Business Stucturing for Business Success Copyright Global Training

Business Stucturing for Business Success … Copyright, Global Training Institute P/L 2005

Your Trainer. . . Shane Botting. . . F Entrepreneur – Multiple Business Owner. . . F Retired at 33… F Business trainer, coach, and mentor… F Action International Qld Franchisee of the year 2002. . . Copyright, Global Training Institute P/L 2005

House Keeping Copyright, Global Training Institute P/L 2005

Why have a Trainer and what are we here to do … ? § Direction and Focus … § Construct a Growth Plan … § Help and Guide through Implementation … § Keep Everyone Accountable … § Give Feedback … § Train in Business Development… § Train in Sales … § Train in Marketing … § Train in Systems … § Train in Finance … § Train in Team Building … § Educate … Copyright, Global Training Institute P/L 2005

Ownership Accountable Responsible Blame Excuses Denial Copyright, Global Training Institute P/L 2005

Be Winston Churchill. . . Give everything 100% and… Never Never. . . Give Up Copyright, Global Training Institute P/L 2005

Get the most out of today and life. . . I KNOW Copyright, Global Training Institute P/L 2005

What do you wish to gain from today. . . 1. 2. 3. 4. 5. List 5 things. . … …. . Copyright, Global Training Institute P/L 2005

Make sure you really Learn. . . Write Down Your… Bright Ideas… & YOUR Growth Work… Throughout the Day… Copyright, Global Training Institute P/L 2005

Your Reticular Activating System. . . N W S It’s the COMPASS E for your brain. . . Copyright, Global Training Institute P/L 2005

So what is a Business. . . ? A Commercial, profitable enterprise, that can work, with-out YOU. . . Remember to work ‘ON’ your business not just ‘IN’ your business. . . Copyright, Global Training Institute P/L 2005

The Cycle of Business. . . Copyright, Global Training Institute P/L 2005

Your Comfort Zone. . . Will you, learn how to change, do it for a week or two and then go back to your old and more comfortable ways. . . Copyright, Global Training Institute P/L 2005

So, Why Do People Stay Where They Are. . . ? Copyright, Global Training Institute P/L 2005

The Identity Iceberg. . . Copyright, Global Training Institute P/L 2005

Who do YOU Associate with? ? Copyright, Global Training Institute P/L 2005

Formula for CHANGE. . . Dx. V+F>R Dis-satisfaction Vision First Steps Resistance Copyright, Global Training Institute P/L 2005

Formula for Life Success. . . Copyright, Global Training Institute P/L 2005

YOU Copyright, Global Training Institute P/L 2005

Business opportunities for You. . . Identifying the right business opportunity for you… Copyright, Global Training Institute P/L 2005

What are your goals. . . ? We started with this process NOW what are they …? Time NOW to examine and reset… Copyright, Global Training Institute P/L 2005

Why own a Business. . . ? Income Interest/ hobby. . . Capital Growth. . . Cashflow… Copyright, Global Training Institute P/L 2005

How to gain a business/ business opportunities. . . 1. Improve your current business, Franchise, license, Multiple outlets, put under management. . . 2. Diversify your current business – create extra income streams 3. Further develop /sell product currently producing eg. Dairy Farmer – milk processing plant and market and sell own milk 4. Lastly … Buy an existing business that can work, without YOU. . . The first 3 Are the Cheapest in TIME and MONEY Copyright, Global Training Institute P/L 2005

To Explore Opportunities. . . Time to think outside the square. . . Copyright, Global Training Institute P/L 2005

4 Straight lines without picking up your pen. . . Copyright, Global Training Institute P/L 2005

5 Straight lines without picking up your pen. . . Copyright, Global Training Institute P/L 2005

So how can you increase the Size, number and output of Your business ? List 7 ideas. . . st 1 and most Profitable … Copyright, Global Training Institute P/L 2005

Number of Leads x Conversion Rate = No. of Customers x No. of Transactions x Ave. $$$ Sale = Turnover x Margin = Profits Copyright, Global Training Institute P/L 2005

Let’s put in some numbers. . . Number of Leads 4, 000 Conversion Rate 25% No. of Customers 1, 000 No. of Transactions 2 Ave. $$$ Sale $100 Turnover $200, 000 Margin 25% Profits $50, 000 x = x = Copyright, Global Training Institute P/L 2005

