Confessions of a SERIAL Entrepreneur

Chapter 3. It’s Not WHAT You Know..!

2008-09-07T18:31:00.002+02:00

In this chapter I touch on the INCREDIBLE POWER and critical importance of cultivating Your Business Relationships... and why this single PROFIT-DRIVER can lead to your biggest pay-off for all your hard work.

GROWTH Profit-Driver No.3. Your BUSINESS RELATIONSHIPS

After 30 years in business, I have come to recognise ONE critical reality above all others - the BULK of your business income flows from a small number of KEY business relationships.

On analysis I found that these are generally your BEST clients, your TOP suppliers, leading industry associates and close personal friends. They are all Top Performers who take an interest in helping you and your business.

So here's the point: if the bulk of business income flows from a small number of KEY business relationships... what strategy do YOU have to INCREASE and develop your number of KEY business relationships?

Do you have a formal business NETWORKING strategy?

Do you meet regularly with other business LEADERS in YOUR inner circle?

Do you help them with new business leads... and do they help you?

These questions led me to developing a formal business-networking forum to show business entrepreneurs just how exciting and advantageous it is to build your relationships in your own business inner circle.

The INNER Circle Business Forum – www.innercircleforum.com - is designed as the perfect base for building business relationships and sewing seeds of trust amongst your peers in your area - you just never know when you will need them! Also see http://innercircleforum.blogspot.com

Just ONE meeting a month is designed to deliver a multitude of immense benefits to every Business Owner, Director, and Decision-Maker.

I share with you our copy of the 14 good reasons for you to join your inner circle of business decision-makers and BUILD RELATIONSHIPS in your area:

See: 14 GOOD Reasons To Build Your INNER Circle Network

Regards
Trevor Nel - 011 - 705-2790 - http://www.innercircleforum.com/
trevor@innercircleforum.com

What's More Important To The CONSUMER... The Process or The End-Product?

2008-03-25T06:29:00.002+02:00

Am busy contemplating my navel... ;-)

Thinking about designing a new seminar training program and blog.

Question going through my head is... what's more important to the consumer... the Process or the End-Product..?

I get this picture of trying to convince an experienced connoisseur whisky-drinker (of which I am not) to try a new brand of 'the finest distilled malt whisky'.

What's going to impress him/her most?

An explanation of the PROCESS?

Or... a taste of the END-PRODUCT?

Hmmm... think I'll have to test this with my audiences.

Regards
Trevor Nel - 011 - 705-2790 - http://www.innercircleforum.com/
trevor@innercircleforum.com

Vision, Aim... FIRE..!

2007-08-01T12:39:00.000+02:00

Was in a business meeting yesterday where the discussion was... 'How do you get people to make things happen quickly?'.

Somehow an old marketing research mantra, derived from the world of target shooting, ran through my mind - 'Ready, Aim, Fire... and not Fire, Aim, Ready' - meaning that a little market research and some specific targeting will get you a lot further than just random shotgun techniques. Now, there is an entire discussion to be had around that little statement... and many ways to cut and dice it from different perspectives.

That stimulated me to think in answer to the opening question posed: 'Vision, Aim... FIRE..!'

And here's how I interpret it ('you' can mean YOU, your business, and/or your people):

Vision: Give your people the broad reason/picture WHY you do the things you do

Aim: Give them a specific WHAT it is you want to achieve (with a time-line)

FIRE..! Then, let them get on with achieving just that. Fire them up. Give them licence to implement. See who makes things happen... and who doesn't. Keep a helicopter view over their strategy to test for project viability and to reduce impact of unintended failure. Do not be afraid of failure - but ensure that others don't sink your entire boat with ill-prepared strategy/planning. Strategy can be developed almost instantly - in a day, and sometimes less. Keep those that take up the challenge. Get rid of those who don't. They need to find somewhere else to grow... ;-)

It's as simple as 1.. 2.. 3.. Vision, Aim... FIRE..!

You have all the motivation you need to just get on with it... make something happen... just do it!

