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Face it, you're going to screw up...June 2 2007

You might make it. Then and again, you might not. If you don't it'll be for one of the following reasons!Your Management TeamWhen you start out, you hire all your mates. After a few months you realize they aren't very good at their jobs.You hire a management team with great experience, but they hate each other.You think you are a strong leader, but you aren’t and you lose control of your business.Your StrategyThere is nothing unique about what you do, or you fail to protect the things that are unique. Someone copies you and does it better.You don't communicate your strategy very well to your team, causing a lack of alignment and delays in getting things done.You choose to launch in a declining marketYour PropositionEveryone had your great idea before you didYou fail to listen to your customers and keep trying to sell them the wrong thingYour get your price point wrong and either get undercut by competitors or crippled by high costs compared to your incomeYour Sales and MarketingYou think your going to get loads and loads of sales, but you don't. Then you run out of money to advertise.You think you know who you're selling to, but the people you approach don't want your type of product or serviceYou fail to find a suitable distribution model severely limiting the amount of people who hear about, and have access to, what you doYou get your message wrong on don’t put a strong call to action in your advertising and customers don’t respondYou fail to respond to competitors w

Getting into actionJune 2 2007

Another strange task has faced me today. A company I am consulting to is approaching a funding round and I'm currently trying to "tick all the boxes" for investors. I have guided the senior team through a significant strategic change recently and now we must create the plan to bed it in.One of the challenges of this kind of activity is creating a change management structure that works for a small (say 20 people) team. My client is worried about the administrative overhead, and I don't blame him. Corporate program managers are given to creating endless logs, plans and gates that workers have to jump through. This is clearly unnacceptable, but how do you create control and impetus without them?Well the answer is can be found through simplifying the process and trusting your team to do their best. The agile movement points the way, but I would recommend creaing your own tools hand in hand with the people that will be using them. Remember all change follows much the same steps.1. Propose what it is you want.2. Design a solution that allows you to achieve this outcome3. Measure the impact of thechange in terms of time, cost, risk and impact on the existing status quo4. Sign off the project into implementation5. Design the tests that will answer any assumptions you have made and give you confidence to make your change6. Get into build with all stakeholders in regular (hourly if possible!) dialogue7. Test8. Go liveIn terms of pulling such changes in to a program, I find the best met

Why start up?June 2 2007

You want to start your dog fast food outlet. You lie awake at night dreaming about marrowbone related snacks, imagining a brighter future. Brighter at least than your current job as a junior accountant for a company that makes the small pencils you get free at Ikea. But why is it brighter? Do you imagine riches, fortune and fame? Well here are some things to think about!The first reason stated by most people quitting a job is money. They want more of it. You dream that you new idea will make you a fortune. You have even done spreadsheet. The numbers look big and impressive. You may have even told friends you have a "million dollar idea"!The thing is, in my experience setting up a business is a long hard slog. You may make very little or nothing at all in the first couple of years and you probably had to invest all your savings, or even to re-mortgage your house, just to get started. At the end of it all, you might fail for any number of reasons and lose everything. Real figures for how many businesses fail are tough to find, but a good estimate is 30% fail within 3 years. Almost all will have failed because they ran out of cash.Another misconception held by people starting their own business is that, as they are their own boss, they won't have to work as hard and that it will be a nicer working environment. In theory it is your choice how you work. In reality outside factors will make your choice for you.Imagine that "MacDoggalds" isn't going well, the staff have their finger