Companies want the “Five How’s”, but resist “Why”
All companies share the same goals and objectives, grow revenue, expand market dominance, increase profitability, but few are willing to pivot. People fear change, they fear the unknown, they worry about unintended consequences or making bad financial decisions.
There is no magic recipe for success, no lasting practice that can endure social and economic change. The world has proven that on any given catastrophe, businesses must adjust instantly. The challenge has always been people within the organization view their circumstances. As Wayne Dyer put it, “If you change the way you look at things, the things you look at change”.
They say wisdom comes with Age. Maybe, but not the kind of wisdom companies need in a time of change. “The older I get, the less I seem to know”, seems to ring truer today than ever before. When you think about business, do you picture it in phases? Do you expect social, economic, environmental, human capital to shift over time? Do you plan accordingly?
Admittedly, most companies have not thought about their business in phases looking forward, but they have thought about how it was impacted with the benefit of hindsight. Looking backward, people can see the difference in how circumstances shaped and caused new directions however living in the rear-view mirror only causes a tremendous about of stress, anxiety, frustration, and living in a crisis mindset.
While considering this question and pondering how businesses can adjust and pivot quickly, I developed the Five “How To” lessons any business can employ to navigate through any turbulent time.
1. Develop a “What If” System.
All executives know that strategy is important. But almost all also find it scary because it forces them to confront a future they can only guess at. An incredible 92% of businesses say that the direction they set out for the organization changed and diverged from the initial target. Worse, choosing a strategy entails making decisions that explicitly cut off possibilities and options.
Therefore, organizing a “what if” brainstorming session is essential to think about unknowns. “What if” scenarios give your organization the power and permission to face down the darkest situations, the direst conditions, and accept them as part of your process. By going through the mental exercise, the fears of making strategic choices will diminish in critical moments.
2. A Company’s Most Profitable Resource
Technology advances are transforming lives: they are even helping managers become more efficient with problem-solving and critical thinking skills. When most companies think of asset classes, they think about inventory, natural resources, financial resources, real estate, and equipment. However, the importance of the prior asset classes pales compared to the asset class called human capital.
When companies invest in their primary leadership team, there is a present value of all future revenue earnings. By continuing to educate the elite group, it drives the pace and speed of innovation and growth. Investing in human capital should be a key driver for any company to hedge against competition, market changes, and talent retention. Developing a long-term leadership development program is also your best protection against inflation. With a strong leadership team, you will always command better people in a rotational market.
3. Analyze how to Achieve More with Less
Improving productivity requires abandoning things that do not work… never worked… or have outlived their usefulness and capacity to contribute. As businesses look out at a tough new operating environment that doesn’t look set to change anything soon, here’s how the Pareto analysis (a.k.a. the 80/20 Principle) can help.
The principle can predict the pattern where 80 percent of revenue can be achieved by 20 percent of the products. Or 20 percent of the sales force will account for 80 percent of revenue sold. What is relevant is a small number of elements will generally be responsible for the preponderant portion of results. The vital few will always take precedence over the trivial many. For example, if there are five frequently cited reasons for customer complaints, one reason (20 percent of the reasons) pro9bgalbly accounts for 80 percent of the complaints.
The key is to always look for the predictable imbalance. Break down the numbers. Disaggregate the data. Look for the 20 percent which leads to 80 percent… and 80 percent leads to 20 percent. Always look for the powerful vital few. It’s bound to be there.
4. Success is in the Numbers
Why do most companies give their time and attention to the majority instead of the minority? Time and energy have been a leadership conundrum for centuries however the best companies understand that talent is the multiplier. The more energy and attention you invest in your best, the greater the yield. The time you spend with your best is, quite simply your most productive time because humans strive for recognition and when placed properly, becomes the motivational factor.
The reality is people do not change that much so instead of trying to put in passion and enthusiasm, try drawing it out when they perform exceptionally well. Great companies continue to invest in their best personnel because they set the tone and pace for others to emulate. For example, if a child only receives attention when they are doing something wrong, they will continue to mimic negative behavior. Flip the attention upside down and give your best, it will become the rising tide.
5. The Proof is Seen in the Unknown.
Before we buy a product or try a service for the first time, we usually seek recommendations from others. Why is this true in general however in business it is viewed disapprovingly? Today, more than ever before, third-party vendors are essential to any organization. Despite the seemingly innocent nature of these strategic partnerships, third-party relationships can make or break a company’s long-term success.
Personnel with a business are too close to the subject matter and condition which is why it is impossible to assess timeshare sales training needs. Third-party vendors will conduct deep, thorough research and discovery to assess an organization’s needs and its situation (including culture, sales employees, leaders, industry, and marketplace) to determine areas of improvement and the exact type and content of timeshare sales training needed to address the issues discovered. The best third-party understand their success is only measured by the success they can produce. Seek out expert advice to elevate your talent.
No company can survive without failing and encountering trials and tribulations. If you try to avoid making mistakes and are obsessed with perfection, then experiencing long-term success is going to be impossible. These five business lessons will help you embrace challenges, narrow your focus, and invest in your primary resource. What is important is to have the right attitude and a willingness to continue to learn and grow. Remember, “never let success get to your head; never let failure get to your heart.” – Anonymous.
David Stroeve is the owner of ADS Consulting Service, the predominant company that focuses on helping others increase sales.