With just a 10% increase. . . Number of Leads 4, 000 4, 400 Conversion Rate 25% 27. 5% No. of Customers 1, 000 1, 210 No. of Transactions 2 2. 2 Ave. $$$ Sale $100 $110 Turnover $200, 000 $292, 820 Margin 25% 27. 5% Profits $50, 000 $80, 525. 50 x = x = Copyright, Global Training Institute P/L 2005 x = x =

That’s a 46% increase in your turnover. . . Copyright, Global Training Institute P/L 2005

Increasing YOUR Current Business … 1. Larger Premises 2. License other people 3. Franchise 4. More outlets 5. Publicly List 6. Employee Shareholders 7. and lots more … Copyright, Global Training Institute P/L 2005

So how can your business diversify ? What other products or services can I sell to my Current clients ? ? List 7 ideas. . . Copyright, Global Training Institute P/L 2005

Diversifying YOUR Current Business … 1. What do YOUR Clients use … 2. What other things do YOUR Clients need … 3. What things do YOUR Clients want … Copyright, Global Training Institute P/L 2005

How can YOU vertically develop your product or service ? What are the Front and Back ends to YOUR Business ? List 7 ideas. . . Copyright, Global Training Institute P/L 2005

Increasing YOUR Current Business … 1. Back End, Who has my clients after me? 2. What Opportunities am I missing out on after my clients deal with me 3. Front end, Who has my clients before me ? 4. What opportunities are there to deal with my clients before me? Copyright, Global Training Institute P/L 2005

Why Buy a Business ? Control my own Destiny … Make some serious money … Something the Children can do … Want more time, working when I want … Diversify my current work Copyright, Global Training Institute P/L 2005

Explore Opportunities - Expect. . . Time to think about your identity and your goals. . . Copyright, Global Training Institute P/L 2005

Business Buying Checklist. . . Top 10 reasons Businesses Fail… Business buying Checklist. . . Tick off each one as you go through the process. . . Do not miss a step in the process also talk to a solicitor and a Business Coach to make sure all steps are executed correctly, There are traps ! Copyright, Global Training Institute P/L 2005

Who’s on your Professional Team? Accountant … Solicitor. . . Business Coach. . . Insurance Agent … Bank… Ask Questions to find the right ones… Copyright, Global Training Institute P/L 2005

Why People buy the wrong Business ? Emotion; there is a lot of this … Do not seek the correct professional help. . . Do not know anything about the industry. . . Don’t research the Business enough … Do not set up their rules around buying business and stick to them … Copyright, Global Training Institute P/L 2005

BUSINESS STRUCTURE Ø COMPANY ØLimited liability ØCGT ØShareholding ØInsurance ØShareholders agreement Copyright, Global Training Institute P/L 2005

BUSINESS STRUCTURE con’t Ø TRUST Ø Family Discretionary / Unit / Hybrid Ø Corporate / individual trustee Ø Trustee liability Ø Beneficiaries Ø CGT Copyright, Global Training Institute P/L 2005

BUSINESS STRUCTURE con’t Ø PARTNERSHIP / SOLE TRADER Ø Personal liability Ø Division of profits / drawings Ø Insurance Ø Partnership agreement Copyright, Global Training Institute P/L 2005

ASSET PROTECTION v Simple better than complex v Spouse v Personal guarantees v Banks v Know exit strategy and risk factors Copyright, Global Training Institute P/L 2005

OWNING A BUSINESS ü Goals ü Terms of trade ü Powers of Attorney ü Will ü Insurance üPublic / professional / keyman ü Professional support Copyright, Global Training Institute P/L 2005

Where will YOU work in this new Business ? ? ? Copyright, Global Training Institute P/L 2005

Keys to Business Success. . . ë Leverage. . . Doing more with less. . . ë People. . . They’re your greatest asset. . . ë Systems. . . Are your key to leverage. . . ë Plan. . . Give your new ship a rudder. . . ë Sales & Marketing. . . The best mouse trap doesn’t always sell the most. . . Copyright, Global Training Institute P/L 2005

For Your Business. . . Copyright, Global Training Institute P/L 2005

Is your Business Finished or Do you still need to WORK ON your Business and create your … 1. Vision 6. Organisation Chart … 2. Mission 3. Culture Statement … 4. Goals … 5. Milestones … 7. Position Contracts … 8. KPI’s … 9. How To Manuals, Video’s, Tapes and Pictures … Copyright, Global Training Institute P/L 2005

