I ride my cycle a lot. I’m used to numpty car drivers pulling out on me (if you’re a cyclist you know what I mean.) I don’t hang around, I cycle quite fast. This weekend due to a lack of patience a car overtook in the most incredible place and hit the vehicle coming the other way. Wing mirrors went spinning across the road. Cost, £300 all because one car driver just couldn’t wait a few seconds.

In the rush to get the job done, to get to our destination, or to get the business to grow, we knock things off. We knock people about…. whether they are customers, our people or suppliers and like the car drivers it costs money. People leave our business because they are not treated the right way. We become consumed by doing busy work rather than real work. We run round in circles, become less efficient and take our eye off the real ‘REAL’ ball.

It’s the equivalent of driving head down along the road without enjoying the ride, appreciating the view and taking the moment in. Business is a lot like that. We spend so much time trying to achieve but not understanding how to achieve.

The definition of patience is tolerance of delay. It implies self control, considering the options and sometimes just waiting. How many times have you jumped at a decision only to recognise later that delaying or self control would have put you in a better position or you would have made a better decision?

Just slow it down a little, think carefully, be patient, don’t rush it. Better to get there than never at all!

Leadership not management is now the key to driving out more production, outstanding creative work and new ideas. So why are we small businesses having so many problems? Well we’re selling more intellect and less material. The emphasis today is on managing the human imagination not production lines. Our peoples expectations have changed but ours haven’t and our customer’s expectations have changed but perhaps ours have not! Trust, respect and loyalty are missing and we only have ourselves to blame.

There are some key concerns….many small businesses have done just the opposite of what they should have done – order and conformity rather than free thinking and risk taking. Many small businesses could not have frustrated their people any more if they had tried to and as small business owners/managers we are so reluctant to let go. It all leads to limited growth and mediocre performance in many cases.

So, small businesses will need to be able to manage change better in the future. They will have to be less organised and less controlled by a single brain. Founders, managing directors beware! Growth will be limited not by production or developing the latest product but by your ability to recruit and retain the best people in the business.

The widespread trend towards interconnectedness will accelerate continuously leading us towards being more nimble, innovative and continuously self modifying. Small, autonomous, flexible businesses will be the ideal structure in the future and your people will have a share equity in those same businesses.

We’re going to have to share responsibility, demand accountability and drive towards common goals. Our jobs as Directors will be less about control and more about disrupting the status quo.

We are exposed to an average of 3500 brands a day. Brand orientated businesses are twice as likely to succeed. 80% of businesses with a strong brand focus have operating profits almost twice as high as the sector average. We’re shifting from profit generation to value creation for all stakeholders and we’re now operating in a world that’s no longer based on the manufacture and trading of tangible products but the creation and delivery of intangible services.

Some of the worlds strongest brands today were not even a twinkle in their creators eyes twelve years ago; ipod, eBay, Google, Innocent Drinks, Big Brother, Harry Potter. We are entering a new culture of mobile usage, organic, downloadable entertainment, male grooming and social networks.

It means instead of messaging people how good we are, we need to involve them. Instead of promising we need to deliver, interactive replaces passive, look and feel is history, it’s actually about experience. And finally, instead of having an audience as customers you have a community of customers!

What on earth is going on? Your most significant question at the moment; is your business strategy designed for a static world or for a changing one? And is it changing in a fundamental way?

Somehow we need to get a grip and work out how to make the intangibles tangible!

If you don’t want to do yesterday’s exercise try this one……in the next 10 days (okay it may take little more time to organise,) round up some of your colleagues and visit two ‘real’ businesses you admire. Hold an open minded discussion with them on what they do well, what they want to improve on, what their challenges are. How do they deal with some of the particular problems you have? What are their aspirations for the future?

Believe me you’ll learn a hell of a lot……

A little exercise……Sit down with two or three colleagues (preferably motivated ones) and launch informally into a discussion around:

WHO ARE WE?

WHAT DO WE STAND FOR?

HOW DO WE STAND OUT FROM OUR COMPETITORS?

WHAT EXPERIENCE DO WE WANT OUR CUSTOMERS TO HAVE?

Honest answers only please! With those same two or three colleagues map out what a great (the business your’e in) would look like? What should it feel like when customers engage with you? Make a list of what you need to do, then go ask some of your clients the same thing…….

