Universal Law #16 - by Barry J. Gibbons

I read this on Barry J. Gibbons' book "If you want to make God really laugh, show him your business plan", and I really loved it :

"Universal law #16: Summary universal law of motivation: Pay people till their eyes water, share with them the value they add, trust them, and avoid doing dumb things that de-motivate them"

Have a good Business!

Hector Barresi
http://www.boundlesscoaching.com/
Phone: 775-200-2864

Exceed your sales plan, even in bad times

People continue to purchase and invest during bad times. They are more careful, of course, as to where they put their money, and are more careful to confirm that they receive great value for their money. More than ever, during bad times it is absolutely critical to develop a strong value propsition for your products and create value sell strategies that set you apart (actually above) competition. Creating a good "value prop" is not an impossible task, as long as you follow a few rules: Rule number one is pick your segment. Rule number two is understand what your segment cares about (what problems do they have?, and how are those needs satisfied by their current products or services), Rule number three is to communicate how your product/solution/service is different from competition (BETTER than competition). Please understand that the value proposition MUST be expressed in dollars (or any other currency). Value means financial benefits. Your potential customers will pay for your product only if they perceive that your product delivers a higher (financial) benefit than the price they pay for whatever they are buying from you.

How to do this? Contact me for a free coaching session focused on your actual case: Call or email me.

Have a Good Business! Hector

hector.barresi@boundlesscoaching.com

http://www.boundlesscoaching.com/

Phone: 775-200-2864

Beat competition and double your margins

Beat competition and double your margins:

Discover three great ways to develop a "bullet proof" value sell strategy for your product. How? See me tomorrow. Phone: 775-200-2864

Tremendous results in "bad times"

Tremendous Grow in BAD TIMES

GROWTH is one of the most critical words in business. Some companies achieve a great deal of growth, others want to grow and another group of entrepreneurs and executives do not really know if it is even a good idea to attempt the risky mission to continue to grow. This typically occurs when the company is evaluating a leap frog expansion which will impact, for example, infrastructure, resources, product offering, geographic coverage, sales channels, going (eventually) public, etc.
Another way to analyze Growth is through the lens of profitability. It is very common to hear the expression "... we need 'profitable' Growth ...", to indicate that the company is not ready to sacrifice their margins to go grow their sales. Now, this is an interesting statement , as long as you can sustain or even attempt to increase sales, on top of market growth and mere price increases justifiable by inflation.
Market growth and inflation do not represent sales growth. So, where are you going to grow then? Well, there is a group of companies out there called competitors, one way to grow is to take market share from those "undesirables". So, if your products are better than your competitors' (and better is different in each case - like for example, try to come up with three reasons why iPod is a better MP3 player than Phillips, Samsung, RCA, Sony, ........, even when the other brands offer way more features like radio, recorder, docking station, etc, and why Apple can command higher prices that its competitors).
Like I was saying, if your products are better than your competitors', then you have the opportunity to take market share while commanding higher prices. Still, you have to find a way to communicate to your potential buyers how your product is better. The answer is all about "customer value", or even better, "perceived customer value". Does not really matter how well you think you developed your product, does not matter how fast the microprocessor runs, or how many gigabytes of memory it has, or what material it is made of, just to cite some examples. If the customer does not see the value of that product he/she ain't gonna buy it. OK? Customers will not pay for your product, more than the value they assign to it. Think about it.
What is the value proposition of you product? What of value sell do you utilize?

How to create and market the value of your product? How to develop a robust value proposition? Give me a call to discuss: 970-690-4975.

In summary, you must consider GROWTH in context. The company's growth can be achieved in several ways, and it is influenced by a series of factors, internal and external.

1) The product or products you offer and particularly NEW products that you add to your portfolio breed (as opposed to simply replacing an obsolete product)
2) Your sales channels - Direct, Indirect, geographic coverage, committed, trained, etc.
3) Your profitability - The higher your margins, the higher your cash flow, and also your ability to compete in pricing.
4) Innovation: How are you tracking vis-à-vis competition? Are you listening to your customers?
5) Your ability to delight your customers. Who is the center of your business? You or your customers?
6) and more ......
Each company, like its owner is unique, and as such, each company requires personalized analysis and specific coaching. Canned solutions are out of question if there is a serious objective to grow.

Business Coaching helps identify the most effective and efficient ways to grow. Through an ongoing "dialog" between coach and client, different aspects of the business are analyzed and discussed, and specific improvement actions are agreed and executed.

