6 Un-Common Successful Actions to Get out of Your Business Crisis .

Many businesses fail not because they are in a deep business crisis ,but because they mistakenly react to a business crisis and they lack the right knowledge to properly take the right action at the right time and by the right person .

In this article I will put 6 actions that will help any business in any field to react successfully to a business crisis and improve its capability of recovering.

The 6 Successful Practical Actions are :

1- If you are a large business or company or even a small one as a CEO or a business owner quickly speak to the public or contact your customers directly or via your most frequent platform that your customers are used to hear from you through it.

Communicate to them a message that embraces the following ideas that you will figure out what happened quickly and investigate it, you will compensate them in away or another, or explain if you know the reasons what happened and why it happened and that you will solve things in a timely manner …….The idea here is that to appear to the public at the very beginning so prove your caring about your customers and stop speculations and fake news and other issues by explaining what happened even if you did something wrong confess it and apologize for that and try to compensate if possible because that will increase your authenticity and credibility.

2-Dedicate people to answer and communicate with customers and help them according to the type of crisis if needed through all possible platforms .This will have a great positive impact of minimizing the stress and will enhance your business reputation .

3-Shift your business model towards adding real value to your customers and not from the perspective that I want to beat other market competitors. And you can do this shift with redirecting and utilizing your current resources and capabilities. To help you implement a correct efficient shift ask your management team these questions :

-How can we provide real value with our current resources or capabilities ?

-What customers can we serve that are not served from other competitors yet with our current resources or capabilities ?

– How much time do we need to start on serving our current and new customers and thus generating revenues and profits ?

Don’t do the type of shift like blackberry did but be value focused ,you will be amazed with results that you can get in a timely manner when you do this by leveraging your current resources, you might even not need to ask for funding or loans and this is what you should always do. A successful example of what I am talking about is Marvel Comics company or IBM.

4- Quickly turn your eyes towards your strongest foundation and power which is your people ask them for solutions and suggestions, you will get shocked! Sometimes they know the business better than you do and they can really provide you with applicable solutions to get out of your crisis status.They might provide you with quick cash flow solutions.

5-Conduct quickly smart strategic partnerships or agreements exchanging and leveraging each others resources and sharing profits;it could be mission or project based partnerships or alliances, they can be temporarily.

6- Instead of going after aggressive marketing that most of the times fail, you can do one or both of these options according to your business type and size : The first option is to market through influencers targeting your customers and this is easy nowadays especially with the existence of social media platforms. The second option : is to contact some of your target customers and let them try your products and services and then record their views to publicize via press or social media platforms.

Finally, instead of thinking of taking loans , selling your business ,aggressive marketing or unwise re-modelling , or laying- off people, or shutting down your stores think of implementing these 6 actions .

Every business can be saved no matter how tough the situation might look like .As much as there could be obstacles and difficulties, there are enhancements and efficient ways to solve problems especially in our current era.

If your business is suffering and are in the middle of a crisis or close to shutdown your doors Contact me as soon as Possible via email Dr.Salamamin@yahoo.com or Skype: Dr.Salam Amin .

8 Extremely Important Actions to Prevent Business Crisis .

8 Extremely Important Actions to Prevent Business Crisis .

This article is a short powerful and successful prescription for every business to implement in order to prevent a business crisis from happening and getting their business to shutdown it’s doors.

In this article I will provide you with 8 actions that each business must undertake regardless of their size or industry and or the time they have been in business, if it’s been since a decade or just a new born business. The reason for that is that in the last few years we have been seeing many huge businesses collapse like Woolworth, Compaq, Kodak, Eastern Airlines, Blackberry , Nokia , Avon…. or on that road of failure.Also to prevent new born businesses from going into deep business crisis.

The 8 Extremely important Actions to Prevent a Business Crisis are :-

1- Creating and Forming a Piercing Department ; a piercing department is a department who is responsible of searching beyond the scenes, of searching the un-searched, of being the first to notice trends and their instant future and degree of potential impact on your business very early, expect the unexpected, always attentive and monitoring your business marketplace for any updates or movements or even possible ones and monitoring your business industry changes and other related industries , also speculating events & trends and how they can escalate or not.Then you have to conduct changes to your business accordingly.

