Business Ownership and Management
It is interesting how often you see ads for some franchise offering that touts, “Become your own boss.” While that may not be all bad it is just the tip of the iceberg. The presentation below is intended to provide insight to people who may be considering starting their first company. This was from a one-hour presentation and glosses over a lot of things, such as the need for registrations and insurance, but for a first-timer, it could be helpful.
One of my first and most important lessons learned when I started my consulting company long ago was that paying attention to cash flow was far more important than focusing on my balance sheet. Once you understand a problem it becomes easy to alter what you do to manage it. For example, using fixed pricing based on tasks where we received 50% up-front and the remaining 50% upon acceptance of the deliverable smoothed out cash flow and that was a big help.
So, take a look and post any questions that you may have. If one person has a question it is likely that many more do as well! Cheers.
One of the many changes resulting from the COVID-19 pandemic has been a sea change in thoughts and goals around Supply Chain Management (SCM). Existing SCM systems were up-ended in mere months as it has become challenging to procure raw materials to components, manufacturing has shifted to meet new unanticipated needs, and logistics challenges have arisen out of health-related staffing issues, safe working distances, and limited shipping options and availability. In short, things are a mess!
Foundational business changes will require modern approaches to Change Management. Change is not easy – especially at scale, so having ongoing support from the top down and providing incentives to motivate the right behaviors, actions, and outcomes will especially critical to the success of those initiatives. And remember, “What gets measured gets managed,” so focusing on the aspects of business and change that really matter will become a greater focus.
Business Intelligence systems will be especially important for Descriptive Analysis. Machine Learning will likely begin to play a larger role as organizations seek a more comprehensive understanding of patterns and work towards accurate Predictive Analysis. And of course, Artificial Intelligence / Deep Learning / Neural Networks use should accelerate as the need for Prescriptive Analysis grows. Technology will provide many of the insights needed for business leaders to make the best decisions in the shortest amount of time that is both possible and prudent.
This is also the right time to consider upgrading to a modern business ecosystem that is collaborative, agile, and has the ability to quickly and cost-effectively expand and adapt to whatever comes next. Click on this link to see more of the benefits of this type of model.
Whether you like it or not, change is coming. So, why not take a proactive posture to help ensure that this change is good and meets the objectives your company or organization needs.
Changes like this are all-encompassing so it is helpful to begin with the mindset of, “Win together, Lose together.” In general, it helps to have all areas of an organization moving in lockstep towards a common goal but at a critical juncture like this that is no longer an option.
It appears that we may have seen the worst of the COVID-19 pandemic and now I am seeing more and more articles about the “New Normal” and “Next Normal.” Interestingly enough, I have also been seeing a few articles over the past two weeks about this being an opportunity. Once the fear, uncertainty, and doubt (aka “FUD”) began to diminish, people finally began to look for a silver lining.
Fear is a powerful demotivator, which is why I find it interesting that some managers and executives use it as a tool to help achieve their goals. There may be short-term gains, but the long-term effects can be devastating. In times of chaos (real or perceived), one of the best things that a leader can do is be genuine and concerned for the welfare of their team, communicate in an honest and timely manner, and display confidence as a way to help shift emotions from a negative state towards a positive state. Fear holds you and your team back.
What I find interesting is that two months ago I posted about this unfortunate time being an opportunity – something that led to several negative comments at the time. Three weeks ago I posted about changes that would be coming as part of the “New Normal.” I believe that this is simply insight coming into play, which is one reason why Consultants, great Salespeople, and new Executives are often able to add immediate value to an organization.
As an aside, diversity of backgrounds, experiences, knowledge, expertise, and opinions lead to a variety of perspectives – and that fosters creativity. A best practice in team building is to find people whose strengths help cover your weaknesses.
So, perspective and expectations determine where you begin, and not where you will end. The benefit of having a better starting point is that you should be in a much better position to win. The best part is that you can teach yourself to become better at identifying different perspectives. You may find that it is much easier to understand the big picture of whatever problem you are facing with that new skill.
From time-to-time, we are all faced with situations that we know will suck. Avoidance may be an option but usually isn’t the best option. The military has a saying, “Embrace the Suck,” that essentially boils down to “just deal with it.” Focusing on “the gain” (rather than “the suck”), identifying the small wins along the way, and visualizing success is part of the process that I have personally found helpful to maintaining a positive attitude and an open mind. This simple process helps maintain the balance of optimism with realism, and most importantly creates high expectations.
So, what are your thoughts? Do you want to lead or follow? There is nothing wrong with following, especially when you are contributing to the success of the team. Perspective and Expectations are two tools that can help in any role.
The last few months have been very disruptive to nearly everyone across the globe. There are business challenges galore; such has managing large remote workforces – many of whom are new to working remotely, and managing risk while attempting to conduct “business as usual.” Unfortunately for most businesses, their systems, processes, and internal controls were not designed for this “new normal.”
