10 reasons why people hire a business consultant

7 09 2006

Business consultants are an important part of our business culture. We have discovered that hiring consultants and outside experts can save us time and money. It also can increase our competitiveness and professionalism.

Consultants work best for those organizations or individuals who know what they are seeking and have clearly defined projects or objectives.

The following list provides 10 reasons why you might want to hire a business consultant.

10 reasons why business consultants are hired:

  • To provide a “short-cut” to know-how, knowledge and information that does not exist in the organization
  • To provide a professional service that does not exist in the organization, or that is needed for a specified period of time
  • To provide solutions to specific challenges and situations
  • To validate ideas that have already been created in the organization
  • To analyze, diagnose or criticize (constructively)
  • To facilitate the search for ideas and solutions with existing team members
  • To facilitate, create and implement methodologies and systems that enhance efficiency and organization
  • To access a network of business or government contacts
  • To bring in an experienced “outsiders” evaluation and point of view
  • To present, teach or implement “new” business ideas and procedures

Sept. 8, 2006 – Just found this at HorsePigCow, good ideas and comments about the role of the consultant, their value and why people tend de-value their role. The Value of Consultants

Related Link

The clients I don’t want

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International business traveller – ambassador, explorer, map-maker

21 08 2006

The critical roles played by international business travellers.

International business travellers play an incredibly important role as ambassadors, explorers and “map-makers” inside their organizations and with their overseas contacts.

Ambassadors, Explorers, and “Map-Makers”

Ambassador of your country and culture. During your trip your actions and reactions are being watched by others. They are trying to confirm, deny or create stereotypes of your country. Everything including your inter-personal skills, business negotiation skills and manners, the way you dress and eat, your choice of hotels, table manners, social skills, and the ability to make small-talk and conversation will be watched, examined and commented upon after you leave. Keep this idea clear at all time during your trip, it is important.

Ambassador of your company. Prepare and bring all materials required for the negotiations and business interactions. Project an aura of professionalism, a willingness to learn and share, and honesty. Create relationships with a long-term vision. You may be promoted or leave the organization some day, but your international contacts will continue to do business with your company.

Ambassador of you. International business is all about relationships, and your behaviour and attitudes are critically important as the liaison and trusted representative. Make promises you can keep, follow-through on the projects and projects. Project honesty and a concern for doing business and maintaining relationships. Your actions should focus on creating a climate of trust and open communication. Don’t try to be someone you are not.

Explorer. The international business traveller, technicians, and sales and business development executives have the added responsibility of verifying existing information, establishing new contacts that will be beneficial in the future, and discovering new ideas and opportunities. It requires an inquisitive character, a bit of courage and a spirit of adventure.

Map-Maker. Often neglected by organizations is the cultural, political and personal information gathered by international business people. This information (or data), should be gathered, filtered and consolidated, and available to the organization after every overseas trip. “Maps” should be made for future consultation and reference. The map-making role requires the separation of the facts from interpretation, personal anecdotes and opinions. This information becomes the foundation for all future strategic and operating decisions.

Related Links

7 Tips for International Business

16 Essential Questions – International Business Traveller’s Quiz

How to do Business in Mexico, Parts 1 – 28

International Business Trip Planning, Part 6





20 challenges faced by a family owned business

17 08 2006

Every business organization has a unique set of challenges and problems. The family business is no different. Many of these problems exist in corporate business environments, but can be exaggerated in a family business.

Family business go through various stages of growth and development over time. Many of these challenges will be found once the second and subsequent generations enter the business.

A famous saying about family owned business in Mexico is “Father, founder of the company, son rich, and grandson poor” (Padre noble, hijo rico, nieto pobre). The founder works and builds a business, the son takes it over and is poorly prepared to manage and make it grow but enjoys the wealth, and the grandson inherits a dead business and and empty bank account.

Prepare now and help your grandson avoid the poorhouse.

