Business mentor: Make changes and enjoy the difference

Q: I have had a great Christmas break with my friends and family and am feeling refreshed and good about my business for the new year.

How can I make a difference in my business? What should I be doing to make this a year where I prosper?

Mike Wiggins, managing director of Icon Business Solutions replies:

A: One thing about holiday breaks for business owners is that they are forced to slow down, enjoy their families, put life into perspective and vow that this is the year they will transform their business to the business of their dreams.

A small percentage will achieve this, but most will find after two weeks back at work it is the "same old, same old".

So how can you really make a difference? The simple answer is "change".

If you keep doing the things you have always done, you will keep getting the results you have always got.

But most business owners are afraid of change because it means doing something new that they may not feel in control of, and because the main thing that must change is the owner and the way he or she does business.

Most New Zealand businesses are small to medium enterprises, employing fewer than 10 people, with the owner working in the front line, being the backup and also managing the office system.

To "change" means giving responsibility to other staff and making them accountable for the business performance. This is where the fear of change sets in. The changes are never introduced because of perceived problems and the owner will continually be involved in putting out fires.

So the "principle of change" for most businesses is: have your "big" vision, but make it happen in small steps over a longer time.

Many business owners decide they want some change, then want it to happen yesterday without even planning for those changes.

The first step is to work out the key objectives of what you want your business to really look like.

By spending a few hours to write down what you really want from your business, the financial return from your investment, the hours you would like to work, the kind of clients you would like, the salary the business should pay you and why your business is different, (plus any personal objectives you want to add), you can then start to look at what you need to put in place to have it operate like this.

The second step is to do a SWOT (strengths, weaknesses, opportunities and threats) analysis on the five critical areas of business: Your team, client satisfaction, sales and products, gross margins and cost containment.

Then by setting small step-by-step goals in each of these areas you can start your business off in the right direction for sustainable change.

By making your goals 50 per cent smaller you will have 100 per cent more successes and by having a range of small reachable goals you and your team can reach and track month by month, the changes to your business will gain momentum as the successes and achievements are reached, your confidence in accepting the changes will grow and so will your business.

The third step is to ask for professional help to do your SWOT analysis and guide you and your business through the changes.

As the business owner, it is often lonely at the top and having someone to discuss ideas, give support, make you accountable and keep you on track is very important to overall improvement for your business.

Changing your business habits can be very hard, but the rewards can make a huge difference to your family, your lifestyle and your prosperity.

Take the opportunity while your holiday is still fresh in your mind. For more information contact Mike on (09) 579-8720 or by e-mail.

* Answers are provided by small business sector specialist Sarah Trotman.