Sometimes you have to make radical changes like cutting lines of business or minimizing them and moving to new ones or you have to quickly embrace a new technology or expand your range of services and enhance them , you might consider serving new types of customers , or conduct smart strategic alliances, any of these actions are undertaken before any possible event or a trend comes to hit the business ……

This department should consist of highly knowledgeable insightful people who have unique insights and vision and extremely high analytical skills.They could be from all parts of your company and also experts in their fields , you can also outsource trusted and proficient people to be part of this department …..These people should create scenarios locally globally and keeping a close eye on other industries or events that might impact your business in away or another . Like Brexit . Keep in mind that it might not directly impact your business but to directly impact a competitor and then it could raise a great opportunity for your business.This department is your business IMMUNITY SYSTEM.

2- Under the supervision of the piercing department form the crisis team who should always be directed and updated from their supervisors in the piercing department, whom will arm the crisis team with all the knowledge and information needed .The crisis team should have strong communication skills and are great influenceres with strong impact messages to convey to the public , also they should be highly knowledgeable of all the platforms online and offline and when to use each of them.They should be experts in managing viral content and dealing with it. Also the crisis team should include legal people and people from the organization itself whom have been known for their credibility and authenticity and also who are responsible of executing and running all the processes in case of the crisis mode or hardship one.

3- Always prepare more than one source for running your operations , if you can’t financially or its not available then figure out a turnaround there will always be a way to keep on running your operations, prepare it , make sure it works and its efficient.

4- On a continuous basis attract investors to invest with you in different ways that would really drive them to put their money like by offering them a good amount of dividend especially if you are at the early stages, or buy holding some investments for not along time in exchange for dividend and part of the investments to be returned back ….Options are wide here , just work on them….

5- Put everything in place; and things are in place when they can provide value.So make sure that you have the right people in place , the right systems, platforms ,tools, locations,time frame….And make a continuous review on that , so you can execute needed changes.

6- Always be prepared with all the legal documentation and be aware of the implications regarding every aspect of your business, and continuously review it to make necessary updates and changes .

7- Build more than satisfied customers and employees base but also happy ones , they are your loyal people who will back you up in hard times.

8- Build your Portfolio of Niches.

Finally, I urge every business owner to review their strategies and actions if they are not implementing the above actions or one of them please make sure to quickly apply them . They are the vaccine for your business; that if not prevent a catastrophe or a business crisis then will mitigate the risks to the least possible.

Not strengthening your business immunity system not will only cost you money and reputation but it might also cost you to lose the life of your business . So, don’t wait tweak and modify the above actions to match your business circumstances.

If you are looking to increase your business immunity system and prevent it from future possible setbacks then contact me please via Dr.salamamin@yahoo.com or via skype : Dr.Salam Amin .

Un-Common Causes of Business Crisis

I am sure that you all read and know about many of business crisis causes, but in this articleI will be highlighting the uncommon causes of a business crisis that any business could get into unconsciously.

But first let’s understand the fact that being in a crisis mode or having the capability to prevent it share the same root cause; that your company solid position or crisis is because from the company itself, from your business itself, from your management and teams efforts.

Now let me drive you through some critical reasons that cause businesses to fail in a very short period of time after being a giant for decades and these reasons even block the ability and possibility of helping and saving them.

1- Applying common successful strategies; this is the case when a CEO applies successful strategies that generated great amount of profits in certain types of industries or businesses and then come to apply it to different types of companies , corporates , or businesses then they put these businesses into a serious trouble.. And this is exactly what happened to JcPenny when Ron Johnson it’s CEO who has been successful in the electronics industry but failed to run the retail Stores of Jcpenny and the same issue happened with Carnival the giant cruise line company and it’s CEO Micky Arison. What each successful manager and business leader should is to understand that what works in one company may not and probably won’t work for another , so its definitely will not work for a business from radically different industry.

2- Over-Optimism : when you as a senior , manager, business owner , entrepreneur get to be over optimistic about your business you will then get to overlook things, trends, new entrants, problems, fraud, customer needs , market conditions….So you shouldn’t be over optimistic nor over pessimistic rather you should try to look at things from whats the best for your customers, community, shareholders, employees and act upon that …..

3- Ego ; seniors or business owners with high ego will definitely lead there businesses into a crisis situation because they only believe in their own way of doing business , in applying the strategies that they believe in, they are so close minded to any other strategies, solutions, insights, and most importantly they are not customer oriented , and they do not listen to any suggestions by their work force.These people are not objective nor mindful about market , industry and customer changes.They will rapidly deteriorate their businesses. I believe they should be replaced with knowledgeable open-minded people who continuously learn and develop themselves and their employees.