20 challenges for the family business

  1. Emotions. Family problems will affect the business. Divorce, separations, health or financial problems also create difficult political situations for the family members.
  2. Informality. Absence of clear policies and business norms for family members
  3. Tunnel vision. Lack of outside opinions and diversity on how to operate the business.
  4. Lack of written strategy. No documented plan or long term planning.
  5. Compensation problems for family members. Dividends, salaries, benefits and compensation for non-participating family members are not clearly defined and justified.
  6. Role confusion. Roles and responsibilities must be clearly defined.
  7. Lack of talent. Hiring family members who are not qualified or lack the skills and abilities for the organization. Inability to fire them when it is clear they are not working out.
  8. High turnover of non-family members. When employees feel that the family “mafia” will always advance over outsiders and when employees realize that management is incompetent.
  9. Succession Planning. Most family organizations do not have a plan for handing the power to the next generation, leading to great political conflicts and divisions.
  10. Retirement and estate planning. Long term planning to cover the necessities and realities of older members when they leave the company.
  11. Training. There should be a specific training program when you integrate family members into the company. This should provide specific information that related to the goals, expectations and obligations of the position.
  12. Paternalistic. Control is centralized and influenced by tradition instead of good management practices.
  13. Overly Conservative. Older family members try to preserve the status quo and resist change. Especially resistance to ideas and change proposed by the younger generation.
  14. Communication problems. Provoked by role confusion, emotions (envy, fear, anger), political divisions or other relationship problems.
  15. Systematic thinking. Decisions are made day-to-day in response to problems. No long-term planning or strategic planning.
  16. Exit strategy. No clear plan on how to sell, close or walk away from the business.
  17. Business valuation. No knowledge of the worth of the business, and the factors that make it valuable or decrease its value.
  18. Growth. Problems due to lack of capital and new investment or resistance to re-investment in the business.
  19. Vision. Each family member has a different vision of the business and different goals.
  20. Control of operations. Difficult to control other members of the family. Lack of participation in the day-to-day work and supervision required.




How impersonal is your life and your world?

15 08 2006

We live in an impersonal world. I hear this constantly and wonder exactly what people mean when they say it. Is this a warning, an observation, a criticism, a declaration of failure in their ability to create and maintain relationships?

The world has always been impersonal, it’s just not possible that millions of human beings will relate to one another with familiarity. It’s an impossible scenario.

So why all the focus on how impersonal our lives are lately?

Is it a cry for help, a diagnosis and awareness that something is wrong or could be better?
It’s because we have isolated ourselves, by ourselves.

Impersonal is what YOU make it, it has to do with your interaction and participation with others. You are in control, you are not a victim.

Our access to wealth, communications and easy travel have allowed us to travel and move our residence often and meet thousands of people throughout the world during our lifetime. This was not possible 100 years ago.

We no longer live in Norman Rockwell’s Main street America, in a small town, where we know the neighbors, the teachers, the firemen, clerks and shop owners. We didn’t invest enough time in a safe stable environment in order to learn about others and become secure with ourselves and diversity.

In today’s world it’s so easy to walk away from ideas, behaviours and people who are not like us. We can now live by ourselves, in our own little world, designed by us and just for us. The only problem is, we are social creatures and we do want others in our lives. We have created a dilemma by isolating ourselves.

It’s just common sense that this exposure to so many people we don’t know, and who don’t know us, is bound to create a bit of tension or coldness in our initial contacts. Depending on how you respond and interact with others, these interactions can remain cold and impersonal, or might warm up and become pleasant and more personalized.

Simple acts that allow others to let their guard down are all that’s necessary. A smile, a hello or thank-you, a question or comment that initiates a conversation is sometimes all it takes to break the ice.

Relationships are made and created through trust and time. It’s about giving your time, showing interest, and learning. You cannot expect to become best friends with anyone in a week or month, be realistic. You cannot create a meaningful relationship by watching co-workers or neighbors through your window.

Proof of how easy it is to begin a relationship can be found with the Internet, social networks, chat-rooms, etc. All you have to do is throw out a comment or question and in a matter of minutes be involved in communication with a perfect stranger. Why then the complaints about an impersonal world? What’s different when you are not on-line, and are face to face with another human being?

If you think the world is cold and impersonal, take a look at your actions and behavior and determine if you are actively participating to open the door in your communications and relationships. Does your world revolve around you, your problems and your little internal universe? I’ll bet you think the world is impersonal.

