"COST" to bring any failing company back to shape:
(CopyRight 2012; Benjamin Goh)
- C for Communication. Suggest to your boss to call for a meeting each with different groups or departments in the company. Let her speak to them and assure them that the company is in a bad shape but that it is not about to shut down. Challenge the staff to fight this battle together with the management to bring the company back to a healthy state. For those who are willing to fight, please stay. For others who are not willing to fight, they are free to go.
- O for Orientation. Orientate every staff towards the quality issues that your company is facing with the customers. The standards that every staff must note is that they are to give their best in producing the best. No internal argument or fighting but only putting all their efforts and time into making the best quality products and customer service.
- S for Standard Operating Procedures (SOP). At this point, have every department or section manager to review the existing SOPs and make sure that all of these lead to consistent quality standards, whether in product or service. It is not good to fluctuate up and down in quality...that means sometimes very high quality and sometimes very bad quality. It is best to be consistent or the same quality so that there is no surprises to both the internal customers (staff) and external customers (buyers of your company's products and services).
- T for Training. In any downturn situation of a company, many believe that training is the last thing to do. But this is in contrary and not true. Employees need to be trained to give and do their best. They need to be motivated so that they can work and give their best despite the problems that are brewing around them. The morale is low and so, they need to be distracted from these demoralizing environment and focus on team spirit, team building, more efficient and effective methodologies in getting their work done, and of course, a series of motivational talks to lift their spirits to a higher level.
Showing posts with label Strategy. Show all posts
Showing posts with label Strategy. Show all posts
Saturday, April 21, 2012
Friday, January 1, 2010
PROACTIVE - Best Practices for all businesses during a time of economic downturn
PROACTIVE - Best Practices for all businesses during a time of economic downturn:-
(CopyRight 2010; Benjamin Goh, www.bensglobal.com)
P for Prioritizing customer satisfaction. Customers are our lifeblood in any economic climate. Proactively take time to call upon key customers (80-20 rule) and discuss how we can serve them better. Incentify existing customers for any new customer referrals. Remember word of mouth is one of the most effective form of advertising.
R for Revisit Your Business Plan. Review it from the perspective of someone about to invest in your business. Strategize and identify additional information that is needed in order to make decisions about the future of the company.
O for Opportunities - Seek new business opportunities (Diversify). Find new markets for your existing products and services or add complementary services or products to your existing customer offering. Focus on your core competency and stretch it to the limit.
A for Alliances. Form alliances with suppliers and complementary businesses. Form conglomerates with other companies complementing your business and jointly seek opportunities. A pack of sticks is harder to break than a single stick on its own. With more eyes looking for opportunities, the probability of winning a new business is much higher. Network and set up advisory boards that include a wide spectrum of professional expertise that they can draw on for advice.
C for Change management. Look for changes in psychology and behavior in your clientele. You can gain a longtime relationship with a customer by approaching them proactively with the view of being there to help them through their own hard times.
T for Time and Money Savings. Between revenue and cost, cost can be controlled effectively and efficiently all the time. Find ways to save time and money and thus, pass savings to the customers. You will not only retain your customers, but you may also attract others.
I for Innovate by diversifying Your Customer Base and Advertising. Review your customer base and reorganize them into vertical industries or markets. Develop vertical market experts to sell into key industries where your major customer base are. With a different advertising or slight modification in the product, you can reach a broader spectrum of the population, perhaps into another vertical market. People are looking for better ways to do business during the economic downturn. If you have established strong customer satisfaction, this is the time to get the message out through advertising.
V for Value-Add by motivating the staff. The employees are most affected during economic downturns due to the fear of personnel cuts. Find non-costly ways to reward and acknowledge their efforts. A simple note of appreciation for work well-done to individuals or departments daily will bring motivation far beyond than can be imagined. When staff are motivated, they will naturally add value to the company as well as to the customer accordingly.
E for Expand Relationships with Existing Clients/ Sign More Long-term Deals. Offer discounts to customers who are willing to sign a long-term contract (blanket order) or who are willing to pay cash up front for a contract. Find out ways that you can offer to fulfil the other needs that your existing satisfied customers have or offer more products and services that your alliances offer.
(CopyRight 2010; Benjamin Goh, www.bensglobal.com)
P for Prioritizing customer satisfaction. Customers are our lifeblood in any economic climate. Proactively take time to call upon key customers (80-20 rule) and discuss how we can serve them better. Incentify existing customers for any new customer referrals. Remember word of mouth is one of the most effective form of advertising.
R for Revisit Your Business Plan. Review it from the perspective of someone about to invest in your business. Strategize and identify additional information that is needed in order to make decisions about the future of the company.
