THE ENTRECODE BLOG
How to get your preferred culture
Changing culture is one of the most difficult things managers have to do. If strategy is what we do culture is the way we do things or a better definition I prefer is what people do when nobody is looking.
You get a culture by design or by default; usually one you don't want.
You get a culture by design or by default; usually one you don't want.
- Determine the business not personal values that will drive your business towards your goals e.g. we take pride in performance; we seek to delight our customers etc.
- Make sure there is something for customers, employees and investors if you want them to engage with your business.
- Publish them and make them non-negotiable.
- Make sure the senior leadership team model and champion the values- watch their feet not their lips.
- Audit the application of the values across the business regularly and publish the results; make sure there are consequences for non-compliance.
- If you do the above diligently for a minimum of 2 years you can change and embed your preferred culture.
I will be presenting a workshop at BizWeek 2014 in Hull for CEOs and senior managers on how their businesses can find their hidden profits.
Watch this space for more details…….
strategic challenges many businesses face
I have consulted with over 90 businesses over the past 35 years and have consistently found the same issues in many of them.
How many of these issues do your business face:
- No clear strategy. Ask your top team and your customers to write down your strategy individually without conferring, if they don't agree you have a problem.
- They have no competitive advantage so compete on price and suffer low margins. Are your margins the best in your sector?
- They don't have the right people on the bus. How many of your team consistently produce results beyond your expectations?
- They have a culture by default rather than by design. Are you confident your people do the right thing when no one is looking?
- Don't really understand what their customers want. Did your recent customer perception survey confirm you give your customers what they want much better than your competitors?
Tough questions, but how did your rate your business?
Insights from coaching young talented managers
I have been coaching 12 young technical people identified as future high flying managers. An interesting pattern of development needs has emerged which may have implications for other organisations.
They have all been through a rigorous selection process including personality tests and have management and leadership potential but with some common areas for development:
- They don't promote themselves in meetings preferring so stay quiet, which is a confidence issue.
- They are unclear about their job role and what they need to do to add value.
- They don't delegate well and multi task trying to do everything themselves.
- Their level of interpersonal skills in dealing with people is generally low.
- They place too much emphasis on their technical skills as opposed to their management skills.
- They have ideas on how to improve the business but lack the confidence to approach senior managers.
The good news is they are ambitious and are keen to learn and with a bit of coaching I am sure they will succeed.
5 ways to find your hidden profits within
Most of my clients don't need to work harder they just need to work smarter to discover the hidden profits within their businesses
Here are 5 ways we have helped clients find their hidden profits:
- Put your prices up. Many people think they need to compete on price but the last thing you want to do is be a busy fool, anybody can give it away. Smart businesses compete on either service, quality, relationships or delivery and this enables them to put their prices up and make good profits.
- Seek to sell additional services to customers, once they have bought from you they may be up for buying other services. Many businesses make their best margins on the extras they sell.
- Review your product/service portfolio. Analyse where you really make and lose money and cull the losers. Be wary of "favourite" products you like but lose a fortune, generally 20% of your products at best will make 80% of your profits so focus on them.
- Produce a zero based budget. Many businesses estimate sales add up costs and what's left is the profit. A zero based approach estimates sales decide what profit you want deduct this from the sales and what's left is how much you afford to spend. It’s a brutal approach that forces you to make some tough decisions.
- Inspect don't expect. Don't assume people who work for you are following all your rules and procedures to the letter, go and look what's actually happening but be prepared for some shocks!
Clients we have worked with using these approaches have found significant profits within and you can to if you really want to.