While there have been many predictions around Blockchain for the past few years it is still not widely adopted. We are beginning to see an uptick in adoption with Supply Chain Management Systems for reasons that include traceability of items – especially food and drugs. But large-scale adoption has been elusive to date.
My personal belief is that we will soon begin to see large shifts in mindset, investments, and effort towards modern digital technology driven by Data Governance and Risk Management. I also believe that this will lead to these technologies becoming easier to use via new platforms and integration tools, and that will lead to faster adoption by SMBs and other non-Enterprise organizations, and that will lead to the greater need for DevOps, Monitoring, and Automation solutions as a way to maintain control of a more agile environment.
Here are a few predictions:
- New wearable technology supporting Medical IoT will be developed to help provide an early warning system for disease and future pandemics. That will fuel a number of innovations in various industries including Biotech and Pharma.
- Blockchain can provide the necessary data privacy, data ownership, and data provenance to ensure the veracity of that data.
- New legislation will be created to protect medical providers and other users of that data from being liable for missing information or trends that could have saved lives or avoided some other negative outcome.
- In the meantime, Hospitals, Insurance Providers, and others will do everything possible to mitigate the risk of using the Medical IoT data, which could include Smart Contracts as a way to ensure compliance (which assumes that there is a benefit being provided to the data providers).
- Platforms may be created to offer individuals control over their own data, how it is used and by whom, ownership of that data, and payment for the use of that data. This is something that I wrote about in 2013.
- Data Governance will be taken more seriously by every business. Today companies talk about Data Privacy, Data Security, or Data Consistency, but few have a strategic end-to-end systematic approach to managing and protecting their data and their company.
- Comprehensive Data Governance will become both a driving and gating force as organizations modernize and grow. Even before the pandemic there were growing needs due to new data privacy laws and concerns around areas such as the data used for Machine Learning.
- In a business environment where more systems are distributed there is an increased risk of data breaches and Cybercrime. That will need to be addressed as a foundational component of any new system or platform.
- One or two Data Integration Companies will emerge as undisputed industry leaders due to their capabilities around MDM, Data Provenance & Traceability, and Data Access (an area typically managed by application systems).
- New standardized APIs akin to HL7 FHIR will be created to support a variety of industries as well as interoperability between systems and industries. Frictionless integration of key systems become even more important than it is today.
- Anything that can be maintained and managed in a secure and flexible distributed digital environment will be implemented as a way to allow companies to quickly pivot and adapt to new challenges and opportunities on a global scale.
- Smart Contracts and Digital Currency Payment Processing Systems will likely be core components of those systems.
- This will also foster the growth of next generation Business Ecosystems and collaborations that will be more dynamic in nature.
- Ongoing compliance monitoring, internal and external, will likely become a priority (“trust but verify”).
All in all this is exciting from a business and technology perspective. It will require most companies to review and adjust their strategies and tactics to embrace these concepts and adapt to the coming New Normal.
The steps we take today will shape what we see and do in the coming decade so it is important to quickly get this right, knowing that whatever is implemented today will evolve and improve over time.
Originally posted on LinkedIn.com/in/chipn
Recently I read that the U.S. is experiencing a significant jump in unemployment claims. Much of that is understandable given the recent decline in many businesses, concerns about how long this crisis may last, and the need to protect ongoing viability by business owners and executives. But, in the near future business activity will resume and it will very important that businesses have maintained a pipeline of business and retained the qualified staff to deliver its products and services.
Now could be the ideal time to challenge your team to focus on improving your business. Look at business processes and identify:
- What works well today? Are you able to identify what makes it work so well? Simplicity, automation, and lack of friction are typical attributes of effective and efficient systems and processes that have a positive impact on any business.
- What could be improved and why? Specific examples and real data will help quantify the impact and support the prioritization of follow-on activities.
- What is missing today?
- Good ideas have likely been raised in the past so why not revisit them?
- What are competitors or businesses in other segments doing that could be helpful?
- Brainstorm and consider something completely new that could help your business.
- Start a list, describe the need and benefits, provide specific examples, and then estimate the potential impact and time to value for each idea.
- Take the ideas having the greatest promise and estimate the cost, people/skills needed, other dependencies for each to see how they stack up.
Something else to consider is the creation or updating of Business Continuity Plans. Now is a perfect time – while everything is fresh in the minds of your team. Not only will this help for the future, but there could also be several useful ideas for the coming weeks.
For example, do you have documentation that is sufficient for someone who is not an expert in your business to be able to take over with a relatively small ramp-up time? How will you maintain quality and control of those processes? Are your plans stored in a repository that is accessible yet secure outside of your organization? Do you have the processes and tools in place to collect documentation and feedback on things that did not work as documented or could be improved? Are your Risk Management plans and mitigation procedures up-to-date and adequate?
Investing in your business during this time of slowdown could have many benefits, including maintaining good employee morale, enhancing employee and customer loyalty, retaining employees and the expertise and skills they have, and increasing sustainability and long-term growth potential.