Archive for July 2011
SWOT your business
How do you do to assess your business on a regular basis? Secondly, do you really try to look from outside, objectively, and try to improve?
The reality is that smaller businesses (SBE) do not assess their business on a regular basis and if they do are all the things they are doing well and pat on the back then move on. Not very smart is it? I mean, can be motivating and allows you to check that the box actually did, but ends up not even be worth your time.
That’s why most of us do not, because we believe it is a waste? Maybe, but why feel that way is that we have a system. I want to share a system today that has existed since the 1960′s and was first created by Albert Humphrey who led the convention in the 60 and 70 years at Stanford University for the Fortune 500. This is a very simple system that can be used in a strategic planning session a day or a five-day retreat.
WARNING: Do not start this process until you have a clear vision of what your business wants to see in the next 1 to 3 years.
You must have this vision in order to answer questions in a truly meaningful. You need to be focused on the desired result.
The SWOT process
SWOT stands for: Strengths, Weaknesses, Opportunities and Threats. This is an inside-out analysis of your business. By analyzing these four strategic areas of your business that you can design, decide and implement effective plans immediately.
STRENGTHS: What are the strengths of your organization? It is necessary to ask questions such as:
• What advantages does your organization?
• What are your core competencies?
• What is a fact, why do it better than anyone?
• What unique resources or lower cost can use that others can not?
• What do people in your market that are your strengths?
• What factors make “getting the sale”?
• What is the proposition unique selling your organization?
• What is the strength of its product or services?
• What are the strengths of your people?
WEAKNESSES: What are your biggest areas of improvement (AFIS)? The questions you need to do:
• What could be improved?
• What should not you focus on?
• What are the people in your market likely to see as a weakness?
• What factors are lost sales?
• How do you feel your customers are your greatest IFA?
• If money and time were not a problem, what would the area of your business that is better?
OPPORTUNITIES: What can seize this moment to take it to the next level? The question we should ask:
• What opportunities exist in the market today?
• What interesting trends to know?
• What are the changes in technology that affect your business?
• Are there changes in government policies that affect your industry?
• How the current economic climate can benefit your business?
• What changes in social patterns, population profiles and lifestyles of consumers new opportunities for your product or service?
• What has happened locally that enable new opportunities?
THREATS: What needs to be concerned about now or in the future? The questions that are most important to this area of analysis are:
• What obstacles do you face?
• What are your competitors doing?
• Are the quality standards or specifications for your job, products or services?
• Is changing technology threatening its position?
• What cash flow or debt issues do you have?
• Could any of your weaknesses seriously threaten your business?
• What are the “big”, making that may affect your business?
• Are there new competitors?
If you have been able to answer these questions now have to put the plan together on how to make it happen. This is the part of strategic planning. That the current strategic planning can be very successful because it has great raw material to work. If not ask the right questions that do not have good information to draw from. If you do not have a good feed, planning will only be at surface level. There is no depth. The depth is understanding and is what will make your business thrive in all others.
As SBE we have to evaluate, analyze, organize, plan and most importantly, action. This system of 50 years of age, can help you establish your business on track for success you want. Go forth and prosper.
3 ways to leverage a wealth strategy
I constantly ask how to use leverage in different ways on a strategy of wealth – and I’m glad people are asking, because they use plays an important role in any strategy of wealth with success.
Leverage is simply doing more with less.
Here are three of my favorite ways to leverage.
# 1: Systems
I think the systems are one of the most important and powerful strategy of wealth. The systems are simply the process or processes for specific tasks. Systems provide the detail of who, what, when, where and how they will do something.
Think of a franchise. One of the greatest assets of a franchise offers is their systems. Systems provide all the details on how to market, sell, fulfill and all others involved in the operation of the franchise. A franchisee simply follow the systems.
Let’s say you invest in real estate. You must have systems for:
- Identification of the property to buy
- Purchases / property financing
- The rental property
- The maintenance of the property
- Reviewing the performance of the property
Systems need not be complicated. All they need to document what must be done in a clear manner. Systems can be as simple as a checklist. If you are just starting the strategy of wealth, you may wonder why you need the systems if you are doing.
Here are two reasons for the need of systems:
Reason # 1
Their systems are the place to document the specifics of what to do. They are also the place to document best practices – its trade secrets. As you learn better ways of doing things, the document on their systems.
Their systems allow you to use their time more effectively doing while getting the results you desire.
Reason # 2
Many people start doing it all themselves, but generally aim to increase their wealth and others do the work contract. If you want to do this successfully, the systems are essential. Systems communicate your specific expectations without having to be there.
Many people have the strategies of wealth that never reach their full potential because they can not relinquish control. With systems, you have to give up control. You’re giving to specific tasks, but is still in control. The control systems.
When systems are created, used and monitored properly, they will tell you when things are working and when not working. This allows you to focus your attention where it is needed – this is a huge influence on a strategy of wealth.
# 2: Your wealth team
Systems definitely take the time to create. You do not have to do it all yourself though. This is where the wealth team comes to play. One of the best examples of the influence of a strategy of wealth, and also one of my favorites, is a team of wealth. A team of wealth is a group of consultants, coaches, directors, employees, suppliers and other contacts that will help in building your wealth.
With a team of wealth, you can leverage your time by hiring consultants, coaches, directors, employees and / or suppliers. But the influence does not stop there. This is just the beginning. Contacts can also take advantage of his team’s wealth of resources, knowledge – the list goes on.
Use your wealth team to help build their systems. Leverage their resources and expertise to add value to their systems. Once you’ve created your systems, share them with your team members so they can be part of the systems and contribute to the success of its strategy of wealth.
# 3: Software
The software is a great way to leverage. Software that allows us to do more with less every day. The software can be an integral part of effective systems. When used properly, the software can simplify many tasks and provide better information and results.
The software can be the driving force behind the systems. It can be reported to WHO on the what, when, where and how. And, can provide real-time reports on how the systems are working. These reports are those that help to maintain control.
How do you know what software to use?
Harnessing knowledge of your team – I ask what software you use. And, if you really want to leverage their software systems, have a team member is committed to the integration of the two.
The use of leverage in its wealth strategy
Think about using these forms of leverage in its wealth strategy and identify ways you can get even more.
Leverage is simply doing more with less.