O for Opportunities - Seek new business opportunities (Diversify). Find new markets for your existing products and services or add complementary services or products to your existing customer offering. Focus on your core competency and stretch it to the limit.
A for Alliances. Form alliances with suppliers and complementary businesses. Form conglomerates with other companies complementing your business and jointly seek opportunities. A pack of sticks is harder to break than a single stick on its own. With more eyes looking for opportunities, the probability of winning a new business is much higher. Network and set up advisory boards that include a wide spectrum of professional expertise that they can draw on for advice.
C for Change management. Look for changes in psychology and behavior in your clientele. You can gain a longtime relationship with a customer by approaching them proactively with the view of being there to help them through their own hard times.
T for Time and Money Savings. Between revenue and cost, cost can be controlled effectively and efficiently all the time. Find ways to save time and money and thus, pass savings to the customers. You will not only retain your customers, but you may also attract others.
I for Innovate by diversifying Your Customer Base and Advertising. Review your customer base and reorganize them into vertical industries or markets. Develop vertical market experts to sell into key industries where your major customer base are. With a different advertising or slight modification in the product, you can reach a broader spectrum of the population, perhaps into another vertical market. People are looking for better ways to do business during the economic downturn. If you have established strong customer satisfaction, this is the time to get the message out through advertising.
V for Value-Add by motivating the staff. The employees are most affected during economic downturns due to the fear of personnel cuts. Find non-costly ways to reward and acknowledge their efforts. A simple note of appreciation for work well-done to individuals or departments daily will bring motivation far beyond than can be imagined. When staff are motivated, they will naturally add value to the company as well as to the customer accordingly.
E for Expand Relationships with Existing Clients/ Sign More Long-term Deals. Offer discounts to customers who are willing to sign a long-term contract (blanket order) or who are willing to pay cash up front for a contract. Find out ways that you can offer to fulfil the other needs that your existing satisfied customers have or offer more products and services that your alliances offer.
Thursday, November 5, 2009
MIKI - Critical Success Factors for any Business
MIKI - Critical Success Factors for any Business
(CopyRight 2008; Benjamin Goh, www.bensglobal.com)
The Product Focus was key in the 1900s and then, the Brand Focus in the 1950s. I strongly believe that in the 2000s, we are looking at Experience Focus. With Experience Focus, we mean "Meaning Benefits", that is to create more value by adopting a process that deliberately places meaning at the center of innovation – focusing on the roles, tools and process of identifying, designing, delivering, and maintaining meaningful experiences for our customers.
As such, the key to our success in any business would be "MIKI" (Marketing – Innovation – Knowledge Mgmt – IT) as follows:
M for Marketing
Marketing is key to any company's success in reaching out and making oneself known to the target market. We need to constantly strategise how we are going to market our solutions and products and far more important, how we are going to market the company. Its about how we are going to achieve excellence in making both our customers' experiences in doing business with us and their experiences in using our solution meaningful.
I for Innovation
Innovation is like breath to a company. Without innovation, the company will eventually run out of steam and strength or even will to move on. It is critical for us to constantly innovate our solution and product offering and even the way of doing business with us. We have to on top of market trends and political, economic, social and technological developments and changes. We need to innovate in order to survive.. its not a choice!
K for Knowledge (Chain) Management
Knowledge management is the leveraging of collective wisdom to increase responsiveness and innovation. There is a distinct difference between knowledge and its management and information and its management. Information Management consists of preplanned responses to anticipated stimuli while Knowledge Management consists of unplanned (innovative) responses to surprise stimuli. As Peter Drucker states "Knowledge has become the key economic resource and the dominate – and perhaps even the only – source of competitive advantage". As such, the only irreplaceable capital an organization possess is the knowledge and ability of its people. The productivity of that capital depends on how effectively people share their competence with those who can use it. As such, it is this long term preeminence that we need most if we are to weather changing markets.
I for Information Technology (IT)
As in any business, we need tools to achieve our business objectives and goals. We need to brainstorm what are the tools that we need to achieve the short term as well as long term objectives of the new company. It takes lots of efforts (resources) and time to learn and implement a new IT tool and its also extremely disruptive to business operations if we are to change and adopt a new tool in the future. The best time to implement a new IT tool, especially that of ERP or SCM software, is when the company is new and starting off with a brand new page. By understanding and appreciating the clear objectives of the business, we are then more equipped to source for a IT tool that will meet both our short term immediate needs as well as long term future needs. With this, I mean that we need to do it RIGHT at the START, rather than trying to make it right in the future. The IT tool must be scalable to meet our business growth needs as well as flexible enough to allow for us to adapt, adjust and align to the changing market demands. Change is an expensive process and as such, we need to ensure that we are equipped to enhance the IT tool efficiently (time) and most cost effectively. If we adopt a proprietary software, we will definitely not be able to control the above. As such, should we adopt an open source freeware that will allow us to internally respond but given the choice and option to source it out to 3rd party solution houses.
