It’s a common myth that building your infrastructure is one of the biggest risks a business can take, when in reality it is actually one of the safest. It would realistically be a bigger risk to continue on doing business and hoping to survive rather than measuring the outcomes then taking the step forward. An example would be paying services to certain vendors when you can spend a little more and cut out all of their bloated costs together to manage everything yourself. The costs are always daunting at first but it is important that you take into account the money you can save as well as gain if you make the transition further down the line. A company’s infrastructure is manageable and can be easily calculated so that internal costs are reduced or more features are brought into the mix. Often when business owners are thrown the idea of expansion they are turned off by the upfront costs even though they may gain a substantial increase in revenue or customers at the end of the day. It’s better to keep a steady flow of funds cycling throughout your company instead of staying in the same pattern and hoping that business picks up. Often people procrastinate over the idea of building up their infrastructure which may lead to the business staying at a stunted growth. If you can figure ways to cut costs or run a more independent business then it will lead to a streamlined approach which could be your recipe to success.
Posts Tagged ‘successful business’
For years the opposing characteristics in managers have left a dividing line between those who run a tight ship and those who make their employees feel miserable in the line of work. During the past couple of years with technology becoming more advanced it has become easier to get in contact with co-workers and colleagues in a business environment. It is now difficult to distinguish proper management of a workforce when the communication between the two forces has increased greatly. The question that remains is should an individual with a seat of power over his workers run a tight ship or cut them some slack every once in a while? Recent surveys have shown that it is now more acceptable to instead text in sick rather than actually calling in. Although this may not seem like a big deal, it breaks the barrier in a personal sense where both parties are communicating on a personal phone which leaves the air open for more personal matters to be brought up. A manager must make tough decisions between workers that are well mannered and willing to learn or those that are already accustomed to the field of work but are difficult to collaborate with. Many circumstances come into consideration when interacting in the office such as personality types which can bring a team together or farther apart. An example would be a person who has a personality which includes a higher level of detail and loyalty which will trump an individual who is overly anxious as well as unable to pay attention to details. The manager must first make decisions when surrounding himself with workers by deciding if their personalities and habits are a compatible recipe for producing successful results. Lower ranking positions such as working at fast food restaurants always have a flowing stream of back talking teenagers walking in as opposed to the corporate business who keeps their carefully screened candidates for many loyal years. Today it is crucial that when running a business you screen your potential candidates with personality tests in order to determine if they are best suited for your needs or positions.
We currently live in a day and age where we are demanded to carry out procedures in an almost instantaneous manner. However we can contrast the differences between the local gas station attendee and business tycoon with his own office. You can venture into any local establishment such as a bank or store and look around to see the effects of billing people by the hour. Our society is built upon the foundations of the working class which is motivated under the ideals of paying for only the specific amount of time and services to ensure a faster turn around time. It is this system of functionalism for both the employer and employee to use this technique that is based on simply supply and demand. The company will merely pay the worker for the number of hours accomplished and the worker will become more motivated to completing these given tasks in a more timely manner. People paid on salaries are usually less motivated due to the fact that they are getting income no matter what the circumstances may be. Workers who function on a salary are usually more prone to letting projects pile up with the idea that they will be able to put everything off until a later date. It is now a more common system that is seen throughout the industries that people are slowly being weaned off salaries and pushed into a mercenary style of work.
A successful business is all about knowledge in management (money, employee, assets, etc.) promotion and growth.
The mechanics of a successful business very basically is bringing in more money than is going out. This means that you need to buy your supplies in a knowledgeable fashion, getting quality at the best price, you need to manage your employees to get the best production out of them. This doesn’t mean run a sweat shop, but keep your employees happy so they can do their best work.
Set goals for you personally as it pertains to the company, goals for the company and goals for your employees. When these goals are met and or surpassed, acknowledge that in some fashion, give the employee a raise, throw a party for meeting a company goal, and give yourself some acknowledgement for meeting your goals too. This doesn’t mean blow the bank on any of the acknowledgements but do something to mark the occasion.
Promote your business, word of mouth is always the strongest advocate, but other advertising is also needed. Figure out your audience and advertise to them in their comfort zone. Try multiple types of advertising, if one doesn’t work, pass it by and move on, don’t just give up.
Hit your competitors where they aren’t. This means make your services unique, ‘value added services’ will bring you more business. Give your customer more for their money without hurting your company profits.
Keep records, records are your company’s history and future. Your records can give you a critical path for your company.
Any time can be the right time to start a new business, even in this tough economy. It is true that less people are willing to take the risk of starting a new business in a tough economy, but that doesn’t mean it can’t be done. For example, Microsoft had it’s beginnings during a period of downturn in the economy.
There are plenty of entrepreneurial spirits out there right now starting new businesses. Most of them are former executives and managers, but there is also a sprinkling of down in the ranks entrepreneurs too. While the largest quantity of business’ fail within the first year, by the fifth year about half of the total have failed. A down economy can make this figure even higher and the staunchly determined only need apply.
When starting your business in a down economy you have many challenges but you also have some perks. You can get good, talented employees for less money than otherwise expected. Suppliers may give out deals and give across the board cuts on your supplies. You just need to know your options and weigh them.
In promoting, know your market and know how to reach them. Advertising is a huge thing and can be a huge expense if you’re not careful. Know your market, use your business skills and business knowledge. It’s best if you can start a business that you can pull customers in that have worked with you previously, this will give you a little boost in creating your customer base.