Regards
Trevor Nel - 011 - 705-2790 - http://www.innercircleforum.com/
trevor@innercircleforum.com

Geoffrey Moore's: Crossing The CHASM

2007-06-03T14:29:00.000+02:00

Trevor writes:

Am busy analysing a couple of projects (taking a strategic helicopter view) where Geoffrey Moore's Crossing The Chasm model came to mind.

Thought I'd include a couple of links related to this work that I find interesting:

1. INTRAP Open starts with Crossing the Chasm

This link has a neat introduction to Technology Adoption Life Cycle (TALC) which is a key part of the Crossing the Chasm concept developed by Geoffrey Moore and The Chasm Institute, including this very good graphic of the key phases of Early Market, CHASM, Bowling Alley, Tornado, Main Street, Total Assimilation and the summation below:

The TALC also illustrates the challenge of succeeding throughout the life of a product category by highlighting six distinct market phases with the following characteristics.
1. Each market phase has different adoption motivations that must be addressed.
2. Each market phase requires a different solution type with different partner strategies.
3. Each market phase requires different distribution and pricing models.
4. Each market phase presents unique competitive and positioning challenges.
5. Each market phase requires a distinct market expansion strategy.

2. A simple perspective of Crossing The Chasm

3. Biometric Technology Maturity And Strategies For Crossing the Chasm - has a neat 3 chart overlay - Figure 2. - showing how Product Life Cycle, Value Perception & The Chasm can be overlayed.

4. Crossing the Chasm - from the Law of Simplicity makes this staement that I like:

Today I was wondering whether the simplest solution to help consumers make the jump across the chasm is to just focus on ensuring that your product embodies simplicity.

5. Crossing the Chasm Book Review - I like this picture (see the original) and comment:

Moore proposes a four-stage approach to crossing the chasm. He calls it the D-Day strategy, a reference to the Allied invasion of Normandy in World War II. The idea is to:
- target the point of attack,
- assemble the invasion force,
- define the battle, and
- launch the invasion.

6. Neat graphics here - Growing Up: Moving from Technology-Centered to Human-Centered Products

7. Combining Technical Marketing Prognostication Curves - more neat overlays (contentious to the originating blog author)

8. Crossing the Chasm (2nd Edition) - excellent summary

9. PDF: How to fall into the Chasm - How to cross it

Regards

Trevor Nel - 011 - 705-2790 - www.innercircleforum.com
trevor@innercircleforum.com

simplify, Simplify, SIMPLIFY ..1 ..2 ..3

2007-05-11T10:45:00.000+02:00

Trevor writes:

From this post - MAD 7. It Only Takes 'HALF-A-DOZEN' Things! (extract below) - I am reminded that it is all to easy to fall into the trap of adding unnecessary complexity to ideas, projects, strategies, et al, that should be as simple as ...1 ..2 ..3

Too many people look to make the simple things in life too complex to understand.

Yes, most often it takes only a few things... 1, 2, or 3 things... just a 'half-a-dozen' things to ensure success in most projects.

I am resolving to simplify every idea, project, strategy I have into a 'simple as ..1 ..2 ..3' graphic presentation.

Regards
Trevor Nel - 011 - 705-2790 - www.innercircleforum.com
trevor@innercircleforum.com

Of Business STRATEGY & Business Plans

2007-04-14T15:14:00.000+02:00

Wow, since having my articles - PRESS Articles - appearing in The STAR Workplace, I have been inundated with calls from first-time entrepreneurs to give advice on developing a business strategy and preparing a business plan.

I touch on the key features of both in the post below - Chapter 2. Knowing WHERE You’re Going - and here are some further links that can be of help:

1. If you're wanting a deeper insight into Strategy Formulation try this link: Build a Strategic Framework: Mission Statement, Vision, Values. I like their simple explanation of a 'strategic framework for significant success' which consists of:

a vision for your future,
a mission that defines what you are doing,
values that shape your actions,
strategies that zero in on your key success approaches, and
goals and action plans to guide your daily, weekly and monthly actions.

2. Free Business Plans and Marketing Templates

3. Defining SMART Objectives

I write in Ch. 11:

Drucker’s Management By Objectives (MBO) principles also introduced the concept of setting S.M.A.R.T. objectives that I came to apply in business as.