Here is a non-restrictive list of the several areas that can be identified when you look at business performance boost:

- What's your Strategy?
Define and refine your VISION
Strategic Planning
Partnerships

- Is your Business Effective?
Business Plans
Marketing and Communication
Pricing
Sales Channels
Competitiveness and Competitive Differentiation
Productivity
Sustainability

- Do you keep your customers satisfied?
On Time Delivery (OTD)
Customer Service
Quality
Ethics
Responsiveness

- Ethics?
Values
Practices
Responsibility

- How committed are you to New Products Development?
"If you see it in your mind, you're going to hold it in your hand" - Bob Proctor
Learn to interpret what your customers want (listen to the "Voice of the Customer" or "VOC")
Accelerate your projects
Develop accurate financial projections
Reduce your product costs
Do not leave money on the table
Surpass competition
Innovation. What role does technology play? (again) How much are we listening to our customers?
Conduct the right Alpha/Beta Tests
Continue to improve quality, surpass competition. Exceed your customers' expectations
Accurate and Effective Suppliers selection

- How good are you at Launching New Products?
Pricing (Do not leave money on the table)
Launch Packages
Training
Field Tests
Supply Chain
Manufacturing Readiness
Sales Channels readiness

Have a Good Business!

Hector
hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864

More about Strategic Planning

More about Strategic Planning

If we don't change the direction we're going, we're likely to end up where we're headed" - Ancient Chinese proverb

It's STRAP season, so let's talk some more about it ....

When we spoke about Growth, under "Grow YOUR Business" (see http://www.boundlesscoaching.com/Article%20Grow%20your%20Business.htm), we listed the strategic element as one of the pillars on which you want to build your company. A business without a robust strategy is like a boat that leaves port without a predetermined destination - you can have the most sophisticated navigation technology, but if have not determined what your ultimate destination is, you may end up lost in the middle of the ocean (surrounded by sharks).
The strategy of the a company determines the destination, and partially, how to "get there". Based on the strategy, then the tactics can be developed and executed.

There are some aspects of the strategy that are critical, the strategy MUST BE:
- Clear
- Executable
- Funded
- Sustainable
- Consistent
- Flexible
- Global if required

And it must be supported by:
- Clear and consistent Tactics
- Commitment (senior team and "the rest")
- Accountability
- Execution (early Wins are crucial as they fuel the execution of the rest of the strategy)

The process to develop, document and execute a company's strategy is called "Strategic Planning". The strategic planning process occurs yearly, and the prior year(s) strategy and tactics are reviewed, analyzed and updated as required. Sometimes companies make big changes in their strategies from one year to another. That normally happens for three reasons:

1) A new CEO was hired (it's true! it happens!)

2) Someone or something is causing the company "to suffer" (for example, a competitor is taking market share) and decline will continue unless the company changes direction

3) A major disruptor (like a new technology: MP3, Laser, WiFi,for example) creates true new opportunities for new products and services which did not exist before, causing many companies to change strategy to encompass, or fight the disruptor

So, let's discuss this in more detail, specifically around the impact caused by competition. Strategic Planning is one of the most critical processes for any company. Sometimes we think that "STRAP", as we call it, is only reserved to large companies. The reality is that, a solid strategy builds the infrastructure on which the entrepreneur can build any company. Strategies are not rigid, and, in fact, they should be adjusted yearly, if the initial strategy proves inadequate. Yes, you will hear that STRAPs span over three to five years, but hey, at the speed this world is moving, you better keep an eye on what's going on out there. In a year, for example, competitors may launch new products that could threaten your strategy, or they could drop their prices dramatically. An acquisition could drastically modify the rules of the game. For example, let's say that, before the acquisition, your company holds 43% of the market, and the other 57% is shared between two other competitors, let's call them A and B. So now A acquires B, and, overnight, your company went from largest player to "first runner up". How do you feel about that ...? At this point, you may want to, or may have to change your strategy. PC makers went through that process some time ago, when Compaq was acquired by HP, Gateway by ACER, and Dell still holding strong, but losing market share.

Have a Good Business!

Hector

hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864

What is the Kaizen? - part 2

What is the Kaizen?

Kaizen can get your company in front of the competition. By making small improvements on a continuous basis, you can make tremendous impact at the end of the year. You want to make Kaizen part of the culture of your company. Living the Kaizen every day, your people will continue to improve themselves as well as the quality of their work.

How to apply the Kaizen?

- Reevaluate your products, services and processes and identify issues: quality, cost, delays, inefficiencies, price, etc, that need to be resolved, or at least improved (remember, sometimes you will have to leave with a non-perfect solution at the beginning, knowing that the improvements will continue).