(CopyRight 2008; Benjamin Goh, www.bensglobal.com)
The Product Focus was key in the 1900s and then, the Brand Focus in the 1950s. I strongly believe that in the 2000s, we are looking at Experience Focus. With Experience Focus, we mean "Meaning Benefits", that is to create more value by adopting a process that deliberately places meaning at the center of innovation – focusing on the roles, tools and process of identifying, designing, delivering, and maintaining meaningful experiences for our customers.
As such, the key to our success in any business would be "MIKI" (Marketing – Innovation – Knowledge Mgmt – IT) as follows:
M for Marketing
Marketing is key to any company's success in reaching out and making oneself known to the target market. We need to constantly strategise how we are going to market our solutions and products and far more important, how we are going to market the company. Its about how we are going to achieve excellence in making both our customers' experiences in doing business with us and their experiences in using our solution meaningful.
I for Innovation
Innovation is like breath to a company. Without innovation, the company will eventually run out of steam and strength or even will to move on. It is critical for us to constantly innovate our solution and product offering and even the way of doing business with us. We have to on top of market trends and political, economic, social and technological developments and changes. We need to innovate in order to survive.. its not a choice!
K for Knowledge (Chain) Management
Knowledge management is the leveraging of collective wisdom to increase responsiveness and innovation. There is a distinct difference between knowledge and its management and information and its management. Information Management consists of preplanned responses to anticipated stimuli while Knowledge Management consists of unplanned (innovative) responses to surprise stimuli. As Peter Drucker states "Knowledge has become the key economic resource and the dominate – and perhaps even the only – source of competitive advantage". As such, the only irreplaceable capital an organization possess is the knowledge and ability of its people. The productivity of that capital depends on how effectively people share their competence with those who can use it. As such, it is this long term preeminence that we need most if we are to weather changing markets.
I for Information Technology (IT)
As in any business, we need tools to achieve our business objectives and goals. We need to brainstorm what are the tools that we need to achieve the short term as well as long term objectives of the new company. It takes lots of efforts (resources) and time to learn and implement a new IT tool and its also extremely disruptive to business operations if we are to change and adopt a new tool in the future. The best time to implement a new IT tool, especially that of ERP or SCM software, is when the company is new and starting off with a brand new page. By understanding and appreciating the clear objectives of the business, we are then more equipped to source for a IT tool that will meet both our short term immediate needs as well as long term future needs. With this, I mean that we need to do it RIGHT at the START, rather than trying to make it right in the future. The IT tool must be scalable to meet our business growth needs as well as flexible enough to allow for us to adapt, adjust and align to the changing market demands. Change is an expensive process and as such, we need to ensure that we are equipped to enhance the IT tool efficiently (time) and most cost effectively. If we adopt a proprietary software, we will definitely not be able to control the above. As such, should we adopt an open source freeware that will allow us to internally respond but given the choice and option to source it out to 3rd party solution houses.
Wednesday, October 7, 2009
ICU - 3 Most Talked About Economies in the World in 2009
ICU - 3 Most Talked About Economies in the World in 2009
(Copyright 2009; Benjamin Goh, www.bensglobal.com)
ICU sounds like Intensive Care Unit. Yes, indeed the current global economic crisis is like a patient (or similarly the global economies) housed in the ICU. It is a specialized department used in many countries' hospitals that provides intensive care medicine.
It was projected that by 2018, China will overtake the USA as the largest economy in the world, with India as number 3. As such, I like to classify my choice of the 3 countries as ICU.
I for India. Thanks to Asian giants like Gandhi, Nehru, Mao and Deng, the revival of India and China is changing the 21st century. India’s growth rate will slow in 2008-09. Principal reasons for this modest drop in economic growth include (i) a large and diversified consumption base for the Indian economy; (ii) India’s trade to GDP ratio is much smaller than that of, say, China; and (iii) Indian financial markets are still relatively insulated from global financial markets. India has a healthy external balance, with high foreign exchange reserves, low ratio of short term external debt to GDP and less than complete capital account convertibility.
C for China. Its now, by far, one of the most mentioned Asian economy in everything around us, from daily products that we use to international news that we hear. China has become somewhat the Big Brother in Asia and it is definitely a country that's worth mentioning. By 2030,China must and will play a constructive role in tiding over global financial crisis and thus, strive to create trade and investment opportunities for its trading partners and international investors.
U for United States of America. The natural BIG Brother of the world since ages before. Most countries looked up to the US for directions and support. In the 1980s global downturn, the U.S. economy accounted for about one-third of the world's economy. It now accounts for one-quarter. The U.S. government is also far more indebted than it was in the '80s.
