Archive for September 2011
Quality and Small Business
For many years, the concept of quality has turned into a matter of consideration by the majority of businesses. Large corporations, thanks to their extensive means, have been working on quality for over 30 years. However, with SMBs, it is more recent and some still don’t give it the importance that it deserves.
The concept of the SMB includes a wide spectrum of organizations, ranging from freelance employers to companies with hundreds of employees and companies with very few employees that manage gigantic businesses, although, this last example is difficult to classify. quality is important for all of them.
Every day it’s more important for SMBs to invest in the concept of quality as this is the way that will help them to be more competitive, reduce costs and be more efficient. The goal should be to eliminate manual, disorganized and disjointed processes, which comprise a cultivating mix for errors, poor production, unsatisfied customers and, definitely less business.
The easiest thing to do is to blame the government and public agencies for all the bad things we complain about. I won’t be the one to defend the government, not only because it doesn’t provide help for businesses, but because we’re its favorite source of revenue, an area where it demonstrates surprising efficiency. However, taking on our problems and confronting them with same enterprising spirit that led each of us to start our businesses should be the goal that permits us to create new opportunities, a future and hope. If we put our focus on optimizing our processes, avoiding repetitive work, decreasing simple manual and low quality work, and taking it to higher levels in order to provide new developmental opportunities for our employees, then we’ll be achieving real efficiency based on an optimized system, free of errors and executed by people who feel part of a common adventure.
Quality, how it’s considered by the auditing and certifying companies, is meant to assure the continuation of the business and guarantee the same level of efficiency and quality, independent of people and circumstances. However, the biggest benefit of quality comes from achieving the maximum optimization we can when we analyze the internal administration of our businesses and, with a critical spirit, we attempt to eliminate unnecessary work, improve procedures and, what’s very important, utilize technology to perform and control repetitive work which usually is the cause of the majority of problems as it is usually performed very frequently and sometimes by people not familiar with it. It’s mainly in this area where information technology can be an invaluable tool for improving the administration of our businesses.
In my case, for many years I’ve put great effort in optimizing our processes, in correctly using the technology that’s available to us today, and I can assure that such effort has produced excellent results.
I have no doubt that the medium-size businessman thinks that the cost of technology is too high and that it’s a luxury that can wait. This idea is erroneous since the cost of technology can quickly pay for itself with the great savings it provides.
From my modest position, I encourage the small and medium size businessmen to dedicate one day, behind closed doors, to analyze their business processes, to try to imagine how they can be optimized and then to look for the technical accessory that will permit them to transform their new ideas into a successful reality.
Emerging Small Business
Nowadays there are more and more small businesses emerging in the market. Many people are coming up with new and innovative ways and products to satisfy consumers. This trend has come about due to technological developments. The use of the Internet has brought so a lot of modernization and created a market that was non-existent before. These small businesses can cause quite a challenge to the existing ones and vise versa.
So when you are trying to put your small business on the map, you have to come up with clever ways to counter the competition. You need a solid marketing strategy to achieve success. You should use all avenues available to you to advertise your business. A website is a good way of getting the word out. This will advertise your business and will reach a large magnitude. You will also be able to communicate with potential customers via e-mail. This way you will be aware of the comments from them and they may even give you tips on how to improve your product or service.
Another way of getting customers when your small business is emerging is to have a price range that is comfortable with all customers without necessarily making a loss. Since some potential customers may not be willing to pay the asking price, you can come up with a variety of packages so that you can accommodate everyone. In your quest to accommodate all your customers do not price your products or services too low, there are customers who are willing to pay more to get first class services or products.
Remember that usually prospective customers already have another place they can source your product or service. They are just looking out for a better deal. With this knowledge, always follow-up on that prospective customer and in no time your emerging small business will be an established one.
Managing A Small Business
Knowing how to manage a small business is a very useful when you are considering starting a business and running it successfully. Without proper guidance it is hard for any venture to succeed. Time, money, employees have to be managed efficiently for a business to operate smoothly. A well-drafted, carefully planned business plan will help greatly in managing a small business. A business plan will help understand all aspects of a business and the steps involved in all operations.
Tips To Manage a Small Business:
Financial Management: it is essential to manage the finances wisely as it is the determining factor for success. Cash flow forecasts are very handy tools, if done accurately, to determine the amount of cash needed at a given time and to ensure that the cash is available. Good management will ensure that loans applied for are only as much as can be repaid, as early as possible. Good bookkeeping and maintaining records of all transactions in an organized manner will help improve fiscal management. Having a plan to reinvest profits in assets etc. will also be a sign of good management. Making use of software available will lessen the time and energy spent in managing the finances. Make sure that taxes returns are filed on time, opting for a good insurance policy for the business will ensure that the business will continue no matter what.
Human Resource Management: It is necessary to be able to manage the employees making sure that they perform their duties as well as ensuring that they are happy and motivated. Assigning the right person to the right job as well as proper delegation of duty is another aspect to be taken into consideration while managing personnel. Periodic checks have to be carried out to check their performance as well as to ensure that they behave well and create a good impression when they interact with customers.
Marketing And Sales Management: marketing and sales aspects of a business have to be managed well too. Proper strategies have to be implemented to improve sales as well ensure that the target set is reached. Maintaining good relationship with suppliers and dealer is also essential. Good, effective planning will ensure that the business is equipped to deal with any situation. Having a plan ready for the course of action to be taken when sales targets are not met will also be helpful. Using good advertising strategies as well as using the Internet, making use of e-mail marketing, to promote the product or service will improve business.
These are just a few tips to manage a small business. When all aspects of a business are managed well and well coordinated, the business will function smoothly ensuring that it will definitely succeed. There are firms that offer services as well as products that will help run and manage a business easily.