Are you interested in giving, sharing, listening, learning and accepting others and their diversity? I’ll bet you think the world is a pretty fine place to be.

Related Links

Lonely and have no friends

What happens when we have no friends

Social networks, are they a part of your life?





Build your organization, don’t destroy it

14 08 2006

Pragmatic business people know that strategies must be reviewed before, during and after implementation. Difficult questions must be asked and answered throughout the organization. Results analyzed and reviewed in order to identify flaws and errors.

Many times this exercise can push us into seeking and identifying problems instead of solutions. Too much time spent on what can go wrong and not enough focus on what can be created. Gridlock sets in, no solution is good enough, there is always a flaw.

All to often we find ourselves criticizing the work of others and the efforts that did not succeed as expected. We spend time taking things apart to find out what went wrong, and seeking to identify who was responsible for the “failure”. Our days are spent destroying the ideas of others.

Why not focus an equal amount of time on the positive aspects?

What did or will work, and why?

Creation is much more difficult than destruction. Support the creation of ideas and solutions in your organization, make your first analysis focus on the successful or positive aspects.

Ask yourself, “what am I creating today”.





Sales and marketing terrorism

10 08 2006

The recent media coverage of political terrorism throughout the world has me reflecting on terrorism and extreme sales and marketing tactics in the business world.

Every industry has individuals or organizations that use drastic, pointless, unethical or dangerous economic tactics in order to increase income or market share in the short term. This use of drastic and irresponsible actions can be called sales and marketing terrorism.

The goal of sales and marketing terrorism is to create immediate change, instill panic and chaos, or further the goals of one group who cannot or are not willing to work with the current system of rules, regulations and norms.

Many times the reaction to these isolated incidents will severely impact the industry, market or specific businesses. Reactions can result in increased government legislation, more government or industry intervention, increased costs of doing business, loss of revenue and reduced customer confidence in the organization or industry.

Some examples of “sales and marketing terrorism”:

A competitor who initiates a campaign of extreme discounts or low prices (dumping) in order to eliminate a competitor or increase market share.

A marketing campaign that uses lies and innuendo to reduce the reputation of a competitor or industry segment.

Products of extremely poor quality (below expected consumer beliefs or expectations) substituted for products known for their quality.

Don’t confuse sales and marketing terrorism with innovative ideas and paradigm shifts in how to do business. The difference is that a sales and marketing terrorist has no plan other than disruption.

Sales and marketing terrorism is a short term strategy or single event that has no regard for long term collateral consequences. They believe their actions will be justified because of short term increases in profit or market share. Rarely do they succeed, but often create chaos and disorder in the marketplace that have an impact on the industry and consumers that can last for a long time.





The “Lightning and Thunder ” sales and marketing strategy

7 08 2006

Thunder and lightning are impressive natural phenomenon that have the power to frighten, exhilarate, and inspire awe. We’ve seen severe lightning and thunderstorms hundreds of times, and yet can be continually surprised or shocked by the power and ferocity of the thunder and lightning.

Lightning is swift, if you blink you might miss it. It is always an unusual and unique form that appears in the sky. It is dazzling, it can light up the entire sky for an instant. We cannot predict where it will strike or what type of damage it may cause. It’s wild and uncontrollable. Unforgettable because it is unique, elusive and enormous.

Thunder always follows the lightning. You can’t miss it, whether it’s a sudden roaring clap or a booming rolling bass note. Thunder is often impressive, and one relates the sound of thunder to the power of the lightning bolt that precedes it. In fact thunder is all about power. It’s the announcement that lightning has passed through, and the thunder’s volume and duration represent an event that has passed away. People rarely forget a huge thunderclap.

Are you giving your customers thunder and lightning with your products, service, sales and marketing?

Do your customers see a brilliant “flash” from your organization, do they hear and feel the power of the thunder after the event?

Are you offering products or services that dazzle and amaze, that light up the customers sky for a moment?

Do they see the lightning and hear the thunder from your efforts?

If your organization is only creating cloudy skies or drizzle for your clients, it’s time to change and create something to make them sit up and take notice. Make some lightning and thunder.