Committing To Your Business Success

Looking at yourself and your business is part of the New Year process. An honest assessment each year is essential—looking at what worked and was profitable and what didn't work, and getting clear about where you want to take your business during the next year.

 

Making a conscious commitment of time and energy to your business will determine your success in the new year. And having an updated goal plan for your business as well as a personal goal plan for yourself will enable you to focus your time and energy, allowing you to take action and to maximize all your resources.

Get "Savvy" with Technology

Acquire or upgrade whatever computer equipment and software you need to do your business more efficiently. Get e-mail and explore the Internet.

Improve Your Skills

Take a look at what strengths you have and what areas you are weak in, and take specific classes and workshops that will improve your skills and enhance your business.

Stay Focused on Your Business

Figure out what your core business is—your services and/or products—and put most of your time and energy on this.

Tap into All Your Resources

Seek out help when you need it. Look to all your community resources (SBDC, RREDC, AEDC, WEI, BC, etc.) and use outside consultants when appropriate.

Streamline Your Office

Eliminate the Clutter. Clean out old files and get better organized. Look into a 'contact database' that might help you with efficiency and follow-up.

Give More Attention to Current Customers

Give better service to your existing customers with timely follow-up contacts and offering services and products they may need.

Do More of What Worked Well

Do more of the marketing that brought you tangible business and positive exposure. Provide the services and products that got a great response.

Expect to Do Well

Set yourself up to succeed by having realistic, achievable goals that challenge and excite you, and expect to do well with your business. What you expect is usually what you get!

FELIX THE FLYING FROG – A Parable About Modern Management

Once upon a time, there lived a man named Clarence who had a pet frog named Felix. Clarence lived a modestly comfortable existence on what he earned working at the Wal-Mart, but he always dreamed of being rich.

"Felix!" he said one day, hit by sudden inspiration, "We're going to be rich! I will teach you to fly!"

Felix, of course, was terrified at the prospect. "I can't fly, you twit! I'm a frog, not a canary!"

Clarence, disappointed at the initial response, told Felix: "That negative attitude of yours could be a real problem. I'm sending you to class." So Felix went to a three-day course and learned about problem solving, time management, and effective communication — but nothing about flying.

On the first day of the "flying lessons," Clarence could barely control his excitement. Clarence explained that their apartment building had 15 floors, and each day Felix would jump out of a window, starting with the first floor and eventually getting to the top floor.

After each jump, Felix would analyze how well he flew, isolate the most effective flying techniques, and implement the improved process for the next flight. By the time they reached the top floor, Felix would surely be able to fly.

Felix pleaded for his life, but his pleas fell on deaf ears. "He just doesn't understand how important this is," thought Clarence. "He can't see the big picture."

So, with that, Clarence opened the window and threw Felix out. He landed with a thud.

The next day, poised for his second flying lesson, Felix again begged not to be thrown out of the window. Clarence opened his pocket guide to "Managing More Effectively," and showed Felix the part about how one must always expect resistance when introducing new, innovative programs.

With that, he threw Felix out the window — THUD!

On the third day (at the third floor), Felix tried a different ploy: stalling. He asked for a delay in the "project" until better weather would make flying conditions more favorable.

But Clarence was ready for him: He produced a timeline and pointed to the third Milestone and asked. "You don't want to slip up the schedule, do you?"

From his training, Felix knew that not jumping today would only mean that he would have to jump TWICE tomorrow. So he just muttered, "OK, yeeha, let's go." And out the window he went.

Now this is not to say that Felix wasn't trying his best. On the fifth day he flapped his legs madly in a vain attempt at flying. On the sixth day, he tied a small red cape around his neck and tried to think "Superman" thoughts.

It didn't help.

By the seventh day, Felix, accepting his fate, no longer begged for mercy. He simply looked at Clarence and said, "You know you're killing me, don't you?"

Clarence pointed out that Felix's performance so far had been less than exemplary, failing to meet any of the milestone goals he had set for him. With that, Felix said quietly, "Shut up and open the window," and he leaped out, taking careful aim at the large jagged rock by the corner of the building.

And Felix went to that great lily pad in the sky.

Clarence was extremely upset, as his project had failed to meet a single objective that he had set out to accomplish. Felix had not only failed to fly, he hadn't even learned to steer his fall as he dropped like a sack of cement, nor had he heeded Clarence's advice to "Fall smarter, not harder."

The only thing left for Clarence to do was to analyze the process and try to determine where it had gone wrong.

After much thought, Clarence smiled and said… "Next time, I'm getting a smarter frog!"

____________Notes: Manager as Coach_______________
While there are many potential solutions to existing challenges, it's vitally important to create true dialogue with your employees, clients, customers. Using a traditional or standardized approach sometimes misses the obvious. When we're willing to hear feedback from the people who are most personally involved, they often have solutions and will share insight that we, in our desire to "create results," might otherwise miss. So ask yourself, how good is your "listening reflex?"

Financial Tips on Growing Your Small Business

Companies with 100 or fewer employees dominate the American business landscape. They now employ 60 percent of the work force. Further, entrepreneurs with small businesses continue to generate most of the new jobs.

Strength in numbers, however, doesn't mean running a small business is easy. The lack of economics in scale, particularly in the benefits area, can pose some thorny problems. Here are some ideas for growing a small business in today's competitive environment.

Managing business assets profitably. According to US News & World Report, the three major reasons why small business fail are insufficient profits (22 percent), poor growth (20 percent) and too much debt (15 percent). The challenge for you, as a small business owner, is to manage your business assets as effectively and efficiently as possible.

For starters, you need to know how much your business is worth–really worth. This means you need the perspective of your creditors and lenders. It would be time well spent to meet with a financial advisor who can help you determine typical rates of return in your area of business, average company earnings, current book value and projected rate of growth.

Repositioning cash reserves for higher yields can affect your bottom line. Consider putting funds that you don't need immediately in higher yielding securities which don't increase your risk significantly; such as, intermediate term CDs, money market funds, and bond funds. Also investment in dividend-paying stocks or in tax-exempt municipal funds can slash your business taxes.

Managing employee benefits carefully. The challenge for you as a small business owner is to attract and keep good employees while controlling the cost of fringe benefits. Small companies have choices other than straight health benefits.

Flexible spending accounts allow employees to use pre-tax dollars to pay for day care, medical care premiums and other specified expenses by creating a benefit package that includes a cafeteria plan.

Other benefits that you can offer might include group disability coverage, group life insurance or a SEP-a retirement plan for small businesses that is the lowest in cost and easiest to set up and administer.

By Susan O'Conner, IDS Financials