7 Steps Towards Upgrading Your Small Business Idea
Let us be truthful, starting a business is a difficult sport. It entails rigorous discipline, the ability to compete effectively and the need to win at the end of the day. Business creation is not for the faint-hearted. I guess this is why we witness a lot of business demise across all spectrums and classes of businesses. Let me state a caveat that, all business ideas meet a form of need or solve a problem, however, the question that typically arises is whether those whose needs are met can supply a decent cash flow that ensures that the business ideas are sustainable.
It is not enough to have an idea about starting a business but more importantly about making this idea sustainable over time to guarantee top returns on investment. Don’t lose me here. Every business seeks a commensurate return on investment because of their time commitment and creation of offerings. It makes absolute sense to structure your business along with needs and provide processes that support this.
The importance of ideation is critical for business creation because it helps you have an overview of what you intend to do and more clinically helps you attend to issues that can deter and impair its flow and formation.
Every idea seems good on paper until it is tested. Testing your ideas is where the rubber meets the road. Businesses that win look critically at the things that matter before they open to the public. Here are 7 steps to consider as you turn that business idea into a fledging enterprise.
- Understand and embrace your niche market.
Creating a niche implies focusing on a target market that forms your critical mass. Even if you sell water, some people will prefer to buy from other people or businesses for many reasons. This is because your offerings might not just appeal to them. It is important to identify and understand your target market because meeting their needs can lead to conversion and loyalty. The best class of customers are those who promote your offerings without prompting.
- Develop core competencies that set you apart.
Competitiveness is a function of core competencies enablement. Businesses that focus on what they do best set themselves apart from those that try to do everything. As a small business owner, you will have to roll up your sleeves and get involved in many facets of the business in the early years. As the business takes form, it is instructive that you do what matters most and build your team to add value along the way. The disadvantage of not doing this is that you will spend more resources doing what needs not to be done.
- Think like a system, not a project.
A system offers a continuous flow of activities along many units. Businesses that fail to create systems and leverage ad hoc operations spend more resources than those that systematise their activities. This is easier said than done. The solution is to deploy design thinking, creating room for continuous process improvement.
- Create value-chain thinking that incorporates your stakeholders' expectations.
Everyone wants to know what is in it for them before they get along with you, make it happen. Value-chain thinking simply means providing value along the several connecting points of your business. This could be both internally and externally. Silo thinking can impair operational excellence and most small businesses get into this rot. Looking for what is important for all that provides and using your offers can help you capture more business and increase your impact in the market.
- Tinker with multi-layered employee engagement
Even with the buzz of artificial intelligence and robotics, human resources still hold a greater share of business activities. Employees are not cheap to come buy these days and your small business might not just be able to get the right and the most qualified hands. Exploring multi-layered employee engagement can offer a great reprieve in the immediate. As your business improves, ensure that you get the right team in place that will keep your business going forward. This takes me to the next step, which is looking outside your team for support.
- Outsource burdensome tasks.
There will always be something that your team wish they were not doing but is crucial to your business success. This is a possible candidate for outsourcing. Outsourcing some of your business operations must however be done most responsibly. With continuous demand on our time and with the need to consistently deliver value, business leaders must outsource strategically and ensure that it does not impair their competitive advantages.
- Automate with technology.
One of the greatest revelations of the 21st is the proliferation of information communication technology in all spheres of human endeavour. From applications to smart devices, businesses can take advantage of technology to deliver and sustain value. Smart businesses are doing this, and I encourage you to do this for your business too.
If there is anything to hold on to in this piece, I believe it is the impact of your team on business performance and how to make your team perform to peak performance. To recap, it is important to know where you operate best and where your operations are most impactful. Focusing on your core competencies and thinking like a system will help you do more with less. Showing and delivering what is in it for me along your business value chain carries everyone along and can generate more business for you in the long run. Outsourcing burdensome tasks and automating with technology is the way to go. Give yourself the chance to win in the marketplace
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