These 10 traits show up again and again when examining the reasons behind business success.
How does a company become successful? Despite the bad news we so often hear about the number of businesses closing or moving, the news really isn’t all that bad: Thousands of businesses start-up every year, and a good percentage of those companies have learned what it really takes to survive the early start-up years and become successful enterprises.
Successful Businesses share common traits and here are 10 qualities identified in many thriving small companies:
Culture is defined as the “integrated pattern of human knowledge, belief and behaviour that depends upon man’s capacity for learning and transmitting knowledge to succeeding generations.” For successful companies, culture is about attracting and hiring the people who would be most successful in that specific organisation. And it’s about driving the behaviour that makes the company successful.
Simply defined, customer service means taking care of your customers. Many companies integrate customer service into their business culture through training and the design (and frequent redesign) of relevant business processes. In most cases, the business plan dictates how they will provide quality customer service.
As the owner of the company, you must have a positive attitude and accept 100% of the responsibility for the results of your business. When you accept responsibility, you can act to make the necessary changes to accomplish the desired results. Then, when success is achieved, you’re generous in giving credit to others within the organisation. Without exception, the most successful business owners understand that it’s all about people: hiring and retaining the right people, eliminating ineffective people and providing the necessary resources for employees to master their tasks.
A complex strategy or business plan isn’t necessary to achieve success. A simple one-page document will do, but it should be well thought out and well executed. A poorly crafted business plan that’s well executed is far superior to the well-crafted business plan that sits on the shelf collecting dust. A good business plan defines and drives the activities and behaviours of the entire organization. Without it, the business becomes a ship without a rudder; it simply can’t be steered and ends up going around in circles. A sound strategy should include a financial plan, marketing differentiators, and product strategy as well as a plan for employee retention.
Discipline is all about executing the strategies and then staying the course. It’s about staying focused on your core markets and measuring success as defined by your business strategy. It’s not about overreacting to market changes and adjusting your core strategy to keep up.
Owners of successful businesses aren’t afraid to take calculated risks with clear outcomes in mind. Most owners who take risks do so because they recognise the need to change as the economic climates changes, and they understand it’s disastrous not to embrace change. Successful business leaders understand that being in business is about managing and responding to change. Companies that succeed embrace change and respond to challenges presented by the market, the competition or changes in general business conditions.
An important attribute is the creation of a financial plan and budget and then having the discipline to follow it. A financial plan reminds owners where and how to spend money, and it provides ways to measure progress or shortfalls. A sound financial plan is the cornerstone of a great business plan.
MARKETING & SALES
Effective marketing efforts perform different functions around unique selling environments. For example, business-to-consumer enterprises have completely different marketing needs than business-to-business companies. Having a good understanding of the pains your clients are experiencing and how your product and services stop that pain can help you understand how to market to your customers–and that’s critical to business success.
Successful owners know that the concept of selling is a process that can be measured and improved, like all business processes. They talk about the importance of having a consistent, measurable and repeatable marketing & sales process, and they engage professional sales trainers to help create consistency within their selling process.
Because we live in a world of continuous change, it’s more important than ever to implement a culture of continuous learning. For many successful owners, continual investment in training is a major contributor to success. For training to be successful, however, there must a direct link back to the business plan and an understanding of how training supports the successful implementation of the business strategy.
TEAM OF ADVISORS
Successful business owners know the importance of having trusted advisors. They know they can’t know everything and they search out advisors they can trust. They usually preferred to pay for this advice because they were looking for someone who would challenge them, hold them accountable, ask them important questions and introduce them to others who could help them when necessary.
Local Business Partners provide Part Time directors of Finance, HR & Marketing resource, bite sized to your business, to help your organisation get to the next level.
Contact Us Now to discuss how we can help.
Blog by Oli Randell