- In occasions, a cross functional team will analyze the problem using specific tools designed specifically to analyze the problems and lead more easily to a solution.

- Action plans and control mechanisms are put in place to guarantee that the objectives and deadlines are attained. Most Kaizen workouts last between three and five days. And goals are, in general, very ambitious (stretch goals).

- Make sure your team is rewarded as the different goals are achieved and the results of the process improvements start to materialize.

But remember, the secret is to create a culture of small improvements every single day.

Have a Good Business!

Hector
hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864

What is the Kaizen?

What is the Kaizen?

Did you ever participate in one of those meetings where the president of the company says "... we have to kaizenize this process...."? What were your thoughts? Did the word Kaizen mean anything? Well, after the most of the world started to apply Japanese industrial processes and methodologies to achieve higher levels of efficiency and quality, the word "kaizen", which means "continuous improvement (give or take) and certainly the execution of kaizen processes have gain tremendous popularity.
But, what is so important about the kaizen after all? ... Let's wait until my next post to discover it.

Have a Good Business! Hector

hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864

Managing through the current economy

Managing through the current economy

We are seeing the first signs of recovery (although some may disagree). In any case, Citi Bank, Bank of America and others are, listen well: "starting to make money", and even said they won't need the whole stimulus package. That's great news!
So, what are the best steps companies can take to go through the storm until things get better? Here are five simple ideas that sometimes, for being so simple, are not even considered, but that work!:

1) Who's a got a cell phone in the company? OK, for what purpose. Out all cell phones that are not justified. Not to mention the fashionable Blackberries.

2) Land line is always the cheapest option to make calls. Are you calling from a hotel? Use a calling card, yes, remember?, they still exist. Cell phones are the last resort, especially abroad.

3) Still flying for inter-company meetings? Forget it. Use teleconference services, like Webex, NetMeeting, etc. Also forget about video conferences.

4) As far as layoffs are concerned, be very careful in this area. Many times companies layoff precious resources (so called employees) that will be critical to the post-crisis growth. Not saying layoffs are not an option, just be extra careful.

5) How many trade shows are you attending this year? Why? How about advertising? Are you placing your ads in the right place, for maximum return? Have you updated your message to tell your customers that you are with them in bat times too?

These are five simple actions you can take immediately, and that will cut costs with the least impact on the performance of your company.

Have a Good Business! Hector

hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864

How to resolve a major business problem

How to resolve a major business problem?

First of all, the significance of a business problem is relative. What could be a tragedy for a certain business, may be a negligible issue for another company. But some business problems may be overwhelming and may have significant impact on the future of the company. Business owners face all sort of problems: low margins/sales, poor quality, disloyal customers, poor customer service, high manufacturing costs, and so on. The TRICK: Break down the problem into smaller chunks that can be better understood and resolved. In fact, if you can reduce, so to speak, the category of a problem from category "overwhelming" to let's say several problems of category "manageable", you'll have made a great progress. Your mind will then see the potential solution for each of the small chunks and the time line for the resolution will also be shorter. In summary it is the "Divide and Conquer" strategy.

Contact me if you need help addressing a business problem.

Have a Good Business! Hector

hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864

Create a "Bullet Proof" Action Plan

How to create a "bullet proof" Action Plan

How many times have you had to out together a plan to either complete a project, or simple carry out a series of tasks aimed at achieving a certain objective? The job of creating the action plan is relatively easy, if you know the simple steps to building a "bullet proof" plan.
The TRICK:
1) Determine EXACTLY what is the ultimate objective you need to accomplish (for example: "Reduce the failure rate of my product by 50%"),
2) Make a list of all the individual tasks that will have to be accomplished. Be as detailed as you need to be,
3) Assign a time for the completion of each task,
4) assign a person's name to each task (this will be the person that will have to execute such a task),
5) Look for dependencies, that is the relationships between the different tasks, as in many cases, one or more of the tasks will be dependent on the completion of others,
6) Set the start date and the end date,
7) Document all of the above using either a simple tool like Excel, or a more sophisticated one like "Microsoft Project",
8) Track the progress periodically, weekly is a good period.
9) Highlight the status (on target, danger to be late, late) with green, yellow and red colors on the plan, be really tough in tracking progress accurately,
10) If you are to be late, or already late, look for the root causes for the delay (focus on the causes, do not point fingers) and develop "countermeasures" to bring the plan back on target,
11) Celebrate the moment you complete the plan and thank the team members for the accomplishment,
Contact me if you need help building an action plan on Excel, or to develop a process to determine root causes or develop countermeasures.
email: hector.barresi@boundlesscoaching.com
http://www.boundlesscoaching.com/
Phone: 775-200-2864
"Have a good business!" - Hector

What are the KPIs?

