Do Business Well

No manager can make an employee productive. Managers are catalysts. They can speed up the reaction between the talent of the employee and the needs of the customer/company. They can help the employee find his path of least resistance toward his goals. They can help the employee plan his career. But they cannot do any of these without a major effort from the employee. In the world according to great managers, the employee is the star. The manager is the agent. And, as in the world of performing arts, the agent expects a great deal from his stars. Continue Reading »

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Here’s what to keep in mind when preparing the visual part of your presentation:

1. Everyone in the group should be able to see and read the visuals easily. Think about the size of the group. The number of people will determine the technology you should use.
2. You want to be able to keep a tight focus on what is presented when. You don’t want to display too much information at any one time. Keep to three or four main ideas on each sheet. You don’t want your audience to get confused or overloaded.

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Demand high standards from your service representatives

Make people smarter! The abilities of real people delivering service to the e-customer services person will need to increase so they can add value to what the system already provides. If service representatives are left innumerate and illiterate, unable to organize, disaffected and reluctant, they will probably not add anything positive to the service experience. The bar is raised for those able to justify their involvement in the process. It has already started to happen.

Is there a future where we will go to one man to buy everything? A man who is wired into the complete network and is fantastically adept at manipulating the available tools to get us what we need. He may be able to serve and support thousands of e-customers because each needs personal involvement so seldom. Continue Reading »

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Even if you managed to obtain adequate finances for your business, one of the biggest traps is cash flow. Cash flow basically means the movement of money into your business (from the sale of your goods or services) and the movement of money out of it (to suppliers, the bank, other creditors and employees). The relationship of these two flows is very important. Many businesses go under because although they are owed a lot of money they do not have enough in hand to pay the bank/their own debts. There is nothing more frustrating than knowing you are owed 0,000 but not having enough cash in hand to pay for the weekly shop. Continue Reading »

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A contact plan describes in specific detail how you will contact prospects and customers over a period of time to meet your specific goals. Each contact plan should contain the following sections:

A Written Contact Strategy

Your contact strategy spells out your goals and describes how ongoing customer communication will be used to meet those goals. When thinking about your contact strategy, be sure to consider the online service imperative. What are you going to offer your existing and prospective customers in exchange for giving you permission to contact them? When Wegmans Food Markets developed its contact strategy, it focused on extending the service and customer-oriented approach that you’ll find in its retail stores to email communication. It has developed a contact strategy that is focused more on delivering relevant content and information than on selling. Its goal is to ensure that it provides its customers with notification of special produce, recipes, health tips, and more in order to simplify their grocery shopping and food preparation tasks. Continue Reading »

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Personal needs at work

• Do you prefer to work in a small business, a large organisation, or on your own?
• Do you enjoy initiating new developments and seeing them fulfilled in your work?
• How important are workplace friendships? Do you rely upon these daily contacts to provide interest and stimulation to your work day?
• Are you competitive? Do you like pushing yourself and comparing your achievements with others?
• Are you a creative person who needs to express yourself frequently in your work?
• Do you see yourself as a leader? Do you enjoy exercising control over your situation at work and delegating responsibilities to others?
• What sorts of rewards are important to you? High salary; status in the job title; fringe benefits (car, expenses); long-term security etc.
• How willing are you to take risks, to try even though you know there is a considerable chance of failure?
• Do you prefer to work: inside or outside; with people, ideas, or equipment?

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Companies can increase profit either by cost reduction or by margin improvements. Margin improvement or improvement in the gross profit can be achieved either by increasing unit selling prices or by increasing sales volume (this includes the possibility of reducing unit selling prices in order to be more competitive and increase sales volume).

Selling prices are affected by supply, demand and cost conditions. All companies need to ensure that their pricing policy gives the best opportunity for maximising sales and profits.

1. Keep pace with inflation

The inflation rate is the percentage rate per period that prices are increasing and should provide a guideline to the level of price increases generally. Continue Reading »

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If the company needs more money, you can lend your own funds to the corporation. The interest you earn is deductible to the company. Later you can pay back the loan. Of course, this principal passes back to you without tax. If you had capitalized the corporation at a higher level instead of using this loan technique, you would not have received tax-advantaged interest. Additionally, if you wanted to take out your original capital it might be seen as a dividend. In any case it would require the transfer of stock that would reduce your ownership if there was more than one owner. Continue Reading »

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A corporation is owned by its stockholders. There may be one stockholder holding all the shares, or there may be millions of shareholders holding various amounts of shares. Without going into details that are far beyond the scope of a business this size, I should point out that it is also possible for corporations to sell various classes of shares with various rights and preferences. For the very small business, we can limit our discussion to two types of simple corporations: the regular, or “C” corporation, which is taxed directly by the IRS; and the “Sub S” corporation, where the earnings are passed through to the stockholders, who must pay the tax personally.

Both of these forms limit the financial exposure of the owners to their actual investment and any value in the corporation beyond that investment. This is the single greatest advantage of a corporation. However, the shareholders can lose this protection if they don’t completely separate the affairs of the corporation from their own personal affairs. They must also be certain that the amount of the original investment is clearly adequate to protect the public and the vendors from the likely activities of the corporation. Continue Reading »

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Here are two examples of what can happen. Let’s say that you currently own your own home, which is worth $150,000, and it has a mortgage of $70,000. You also have stocks and other holdings worth $25,000. You intend to open the business with your savings of $20,000. After six months in business, you decide to close down due to continuous losses. You are out of cash and owe suppliers $40,000. You signed a lease that has eighteen months to go at $500 per month. You also failed to pay employee tax deposits of $10,000.

Your vendors, the landlord, and the government will go after your home, stock, and anything else that isn’t nailed down to collect the $59,000 you owe. And they will have every legal right. Continue Reading »

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