It’s All About Growth
Are you a small business owner feeling burned out and struggling to find new ideas to grow your business? Growing a business can be tough in today’s competitive world, business owners need new strategies and new thinking to take their business to the next level.
The good news is there are ways to manage through these challenges effectively and emerge with a stronger, more efficient and better performing business than ever before. Growing your business isn’t just a worthy goal; growing your business is a necessity for your business’s survival and your economic well-being. An economic downturn can offer an ideal opportunity to grow a business. Periods of economic uncertainty create an environment of creativity in which many business owners thrive.
“You will either step forward into growth or you will step back into safety”. – Abraham Maslow
Superior growth is within reach for all companies, in all industries and in all phases of the economic cycle. Depending on your goals and objectives, there are different ways to grow your business. However, each strategy demands careful consideration, a well-developed plan and a committed team in order to be successful. Organic growth, growth by acquisition, and growth through business innovation are all different and each calls for a different strategy to succeed.
Organic Growth – There’s no place like home…and no growth like home-grown growth. Organic growth is a strategy to develop the base or capabilities of the business itself. In other words, many businesses will reinvest in employee development, departmental restructuring, or enhanced product offerings in the hopes of providing a broader base on which to provide Organic growth strategies are built on increased revenue, headcount, public relations, and quality.
Businesses that are growing organically seek to grow revenue in the most efficient manner possible. As revenue grows, companies can afford to hire more employees. Headcount is critical for any growing business to function efficiently. A loyal and well-trained workforce will help your business move forward and stand up strong against the competition. It will also help to reduce employee turnover which means less lost productivity spent retraining new staff.
Good Public Relations gets perspective customers attention. Good PR strategies also allow for revenue growth to keep those properly staffed departments busy. As your business grows, your brand will become more exposed to a range of potential customers and the public in general. Making sure people know what the brand stands for, is an important part of your marketing and/or overall business strategy.
Organic growth relies on Operations excellence and repeat business from satisfied customers. As you experience success, growth, and customer loyalty – make sure that you continue to focus resources on maintaining quality within your organization.
Growth by Acquisition is another alternative for growth. The advantages of acquiring a business may include:
- Revenue enhancements from improved marketing, less competition, established products/services and customers, experienced staff, capacity to enter new markets and greater muscle when seeking large corporate or government customers through tendering opportunities,
- Cost reductions from economies of scale and the capacity to make better use of existing resources to lower operating costs
- Utilize the research and development capabilities of the acquired company
- Risk diversification through having either a broader geographic operation, the capacity to diversify into different customer segments
- Tax gains from transfer of operating losses, unused debt capacity and lower cost of capital
Buying a business is a significant step. Contact an accountant, solicitor or your local Business Advisory Service for advice on the implications of a business acquisition.
Growth through Business Innovation – I saved the best for last. I think we all need to leverage innovation for growth. Innovation is essential for every company. In a very competitive business environment, being innovative will put you ahead of your competitors, help you create a competitive advantage, and is an essential company strategy. Profitable innovation is a dynamic process of continually creating new business models, improving customer experience, and opening new markets and launching new products.
Innovation is really just a new way of doing something. Applied in business, this can relate to all facets of the organization, not just the creation of a new invention or breakthrough technology. Sometimes it is not the idea in and of itself that is new, but it is the application of the idea within a business creating value for the client that is innovative.
How Innovative companies act:
- They collaborate with staff, customers and other firms, deriving new ideas from all those involved
- They seek to reinvent themselves, their products and services
- They understand the needs of their employees and customers
- They incorporate innovation into their strategy and see it as part of their mission
What makes an innovative business stand out? These are companies who both have a vision and are thoughtful about their plan. They are visionary, inspired, passionate and pragmatic. The successful ones tend to build on their success. They’ll be looking ahead to the next piece of the process, but they’ll have a plan. Innovative leaders will capitalize on the sweet spot between emerging trends, organizational capabilities, and unmet market needs.
“Without continual growth and progress, such words as improvement, achievement, and success have no meaning.” – Benjamin Franklin
I am very excited about the theme of this year’s Avaya 2011 Americas Partner Conference in October – “It’s ALL About Growth”. Avatel will honor our manufacturing partners theme by positioning ourselves to sustain growth and succeed in today’s challenging economy. Avatel will continue to impact the marketplace with its innovative Avaya solutions, top-notch staff, customer satisfaction and the value we deliver.
I am happy to say that our company has an inherent belief in the benefits of practicing sound strategic planning principles to achieve growth and maintain viability in today’s highly competitive environment. We understand that our competitive advantage needs to be sustainable and able to endure the test of time.
Jamie Wood, Avatel EVP
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