Operations

Below are some helpful articles regarding operations. If you need assistance with any of the topics below, please call this office.

Fanatical Focus: A Common Element in Successful Businesses

Much has been written about the key to running a successful business. One of the most commonly identified methods, and probably the scariest to most business owners, is narrowing the company’s focus.

Why is this important? Consumers are bombarded with advertising messages every day of their lives. You cannot possibly own more than a small segment of their attention span. The key is your positioning in the prospect’s mind. Your position must be singular and set you apart from the competition.

Dominos® successfully owned one position in the pizza business: speedy delivery. They didn’t get caught up in trying to advertise the largest or freshest pizza or even promoting value. They were smart enough to look at the market and identify a position they could own. Federal Express® accomplished the same feat in the delivery business. They owned the “guaranteed overnight” status. These positions have become synonymous with the brands themselves.

If your business stands for one distinct thing, you will have the competitive advantage and own your position statement. While this is a simple strategy and used commonly by successful companies and even presidential campaigns, many business owners fear that they will lose business if they focus on one position.

Dominos® and Federal Express® obviously do not agree with that thinking. By focusing on one message, they came to own that position, but didn’t sacrifice other opportunities in international delivery or in delivering quality pizza. By narrowing their focus, they actually broadened their appeal. This same principle can work in your business. It can even help prioritize your resources and improve your marketing results by repeating the same message time and again.

Are Employee Background Checks Right for You?

In a world where 30% of applicants give false or misleading information about their backgrounds, adding employee background checks to the hiring process is the employer’s first line of defense in hiring good people, and possibly avoiding negligent hiring lawsuits.

Background checks supplement the interviewing process, confirm information provided by applicants, and uncover inaccurate information. Background checks do not rely on getting references from former employers who may be fearful of being sued.

Though the information from background checks varies, this information can identify some of the following problems:

- A given residential address that is commercial, including a bar, mail forwarding service, or homeless shelter.

- A residential address that may have been used in suspected fraudulent activity.

- Failure to appear for court appearance.

- Differences between the legal name and the name on the application.

- Variations in the legal name.

- Criminal records located under an alias.

- Applicant with multiple aliases, an incorrect Social Security number, or multiple numbers.

- Use of Social Security number in a death benefit claim.

- Use of Social Security number in fraud-related (credit card) activities.

- Convictions:
a. Assault/battery
b. Forgery
c. Theft
d. Probation violation
e. Possession of firearms/carrying concealed firearms
f. Possession of a controlled substance
g. Under the influence of a controlled substance
h. Operating a motor vehicle on a suspended license
i. Infliction of injury on spouse or child
j. Burglary
k. Credit card fraud
l. Driving under the influence (multiple offender)
m. Disorderly conduct
n. Resisting arrest
o. Indecent exposure
p. Tampering with government records
q. Grand theft auto

Background checks serve as an insurance policy and may identify potential issues that may not have been uncovered during the hiring process. If you are running a high-risk or turnover business, it might make sense to add background checks to your hiring procedures.

Can Word-of-Mouth Advertising Work for You?

What others have to say about your products or company is a key influence on what they buy. A recommendation from a friend or colleague is something people trust, not to mention that research shows it is much more effective than traditional advertising.

So what are you doing to promote word-of-mouth in your marketing plan? Word-of-mouth marketing is defined as, “Giving people a reason to talk about your products and services, and making it easier for that conversation to take place.”

Word-of-mouth can be fostered and integrated into your everyday business operations. An effective word-of-mouth campaign starts with any interaction with your customer. Do you truly listen to your customers, asking for and listening to their feedback? Is it easy for customers to tell their friends about you and your products? Do influential people know about you and speak positively about your services?

An effective word-of-mouth campaign starts with empowering your customers to share their experiences. It is this voice that can either strengthen or doom your brand. Don’t forget that a dissatisfied customer can be just as powerful as a happy one.

Word-of-mouth marketing techniques start with a dialogue with your customers. The basic elements are:
• Educating people about your products and services.
• Identifying people who are most likely to share their opinions.
• Providing tools that make it easier to share information.
• Studying how, where, and when opinions are being shared.
• Listening and responding to supporters and detractors.

Is word-of-mouth advertising right for you? In reality, it is already happening, and you may not even know about its effects. Making it part of your marketing strategy is an inexpensive way to concentrate and listen to your customers while making them your greatest ally. 

Do I Need a Business Plan?

Business plans are used primarily for raising capital and guiding growth. Not everyone who starts and runs a business begins with a business plan, but it certainly helps to have one.

If you are seeking funding from a venture capitalist, bank, or other lending institution, a comprehensive business plan that demonstrates sound business reasoning will help you negotiate through the funding process. The business plan will convince investors that your new venture is worth funding, that you have identified an opportunity and have gathered the management and organization needed to be successful.

A well-written business plan is the best way to show investors that you deserve their financial support. Make sure that your plan is clear, accurate, focused and realistic. Use it to convince prospective investors that you have the tools, talent and team to build and run a successful business.

A business plan can be a valuable tool in analyzing all aspects of your business as it grows. Since most business owners are in fact learning on the job, a business plan takes this information and analyzes different possibilities without the risk and cost of working them out in real time. A variety of marketing or pricing scenarios can be played out on paper before testing even occurs.

The business plan helps focus the entrepreneur by:

• Defining objectives and detail programs to achieve forecasted results.
• Creating a regular business review and course correction process.
• Evaluating a new product line, promotion, or growth opportunity.
• Analyzing the quality of staff and future staffing needs.
• Clarifying financial requirements and cash flow forecasts.
• Refining strategy when making difficult decisions.
• Determining the strength of the competition and analyzing market trends.

Understanding where your venture is heading can determine whether or not you need to plan. Your business plan can help you work smarter, anticipate the future, test ideas and help create a results-oriented organization.