Merit Event - The Business Expansion Imperative - To grow or consolidate – do we have a choice?

© David Hall 2006

© David Hall 2006

Chris White – CEO, merit

Welcome to today’s event

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House Keeping

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Professor David Hall

To grow or consolidate – do we have a choice?

David Murray – Managing Director of Kirona

Successful integration of IT and business strategy

Today’s Presenters

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TO GROW OR CONSOLIDATE- Do we have a choice?

David Hall

December 2006

In Association with

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Why Growth?

“Fundamentally the purpose of business is to create wealth. This is achieved by growing the business”

Richard Branson, Virgin

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Growth Opportunities

’95% of all the innovations in products and services world-wide over the last one hundred years have come from firms employing less than 20 people’.

Source: New Venture Creation, J A Timmons

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The Growth Challenge

Entrepreneurial Firms achievement culture

– Informal– Trust– Intuition– Synthesis– Ownership– Autonomy– Risk Taking– Breaking the rules

Corporate Business power and control culture

– Order– Formality– Planning– Analysis– Systems– Bureaucracy– Politics

– Rule Compliance

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The Seven Step Approach to Successful Business Growth

1. Get the right people on the bus.2. Develop a compelling vision.3. Get in shape.4. Create superior opportunities.5. Work on the business.6. Invest in your systems.7. Enjoy success!

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1. Get the right people on the bus

Test Questions

1. How often do your key people produce results beyond your expectations?

2. If you had a clean sheet of paper how many of your current teams name’s would be on the team sheet?

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Headship

Management

Leadership

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People: Action

1. Pick the right people.

“Investment in selection beats training 1000 times over”

Wyatt Woodsmall, Coach to USA Olympic Team

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2. Develop a compelling vision

Test Question

1. Does your vision inspire you and your people to produce outstanding results?

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Vision: Action

1. If you don’t have a vision describe the future of your business in ‘X’ years time as you want it to be.

Make sure everyone in your business understands your vision and how they can add value to it.

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3. Get in Shape

Test Question

1. How do you know you are as lean and mean as possible?

– Efficient– Low cost– Productive

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Shape: Actions

1. Conduct a ‘fixing system slippage’ project.

2. Monitor and control the six key financial indicators.

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‘When I see a thick manual I know I am looking at a slow company that is struggling under excess baggage’

Tom Peters

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4. Create Superior Opportunities

Test Question

1. Do you have any superior opportunities?– High growth margin– Defensible competitive edge– Media and investor interest– Very positive future profit potential

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Opportunities: Action

1. Use the PS/PS process to create superior opportunities.

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Problem Seeking – Problem Solving

1. Find a lead customer.2. Appoint a project champion.3. Select the entrepreneurs within.4. Create an achievement culture.5. Go problem seeking.6. Turn problems into solutions.7. Sell the solutions to other customers.

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5. Work on the business

Test Question

1. Do you have an effective process for working on your business?

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Work: Action

Ensure your business team focuses effortson actions that will deliver your vision.

‘Working on the business normally producesresults six times expectations’.

David Hall

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6. Investment in your systems

Test Question

1. Do your systems and processes provide competitive advantage to your business?

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Systems: Action

1. Share your business strategy with your IT resource and ask them to help you to use technology to gain and maintain competitive edge.

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7. Enjoying success

Do you really need me to tell you how to do this….

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To grow or consolidate –do we have a choice….

© David Hall 2006

Good luck in growing your business!

www.davidhalluk.com