S – Specific: Describe precisely the specific intended result
M – Measurable: Quantify for achievement, accountability and feedback
A – Achievable: Set objectives that inspire performance to new target highs
R – Realistic: Make reasonable and believable new target objectives
T – Time: Set time period target for completion of objective

Often, the old principles that stand the test of time are the most simple and profound of all principles.

Quite honestly, Drucker’s MBO and SMART concepts are still the two most basic tools that I use intuitively to stimulate the TEAM COMMUNICATION process in any business project today, with one exception… it is no longer reserved for 'managers’ alone.

Today, where management structures are thinning out to the barest minimum levels possible, EVERYONE in your business team needs to be driven by some form of business and personal MBO, and everyone needs to have the ability to think SMART.

4. Excellent Business Plan Presentation Sample Layouts

Regards
Trevor Nel - 011 - 705-2790 - www.innercircleforum.com
trevor@innercircleforum.com

Chapter 1. How COMMITTED Are You?

2007-04-01T17:53:00.000+02:00

In Chapter 1, I touch on the importance of YOUR Philosophy towards business by asking these questions:

What is the mental attitude influencing your behaviour in business?

What is your attitude towards serving people?

What is your attitude towards providing exceptional value?

What is your attitude towards delivering on your promises?

What is your attitude towards seeking, learning and applying new concepts?

What is your attitude towards networking with like-minded people?

What is your attitude towards making a difference in life?

Do you believe in 'Service With A Smile' and that the 'Customer is King', or are you a 'take-it-or-leave-it' begrudging service provider who believes that every customer is out to rip you off?

Do you believe that your customer has the right to search for and demand 'What's-In-It-For-Me' (WIIFM) VALUE, or do you cut costs and short-change your customers to boost your margins?

Do you share your profits with your staff?

Do you allow your staff to earn more than you?

Do you allow your staff to build profits for you?

Or do you unintentionally limit the growth of your company by limiting the growth of your people?

Seems crazy to be asking these questions, doesn't it?

But the reality is that many business entrepreneurs that I've seen in business actually don't seem to want to serve their markets. Yet in South Africa for some reason, some of these people still do pretty well. I expect that to be a sign of a market with more demand than supply.

Here are some examples of poor business philosophy that I came across at time of penning this book:

I am currently dealing with a company right now which I estimate is leaving about R400 000 a month on the table in just one small project, and whose management and staff are constantly undermining each other in trying to curry favour with 'The Boss' who is cost-centred and not customer-centred.

Consequently, they over-promise and under-deliver of a very poor service, putting a multi-million-Rand-income tender at very high risk of loss.

In my own community of 4000 households, I witness a local shopping centre management team constantly thumbing their nose at local community initiatives driven by a forceful community Residents Association.

The centre management's team are also the property developers and they have a 'take-it-or-leave-it' 'we-do-as-we-want' attitude to any attempt by the Resident's Association to get them to clean up their act.

Consequently the Resident's Association has officially termed this centre a 'blight' on the community.

Now if just 1500 (37.5%) of these 4000 households, all supportive of the Residents Association, withhold just R1000 p.m. of essential purchases from this centre, that's a conservative loss of R1.5 Million per month.

That's R18 Million a year down the tubes!

And the shopping centre developers attitude? - 'We don't really care'!

Yet, their tenants are crying for business.

I call it COMMERCIAL SUICIDE.

Now, I do believe that I can postulate why these developers don't care.

One, there is a demand for retail space by first-time entrepreneurs who are willing to throw their houses and homes as surety to secure over-priced retail space.

Two, the mere fact that the retailer signs sureties to the landlord means that the landlord almost cannot lose... they just attach all fixtures and fitting... sue for the rest... and put a new tenant in to repeat the process.

Oh boy... understanding people's business philosophies can save one a fortune.

Regards
Trevor Nel - 011 - 705-2790 - www.innercircleforum.com
trevor@innercircleforum.com

Chapter 2. Knowing WHERE You’re Going

2007-03-24T15:28:00.000+02:00

I begin with this Chapter 2. from 'Confessions of a SERIAL Entrepreneur' to honour the voluntary contibutors to http://nardep.blogspot.com/ .

