In a previous article I talked about how we need to get back to basics by adding value for our clients. I mentioned that I would be discussing the specifics of HOW we can do this at my all-day entrepreneurial workshop. As a result I received a number new registrations for the workshop, but I also received a few emails from people asking for more specifics about the content of the workshop.
The 5 Recession-Proof Management Strategies1. Have a Clear Destination
Develop an exit plan first. This will help establish long, mid and short-term goals Decide on what you will do to proactively position your product or service this year. Have a plan to finance new initiatives and contingencies if you don’t get the cash If you’re a start up, have a professionally developed written business plan with quarterly goals that you can review in just 15 minutes every week.2. Do the Job of 2 People in Half the Time
Do the most difficult things first. Do two things at the same time whenever possible Set aside time specifically for “planning your time.” Balance the various activities in your life based on their importance to you.3. Put Everything in Order
Establish a place for everything and always keep everything in that place Make kinetic economy work for you. This is the process of accomplishing the maximum amount of activity by expending the minimum amount of energy. Make a commitment to improve your organizational skills Establish systems and hold people accountable to working within them.4. Automate or Stagnate
Calculate your rate of pay by activity. Are you paying yourself $100/hr to perform secretarial functions? Enjoy the efficiencies of off-the-shelf technologies like ACT!, Goldmine, Outlook, QuickBooks, Filemaker, etc. Put in place automated electronic solutions that will save you time and money. Use the Internet to gain efficiencies like online inventory reconciliation, credit card and check processing gateways.5. Outsource and Delegate
Make sure that your outsourcing plan ensures residual profit, productive efficiencies and added value for your customers Decide on a delegation management, exclusivity, royalties and compensation strategy UPFRONT. Tie alliance-partners into the client’s ultimate goal and establish a system of accountability. Take the time to understand their participation and have a contingency to get the job done in a pinch.The 4 Recession-Proof Financial Strategies1. Don’t Get Bought Cheap
Develop and stick to a firm pricing strategy and don’t be afraid to communicate it with confidence. Understand your competition, why they exist and why their customer’s prefer them over you. Know when to walk away. Know your profit margin by product, service and customer.2. Make Cash – KING!
Learn why the biggest reason businesses fail is because of cash flow. Develop a system to understand your cash flow on a weekly basis. You may be profitable, but if you are cash poor the party’s over. Develop a 6 month cash flow forecast that you can view DAILY so you always know where you stand. Plan for and track EVERY expense and conservatively estimate your income in your cash management system.3. Reserve Planning
Develop “cash contingencies” and have a cash back-up plan for 6 months at all times. Establish a separate investment and bank account to plan for specific business and personal reserves. Develop an operating budget and live to it. If you have department heads establish the budget WITH them and hold them accountable to performance weekly. Establish a reserve for planned initiatives like marketing campaigns, expansion, capital equipment and so on. Limit “leveraged” expansion in the early stages but take advantage of attractive finance options as your credit history improves.4. Plan to Pay Yourself Back
Put a price on your exit and start a reserve to facilitate it as early as possible Invest in your future. Focus on initiatives that build equity as well as “cash cows.” Have a diversified investment strategy and communicate with more than one investment counselor Develop a residual income stream.The 6 Recession-Proof Marketing Strategies1. Be a Giver
Understand why your customers are more selective than ever before. Use informational marketing to your benefit. How will you repetitively deliver your message yet include value for your clients? Decide on a media or mediums that you will use to deliver your message.2. Out-Market Your Competition
Be different – Count the ways that you will you set yourself apart from the competition.Talk louder – Not in an obnoxious way but in an authoritative way. How will you establish authority?Focus your reach – Why its better for you to be more important to fewer people than just another option for everyone. Be an evangelist for your business and industry3. Be an Influencer NOT a Salesperson
Develop a unique selling proposition for your business, product or service – something ONLY you offer. Talk less and ask more preplanned, directive questions when speaking with customers. Focus on WHY your customers need the benefits of your product or service rather than just the specific benefit they will receive. In other words: how will you change their life? Don’t be too anxious to tell people why you are better. Find creative ways to make them come to that conclusion on their own.4. Communicate Consistently
Have a system of contact archiving, reporting, and management. Make using some kind of contact management system a daily habit. Craft a provocative, inspirational message to be delivered to clients and prospects in a unique way. Be creative and proactive in developing “reasons” to communicate with your customer.
5. Use the Web to “Touch” your Customers
Develop a personalized web presence. Make it a reflection of WHO you are rather than just WHAT you do. Make your web site more than just an on-line brochure. Include content such as educational information and valuable advise from experts in the field. Build-in some interactive value-added features like an exclusive member’s area, chat room, forum postings, on-line reports and weekly or monthly newsletter Incorporate e-commerce features such as an on-line store, order tracking system, and purchase history features.6. Extend Your Reach
Develop a profile of potential collaborators. Identify at least 5 non-competitive partners that you can collaborate with and a pre-approach plan. Pick only the very best people in each area. Be very selective. Do NOT compromise on values or philosophy. Ensure that there is mutual benefit. A one sided relationship will only breed resentment and contempt.These 15 recession-proof strategies can transform your business, capture greater market share, improve your profitability, help you start a new business and reduce your financial risk in this difficult economy. But they are just NICE IDEAS until we put them into action.Also give yourself every opportunity for success this year. Check out our web site for our next Entrepreneurial Workshop and get pre-registered. If nothing else I guarantee that it will be a great way to start the year with a positive first step.Those of you that have attended any of my classes know that they are energy packed and you walk out motivated and cranked-up! You DO NOT have to be the victim of a “slowing economy,” an “economic downturn,” or what the media calls a “recession.”