By : Fiona Powel
"Tall oaks from little acorns grow" - David Everett
When you start or buy a business, growth can happen organically or be planned, nurtured and driven.
A worthwhile question to ask yourself is; should I grow this business or not? Think about the goals you have for the business and for yourself and your family; do you want to make a comfortable living or become a major competitor in the market? Ask yourself what would happen if you strategically grew the business or if you didn't? Sometimes not risking is the biggest risk of all (as the Chinese proverb says; Be not afraid of growing slowly, be afraid of standing still.)
The challenge of growth could be right up your alley.
On the other hand you may have grown your business to a point where it runs fairly smoothly and you've achieved your desired income level and market share. Now that you've done the hard graft you're free to channel time and energy elsewhere, so the thought of growing your business, employing staff, exporting and the accompanying headaches and stress is just not an option.
Bigger isn't always better
You can't grow your way out of problems – if you're having trouble coping with mistakes and errors with 20 customers, then how will you cope with 200 customers?
Growth doesn't necessarily mean more profits either; it's not the sales that matter, it's what you keep, your profits, that are important.
And if you're focussed on being the fastest growing company, you're focussing inwards rather than being customer focussed – and being a fast growing company isn't a customer benefit.
Roadblocks to growth
The skills and resources that got your business off the ground may not be the same skills and resources required to grow your business to the next level.
You, as leader, could be an obstacle to growth. If the thought of going bust keeps you awake at night, or the idea of being responsible for your employees' livelihood gives you a knot in your stomach, or you worry about the impact of your success on your family and friends, or you're scared of hiring professional managers and advisors, then you may be limiting the growth of your business.
With growth comes change. Current employees may not be skilled enough for the new phase of your business, while adding new employees to your company brings about a whole new set of challenges, from hiring, retaining to motivating and training them.
Financially, you need more capital to expand. Management systems need to be in place and you'll probably need professional help in new areas.
While all this is happening, you have to learn to share responsibility and avoid burning out.
Growing your business
There are a number of ways you can grow your business. You can grow your client base (locally, nationally and internationally), you can grow the frequency of customer purchases and you can grow your profit (by better management of costs and/or increasing prices).
Can your business grow?
Give your business a growth reality check by asking yourself;
- How full is the market place already, is there a real opportunity to grow?
- Where is my business in the product life cycle; is it in the introduction, growth, maturity or decline stage?
- Growth takes cash; how will I fund the growth I'm planning?
- The rewards for growth may take a while to be realised; can the business wait for the payoff?
- Growth takes a company into unfamiliar operational territory; do we have the staff and systems to blaze the trail?
- Being a business owner should be a source of happiness; will I be happy with a larger business?
Growth strategies
Having systems in place allows your business to function smoothly and allows you to get on with managing and providing meaningful leadership.
Start documenting procedures and work instructions from the outset. Prepare step by step checklists of each process in the business from marketing to handling customer complaints. Keep your systems simple and in point form.
Leading the growth
When you're the person driving the growth in your business you have to grow and develop yourself personally as you move from being self-employed to being a manager to being the owner/leader/entrepreneur.
Appraise yourself honestly so you are aware of your strengths and weaknesses. Get open, candid feedback from your employees and address any arising issues.
Be a continual learner and use mentors, coaches and peers for counsel and advice.
Most of all, have fun and enjoy the ride by learning how to ride the tiger rather than being eaten by it.
Job Vacancy , Indonesia Job , Job Indonesia
"Tall oaks from little acorns grow" - David Everett
When you start or buy a business, growth can happen organically or be planned, nurtured and driven.
A worthwhile question to ask yourself is; should I grow this business or not? Think about the goals you have for the business and for yourself and your family; do you want to make a comfortable living or become a major competitor in the market? Ask yourself what would happen if you strategically grew the business or if you didn't? Sometimes not risking is the biggest risk of all (as the Chinese proverb says; Be not afraid of growing slowly, be afraid of standing still.)
The challenge of growth could be right up your alley.
On the other hand you may have grown your business to a point where it runs fairly smoothly and you've achieved your desired income level and market share. Now that you've done the hard graft you're free to channel time and energy elsewhere, so the thought of growing your business, employing staff, exporting and the accompanying headaches and stress is just not an option.
Bigger isn't always better
You can't grow your way out of problems – if you're having trouble coping with mistakes and errors with 20 customers, then how will you cope with 200 customers?
Growth doesn't necessarily mean more profits either; it's not the sales that matter, it's what you keep, your profits, that are important.
And if you're focussed on being the fastest growing company, you're focussing inwards rather than being customer focussed – and being a fast growing company isn't a customer benefit.
Roadblocks to growth
The skills and resources that got your business off the ground may not be the same skills and resources required to grow your business to the next level.
You, as leader, could be an obstacle to growth. If the thought of going bust keeps you awake at night, or the idea of being responsible for your employees' livelihood gives you a knot in your stomach, or you worry about the impact of your success on your family and friends, or you're scared of hiring professional managers and advisors, then you may be limiting the growth of your business.
With growth comes change. Current employees may not be skilled enough for the new phase of your business, while adding new employees to your company brings about a whole new set of challenges, from hiring, retaining to motivating and training them.
Financially, you need more capital to expand. Management systems need to be in place and you'll probably need professional help in new areas.
While all this is happening, you have to learn to share responsibility and avoid burning out.
Growing your business
There are a number of ways you can grow your business. You can grow your client base (locally, nationally and internationally), you can grow the frequency of customer purchases and you can grow your profit (by better management of costs and/or increasing prices).
Can your business grow?
Give your business a growth reality check by asking yourself;
- How full is the market place already, is there a real opportunity to grow?
- Where is my business in the product life cycle; is it in the introduction, growth, maturity or decline stage?
- Growth takes cash; how will I fund the growth I'm planning?
- The rewards for growth may take a while to be realised; can the business wait for the payoff?
- Growth takes a company into unfamiliar operational territory; do we have the staff and systems to blaze the trail?
- Being a business owner should be a source of happiness; will I be happy with a larger business?
Growth strategies
Having systems in place allows your business to function smoothly and allows you to get on with managing and providing meaningful leadership.
Start documenting procedures and work instructions from the outset. Prepare step by step checklists of each process in the business from marketing to handling customer complaints. Keep your systems simple and in point form.
Leading the growth
When you're the person driving the growth in your business you have to grow and develop yourself personally as you move from being self-employed to being a manager to being the owner/leader/entrepreneur.
Appraise yourself honestly so you are aware of your strengths and weaknesses. Get open, candid feedback from your employees and address any arising issues.
Be a continual learner and use mentors, coaches and peers for counsel and advice.
Most of all, have fun and enjoy the ride by learning how to ride the tiger rather than being eaten by it.
Job Vacancy , Indonesia Job , Job Indonesia
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