This from the book:

GROWTH Profit-Driver No.2. Your BUSINESS STRATEGY

Can you show me YOUR Business Strategy outlined on just ONE PAGE?

Does it describe your long-term VISION for the business?

Does it have a clear AIM or MISSION STATEMENT that explains to your customers what service the business aims to deliver?

Does it describe the medium-term OBJECTIVES of the business... and detail the short-term TARGETS with project completion dates?

Does it describe your Unique Selling Proposition (USP) for your business and its services?

Is this USP incorporated in every bit of POSITIONING, BRANDING and MARKETING you employ?

Do you carry this ONE PAGE document around with you and refer to it every day?

Do your STAKEHOLDERS understand your Business Strategy?

Do you share it with your CLIENTS?

Do you share it with your internal TEAM in your business?

Do your SUPPLIERS and SERVICE PROVIDERS know what you do… and do they actively work with you to help you achieve your aims?

Do your Shareholders, including your Creditors and Funding Partners, know what you do... and how they can actively CONTRIBUTE to your success?

Answer these simple questions, apply the obvious suggestions, and your business will be miles ahead of most.

Regards
Trevor Nel - 011 - 705-2790 - www.innercircleforum.com
trevor@innercircleforum.com

Where To Find Your UNTAPPED Profit Potential

2007-03-22T08:18:00.000+02:00

In 'Confessions of a SERIAL Entrepreneur' I point to the fact that UNTAPPED Profit Potential almost always lies right under the nose of the business entrepreneur in his/her own business.

The reality is that most business entrepreneurs have their noses so closely buried under the hood of their own business problems that they can't see the opportunities and solutions.

As I wrote this introduction chapter to highlight my opinion that tons of business profit potential goes wasted in almost every business I see, I found this article in the local papers:

Survey Finds South Africans Average Only Three Productive Days per Week:

‘15 March 2005 — South Africans say that 38% of the time they spend at work is unproductive. In addition, ineffective meetings, lack of team communication and procrastination are among the top South African time wasters, according to results of an online Microsoft Office survey.’
http://www.microsoft.com/southafrica/office/ppc.mspx

There's a clue... and here's where, in the book, I introduce where to find those untapped profit drivers in every business:

'Well, let’s get this clear, it is not just one solution that works, but more a number of simple solutions (let’s call them PROFIT-DRIVERS) that can be applied throughout many areas of your business, to work in combination, and to drive and MULTIPLY your bottom-line profits.'

The reader is introduced to the concept of employing 'GROWTH Profit Drivers' - derived from my consulting business GROWTH Holdings (pty) Ltd. - in the many different areas of their business.

Each profit driver becomes a NEW chapter in the book:

The GROWTH Profit-Driver Series

GROWTH Profit-Driver No. 1. Your PHILOSOPHY
GROWTH Profit-Driver No. 2. Your BUSINESS STRATEGY
GROWTH Profit-Driver No. 3. Your BUSINESS RELATIONSHIPS
GROWTH Profit-Driver No. 4. Your BUSINESS OPERATING SYSTEM
GROWTH Profit-Driver No. 5. Your USP - UNIQUE SELLING PROPOSITION
GROWTH Profit-Driver No. 6. Your MARKETING STRATEGY
GROWTH Profit-Driver No. 7. Your PRODUCT DEVELOPMENT PROCESS
GROWTH Profit-Driver No. 8. Your SELLING PROCESS
GROWTH Profit-Driver No .9. Your PEOPLE PROCESS
GROWTH Profit-Driver No.10. Your CAPITAL RESOURCES

We'll touch on some profit-drivers from each chapter in future posts.

Regards
Trevor Nel - (int. 2711) 705-2790 - growth@global.co.za
Developer: INNER Circle Business Forum

What's The BIGGEST Problem In Business?

2007-03-05T17:49:00.000+02:00

Trevor writes:

From the book you might find a writing style that really irritates the 'experts'. For instance I write:

For me, the biggest problem in business today is... just staying in business!