(Copyright 2009; Benjamin Goh, www.bensglobal.com)
ICU sounds like Intensive Care Unit. Yes, indeed the current global economic crisis is like a patient (or similarly the global economies) housed in the ICU. It is a specialized department used in many countries' hospitals that provides intensive care medicine.
It was projected that by 2018, China will overtake the USA as the largest economy in the world, with India as number 3. As such, I like to classify my choice of the 3 countries as ICU.
I for India. Thanks to Asian giants like Gandhi, Nehru, Mao and Deng, the revival of India and China is changing the 21st century. India’s growth rate will slow in 2008-09. Principal reasons for this modest drop in economic growth include (i) a large and diversified consumption base for the Indian economy; (ii) India’s trade to GDP ratio is much smaller than that of, say, China; and (iii) Indian financial markets are still relatively insulated from global financial markets. India has a healthy external balance, with high foreign exchange reserves, low ratio of short term external debt to GDP and less than complete capital account convertibility.
C for China. Its now, by far, one of the most mentioned Asian economy in everything around us, from daily products that we use to international news that we hear. China has become somewhat the Big Brother in Asia and it is definitely a country that's worth mentioning. By 2030,China must and will play a constructive role in tiding over global financial crisis and thus, strive to create trade and investment opportunities for its trading partners and international investors.
U for United States of America. The natural BIG Brother of the world since ages before. Most countries looked up to the US for directions and support. In the 1980s global downturn, the U.S. economy accounted for about one-third of the world's economy. It now accounts for one-quarter. The U.S. government is also far more indebted than it was in the '80s.
Sunday, June 14, 2009
DMOSS - Successful Contingency Plans for Supply Risk Management
DMOSS - Successful Contingency Plans for Supply Risk Management
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
To ensure that there will be a much higher rate of success for the contingency plans to work, exercise true resilience by attacking supply chain risks from all angles and having operational, tactical, and strategic plans to deal with it.
......
......
The strategies for building resilience into the supply chain and mitigating risk can be illustrated as DMOSS :-
......
D for Design for Maximum Postponement. Design products and processes to enable build-to-order operations and allows for parts and semi-finished materials to satisfy shortages.
......
M for Manufacturing Versatility. Design production processes and facilities to be interchangeable among different products with as many generic parts as financially viable as possible. Also cross-train resources on several processes so as to allow flexibility in resource deployment wherever the need is.
......
O for Operations Management. It is most essential to establish clear expectation with suppliers and also to provide timely feedback to suppliers when performance fails to meet expectation. Establish substitution options and be ready for any impending shortage. Work closely with strategic suppliers for purposes of optimizing cost, inventory, processes and flexibility.
......
S for Synchronic Operations. Run various processes concurrently from product development through production ramp through production and finally, distribution. This is to minimize time to market, reduce time to recover from supply interruptions and to improve overall process efficiency.
......
S for Sourcing (Risk-mitigating) strategies. Develop a contingency plan for every foreseeable supply chain disruption and establish initiatives to minimize the possibilities of preventable disruption. Always be equipped and prepared for immediate execution of the contingency plans upon a supply chain disruption.
......
In conclusion, in order to ensure contingency plans to work in times of supply chain disruption, adhere to the above as well as establish a corporate culture that will consistently look for ways to mitigate risks and jointly take ownership to execute contingency plans upon any disruption. Examples of ways to mitigate risks include but not limited to the establishment of market intelligence, price hedging, collaboration with suppliers and partners, establishment of incentives for successful execution of contingency plans, reduction of cycle time, cross-training within the organization for purposes of resource backup and establishment of clearly written supplier contracts that penalize non-compliance, etc.
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
To ensure that there will be a much higher rate of success for the contingency plans to work, exercise true resilience by attacking supply chain risks from all angles and having operational, tactical, and strategic plans to deal with it.
......
......
The strategies for building resilience into the supply chain and mitigating risk can be illustrated as DMOSS :-
......
D for Design for Maximum Postponement. Design products and processes to enable build-to-order operations and allows for parts and semi-finished materials to satisfy shortages.
......
M for Manufacturing Versatility. Design production processes and facilities to be interchangeable among different products with as many generic parts as financially viable as possible. Also cross-train resources on several processes so as to allow flexibility in resource deployment wherever the need is.
......
O for Operations Management. It is most essential to establish clear expectation with suppliers and also to provide timely feedback to suppliers when performance fails to meet expectation. Establish substitution options and be ready for any impending shortage. Work closely with strategic suppliers for purposes of optimizing cost, inventory, processes and flexibility.
......
S for Synchronic Operations. Run various processes concurrently from product development through production ramp through production and finally, distribution. This is to minimize time to market, reduce time to recover from supply interruptions and to improve overall process efficiency.
