How is Your Strategy Coming Together?
Four Key Decisions
People, Strategy, Execution, Cash
As we enter the second half of 2019 many companies have experienced growth and improved profits this year. I hope you have had success this year and are preparing to finish 2019 strong. Businesses continue to be the catalyst for a growing economy despite gridlock and a disfunction government.
To continue growth in 2019, business leaders must remain flexible, nimble be an agent of change as business dynamics continue to evolve in 2019. Here are some thoughts to help you to lead your business in the 2nd half of 2109.
Decisions and Success
Business must focus on four key decisions in growing their business and must get these decisions right or leave significant revenue, profits and resources on the table. The four decisions are in People, Strategy, Execution and Cash. Every business face continues challenges in all four areas, at any one time, yet businesses must prioritize which arears overshadow the rest going into the 2nd half of 2019 to continue to grow revenue and profitability. Therefore, the business leader first decision is to chose which one of these four areas they need to focus in the 2nd half of 2019.
If you are not enjoying running your company or having drama that cause execution issues, you know you have People challenges. You might have a partner issue, a customer relationship that dominates your resources, trouble with a key employee, teams that are dysfunctional that disrupt the business effectiveness or trouble finding key employees to serve your customers.
Prioritizing and solving these relationship issues should be your top priority in the 2nd half of 2109 or they will continue to consume a tremendous amount of your time, energy and make it difficult to lead your organization. Focus on the getting the right people in the right position with clear accountabilities and you will be on your way to freeing up your energy to grow your business in the 2nd half of 2109.
Slow, erratic, unpredictable top line revenue growth is an indicator that your business faces a strategy challenge. Your strategy needs to be articulated so that everyone is aligned on the same page, without wasting sales and operational energy chasing activities that are not useful to the business.
You need to articulate your company strategy that define what you are the best at in the world that drive value for your customers. Your market niche must be large enough to reach your revenue goals and you should be deeply passionate about serving your market niche. This is unique selling proposition (USP) that differentiates you from your competitors. You know you nail it when revenue grows as rapidly as you predictable wanted.
Execution challenges occur when your profits do not grow exponentially as your revenue grow. Too often business grow without developing the effective habits and discipline needed to develop organization structure, communication and processes to convert increment revenue into exponential profit growth.
By steeping back from the business and focusing on the business execution discipline and habits needed to be improved, you can dramatically improve gross margins, profits, eliminate organization drama and improve employee morale.
The last challenges every company will face is finding enough cash to grow their business. It is a simple fact that growth “sucks cash”. What separate successful business is they understanding of cash flow and the importance of managing this resource. Cash is the oxygen that drives your business engine. With it, you can continue to scale your business, without you will stall and die.
Businesses should have a rolling 12-month cash flow projection to accurately project they future cash flow position. Business need to actively pursue cash flow strategies that strength they cash flow position or face the real possibility to stall or die because of a lack of cash as they company grow.
Now it’s your time to decide. Which of the four key decisions does your company need to focus on in the 2nd half of 2109 to continue to grow revenue and profits? Companies that have the right focus going into 2nd half of 2109 will continue to grow and prosper.
If you would like a free organization assessment based upon the four key decisions that all companies must get right, click the following link http://bit.ly/ScaleUpQA-APS or contact us directly at Info@Accerionpartners.com or at 616-377-4567