I’ve been reading recent LinkedIn Group posts about what it takes to run a successful business. The discussions and debates remind me of the days when I served as the university’s technology manager. In technology management (also known as technology transfer), the big debate is whether the best technology managers are PhDs, MBAs, or lawyers. The truth is that you need a Village. I guess it’s self-aggrandizing for any of these groups of people to believe that they can do everything on their own better than the other groups. But, you get more by having complementary knowledge.
Most of the participants in the online discussion of what it takes to run a successful business list parts of what it takes. The following items have been noted:
1. Initial capital injection
2. Differentiated Niche Products and/or Services
3.Business Plan
4. Marketing Plan
5. Implementation Plan
6. Marketing tools
7. Passion
8.Positive energy
9. Physical resistance
10.MBA
11.APC
12.Commercial Lawyer
13. Excellent customer service
14. Organizational skills
15. Time management
16. Leadership skills
17. Continuing Education
18.Personnel
19. Clients
The truth is that all of the above is needed. It takes a wide variety of people with a wide variety of backgrounds. It takes a town!
There is free or low-cost help out there. In Georgia, I have tried the following:
1. Small Business Administration (SBA)
2. SBA-Funded Small Business Development Centers (SBDCs) – University of Georgia, Georgia State University
3. Georgia Governor’s Protégé Mentor Program
4. SCORING
5. Defense Logistics Funded Agency Procurement Help Center – Georgia Tech
6. Count Me In Program for Women’s Economic Independence
7. Clean Water Atlanta Small Business Development Program
These programs provide classes in business planning, business lending, marketing, government contracting, business law, and accounting. Some may argue that if you don’t have an MBA, you don’t know enough about business and you will fail. The truth is that much of what you need to know, you can learn.
In addition, it also requires strategic plans that go from dusty shelves to actual implementation. Once again, we return to the people factor. You need people who have the knowledge, positive energy, and physical stamina to take strategies and implement them. When I worked as an urban planner, I coordinated the drafting and approval by the Municipal Council of Comprehensive Development Plans (CDP) and Capital Improvement Programs (CIP). This enormous effort would result in a wish list of projects in two 3 to 4 inch thick blueprint documents that would be archived. The plans would collect dust; and we’d do it all over again next year for the annual update. The same is true for most strategic plans, business plans, and marketing plans.
Small business counselors will encourage business owners to have plans. Some small business programs will help you write your plans. However, I have yet to find a small business program that encourages business owners to dust off their plans and review them. Maybe no one wants to take the time. Business owners need performance measures. They need to ask themselves if they followed through on their plans; And if not, why not? This should be done annually, semi-annually or quarterly. Why have strategic plans that are not used?
A big problem for small business owners is that they may not have the money to hire employees to whom they can delegate implementation of the plan. Where there is a will, there is a way. Ask family, friends, retirees, neighbors and students for help. Some students may work for course credit. Finding help takes time. But, this is time well spent.
I had a clothing business in the ’80s. I tried a law firm. I’ve had a consulting business that has gone through ups and downs. The key is that you can’t do everything yourself. I am an academic. I have three degrees, licenses and certifications. I love to learn. The learning part was easy for me. My credentials cover the full range of organizational management, law, and technical knowledge. I am a certified public administrator, certified planner, patent attorney, and engineer. I manage fine. I am organized. I plan everything. I know the law and I think analytically. But, I don’t care how many degrees you have. If you don’t go out and learn what you don’t know; and get help expanding the ground you cover, your business will fail.
Of course, solo practitioners will object to this. What I’m talking about is achieving the vision of building a corporation. Corporations can start with just one person. But, to be successful, the organization has to grow in number. I work as a procurement consultant and recently advised a client to look at a $20 meal bill at a restaurant. The $20 could provide a business owner with almost three (3) hours of help on minimum wage. A lot can be accomplished in 3 hours: database entries, contact relationship management, social media marketing, archiving, and direct mail.
If a business owner approaches business growth with the understanding that they will need Village Think, they can survive the first five (5) years. You’ll need to balance the 19 items mentioned above and manage to keep costs down overall. The key is to be willing to really think and put effort into each element.