What are YOUR Future Plans… 1. Removing yourself Reducing Your Involvement… 2. Business under management? Buy another businesses? Retire? Hand down in the family? Reduce Hours? 2. Your Goals 3 month goals 6 months… 12 months… 2 and 5 year Goals… Copyright, Global Training Institute P/L 2005

reasons behind business failure 1. Business does not plan growth and runs out of cash… even though its making a profit 2. Business spends money in the wrong areas and runs out of cash to purchase stock, employ people, fund marketing and sales 3. Business owners have limited understanding of their market, including, competition, customers expectation, pricing advantages, financing & running a business 4. No formal planning mechanism © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

1 st to freedom Remove yourself from level 3 activities Market Sell Ownership Level 1 activities Manage Level 2 activities Produce Level 3 activities © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005 Human Resources Accounting

to freedom (Level 3 activities) Remove yourself from level 3 activities 1. You must plan this process carefully. 2. Solidify all level 3 activities so they are systemised and running effectively. 3. Don’t abdicate responsibility. Plan it, grow it, review and correct. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

2 nd to freedom Remove yourself from level 2 activities Market Sell Ownership Level 1 activities Manage Level 2 activities Produce Level 3 activities © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005 Human Resources Accounting

to freedom (Level 2 activities) Remove yourself from level 2 activities 1. You must plan this process carefully 2. Systemise level 2 activities with Key Performance Indications (KPI) 3. Ensure KPI’s are in place for marketing, sales, production, HR and finance 4. Ensure all reporting and meeting formats are set and are working/reviewed and corrected 5. Hire and train a general manager(s) © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Is business planning effective? Here’s a few facts from a survey of 500 business owners who took the time to step out of their business, applied the 18 Vital Steps, and developed a business plan. The results speak for themselves: © Copyright 2002, Action Planning Pty Ltd, all rights reserved • 100% said their business plan was effective • 91% said it helped increase their income • 81% said it increased their bottom line • 67% have increased productivity by up to 3 times with the same staff. Copyright, Global Training Institute P/L 2005

Building your business beyond you 1. Make hard and fast plan for then next two years and repeat each year 2. Set up, review and correct procedures monthly, quarterly, half yearly and yearly 3. Get external support to plan and review So, let's talk about business planning © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Making Dreams Come True … 1. IDEALISATION … 2. VISUALISATION … 3. VERBALISATION … 4. MATERIALISATION … Copyright, Global Training Institute P/L 2005

IDEALISATION … § Stretch you mind with possibility … § Look for what you REALLY choose … your IDEAL … § Decide that it is already yours … § Remember … ‘WANT’ is just like a wish or dream, If it is a NEED it can’t be left for latter … Copyright, Global Training Institute P/L 2005

VISUALISATION … § Relax first … 10 minutes in the morning and 10 in the evening … § Picture your ideal as if it is already real … § Remember … your subconscious cannot decide what’s real and what’s not, keep planting the right seeds … Copyright, Global Training Institute P/L 2005

VERBALISATION … § List 20 positive I AM statements about yourself and your life as you choose it to be … § Repeat each and every statement at least twice a day with Passion … § YOU must state it in Present Tense, as if it’s real NOW … § Be passionate, the more often you do it the better it works … Copyright, Global Training Institute P/L 2005

MATERIALISATION … § The Seeds you plant will manifest … § More energy and emotion brings your goals about faster … § Remember … you can only do what you are, and you are what you think, so visualise often … Copyright, Global Training Institute P/L 2005

Life’s greatest Asset. . . Time to Trade YOUR Money for TIME !!! Copyright, Global Training Institute P/L 2005

Great People have a. . . Focus on what’s important to you and you’ll always come out in front. . . Copyright, Global Training Institute P/L 2005

Vision. . . Copyright, Global Training Institute P/L 2005

Keys to A Winning Team. . . Copyright, Global Training Institute P/L 2005

Leadership. . . Copyright, Global Training Institute P/L 2005

12 Cylinders of High Performance Copyright, Global Training Institute P/L 2005

Communicating in your New Role… • Who will you be communicating with? • How should you best communicate with them? Copyright, Global Training Institute P/L 2005

For Your Current Business. . . Grow, Plateau, Grow, Plateau. . . Copyright, Global Training Institute P/L 2005

Mo Jiwani’s Formula for Life Success. . . Copyright, Global Training Institute P/L 2005

Where to from Here. . . N W E S Action Speaks Louder than Words… Copyright, Global Training Institute P/L 2005

