Business Management

Issues Facing Small Business Today

2019 is in the history books and in spite of an improving economy there are many continuing issues facing business today.
Here are a few that as owners you may wish to address as you strive to grow your business.







1. Cash
Cash is hard to get and there is never enough. If you are a fast growth company you can rapidly outgrow your available sources, if you are an underperforming company you can’t get it. Many companies don’t manage it well.
Businesses often experience some problems getting paid on time by their customers and with debt recovery. Good credit control helps to prevent this becoming a serious problem.

2. Lack of a Clear Plan
Most businesses don’t know how to plan. Lack of a plan worsens the cash problem by wasting cash chasing tempting diversions, and throwing money at problems. Equally important is revising your plan according to changing economic and business conditions and to ensure your survival in weaker economies.

3. Technology
The pace of technological improvement is running at an exponentially increasing rate. This pace makes capital investment in technology as much an asset as a handicap because a competitor may wait for the next-generation technology, and then use it to achieve an advantage. The ability for even the best of technologists to stay informed about emerging technology is in conflict with the need to master a company’s current technology. The problem to be solved is to develop a long-term technology strategy while remaining flexible enough to take advantage of unforeseen technology developments.

4. High Overhead
Overheads are one of the biggest small business challenges, and excessive overheads have driven many otherwise good companies to the wall. Resolving them involves paying close attention to what customers actually want and providing products or services sharply tailored to suit. And don’t forget to ask yourself hard questions, such as whether you need that new car or printer, or whether it’s just for show…

5. Ineffective Leadership 
This issue takes many forms and is frequently in the form of depth of leadership. The founder of the company is too much hands-on and a) does not concentrate enough on his primary role as a leader rather than a manager; and b) fails to enlist support of competent managers and staff either through recruitment or by outsourcing. This eventually causes the company to stop growing and even leads to failure.

I trust these ideas provide thoughts to resolving some issues faced daily by many businesses as they strive to develop and grow.
Please share your thoughts. gerry@polarisgroupmc.com

Benefits of Mentoring

As a business grows owners may be in a position of managing more and more areas of the business that they are less familiar with. The owner’s original background may be manufacturing but now oversees finance, sales and HR issues.

An experienced business advisor may help develop these skills and improve decision making as the business grows.





Here are a few examples of the benefits of mentoring:

1. Expert Advice
 Above all, business mentors have “been there, done that.” They can offer you expert advice and guidance based on actual experiences — successes and failures included.
The insight that business mentors can provide because of what they’ve been through with their business ventures, and over time, is tremendously valuable from a practical standpoint.

2. A Different Perspective
Consulting with a business mentor can be a great way to gain a different, fresh perspective. It’s easy to get caught up with your ideas to the point of questioning, confusion or second guessing – and having a sounding board in a business mentor is a great way to work through some of those kinks and broaden your own outlook.

3. Improving Key Skills
Mentors are not consultants who focus only on key business results. A mentor can help develop an owner’s business management skills, improve communication skills and facilitate further growth in the business.

4. Networking
With all that experience likely comes a vast network of industry connections. Your mentor can help open doors so you can meet people – potential partners, customers and decision-makers in your target market.

There are many other benefits, and if you’re just getting started down the path to business ownership – or have been there for some time – and are looking for some guidance, consider reaching out to a business mentor to help you along the way.
You’ve got nothing to lose – and a world of business insight to gain. I hope you find these ideas have merit. Please let me know. Gerry@polarisgrpoumc.com

Business Management

Improve Time Management

Time is one of the resources business managers have that is scarce, cannot be replaced once spent, and it cannot be borrowed or purchased. Here are a few tips to help manage it.






1. Prioritize Activity
To help you determine what needs to be done immediately and what can be tackled later, ask yourself: "How much time do I have to make this decision, contact this person, or complete this assignment?"

2. Delegate Tasks
It is common for all of us to take more tasks than our desired potential. This can often result in stress and burnout. Delegation is not running away from your responsibilities but is an important function of management. Learn the art of delegating work to your subordinates and get more achieved.

3. Calls and email
 Try not answering the phone every time it rings or reading an email just because it shows up. Few issues in business require an instant answer and you will be more efficient if you schedule time to return calls and email inquiries.

4. Overcome Procrastination
Procrastination is one of the things that badly affect productivity. It can result in wasting essential time and energy. It could be a major problem in both your career and your personal life. Avoid procrastination at all cost.

5. Plan the unexpected 
It is inevitable that the unexpected will occur so leave open time in the morning and afternoon schedule to deal with “fires”.

6. Plan Strategic time 
Plan ahead for weekly, monthly, and quarterly business reviews. It is important to continuously review and understand the business issues and if you fail to block off time some emergency may pre-empt the time and your plan will be postponed or eliminated.
 
7. Downtime 
Casual time over lunch can be useful for strengthening relations with employees, customers and suppliers. Use that time judiciously.


Remember that it is difficult to get everything done and best results are achieved from those priority activities that are the focus of the business and future growth.
Thanks for allowing me to share your time with these tips. Gerry@polarisgroupmc.com