......
S for Sourcing (Risk-mitigating) strategies. Develop a contingency plan for every foreseeable supply chain disruption and establish initiatives to minimize the possibilities of preventable disruption. Always be equipped and prepared for immediate execution of the contingency plans upon a supply chain disruption.
......
In conclusion, in order to ensure contingency plans to work in times of supply chain disruption, adhere to the above as well as establish a corporate culture that will consistently look for ways to mitigate risks and jointly take ownership to execute contingency plans upon any disruption. Examples of ways to mitigate risks include but not limited to the establishment of market intelligence, price hedging, collaboration with suppliers and partners, establishment of incentives for successful execution of contingency plans, reduction of cycle time, cross-training within the organization for purposes of resource backup and establishment of clearly written supplier contracts that penalize non-compliance, etc.
Wednesday, June 10, 2009
CURVE - Key success factors for a logistics company (under the Blue Ocean Strategy)
CURVE - Key success factors for a logistics company (under the Blue Ocean Strategy)
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
C for Create a new market where competition is irrelevant. Examples would include just-in-time, continuous cost reduction benefits passed down to customer, re-packaging of products to allow for seamless integration to customers' operations, real-time delivery/storage information, direct delivery to customers' customers, etc.
U for Unique way of doing business, that is, based on industry best practices. Conduct business the way that the industry where the customer belongs to conduct. Understanding the specific vertical market that the customer belongs to would differentiate one from the competition.
R for Reorientating focus from competitors to alternatives and from customers to non-customers of the industry. Consistency in service quality and dedicated vertical industry account manager (for smooth communication and in-depth industry understanding) allows customers to expect the expected and may even be delighted since minimum effort is required to communicate requirements.
V for Value innovation. Innovation with value add should be part and parcel of the bloodline for any successful company and no difference for a logistic company. Examples include re-packaging, re-labeling, customer reports based on customers' SOP and requirements (even seamless data integration to customers' ERP or SCM systems), single point of contact (account management) for customers with international or regional offices), etc.
E for Excellence. Always strive for excellence, efficiency and effectiveness in delivering the services to the customers. Example include constant review and innovation of new and improved ways of serving the customers and thus, passing on cost savings to the customers or provision of specially customized logistic reports that reduced reporting on the part of the customer.
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
C for Create a new market where competition is irrelevant. Examples would include just-in-time, continuous cost reduction benefits passed down to customer, re-packaging of products to allow for seamless integration to customers' operations, real-time delivery/storage information, direct delivery to customers' customers, etc.
U for Unique way of doing business, that is, based on industry best practices. Conduct business the way that the industry where the customer belongs to conduct. Understanding the specific vertical market that the customer belongs to would differentiate one from the competition.
R for Reorientating focus from competitors to alternatives and from customers to non-customers of the industry. Consistency in service quality and dedicated vertical industry account manager (for smooth communication and in-depth industry understanding) allows customers to expect the expected and may even be delighted since minimum effort is required to communicate requirements.
V for Value innovation. Innovation with value add should be part and parcel of the bloodline for any successful company and no difference for a logistic company. Examples include re-packaging, re-labeling, customer reports based on customers' SOP and requirements (even seamless data integration to customers' ERP or SCM systems), single point of contact (account management) for customers with international or regional offices), etc.
E for Excellence. Always strive for excellence, efficiency and effectiveness in delivering the services to the customers. Example include constant review and innovation of new and improved ways of serving the customers and thus, passing on cost savings to the customers or provision of specially customized logistic reports that reduced reporting on the part of the customer.
Thursday, June 4, 2009
COST - Good Company Name to attract Traffic to your website
COST - Good Company Name to attract Traffic to your website
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
It is important to have a good name for the company in order to generate the right traffic and it is definitely costly to change a name. As such, consider the following when working on a good name and how it will generate the right traffic:-
C for Culture. A person's nationality and culture can most often be identified through her/his name. So, this is true for a company as well. The company name attracts the potential business partners (customers and suppliers) as it would reflect the type of business or industry that the company is in. As such, a good company name will, naturally, generate traffic from the appropriate market or industry.
O for Online. If a company is into online business, then the company name should be an online name and not just any company name. Most companies who have been in brick and mortar business for many years suddenly decided to go for a share of the online business but never adopt a new online name. Such companies online business will normally fail. A new name that is more internet-savvy is the best practice for going to an online business.
S for Simple and special. A simple and yet unique name is key to generating traffic for online businesses. If one has difficulty in just trying to read the name, how else would one remember the name itself. As such, keep names simple and unique so that your target market can easily search for your company website or products readily when the need arises. As such, a good company name is easy to remember within its specific industry or market. An easy to remember name will, naturally, generate traffic from target market who will easily remember their company name when a need arises.