What are the KPIs?

The acronym KPI stands for "Key Performance Indicator". Any business can have KPIs, actually, every business should use KPIs. Although generally used to monitor progress toward accomplishing strategic objectives, the benefits of tracking the operational performance of a company through the use "smartly" picked KPIs is significant. What do KPIs look like? Actually, that is not as important as what data is being measured and tracked. In fact, a simple spread sheet where each parameter is reported monthly, and compared to plan, should make it. Typical examples of KPIs are: Orders, Sales, Gross Margin, Warranty Expenses or Returns, First Pass Yield, Lead Time, Working Capital, Vitality Index, etc. versus plan. Each business will select the most suitable set of KPIs in each case according to the specific needs or plans of the enterprise. For example, a company decided to improve customer satisfaction may have KPIs concerning Customer Service Responsiveness, Repair Time, Product Quality, Lead Time, Field Service responsiveness and performance, etc.
Contact me if you need help building a typical Key Performance Indicators template. At hector.barresi@boundlesscoaching.com .
http://www.boundlesscoaching.com/
Phone: 775-200-2864



"Have a good business!" - Hector

Eight secrets to create a great Strategic Plan

One of the areas where business coaching has a critical role is in strategic planning (better known as "STRAP"). A "true" business coach, and by that I mean someone who has real experience in corporate business and who has personally been through a series of STRAP sessions will be able to offer tremendous help to the client. Typically, the strategic planning that has been executed with business coach assistance will be more "strategic", more focused on the company's vision and objectives, will more clearly articulate the imperatives that will lead to the execution of the strategy, and will include better methodologies to track progress toward the accomplishment of the plan. The business coach will, certainly not develop the plan, since only the client can determine the strategy to follow, but he/she acts as a reference point, a sounding board, and keeps the strategic planing team centered on the key priorities of the company.

The Top 8 secret ingredients to create a great Strategic Plan
Far from being a complicated and a difficult task, putting together strategic plan is not that difficult. Follow the simple eight rules below:
1) Your plan has to respond to a specific objective (vision), let's say, "achieve 65% market share by December 2012".
2) You need to collect all the information and data pertaining to the plan, and organize it in different areas: New products, competition, unique capabilities, investments, resources, etc
3) Make the plan easy to understand and communicate
4) Be precise and detailed, to avoid confusion
5) Make it adaptable to change, and be yourself flexible. Changes in market conditions may cause you to have to "improvise".
6) Application of the plan must be realistic.
7) Cover all significant parts of your business. Remember the interdependencies.
8) Identify responsibilities immediately and create a tracking mechanism.

Contact me if you need help executing any of above principles at hector.barresi@boundlesscoaching.com
Phone: 775-200-2864



"Have a good business!" - Hector

BUSINESS TRICKS

BUSINESS TRICKS
Gain efficiency, Increase your Results, reduce stress, Get Organized, Strengthen your Leadership, and more with our Daily business tricks....

Trick Number 1:
7 EASY Secrets to Success in Business.
Whether you are enduring difficult times or going through the booming moments of your business, it is absolutely CRITICAL that companies stay committed to excellence. Below 7 simple secrets are really "NO BRAINERS" and can be implemented very easily, but do not underestimate their power. Most times simple is better. Apply below principles and build your customer culture around them, and you will notice immediate impact in your business results.
1) The Customer is ALWAYS the FOCAL POINT for your company. Design products and services to exceed customer expectations (did I say "ALWAYS"?)
2) Learn to Delegate wisely. Spend your valuable time on the areas that return maximum benefit. Establish mechanisms to track the executions of the taks that you delegate
3) Communicate, Communicate, Communicate. It is never too much
4) Accountability is key. Set and agree on clear goals and deliverables, then make your team accountable
5) Encourage Team Work in your organization. Team work delivers much higher results than individuals alone (demonstrated)
6) Recognize achievements and commitment. Does not have to be necessarily money, an email copying the team, or a picture on the bill board will make it
7) Allow yourself to Relax. Creativity flourishes after you let your body and mind "take a break".

Visit my website at http://www.boundlesscoaching.com/
Phone: 775-200-2864



"Have a good business!" - Hector