Regardless of the 'experts' views, whether they be economic soothsayers or doomsayers, we have to make our businesses work - no matter what the economic conditions!

And, some of us want to do better than just survive from day to day.

We want to make GOOD money!

So here’s the simple reality:

The prospects for a business to survive and prosper are determined by its ability to generate a profit.

Profit, in simplicity, is a function of a business' ability to generate more income than expenses whilst managing the astute growth and development of the business.

Nothing smart here... very simple!

I go on to discuss how I disagree with most 'experts' views that business should increase costs to increase business... here's why:

My experience is that most businesses in South Africa NEVER operate at, or anywhere near, their maximum sales, production or profit potential.

In my opinion, I conservatively believe that most South African businesses are WASTING at least 45% to 60% of their easily available profit potential.

Meaning, I believe, that it is highly likely that you can easily double your current bottom-line profits.

In many cases I believe that businesses could be increasing their profits by factors of up to FIVE and TEN times... and more.

And, it is important to recognise that each month that this wasted profit potential is ignored... it is lost forever.

Wasted profit potential can never be recovered.

To me, this is a shameful waste of good, easy money!
So where does the simple solution lie to uncovering these untapped profits?

I'll touch on that in my next post.

Regards
Trevor Nel - (int. 2711) 705-2790 - growth@global.co.za
Developer: INNER Circle Business Forum

Humph! What Makes YOU So Good?

2007-02-15T12:16:00.000+02:00

In the book I discuss why my sensitivity to criticism for my simple approach to business has me charging a 'markedly above-average consulting fee'. It is because 'I only work with those who really value what I do'.

If a business owner wants to pay tuppenny-ha'penny for a run-of-the mill consultant, I'm not interested.

I've seen literally BILLIONS piddled up against the wall by supposedly 'bright' consultants and business whizkids since launching Growth Holdings back in 1990 as the first independent business consultancy in South Africa to offer a 100% money-back guarantee. A simple offer that has seen this consultancy being in business for over 16 years.

Now here's the important point I make in the book - Growth Holdings has outlasted well over 90% of the listed entities on the JSE over that same time period. Here's the quote:

In that same time, it seems that 90% of all listed companies on the Johannesburg Stock Exchange have disappeared forever.

Writes Ann Crotty – BusinessReport 9th March 2005: ‘So it seems that the average life span of a JSE Securities Exchange-listed company is not much longer than that of your garden variety pop group. Anyone who didn't see Monday's edition of Business Report should really try and get hold of it. It contained a comparison of the share prices page on the publication's launch day, which was March 7 1995, with that of March 4 2005. According to our markets editor Renée Bonorchis, only about 60 of the companies that are listed in March 2005 were around in a roughly similar guise in 1995. That's about a 10 percent survival rate.’ http://www.busrep.co.za/index.php?fArticleId=2439673&fSectionId=560&fSetId=304

How I wish we could have implemented some SIMPLE business principles in just a few of these companies. Sigh..!

The above comment leads to another confession that I admit to in the book:

'Please understand that I keep these things simple because I do not regard myself as an ‘expert’ in business, and I am probably nowhere near as knowledgeable as you are, or should be, in your own business.

'Quite honestly, I am not that 'bright'.

'I am just very good at making things happen and achieving results.

'This is perhaps borne out best by the many thank-you letters, compliments, and testimonials from thankful folks that I receive in my email inbox and post online.'

So what makes me 'so good' at what I do?

DOING... rather than talking.

I wear my heart on my sleeve when I go to bat on a project I believe in.

Regards
Trevor Nel - (int. 2711) 705-2790 - growth@global.co.za
Developer: INNER Circle Business Forum

To What Do I CONFESS?

2007-01-22T07:52:00.000+02:00

In this publication, I literally admit to being a reluctant promoter and business maverick for a very simple reason - people love to criticise... and like most people I hate to be criticised. However, I have made certain that I don't allow the criticism of others to stop me from what has GOT to be done in business.

Do what YOU are most reluctant to do... and you stand out from the rest.

From 'Confessions...':

As I review my 30 years of independent business experience, I must confess that I have become the world's most RELUCTANT communicator, to go with my self-confessed sense of being the world's most RELUCTANT speaker.

