strategies, innovative thinking and differentiated products/services.

If you are doing one of the above, you’re possibly in trouble. Turn it on its head and change it and rapidly.

Great post by Seth. I posted something similar a few months ago, but of course, he puts it more eloquently: 

http://sethgodin.typepad.com/seths_blog/2009/03/the-right-size.html

Would recommend this book by Dan Ariely. An interesting, enlightening and influential read, there are some interesting observations about our irrational behaviour backed up by research. Chapters 2 and 3 are fascinating, particularly when you consider their impact on your pricing strategy!

By the end you will have a greater understanding of human behaviour and picked up a couple of snippets of information that could alter your small business decision making too!

Just following on from the previous post…..

People want to be part of something that matters, that what they do is meaningful and has some significance and they want to know what contribution they are making too! That also includes you. This is about getting your team to respond rather than to react to problems. There is a difference.

If the MD isn’t good at change and his managers are not good at leading, no wonder employees try and stop it from happening and no wonder they get demoralised.

The first realisation is that people now only want to work on stuff they believe in, understand and find meaningful. In fact that was always the case its just we didn’t have enough passionate leaders to create it. Now we don’t have any choice. These kind of people want to know how it benefits them as well as the business. How it stimulates change, how creative it is and whether it embraces a ‘better way.’ The job of the leader is to engage their people on a journey, on a plan, on a route that they are fully motivated towards. In the future, it will be these things that will bring about a competitive advantage not products!

Leaders are great connectors, they can understand people quickly and they understand motivation. They have the ability to inspire people. They are not process orientated but lead from the front, galvanising support, creating ideas that drive the people in the business towards its goal. They are not interested in authority and can’t abide ego centric people.

One of the most significant problems with people who manage a small business is they are wholly task driven. They focus on the day to day operations and tasks without identifying and inspiring their people to the long term view, what the business is aiming to achieve. That’s coupled with not clearly communicating what that means for their people and how that benefits them! Creating purpose is the road map, the vision, the thing you gather at work every morning for. Nothing happens effectively without purpose, it presents a clear plan for the long term and looks at possibilities not problems. To start you off focus on:

-       What is your core purpose?

-       What is your dept’s core purpose?

-       What are your peoples core purpose?

-       How does that purpose add value?

-       What will it take for you to drive people towards the purpose?

The point is this, if you don’t know in one sentence what you businesses purpose is, how the hell can you people deliver it. What is your department’s value creating proposition in terms of leading your team and customers?

If you are thinking about changing the marketing approach in your small business and you feel some outside help from a marketing specialist is required don’t ask them the usual questions such as why are you different than your competitors? Or, tell me about your previous work.

What’s more interesting is to ask them this; “How will you help me remove the constant fuzzy noise in my industry and improve the signal I send to my customers?” Not only will it challenge them, the one that comes up with the rational yet exciting answer is the one you need to commission.

Overheard this in a coffee shop today “we often stop to look but, very rarely stop to listen.”

Fair point, well made!

Found a great site that posts short videos on business development techniques. Some of the tips are down to earth, practical and definately add value. Take a look at:

http://www.yourbusinesschannel.com

There are a few free ones which are short but useful. To see over 600 you have to sign up and pay.