“Growth is never by mere chance; it is the result of forces working together.”
~ founder of JC Penney
Small Business Development
Business Design Philosophy
Small Business Development, simply put, is the creation of long-term value for an organization from customers, markets, and relationships. At its heart, business development is all about figuring out how the interactions of those forces combine to create opportunities for growth. DES has a unique philosophy in helping small business owner achieve their goals.
• Small Business Craftmanship
• Leadership Assessment (includes the principals of business ownership and the Company’s vision.)
Values and Attributes:
Business Owners must be of “Values and Attributes”. Character describes who a person is inside. Business owners that illustrate honesty and caring are transparent to both employees and customers alike. A personality assessment will be given to each client. Each small business is a DNA copy of the proposed business owner. After a personality evaluation is conducted, the candidate will be advised if he has the potential skills for the business of interest. If a person desires to open a restaurant because he has a love for food but is not cordial with people, then it’s highly unlikely he would be successful
The business owner must know “Skills”. Business owners must possess interpersonal skills and know their people and how to work with them as individuals and teams. Knowing, understanding and applying job-related ideas constitute conceptual skills. Knowing how to use equipment and being proficient with things are technical skills. Those who combine the skills with people, concepts and equipment to fulfill their company’s mission statement have the tactical skills necessary for leadership. Business owners have a continuing responsibility to develop new skills, whether for new jobs, equipment, techniques or different people.
The business owner must do “Leadership Actions”. Leaders demonstrate influence: communicating, decision making and motivating. Leaders get others to work together for collective goals giving reasons and challenges, not just tasks. At the direct level, leaders can influence face-to-face with instructions, encouragement and recognition. Higher levels require more indirect techniques and a clearly understood intent. Multitasking is essential in managing and accomplishing these actions.
A Company’s Vision. The Vision Statement focuses on the future; it is a source of inspiration and motivation. Often it describes not just the future of the organization but the future of the industry or society in which the organization hopes to effect change.
The Company’s Framework
Establish Short-Term, Mid-Term and Long-Term Objectives on a Fish Bone Progression Chart.
Develop objectives as benchmarks for your Short-Term Goals. It’s advisable not to develop any objectives for your Mid-Term and Long-Term Goals until you advance further along your timeline. Establishing these objectives too early ties you to a plan that may be unfeasible rather than preparing for the Market conditions applicable for that timeline. Objectives transform in Company Mission Statements. Market
• Operational Environment
Evaluate the Marketing Variables and identify Critical Information Requirements for your Near-Term Goal. The Marketing variables are demographics consisting of the Ethnicity, Age, Annual Income, Education, Information, Media Source, Infrastructure and Geographical Location, and Weather.
Critical Information Requirements:
Identify all the Critical Information Requirements decision points and triggers. A decision point is a specific point in time where the business owners decide on a specific course of action as it relates to changes in the marketing variables. Specific decision is not predetermined until the actual criterion has been met. The business owner needs to decide based on company’s current resources and capabilities at that time. Triggers on the other hand, are already predetermined which automatically moves the company to the next phase on the timeline.
Identify indicators. It’s important the business owner recognizes what indicators are vital in determining changes in the market. An example is looking at monthly sales, questionnaires, news media and having consistent dialogue with customers and employees.
It’s important that the business owner understands the competition
Disposition. It’s important that the business owner fully understands the current status of its top competitors as it relates to the Marketing variables, especially when it comes to its profits and quality of their goods and services.
Composition. It’s equally important to understand the structure of top competitors, especially when comparing to the capabilities of the business owner. This will give the business owner incite on if they are structurally built to compete. If not what, what about their current structure they can exploit that their competitors cannot.
Capabilities. A business owner must understand the capabilities of its competitors not only for current operations but are they able to adapt due to changes in the marketing variables? What about the capabilities can the business owner mitigate or weakness they can exploit.
Four Small Business Requirements. These requirements will be embedded in the company’s Standard Operating Procedures.
In any functioning organization, everyone needs to know who in charge. This is not only important for just giving instructions, but employees need to know who to report to when certain issues when arise.
Duties and Responsibilities:
Define duties and responsibilities, Once a Hierarchy is established, employees must know their SPECIFIC duties and responsibilities. The Tasks developed from these duties are supporting tasks of the Objective/Mission Statement. Nothing slows down progress more when tasks are vague, and people have multiple bosses. Different people have different perspective on how tasks are executed. When employees are pulled in different directions from multiple managers, morale is low, and they are less effective.
Unity of Effort:
Unity of Effort is accomplished by publishing the Company’s mission statement in the SOP. The Mission Statement concentrates on the present; it defines the customer(s), critical processes and it informs you about the desired level of performance. Every policy, procedure and process are tied to the company’s mission statement which is seared into the brain of every employee.
Channels Of Communication:
Clear channels of communication. A feedback process must also be implemented in the company’s SOP. This can be done with quarterly feedback sessions, weekly meetings and open-door policies. Also, having available questionnaires and planned conversations with customers assist in identifying changes in the marketing variables
Effects Based Targeting for new and ongoing businesses assists in Decision making, Marketing, Communications and Human Resources which are all aspects of a business’s internal and external environment. Targeting is performed in a four-step process: Detect, Decide, Deliver and Assess (D3A). This responsibility is either the business owners or the staff depending on the size of the organization.