T for Traffic. Its great to generate traffic but the more important issue would be generating and attracting the right traffic, your target market.
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
It is important to have a good name for the company in order to generate the right traffic and it is definitely costly to change a name. As such, consider the following when working on a good name and how it will generate the right traffic:-
C for Culture. A person's nationality and culture can most often be identified through her/his name. So, this is true for a company as well. The company name attracts the potential business partners (customers and suppliers) as it would reflect the type of business or industry that the company is in. As such, a good company name will, naturally, generate traffic from the appropriate market or industry.
O for Online. If a company is into online business, then the company name should be an online name and not just any company name. Most companies who have been in brick and mortar business for many years suddenly decided to go for a share of the online business but never adopt a new online name. Such companies online business will normally fail. A new name that is more internet-savvy is the best practice for going to an online business.
S for Simple and special. A simple and yet unique name is key to generating traffic for online businesses. If one has difficulty in just trying to read the name, how else would one remember the name itself. As such, keep names simple and unique so that your target market can easily search for your company website or products readily when the need arises. As such, a good company name is easy to remember within its specific industry or market. An easy to remember name will, naturally, generate traffic from target market who will easily remember their company name when a need arises.
T for Traffic. Its great to generate traffic but the more important issue would be generating and attracting the right traffic, your target market.
Wednesday, May 20, 2009
CHARGE - what leaders should take on to make the best of an economic slowdown
"CHARGE" is what leaders should take on to make the best of an economic slowdown
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
C for Change is everywhere. Businesses have to be think of new ways to reduce cost and increase value. As such, offer a product or service or solution that will give far far greater value to your customers.
H for Hedging. Every investor can benefit by learning how to invest beyond stocks and bonds. A properly diversified portfolio that includes commodities can enhance return and reduce risk. Commodities can serve as a hedge against stock market and economic risk.
A for Acquisition and Mergers. There should be some really great deals during this time to expand your operations and market share through acquisition and merger, rather than organic growth. If you can afford it, go for it and if managed properly, will go a long way for your company's success in the future.
R for Resources Enhancement . Study your current inhouse human resource pool and re-structure your organization. This is the best time to employ the best resources at highly affordable rates. Many over-40s have been laid off and they find difficulty in getting a job during these economic downturn. Employ these people and paying them with a fixed salary and a variable salary that is dependent on the profitability of the company is but one way to entice these people to put in their very best.
G for Greater Value. Although this is not naturally true for all things, it is true for most things. As such, this is the best time to buy into real estate or essential equipment, etc., whatever that is needed to bring the company to the next competitve advantage level which was not possible before due to much higher prices.
E for Exploit Marketing. This is the best time to work on good PR (Public Relations) and showcase your value add to the market as well as your optimism about the market potential. Media loves to highlight the opposite of trends.
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
C for Change is everywhere. Businesses have to be think of new ways to reduce cost and increase value. As such, offer a product or service or solution that will give far far greater value to your customers.
H for Hedging. Every investor can benefit by learning how to invest beyond stocks and bonds. A properly diversified portfolio that includes commodities can enhance return and reduce risk. Commodities can serve as a hedge against stock market and economic risk.
A for Acquisition and Mergers. There should be some really great deals during this time to expand your operations and market share through acquisition and merger, rather than organic growth. If you can afford it, go for it and if managed properly, will go a long way for your company's success in the future.
R for Resources Enhancement . Study your current inhouse human resource pool and re-structure your organization. This is the best time to employ the best resources at highly affordable rates. Many over-40s have been laid off and they find difficulty in getting a job during these economic downturn. Employ these people and paying them with a fixed salary and a variable salary that is dependent on the profitability of the company is but one way to entice these people to put in their very best.
G for Greater Value. Although this is not naturally true for all things, it is true for most things. As such, this is the best time to buy into real estate or essential equipment, etc., whatever that is needed to bring the company to the next competitve advantage level which was not possible before due to much higher prices.
E for Exploit Marketing. This is the best time to work on good PR (Public Relations) and showcase your value add to the market as well as your optimism about the market potential. Media loves to highlight the opposite of trends.
Friday, May 15, 2009
CASH - Criteria that private equity funds are looking for in funding a start-ups!
CASH - Criteria that private equity funds are looking for in funding a start-ups!
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
C for Cash-flow. The company must be or will be having a positive cash-flow position with a very high level of confidence and certainty. Current investors are looking for deals where risks have been minimized but the valuation is still very positive. Gone are the good old days where funding is given at the very early stages of a start-up where risk is relatively very high.
A for Attitude. As in all other relationships, a good business relationship between an investor and an entrepreneur must be one where there is a high level of trust. The entrepreneur should be seen as someone with a high degree of integrity, a great personality and most important of all, an extremely good attitude that will give the investor the assurance of the entrepreneur's commitment and perseverance towards achieving success in the start-up business.