4-Slow pace : its when the pace of your organization development doesn’t match customer changing needs and industry trends. Here the company lacks a department that should on a continuous basis monitor market and industry trends and most importantly the quality of life and changing customers needs. Like the case of Barnes and Noble the largest retail book seller in America.

5- Masky Numbers; like high profits but not collected, high GDP or even depending on numbers just to take decisions for expanding or acquisitions without investigating what these numbers hide and other issues like do we have the necessary solid capabilities to expand, are there reputation problems, major operational dilemma, is it the right timing . Also don’t forget about high currency rate , its not the high but the variation and degree of that variation in the currency where you tend to expand or set up a new business.

6- Copying, when you imitate competitors you will lower your prices and definitely quality so you will end up with low customer satisfaction and vanishing your customers base. Be creative , not necessarily a breakthrough , but you can be niche focused.

7- Bad messaging; its like when you use sexual messages or statements to attract teenagers .Like the case of American Apparel. So be aware of the content and attitude when you deliver a message to your current or potential customers.

8- Aggressive expansion and very Fast ; it will drain your efforts, money ,resources, time and focus and you will jeopardize your business continuity and enter into a deep distress. A good example of this case is Sun Edison.

9- High Expenses and large market share with NO sufficient revenues to cover those expenses and this is the case of Amazon and Uber, which could in the very near future get them into a great business setback.

10- Stable Sales & Profits ; they get some business enjoy the feeling that everything is going awesome and there is no need to do more or we can wait for sometime before we can think of making a new development or any forward movement.Don’t settle and keep moving towards the best , the best is an abundant stream that never ends or limited to location nor time.

10- An extremely important factor that caused and continue to cause businesses from different sectors and in different sizes to close their doors is not taking care of their people; not building a relationship with them based on trust, respect and positivity .

11- Being Reactive instead of being proactive.

12- Lack of human psychology which will lead to negative communication and actions ….

13-No qualified people in place nor there are smart or strategic alliances.

14- Limitations; limiting your business to specific resources from suppliers, people, location, sources….

15-Going after customization instead of pursuing niches.

16- No balance ….it happens when you misuse some resources while over using others and pausing others…

17- Moving backward with your business; and this happens when you operate and create services and products from your perspective not the customers’ perspective.

18- Competition; because it will diminish value and you will concentrate on how to beat your competitors by providing products and and services that better in price and better than your competitors but that’s only from your own point of view !!! Well, your first priority should be is to provide value from customers’ point of view and not yours even if you think that what you do is better ….

Finally, if you are pursuing business continuity and sustainability go through these causes again and again to make sure that you are not already getting into them and even if you are then act upon that as quick as possible so you can mitigate potential risks.

If you are unsure about the causes behind your business dilemma or distress and you don’t know what you should do to specify the causes then quickly contact me , the earlier the better. I will make your business recover in a faster manner than it is supposed to take.

Contact me Dr.Salam Amin via Dr.salamamin@yahoo.com or via skype : Dr.Salam Amin.

 

Top 17 Actions that End Any Business…

Top 17 Actions that End Any Business…

Great Companies continue to fail and end its existence in the business world due to actions that drive failure in its various forms like bankruptcy, selling business , divestiture , spin-off …

As a Turnaround Professional and because business owners mostly come to me at late stages, I have seen many of those cases and I even can project who are on that same road of getting out of business.

Let me share with you 17 actions that will lead any business not just to under perform but to get into a crisis mode that would probably end its existence unless quickly corrective actions are undertaken to turnaround the collapsing business to a successful one.

Here are the actions :-

1- Not creating products and services from the customer perspective.

2- Operating within the constraints of the industry without giving a deep thought of possible hidden opportunities beyond these constraints or borders.

3- Being always reactive instead of being insightful , researcher and speculating what might happen and prepare your business accordingly ( proactive mode).

4- Blaming rules, regulations, governments for losses instead of trying to take advantage or trying to figure out solutions to overcome obstacles.

5- Giving Credits.

6- Late to act .

7- Greed.

8-Trading-off quality with price.

9- Wrong Targeting .

10- Relying on previous success stories this will help you in gaining strong market position for some time , but it doesn’t guarantee business sustainability.

