How Do They Do That?

I am not an early adopter. I still have an old cell phone that pretty much only makes and takes calls. No pictures, no internet, just a phone. I want an iPhone, but haven't gotten around to getting one yet.

I only recently signed up for Netflix. And I am impressed. How do they get those DVD's to me so fast? I'll put my return envelope in the mailbox at the post office at 2:00 or 3:00 pm and get an email notice from Netflix that they've received my envelope sometime later that night. Then only a few hours later I'll receive another email confirmation telling they've shipped my next movie. Amazing.

What can your organization learn from this? How can you increase your efficiency and customer service? I await your answers.

Preaching to the Choir

I was speaking with a colleague the other day and we were talking about our business and the current tough economy, how it's effecting businesses, and how we can help. Basically we were ranting, or "preaching to the choir" (each other).

In these tough economic times organizations have to operate as efficiently and effectively as possible. Their performance has to be exceptional. But my argument is that this is how organizations should operate at all times. Sure, in this kind of economic environment there are some actions that have to be taken that wouldn't be considered in normal times, even in tough normal times. But for the most part, organizations should always be examining how they do things (their processes) and working to make things work better. To me this means working towards defined goals. Develop a plan with defined goals for the organization, develop an action plan that will get you to those goals, and develop a performance measurement system that ties everything that everyone does to those goals. I call this Goal Attainment.

This should be done in the best of times, but it is imperative that it be done now. You can't afford not to.

Venture Capital in the Down Economy

This is a follow up to my previous post regarding doing business in a down economy.

I went to a meeting of the Hawaii Venture Capital Association (HVCA) last week. One of the key points made by the venture fund managers was that any business they fund during the current economic conditions must be well run. They must cut costs and operate efficiently.

Excuse me, but shouldn't any business they invest in operate efficiently and effectively, no matter the current economic conditions? Shouldn't investors or owners of any business expect it to be well run and operate as efficient and effective as possible?

Or do we tend to only worry about wasting time and money when times are tight? When business is booming, we do tend to let waste creep in. Usually unintentionally, but not always. But that's not good business. We should always examine our operations, drive out waste, and design and manage our processes so that they are efficient and effective.

Good times or bad, good business is good business.

Doing Business in a Down Economy

Why are these ladies smiling? The economy is tough, people are curtailing their spending, and businesses are cutting costs to survive. Yet Kerry Hewitt, owner of The Crown Pub in Southampton (that's in England, southwest of London, according to my google map), is doing quite well, thank you. Other pubs are struggling, as are businesses all over the world, but The Crown Pub is thriving. How do they do it, and what can you learn from them?

Bars and pubs are businesses just like any other, and have to be run well to survive and thrive. So how do you survive and thrive in these tough economic times?

The real question is, should you run your business differently during tough times? One of the keys to The Crown Pubs success is retaining customers. Do you only want to be aggressive at retaining customers during the tough periods? Of course not! If you want your business to thrive and grow in the best of times, as well as the bad times, you have to keep your customers loyal to you. And you do that by providing your customers with the best products and services, at a reasonable price. Meet and exceed your customer's expectations.

Ensure your products are produced in the most efficient and cost effective manner possible. Make sure they meet specifications. The same for services you provide. The process for providing your services must be efficient and effective.

These are basics of business whether the times are tough or the economy is growing and people are spending freely. Too many businesses allow waste to creep in when they think they can afford to waste a little. It's hard to drive that waste back out, so it's better to not let it in in the first place.

Effective and efficient business operations, which includes superior customer service, will not only get you through the lean times, it will allow you to thrive while others are falling by the wayside.

So head on down to the nearest pub and contemplate your operations over a pint of finely crafted ale. Better yet, head on over to The Crown Pub and see how business should be run.