Why do current business models not work?
How many management teams today still:
“Believe that as their business model has worked for the past 20 years why should it be any different now?”
“Live with the ‘hope factor’ when profits are down or even worse business levels are unsustainable and wonder what are they going to do?”
“Think the customer needs them more than they need the customer?”
“Scratch around for new business instead of seeking to create demand?”
“Fail to motivate, support and empower their workforce and treat them like mushrooms?”
Today businesses that have survived the deepest recession the UK has experienced are taking a cold hard look at their business model and putting it through a ‘stress test’ to make sure they will still be trading when normal economic conditions really take hold? Not an unfair question but is the right question “Businesses should be facing up to the fact that current trading conditions may be the norm of the future and as a consequence business planning, management strategy, sales strategy, the margin for the risk, right people – right job empowered and accountable with roles and responsibilities clearly defined, adaptability, expectation management, customer service are key elements of any Management Meeting? In short focus on matters of importance. Does ‘survival of the fittest’ ring any bells?
Standard business models are fast becoming, if they are not already, a thing of the past and if businesses do not embrace change then they too may be a ‘thing of the past’ sooner than they think.
Instead of accepting the recession as a reason for poor performance perhaps businesses should wake up, smell the coffee and accept responsibility for their own actions or lack of them, after all key stake holders will not expect to hear the same story (excuse) more than once. Some people just don’t like change mainly because they do not understand it.
There is no such thing as a problem. A problem is merely an issue requiring a solution!