11- Not being updated with the trends and taking necessary actions to move your business in the right direction.

12- Not available in the right time and place , so customers can’t reach out to you or they may even not aware of your business existence.

13- Not closely monitoring the market so as to be aware of changes that might affect your business like a breakthrough or a new entrant.

14- Sticking to old mechanisms .

15- Being Fearful which will make you settle for the status quo and will also end your business life especially in our current dynamic era.

16- Employees Dissatisfaction.

17- Settling down enjoying current success and exaggerating your rate of optimism .

 

These are some critical actions that caused businesses to get into hardship and then a shutdown. So, let’s be aware , be attentive and keep moving , changing taking smart well calculated risks and dedicating all the effort needed towards thriving our businesses.

And its my job to thrive your businesses despite any hardship that your business are suffering from, just don’t hesitate to contact me to save, boost and thrive your business.

Contact me via email : Dr.salamamin@yahoo.com or Skype : Dr.Salam Amin .

How to Profit in a Highly Competitive Market ?

How to Profit in a Highly Competitive Market ?

How to generate profits in a highly competitive market ? Well, the answer is simple DON’T COMPETE.

Competition implies consuming time, effort , resources , value diminishing and decreasing profit margins.So, do you still want to compete ???

Ok then let’s face it ! why you want to compete ?is it because you are pursuing larger market share and thus increasing your profits. Or is it also about dominating the market so you can impose your own prices.

What really happens most of the time when you compete is that you get to increase your cost structure trying to serve more or saturate the market or serve the current customers better ….And then you will try to create those desperate market offers or discounts or differentiate your service or product .

Let’s say you dominated the market and you achieved the largest market share possible. BUT, does that mean you are a winner? maybe yes , but for how long? especially in our extremely dynamic era with its surprising trends??? What is dominating today may be swiped away with with a new trend or new invention.

I think you need also to ask yourself that if I had the largest market share would that mean or guarantee higher profits than everyone else?

Actually, there is a false understanding that the larger the market share the more profits you gain!!!

The truth is the more you are niche-focused the more the profits you earn. Let’s take an example from the auto industry; Toyota globally have a higher market share than Bentley while Bentley generates more profits than Toyota.

Another example from the hospitality industry four and five stars hotels exist everywhere much more than luxury resorts like the ones in Maldives or in Santorini , but still the luxury resorts make more profits, they are even less likely to suffer from seasonal variations.

Another example from the aviation and airlines industry there are airplanes that anybody can go for and there are private jets.

What does this tell us ? or What does niche focused mean? When you are Niche-Focused you will : 1-Earn more Profits and and have higher profit margin . 2-You will need to sell Less. 3- And your cost structure will be Lower .

But how can you be niche focused ? I will give you 4 Tips out of 12 to put you on the correct track to choose your niche; 1- Study the process that your targets experience with a certain product or service. like before using the product or service , then during using it and after using it. You will get to know a lot of gaps that competitors aren’t covering and that would be a great Niche opportunity to utilize. Like when you do your daily workout or when you read a book , or when you use your laptop or even use your toothpaste. Study the journey and tap the un-tapped needs . Look for Pain Points. 2- Explore what issues are prohibiting your targets from buying a certain product in your area of interest. Like why aren’t they using Paypal services as a payment gateway? 3-Ask Influencers ( could be a parent or buyer or a purchasing director or financial manager or a retailer or dealer …) what are the problems when buying a certain product or service, you will reveal a lot , you will get to know many pain points that are uncovered. 4- Think of people who might have an interest in common life aspects and would love to have and satisfy but can’t for different reasons. Like older people who would like to have a bachelor degree or a high education certificate in a certain field.

In addition to those 4 tips please keep in mind these extremely valuable directives :

1- Do not pursue incremental improvements because they will not distinguish you nor you will be providing a real value to your targets but you are only pursuing contemporary gain . 2- Do not benchmark your service or product with industry key players or major competitors because you will limit your thinking of finding your creative targeted niche. 3- Do not Pursue price competition because you will decrease your profit margin and increase your costs.

Please understand that competition is against business solid successful continuity , because you will be draining your resources , efforts, money , time and the most of all you are swimming far away from what customers value .

If you want to master tactics and mechanisms in achieving Niche-Based Businesses (Extremely Profitable Zone ) then please feel free to contact me via email: Dr.salamamin@yahoo.com or via Skype : Dr.Salam Amin       .