Aligning Core Company Values and Strategic Focus
It is my experience that most companies have a mission and vision statement. However, often they were created as a marketing tool for both customers and employees, rather than a true embodiment of company’s core values. The result is a mis-match of actions versus expectations that can derail the company. To correct this potential disconnect it is critical you inspect your core vision versus not only the perception in both the market and internally, but against your execution to your vision as well. Questions to consider: What are the 3 to 5 words that define your company? Some examples might be creative, innovative, honesty, results, integrity to name a few. What is the company’s focus? It’s Passion? In other words, what niche do you...
Sale-Able Value
I met with a prospective client yesterday as he was inquiring about the value of his business. He was ready to retire and enjoy all the “toys” he amassed while running his business… a beautiful boat, lake house, plane, oceanfront condo, three golf club memberships. Yes – he made a lot of money over the years and in those terms was quite successful. But, unfortunately there was little value in his business. Why? He led all sales efforts and held the relationships with his customers close to his vest. He did not have talented management to support the operations and he had not invested in new technologies to keep the business competitive. The asset value of the company would not even come close to generating enough income to...
Traditional Strategic Thinking in a Social Dynamic
Does the influential work by Michael Porter regarding competitive advantage and the forces that influence that advantage still hold true today? Porter’s original works were created in the pre-Internet days. Large companies and brands still dominate the landscape, but have their advantages that were created by scale still as advantageous? In the past, development of new product and applications of those services were developed within the company and were marketed outwardly to consumers. Having the brand, the resources (human and financial) provided great advantages to large global companies at the expense of smaller companies. But, in our socially connected world consumers have more influence than ever and they are exercising that power. Is your...
Mergers & Acquisitions? Is this part of your Plan?
How do you want to grow your business, organically or through a merger or acquisition? Organic growth takes time. So do you plan expand your marketshare? How much capital are you willing to commit to the new venture? What are your benchmarks for success? If the decision is buy another company, who is your target? What will the new company look like? How will it be run? How will you integrate all the parts? According to KPMG over 85% of M&A deals fail, given this dramatic statistic… How do you to be part of the 15%? Regardless of your methods for growth, you need a plan. Your plans need to be consistent with your long term objectives. You need to understand your competition and how they may react to your moves in the market. You need to understand the...
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