S for Seasoned Management. This is extremely important and crucial as it will definitely raise the confidence level of the investor. A must it would be! It would be even more ideal if the management team has done it before and was successful. As such, the minimum requirement would be to have at least one person in the management team to have done it before.
H for High-growth potential. In general, most investors would like to achieve a targeted 30 to 40 percent internel rate of return per year over a period of five-years. This may not be achieveable in the first 2 years but it should be compensated in the 3rd to 5th year.
In addition to the above 4 criteria, there are of course, questions with regards to the market forces, competitive advantages, threats from substitutes, rivalry, financials, assumptions, etc.
As such, the advise is to go slow but steady, so as to win the race. But also be fully equipped with plans and solutions to counter the competition should one arise. The best is to have a niche that has a very high barrier of entry and thus, making it less attractive for the competition to compete head on with the company.
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
C for Cash-flow. The company must be or will be having a positive cash-flow position with a very high level of confidence and certainty. Current investors are looking for deals where risks have been minimized but the valuation is still very positive. Gone are the good old days where funding is given at the very early stages of a start-up where risk is relatively very high.
A for Attitude. As in all other relationships, a good business relationship between an investor and an entrepreneur must be one where there is a high level of trust. The entrepreneur should be seen as someone with a high degree of integrity, a great personality and most important of all, an extremely good attitude that will give the investor the assurance of the entrepreneur's commitment and perseverance towards achieving success in the start-up business.
S for Seasoned Management. This is extremely important and crucial as it will definitely raise the confidence level of the investor. A must it would be! It would be even more ideal if the management team has done it before and was successful. As such, the minimum requirement would be to have at least one person in the management team to have done it before.
H for High-growth potential. In general, most investors would like to achieve a targeted 30 to 40 percent internel rate of return per year over a period of five-years. This may not be achieveable in the first 2 years but it should be compensated in the 3rd to 5th year.
In addition to the above 4 criteria, there are of course, questions with regards to the market forces, competitive advantages, threats from substitutes, rivalry, financials, assumptions, etc.
As such, the advise is to go slow but steady, so as to win the race. But also be fully equipped with plans and solutions to counter the competition should one arise. The best is to have a niche that has a very high barrier of entry and thus, making it less attractive for the competition to compete head on with the company.
Wednesday, May 13, 2009
BUSINESS - Considerations for implementing corporate portals
BUSINESS - Considerations for implementing corporate portals
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
Corporate portals, like any tools (software or hardware or process), serve to help businesses perform a certain function or task. However, in order to fight against the economic crisis warrants more than a tool. It is what's behind the tool that brings about success. If a decision is to build a portal, then its most important & essential that it is build with the blessings of the users (e.g. employees and business partners; customers & suppliers), that is, the users are involved during the requirements specification down to the user-friendliness and further down to the ownership & adoption of the solution(s) by the users. Portals should streamline communications between management & employees, help employees collaborate more easily, & give employees personalized access to the information & applications they need to do their work well. Portals should do it all in a cost-effective manner that lets companies save money by consolidating both servers & applications.
Companies will implement corporate portals in today's current difficult circumstances after they have thoroughly considered "BUSINESS" :-
B for Business Type? This is very much dependent on the type of business & the type of industry or vertical market that the company is in. Some businesses use the website just as an information or bulletin board & not for any form of electronic transaction or business.
U for Union? Portals are great but will it affect negatively a significant number of employees in the company & thus, cause unions to react negatively towards the company. This is one area that would require special professional attention.
S for Sites? Corporate portals are great for multinational companies with offices, warehouses, factories or business partners in numerous locations that are geographically dispersed but are equipped with internet technology.
I for Internet Availability? Do bear in mind that there are still many places in the world that are not equipped with internet technology & as such, if a business' main market is in these geographical locations, the portal is of no use.
N for Network? Is the existing network & IT infrastructure equipped with the necessary security to prevent hackers? Most companies move into portals without serious consideration of this area. Once again, a very important area but often overlooked or skipped due to high upfront investment (hardware) & high recurring cost (annual software subscription or renewal fees).
E for Employees? Are there enough employees to warrant a portal to manage all or most employee-related transactions? Its always a question of nice-to-have versus must-have? If the company has offices or plants spread geographically in many locations, it may be economically more viable to have a human resource portal to manage all human resource issues like employee performance assessments, employee handbook, annual leave, etc.
S for Strategy? What is the company's strategy for the present & future? If the strategy is to move into the online B2B market in the near future, then it is naturally critical that it should develop a corporate portal to support this future strategy. However, one should note that a company or product name used in the non-online world is not suitable for the same used in the online world.
