Posted on

Growth is Not Easy But It is the Only Option

In order to grow in your ability as a business leader you must change. This is basically an empirical law . . . there are no exceptions to this!

 

GROWTH = CHANGE

Before you change, it is wise to understand that any change is accompanied with a certain level of disruption. This is also an empirical law. The amount of change you go through is directly proportional to the level of disruption you experience.

CHANGE ∝ DISRUPTION

And, with any disruption there is always discomfort! In fact, the level of disruption is proportional to the level of discomfort that you will feel.

DISRUPTION ∝ DISCOMFORT

Posted on

Captivate

The Science of Succeeding with People

The book review for this week is Captivate by Vanessa Van Edwards.

Van Edwards takes the reader through a detailed study of the art and the science of networking. She explains the power and benefits of building your network and covers many of the aspects of starting and building genuine relationships.

My takeaway from this book is the fact that anyone can be a great networker. You do not have to be an extrovert. In fact, Van Edwards herself is an introvert and provides quite a few humorous examples to prove this!

Follow her 14 networking hacks (below) and your skills will improve dramatically!

Posted on

The 30 Things Your Customers Value Most

It is no secret that the value you create for your customers with your products and services will either make or break your business.

But did you know that “universal building blocks” of value exist and you can leverage these to create, bolster, and propel your business forward?

In the August 2018 issue of Rotman Management, Eric Almquist and Jamie Cleghorn presented “The Elements of Value” models for consumers and for business to business. These models are based on their extensive research and fit nicely into the Maslow Hierarchy of Needs framework. This post provides the basics for their Business to Consumer model.

The Consumer Value Pyramid

According to the authors and their research, there are 30 fundamental building blocks of value in the business to consumer model. These 30 elements organize nicely into a four level Hierarchy of Needs pyramid. They are shown in the diagram below and, for the most part, the model is self explanatory.

Posted on

How to Increase Profit and Wages Simultaneously

All business leaders today are looking for ways to decrease costs, while increasing productivity and profit. Many businesses today are taking a one time profitability boost by reducing costs at the expense of the employees.

Cost cutting always seems to be the first action taken by companies as they try to increase their profit. I understand that some businesses are in trouble and this may be their only recourse. However, many businesses rely on this cost lever rather than looking at all the other options available to increase profitability.

Henry Ford

Most people know that Henry Ford was quite famous for piloting the assembly line factory and for increasing the productivity of his factories. But did you know that he was able to simultaneously increase profits while decreasing production costs, increasing productivity, and increasing employee’s wages?

Posted on

Profit First

Transform Your Business from a Cash-Eating Monster to a Money-Making Machine

The book review for this week is Profit First by Mike Michalowicz.

Michalowicz introduces a new and unique way of managing the financial side of your business. Rather than running your business using traditional GAAP based reporting, he introduces an approach that keeps the business owners focused on profits not on Revenue, SG&A or COGs.

His point is that profit is not an event . . . Profit must be baked into your business every day, every event, every transaction. The best way to do this is to build a system that puts profit first and not GAAP accounting (although the accounting still must happen). Michalowicz lays out a simple but powerful system that does this.