Every day, newspapers and TV news channels in India keep telling us of the dark clouds of political uncertainty in West Asia and North Africa, unemployment in the US and the Greek debt. And then there are the ominous whispers that more news – bad of course – on the debt front from Italy and Spain. Are things really that bad? Is it all gloom and doom?
The Economic Times recently surveyed 22 CEOs of large businesses to rank 10 issues on a ‘headache scale’ of 1 to 10, where 1 stood for the ‘least headache’ and 10 for the ‘worst headache’. The most important conclusion of the study was that in India, consumer demand would continue, that top line growth would remain intact and that we can weather a global crisis. This will come as good news to all those business leaders who may have started to grow jittery, hearing all the global bad news. So then, what does Indian business need to worry about - if at all? It is the high input costs which could end up hurting their profits. And it is this situation of shrinking margins that is likely to give business heads, especially from the SME sectors, sleepless nights. And sleepless nights, as we all know, can lead to rash decisions. So what should they do to deal sensibly with the current situation?
In my experience of working with owner-managed businesses I have noticed that most, if not all of them, are so deeply operationally involved in the day-to-day managing of their businesses that they rarely give time and thought to put in place a long-term directional view of their businesses. Renny Thomas, of McKinsey & Co attributes this neglect to the fact that up until recently, India was in a period where lack of a meticulously planned strategy did not matter as much since the growth areas were obvious. But with increasing competition from Chinese and other foreign competitors, coupled with shrinking margins, business heads have realized that it is no longer enough to go with the flow. It’s time to move beyond the present and start planning the future with purpose and intent and desired results in mind.
1. Assess Your Company’s Current Status: Put everything on the table, both the good and the bad. Include areas of the business you are proud of and problems you wish would just go away. Address issues relating to staff, products and services, location, profitability, and new business development.
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| Hi-Fives to Your Business Success |
2. Review The Past: Look carefully at your past marketing efforts, successes, and failures. If you are running a marketing program but cannot justify its expense with increased sales, consider cancelling it or placing it on hold. Successful marketing turnarounds stop the bleeding quickly.
3. Analyze Competitive Activity: Often, a new entry in a market will use new marketing techniques and follow new thinking to achieve sales that you didn’t know were possible. Evaluate objectively, to achieve a successful marketing turnaround, you must do what is best for your company.
3. Rethink Your Business: Keeping your learning from the earlier three steps in mind, think again, about current customers, competition, industry changes, and technology. Rethink your business model. Many successful businesses have managed to stay successful by moving with the times. They saw that the needs of their customers were changing and acted accordingly. Be flexible to adjust to new opportunities and challenges.
5. Be Quick. Act quickly on your plans to marry the short-term to the long-term. Speed and flexibility are essential in turning a company around.
And don’t give up - giving up too early may result in your falling short of the great success your business was destined for.Act consistently and diligently on the five ways and you could have success dancing on the palm of your hand!
And in case you need help; I have more than10,000 hours of Buisness coaching experience of supporting business-owners such as you. I can help you reach your business goals faster, achieve higher and become stronger! For contact details click on Contact tab above.