Times are tough, the buzzword of the moment is recession and the strong economic climate looks like it’s taking a battering and for some time to come. Customer confidence is wobbling, cash is tight and we are all feeling more than a pinch. So its easy to take a knee jerk reaction and try to cut costs, yet perhaps thats the easy route and a route to nothing. So what are you going to do?

The best answer is before you do anything…….. ‘think.’ Here I offer some thoughts:

1. It’s a long haul - whilst there may be some quick hits you can implement, make sure you don’t cut costs too much, an anorexic business ain’t going to get you far in the long term. Being overstretched will only work for so long.

2. Understand what creates the true value in your business. Is it the staff? Is it employees? Is is your products? Is it your customers? Whoever provides the value, they are providing the profit and they need supporting it’s as simple as that.

3. Differentiate, differentiate, differentiate. Get to grips with why people buy from you, invest in marketing and sales tactics that communicate that and if you have creative thinkers…..these are the last people you get rid of in these tough times.

4. Lead your team through this period. Don’t make it tougher for your staff. Encourage, engage, motivate and inspire them to become better at what they do and more productive. If they are led with those words in mind they will come up with the solutions and make it easier for you. Keep morale high and don’t start slashing expenses, bonuses without doing it properly. Strong, clear communication is priceless.

5. Concentrate on customers even more. Identify your top 20% of customer performers ie: those contributing to profit, growth and cash and go visit them. The last thing you want to do is lose customers at this time because in the panic you forgot about them. Set targets for increased spend from these customers. If your top 20% of customers spend 10% more this next year, what difference would that make?

6. Do something now. Get on with it and don’t put it off…you don’t want it biting you on the bum in the next few months. Think, understand and prepare for the actions required. Don’t let decisions be forced on you and think long term solutions.

Looking back on these points, perhaps it’s timely reminder that tightening the old belt can sometimes be good for us!

Running a small business is sometimes like trying to push an elephant up hill. Small business owners are forever trying to do everything themselves. Understandable I know, because often they feel they can’t afford it or can’t justify the cost. And that’s the point, we see it as a cost not an investment.

Looking at small businesses that are successful, what is clear is that the founder, managing director, chief executive, who provided the early, initial motivation, products or service were quick to recognise that it’s not just about products and customers, it was actually about putting the right people around them. Not just employees (if you choose that route) but if you outsource too. They understood that when they had a problem or challenge they hit the right button with an outside person to get them over the hump.

So when you have a marketing problem, go get a good marketing consultancy. If you have a financial issue, go get a financial adviser who understands business. If you have a management problem, go get a management consultancy. Be clear about what you want, what you need to change and what the return on investment is going to be.

Success is about putting the right people around you. Invariably you really can’t do it all yourself, if you do, your business will experience complete limited growth.

There is no such thing as a sole entrepreneur! So do you want to grow your business or not?

I read Chris Anderson’s book a while ago and have just re read it. Its an interesting look at the future trends using the media and entertainment industries as an example. I’d recommend the book to anyone who has an interest in how business could work, actually is working now and in the future. You can see a preview of his thoughts in a video on YouTube at www.youtube.com/watch?v=0Yku0GTrcuw and have an option to download the full video when you are there.

Enjoy.

Abandon everything you have been taught about marketing before. Take a cold quantitative look at your marketing activity and start again. All marketing should bring a return on your investment. Break from the past and think about:

- Beginning again – I feel a truly clean sheet of paper works well

- Start solving the root cause of why your marketing is not working as well as it should

- Create a strategy, yes I know it’s dull, but it will help shape your marketing and keep you on track when it inevitably gets tough

- Put a budget aside, you are going to need it

- You don’t need ten goals, two will do. But make sure they are the ones you can over commit to. If you do this, how successful would your business be?

Don’t be fooled, changing the marketing of your business is not going to be easy. You need a new marketing framework that will help you make sense of a new business environment where success is judged less on complex, sophisticated, financially driven factors and more on humanised customer relationships and new ideas that not have been used in the past.

For further marketing rules go to www.clarityprojects.co.uk and download the Marketing Rule Book. Hope you find it useful!!