S for Social contribution? As in all businesses, one of the key mission of the company is to make this world a better place to live in. Careful consideration should be placed in terms of the social implication of the corporate portal. Will this portal have an impact on the political, environmental, social & technology areas of the society that the company operates in?
Whether it is B2B or B2E or both, its comes back to the same consideration, "BUSINESS"!
Try looking up http://www.capterra.com/portal-software for software/ services for building corporate portals.
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
Corporate portals, like any tools (software or hardware or process), serve to help businesses perform a certain function or task. However, in order to fight against the economic crisis warrants more than a tool. It is what's behind the tool that brings about success. If a decision is to build a portal, then its most important & essential that it is build with the blessings of the users (e.g. employees and business partners; customers & suppliers), that is, the users are involved during the requirements specification down to the user-friendliness and further down to the ownership & adoption of the solution(s) by the users. Portals should streamline communications between management & employees, help employees collaborate more easily, & give employees personalized access to the information & applications they need to do their work well. Portals should do it all in a cost-effective manner that lets companies save money by consolidating both servers & applications.
Companies will implement corporate portals in today's current difficult circumstances after they have thoroughly considered "BUSINESS" :-
B for Business Type? This is very much dependent on the type of business & the type of industry or vertical market that the company is in. Some businesses use the website just as an information or bulletin board & not for any form of electronic transaction or business.
U for Union? Portals are great but will it affect negatively a significant number of employees in the company & thus, cause unions to react negatively towards the company. This is one area that would require special professional attention.
S for Sites? Corporate portals are great for multinational companies with offices, warehouses, factories or business partners in numerous locations that are geographically dispersed but are equipped with internet technology.
I for Internet Availability? Do bear in mind that there are still many places in the world that are not equipped with internet technology & as such, if a business' main market is in these geographical locations, the portal is of no use.
N for Network? Is the existing network & IT infrastructure equipped with the necessary security to prevent hackers? Most companies move into portals without serious consideration of this area. Once again, a very important area but often overlooked or skipped due to high upfront investment (hardware) & high recurring cost (annual software subscription or renewal fees).
E for Employees? Are there enough employees to warrant a portal to manage all or most employee-related transactions? Its always a question of nice-to-have versus must-have? If the company has offices or plants spread geographically in many locations, it may be economically more viable to have a human resource portal to manage all human resource issues like employee performance assessments, employee handbook, annual leave, etc.
S for Strategy? What is the company's strategy for the present & future? If the strategy is to move into the online B2B market in the near future, then it is naturally critical that it should develop a corporate portal to support this future strategy. However, one should note that a company or product name used in the non-online world is not suitable for the same used in the online world.
S for Social contribution? As in all businesses, one of the key mission of the company is to make this world a better place to live in. Careful consideration should be placed in terms of the social implication of the corporate portal. Will this portal have an impact on the political, environmental, social & technology areas of the society that the company operates in?
Whether it is B2B or B2E or both, its comes back to the same consideration, "BUSINESS"!
Try looking up http://www.capterra.com/portal-software for software/ services for building corporate portals.
Monday, May 11, 2009
BIZ-DEV - When is the right time for new business development?
BIZ-DEV - When is the right time for new business development?
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
B for Business-readiness. Is the organization ready for new business?
I for Innovation. Is the new business idea innovative enough to differentiate one from the competition and has a competitive advantage?
Z for Zest. Is the team behind the business corporately and individually motivated in all aspects to see this new business through the initial upclimb?
D for Destination. Is the target goal.. mission and vision clear with measurable result(s) and time line(s)?
E for Environment. Is PEST (Political, Economical, Social and Technological) analysed thoroughly, reviewed and accepted by all members of the new business development team?
V for Value. Is the value chain of the entire new business development project carefully analysed and value ensured for all involved in the value chain?
If our answers to the above questions are YES, then we will confidently know that its time for launching the new business! Enjoy and Persevere ... the sky is the limit!
(CopyRight 2009; Benjamin Goh, www.bensglobal.com)
B for Business-readiness. Is the organization ready for new business?
I for Innovation. Is the new business idea innovative enough to differentiate one from the competition and has a competitive advantage?
Z for Zest. Is the team behind the business corporately and individually motivated in all aspects to see this new business through the initial upclimb?
D for Destination. Is the target goal.. mission and vision clear with measurable result(s) and time line(s)?
E for Environment. Is PEST (Political, Economical, Social and Technological) analysed thoroughly, reviewed and accepted by all members of the new business development team?
V for Value. Is the value chain of the entire new business development project carefully analysed and value ensured for all involved in the value chain?
If our answers to the above questions are YES, then we will confidently know that its time for launching the new business! Enjoy and Persevere ... the sky is the limit!
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