Looking back to look forward is worthwhile. Understanding your past trends is important in your ability to predict your future trends.
What are the successful entrepreneur’s greatest skills?
I feel they are the ability to see into the future, to predict a likely outcome that will be of value and then to commit to the actions that will unlock the value. These actions need to be predictable to minimise the risk of failure and to maximise the probability of success to secure investment return.
Work to make 3 things highly predictable:
- Your likely future outcomes.
- Effective teamwork.
- Efficient teamwork.
In order to predict accurately, let’s explore some important questions:
- Has lockdown instilled an improved sense of purpose, urgency, commitment, confidence and motivation within your team?
- Has lockdown added pressure on the bottom line and working capital that first have to be compensated for, before you will move back into positive territory?
- Has your debtor’s book grown, increasing the risk that some sales might not materialise fully if payment is not received?
- Has your market place, customer base changed to the degree that your existing approach is either invalid or still on hold?
- By returning to normal operating conditions, will your costs immediately escalate, while your revenue streams may take some time to follow suit?
Then take a hard look at certain income statement items and ratios:
- What was the level of team productivity before lockdown?
- What was the level of turnover before lockdown?
- What was the level of value add per team member before lockdown?
- What was the profitability of the organisation before lockdown?
Past performance always predicts future performance unless behaviour changes are implemented. When implementing changes in behaviour, the new behaviours must be positive if future performance is to be an improvement.
Has lockdown given your organisation a positive boost?
Lockdown has meant change – team behaviour has changed, mindsets have changed, focus has changed, what can and cannot be done is different. If these changes have been for the good, then your future results should be better. If your business was performing well, before lockdown, then all is good – good past performance and changes for the good = better future performance.
The opposite might be a reality. Poor past performance and a lockdown influence which has been negative.
I hope you are not facing this reality, but if you are, know this:
- Together everyone can achieve more if you address your teamwork.
- Making hay while the sun shines is possible if you do not delay.
- Not crying over spilt milk will get you to focus on finding solutions, if you snap out of crying quickly.
- Avoiding that once bitten twice shy feeling can be overcome by leaning on a support group to keep you from making the same mistakes.
Commit to the basics of success
I do not have all the answers. I do have immense energy and an unending belief in the recipe for success. I can show how easy success can be, if you are willing to commit to the basics of success.
The more we argue for our limitations, the more these limitations will take hold. We can achieve greatness by forging alliances, partnerships, support groups, plans and processes to hold us each accountable.
Let’s make South African business great by making our team members great, our teams great and our companies great. I can be a great help in making your success highly predictable!