Business Management Styles - There is a big difference in the results we get, depending on what we are managing to get, and the management styles we use. One spirals down, a death spiral. The other spirals up, up, and up.
Most businesses are managing to
- Remove the pain,
- "Live within the budget" (and the budget was determined either by “the economy", “the market", or “who walks through the door. "
- Pay this month's bills
For the most part most of us have always believed that the harder we work the better things will be. However, let's look at what happens when we accomplish those three things we were managing above.
- Remove the pain - would result in “painless. " Certainly desirable, we would be OK if we removed the pain, right?
- Live within the budget - Let's see in this case the budget was determined by someone else, or something else, the economy, the market, or who walked through the door. We aren't exactly in control here are we? What would happen, however, if we hit “this budget"? We'd be, sort of OK, but not sure.
- Pay this month's bill-that certainly would be OK, but it doesn't generate anything more than the budget. We're still, just OK.
What happens when we manage to find the opportunities, the multipliers, or from a place of abundance? Instead of managing to avoid the pain, or to live within what is dealt to us, we start looking for the opportunities that will multiply the number of customers walking through the door, the number of them we sell, multiply the dollars spent by our average customer, finding customers that can and will spend more, finding ways that will encourage customers to spend more. I've seen companies jump 10 times in a week when changing to this perspective. . . . no kidding!
Let's step back a little from this and review.
- We can manage on the scarcity side, and the results will always be OK, average, acceptable.
- Or we can manage from abundance, always looking for ways to leap forward, grow a business and finding the multipliers in everything we manage.
But if we are going to manage for incredible results and huge growth, we have to manage from both sides. We'll remove the pain alright, but we always have to look to find the opportunities. . . where we should be investing that will create the greatest opportunity.
The business that operates from scarcity, cuts a cost without regard for what multiplier it impacted usually put the company into a downward spiral. Where if we manage to find the multiplier we'll find where a $1 spent would generate $100 or $1,000. We'll probably also find $1 generating only $5 somewhere. That's an opportunity too. . . we'll move the money from the 5 times multiplier to the 100 to 1,000 multiplier and watch our business leap forward.
Sounds simple doesn't it. Then tell me why every time I run a seminar with 100's of people that EVERYONE in the room will tell me they just cut out something, like marketing and when we look at it in detail, what they cut had actually been making them 10 to 100 times its cost?
So, are you managing that way?
Alan Boyer, Small Business Coach helps businesses to find the opportunities to multiply their business in weeks. In many cases, marketing results go up 5-10 times, sales results go up 50% to 400%, and just getting your hands around the overall business can multiply overall results several times. Find out how to Supersize Every Experience and Have Prospects CHASING you. Go to http://www.leaders-perspective.com/small-business-help.aspx to sign up for our weekly newsletter that multiplies businesses. . . . FAST.