Why RELUCTANT?

Because, I know that my very simple, direct views on Life and Business do not conform to the whims of the 'experts', especially those who find it easier to justify their own failures on 'complex' business issues. Business is not complex… people are!

Business is SIMPLE..!

Now don’t get me wrong. My grey and thinning hairs testify to the fact that I have been around too long on this planet not to know that, for almost everybody:

Life is TOUGH..!

And… Business is TOUGH..!

In fact, it constantly amazes me how, despite the most wonderful of innovations in technology coming along at the rate of knots, how life and business just seem to get tougher and tougher every year - except for the very few.

Accepting this tough life as a reality, I still have the unshakeable view that there are simple ways to succeed in business.

Like most 'sensitive' people, I HATE being criticised for my simple views by critical 'experts' and by those who never ever seem to achieve much in business themselves.

So I generally prefer do MY OWN THING… in my own businesses!

Regards
Trevor Nel
Developer: INNER Circle Business Forum

No Two BUSINESS Projects Are Ever The Same

2007-01-17T19:13:00.000+02:00

From 'Confessions...':

“Says Trevor: 'In my experience, no two businesses and no two challenges are ever the same. Every challenge is unique to quality business owners with substantially differing inputs. Our function is to lend widespread experience to objectively assessing your unique situation, analysing your needs and proposing solutions for implementation.'

That’s right, I have never found any two businesses or two challenges to ever be the same. In almost every instance, new and unique solutions and innovations have to be designed and implemented to fit the unique position of the business at that time.

That’s what makes the business of growing businesses exciting to me!

Yep, this is where I see many business consultants failing. They attempt to deliver cookie-cutter formulae based on their previous pet projects. It just doesn't make sense. The times are different, the markets different, everything is different for every project... and each project should be assessed for it's UNIQUE attributes and challenges.

Test, test, test everything to see what works best for YOUR specific business or project and as relevant to the date of launch of the project. The yo-yo may not work as a launch gimmick today, unless it is actually a spinning iPod - an old idea with an update twist. And even that may well be out-of-date with the new 2007 technology ideas launched in LA this month. Get my drift?... ;-)

Regards
Trevor Nel
Developer: INNER Circle Business Forum

About This eBOOK & Author

2007-01-15T17:25:00.000+02:00

This ebook is written from my +30 year perspective as an independent business entrepreneur.

It imparts my interpretation of practical business experience gained from having developed projects such as:

- the largest private-sector education franchise in S.A. (sold out to JSE-listed enterprise) - The Academy of Learning;

- to launching S.A's first Money-Back Guaranteed Business Consultany Group - Growth Holdings (PTY) Ltd;

- to developing the first-ever Protected Investment fund in S.A. (trading over R2.1 billion in total transaction value);

- to a newsletter publishing operation (with over 8000 subscribers) - It's So Simple!;

- to initiating the R100-million Lonehill Community Security Initiative;

- and developing the INNER Circle Business Forum.

The book is founded upon a proprietary business consulting template that I have developed in this time:

The GROWTH Profit-Driver Series

GROWTH Profit-Driver No. 1. Your PHILOSOPHY
GROWTH Profit-Driver No. 2. Your BUSINESS STRATEGY
GROWTH Profit-Driver No. 3. Your BUSINESS RELATIONSHIPS
GROWTH Profit-Driver No. 4. Your BUSINESS OPERATING SYSTEM
GROWTH Profit-Driver No. 5. Your USP - UNIQUE SELLING PROPOSITION
GROWTH Profit-Driver No. 6. Your MARKETING STRATEGY
GROWTH Profit-Driver No. 7. Your PRODUCT DEVELOPMENT PROCESS
GROWTH Profit-Driver No. 8. Your SELLING PROCESS
GROWTH Profit-Driver No. 9. Your PEOPLE PROCESS
GROWTH Profit-Driver No. 10. Your CAPITAL RESOURCES

This blog will continue discussion on some of the points raised in the book. Enjoy!

Regards
Trevor Nel - 011-705-2790
trevor@innercircleforum.com