10 Strategic Tips for Small Businesses
Managing a small company involves considerable effort. The entrepreneur who ventures into the creation of a new business may encounter several errors.
It is perfectly normal and part of the game. Mistakes are part of every learning process but, if they occur at the wrong time, they can also undermine the survival of a company.
Precisely for this reason it is important to identify, from the point of view of marketing and strategic management, what should always be planned.
1. Define A Clear Mission And Vision
Every organization must first define “why it exists” and what it wants to achieve in the medium to long term.
It does not matter whether it is a small restaurant, a fashionable boutique or a manufacturer of screws and bolts: every company should spend time to give a unique direction to its business. This will be useful for internal decision-making processes and, consequently, for employee performance.
Strategy and planning are fundamental to the success of any company.
Both large companies and SMEs need a business plan, especially in today’s difficult market situation. At least once a year, it is necessary to take stock of the strategy implemented and whether this led to the desired results.
Is the company going in the direction specified at the beginning of the year? And if not, why?
2. Define the objectives
The objectives are the results to which an action plan must lead.
Business objectives should be defined as part of the company’s overall strategy and each individual goal should have:
- at least one person directly responsible for the same;
- a specific time limit for obtaining it.
2. Define a budget
Few SMEs foresee the definition of a budget for their promotional activity (most of them do not foresee it at all …), but this may not necessarily be a problem.
Deciding to invest in great rig mats may seem a wise idea, but, in any case, having a budget and well-defined activities on which to allocate it can help you better understand which ones actually bring positive returns. And then understand if you are throwing away your money or not.
3. Try to anticipate the needs of your target market
The years of the crisis have already swept away many business realities (unfortunately also with harmful outcomes from the occupational and human point of view), also because we have not invested enough in a renewal and creation of new technologies like they do at SciCorp Sewage Lift Station Odor Control.
Understanding in advance how to differentiate and reach loyal customers is becoming increasingly necessary to survive on the market.
4. Try to understand consumer needs
Customers satisfied with the products / services of a company buy more willingly (and more often!).
Very often, companies focus production on what they think are the needs of consumers. Talking to them, proposing surveys, looking for post-purchase feedback can help them better understand their changing expectations and increase their customer base.
5. Treat your employees as the most important customers
Employees are the “Points of connection” between the company and the outside and what they communicate is transmitted, consequently, to the company itself.
Above all, it is important to better define the rights / duties of those who deal with the production inside the company and provide them with the tools and training necessary to be able to do their best. Click here to learn about investing in new instruments and equipments for your team. This may seem like the discovery of hot water, but it is an aspect that is often underestimated.
6. Optimize communication (both internal and external)
Internal communication, or lack thereof, is a problem that is present both in small and large companies.
It is important to find the simplest and most efficient way to ensure that “Everyone knows everything”, or that timely and up-to-date information is available to all contacts in each business process. Technically, it’s about knowledge management.
Communication is also important to the outside (obviously)! Transparency is always rewarded by the market, even when it highlights some small shortcomings of the company. Highlighting the human side of the organization can be an advantage, especially in the current period of social media boom.
7. Celebrate your successes!
All smes are committed to carrying out a lot of activities every day (productive, managerial, extraordinary, etc.). This is certainly right!
However, it may also be important to take the time necessary to celebrate the successes achieved.
Got a large order or have beaten the offer of other competitors? Was this achieved thanks to a good team effort? Using 15 minutes to share the result with everyone can help create team spirit and improve engagement with the company.
And you? What do you propose?
I would like you to propose the last point.
What do you think is important to direct a company towards a deserved success?
Let’s talk about…