Recipe for a Well-Run Business
Courtney David attended Lunch & Learn last August. Guest speaker Paul Rosanowski (business owner and mentor) shared his recipe for a well-run business.
"Paul was an excellent guest speaker, and I personally found him very approachable and captivating to listen to. Overall, the meeting was informative and enjoyable, and a good time was had by all"
Here is Courtney’s summary of Paul's presentation:
- It is essential that you have the drive and vision in your business.
- Start every decision and action with the end vision in mind.
- See and convey the big picture.
- Develop the culture of your business, because it’s all up to you.
- Know your own strengths and weaknesses, and take advice if necessary.
- Make sure the execution of your actions is disciplined.
- Don’t be frightened to lead by changing things.
Have a plan
- Have a written plan, and incorporate your vision. Once it’s written down and you share it with somebody, it becomes real.
- Your written plan must include the questions: What will you do? How will it be achieved? When will you know you have achieved your goals?
- Be sure to use a small step strategy when planning.
- Know who your customers are: know what they bring, and what they look like.
- Understand and cherish your customers, while fulfilling their needs, desires and expectations.
- Gather their feedback and set targets based on that.
- Talk to them and listen to what they have to say. People will buy on emotion and relationship, so make contact with them every 6 weeks.
- Ask them for referrals, and tell them what to say when referring people to you.
What’s in it for the customer?
- Exceptional customer service
- Exceptional processes
- Exceptional products and/or service
How to connect with a customer:
- It’s okay to send an email or newsletter, but remember the amount of emails that people get, so restrict the number. One newsletter every six weeks is an ideal frequency.
- Send them a handwritten Christmas card, rather than an e-card.
- Ask them to participate in a survey, with a bottle of wine as a prize for the winner.
- Invite them to an event.
- Link into social media. ‘What’s happening in my business?’
- Share a relevant article on social media.
- Send them a thank you letter.
- Send them a small, free gift of appreciation.
- It’s so important to understand where your business is today; you’ve got to understand where you are financially, and you must have excellent systems for this.
- Current information is essential.
- Run your business efficiently because if you are not, you will lose money.
- If you haven’t got a decent system, you won’t know whom you owe (Debtors, creditors, WIP, stock and cash).
- This is a digital age. Do you have website and an app? Digitize your business:
- Overhaul of business processes.
- Real time: 24-hour availability.
- Personalized treatment, with zero errors.
- They must know what is expected of them, and they must be appreciated for their work.
- A positive attitude and winning mindset towards the business is vital.
- Lead by example with passion and positivity.
- There must be an atmosphere of energy and urgency, where everyone is involved.
- Measure, celebrate and reward your staff, and thus maintain their passion.
- You need plenty, for Cash is King!
- Working Capital: where will it come from? How long will it take to get? And how long will it take to then give it away?
- Owners often underestimate the amount needed: it will be 2 or 3 times more than you expect.
- Have an open mind to find opportunities, and have the flexibility to move quickly.
- Your beliefs dictate your actions, so believe it is possible.
- Change 30 things in your business as its environment changes, but only 1 thing at a time.
- Set your price, being aware that in the long term people remember the service, not the price.
- Include an efficient system and profit.
- It’s not about what the market is charging, because you’re selling benefits and value as well.
- Talk to your accountant or a friendly banker, and set up an Advisory board.
- There are three types of people; which type are you?
- Those that make it happen
- Those that watch it happen
- Those that wonder what happened
- People do business with people, so network with people and businesses in your industry.
- Stop doing and start thinking.
- Treat customers how they want to be treated, not how you want to treat them.
- Happiness is a positive cash flow.
- Have fun!
The main points from Paul's presentation, as summarised by Courtney Davis.