A quick peep into the business world and you would realize that businesses have various parts that must work in a synchronized manner to ensure success and profitability.
Every business has two major divisions that must work together for the business to live long and healthy. Its no longer news that 90% of all businesses do not live longer than 10 years. This beckons the curious mind into wondering why this is and what could be done to help businesses live a longer healthier life span. In my research, I have realized that if these two divisions are neither effective nor cooperative, any business will die young. What are these divisions?
The two divisions that ensure business health are Structures and Relationships. Yes, and its not enough for them to be effective but they must also work together. Structure refers to the core business model, the chain of production down to when the customers receive the product or service being offered. However, the way the business manages relationships is equally as important as the business model. Relationships doesn't only refer to how the clients are managed but also how the staffs and suppliers are managed. Basically, every business has to maintain good relationships with “Customers, Suppliers and Workforce” to maintain good health and achieve goals.
“Business is easy, Managing people is hard.”
While the former requires rigidity and objectivity, the later requires creativity and flexibility. The business structure and how relationships are managed should be considered and planned to create a system that any and all businesses must thrive on. The system would encompass how resources are gotten, the transportation modes, processing infrastructures, packaging, advertisement and publicity, delivery, feedback mode, promotions, incentives ... etc.
If your customers are happy, they would make continuous patronage, if your suppliers are happy, they would provide the resources for production promptly, if your workers are happy, they will be very effective and if all these business relationships are healthy, the management will achieve goals much easier. However if the business structure itself isn't effective enough to properly manage the business activities to ensure smooth running, there's only an extent to which the relationships would last.
Many at times, businesses focus more on profits and neglect the core business which is to satisfy the customers.
The greatest asset of any business is its relationship with customers.
The customers are the ones who bring money into the business.
Of what good is having the best product without patronage? of what good is running the most expensive and most creative adverts if customers don't patronize you?
Businesses need to create room for evaluation and feedback from their core partners who are customers, suppliers and workers. They need to create room to reward them with more every once in a while and make them feel special.
Everyone likes to feel special.
Its not just enough to run an effective business model as the business model must cater for healthy business relationships.
Smart investors don't invest in businesses or ideas, they invest in people.
People are the core business regardless of what the business is and what it offers. So long as the business needs patronage, relationships should always come first.
I advice you re-evaluate your business model and re-adjust if needed, so your business puts people first. On the other hand, if you're about to start a business, consider how to make your customers happy and means to evaluate how healthy the relationships are even before profitability.
May you experience business success and may you achieve your business goals even beyond and above targets this year. Be a smart investor - put people first
Think WITTEE! Think Intelligence...
No comments:
Post a Comment
post a comment