Where to from here ? § Start looking around for the type of business you are interested in. . . § Find out who sells the type of business you are looking for. . . § Go through the Buying a Business process Checklist … Copyright, Global Training Institute P/L 2005

Quoting E. James Rohn. . . C “Never wish your life were easier. . . Wish that YOU were better. ” C “Work harder on yourself than you do on your job. . . ” Copyright, Global Training Institute P/L 2005

Time to Create… Now Start to WORK ON your Business and create your … §Business Structures §Succession Planning §Organizational Chart §List of “People” systems needed §Legals, Financials, Insurance… Copyright, Global Training Institute P/L 2005

SMART Goals. . . Let’s Do This Now … Copyright, Global Training Institute P/L 2005

Making Your Goals happen. . . PERT Your Goals … 1. Start with 12 month Goals 2. Break down to monthly Goals 3. Break down Monthly goals to Weekly Goals 4. Break down Monthly Goals to Daily Goals Let’s Do This Now … Copyright, Global Training Institute P/L 2005

1) Finish Growth work Sheets and add to growth plan. Ensure dates, responsibilities, and priorities in place 2) Hand in growth work for copying 3) Fill out feedback forms while Growth work is being copied 4) Thanks for your participation and attention. Talk to YOUR coach if need help. Copyright, Global Training Institute P/L 2005

Sometimes the original tool was conceptually perfect. Ferrari have taken the concept to it’s limit. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Sometimes the original tool was conceptually perfect. Ferrari have taken the concept to it’s limit. © Copyright 2002, Action Planning Pty Ltd, all rights reserved What’s next? Copyright, Global Training Institute P/L 2005

Welcome Thank you for your commitment and time. The old way of telling time © Copyright 2002, Action Planning Pty Ltd, all rights reserved Rolex have taken the concept to it’s limit. What’s next? Copyright, Global Training Institute P/L 2005

18 Vital steps to grow your business • What’s it all about • Show you how to structure your business so it works without you • Getting more clients • Increasing sales • Working with a team • Business enhancement tools The old way Action Planning have taken of getting advice the concept to it’s limit. © Copyright 2002, Action Planning Pty Ltd, all rights reserved What’s next? Copyright, Global Training Institute P/L 2005

Getting maximum benefit from the presentation • Participation • Left brain versus right brain • Hands-on participation The old way of doing business © Copyright 2002, Action Planning Pty Ltd, all rights reserved Together we will turn your staff into a team Copyright, Global Training Institute P/L 2005

About Action Planning A global business Canada UK USA Asia Australia New Zealand The old way of doing business throughout the world © Copyright 2002, Action Planning Pty Ltd, all rights reserved Action Planning have taken the concept to it’s limit. Copyright, Global Training Institute P/L 2005

A little bit about Action Planning Business experience in; • Service • Professional • Retail • Manufacturing • Mining • Small business • Corporate © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

A little bit about your presenter – Shane Botting • The old way of doing business © Copyright 2002, Action Planning Pty Ltd, all rights reserved Your Action Planning Accredited Business Advisor has the tools Copyright, Global Training Institute P/L 2005

The real purpose of sales Step #1 - to convert enquiry into sale Enquiry x Increase this x Normally expensive © Copyright 2002, Action Planning Pty Ltd, all rights reserved Rate of conversion Improve this = Clients = Massive gain in clients Normally inexpensive Copyright, Global Training Institute P/L 2005

List 10 ways you could convert an enquiry 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Use scripts - script best person and train all others Track conversion rates Get sales training Use either or question Set goals and conduct regular sales meetings Hire better sales people Use check sheets Sell benefits only Focus on clients’ needs and wants Use N. L. P techniques Copyright, Global Training Institute P/L 2005

A little bit about features, advantages & benefits • The lawn mower has 4 blades FEATURE • Which means you will be able to cut your lawn quicker ADVANTAGE • Giving you more time with your family BENEFIT Most sales people think a feature is a benefit © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

The real purpose of sales Step #2 - increase the average value of sale © Copyright 2002, Action Planning Pty Ltd, all rights reserved Sale made x Increased sales x Increased value over & above original = Improved profitability Focus in this area = Massive gain Copyright, Global Training Institute P/L 2005

List 10 ways you can increase your average value of sale 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Up-sell Cross sell Add on sell Use scripts Train salespeople Use check sheets Increase range Increase average valued of range Sell the highest value first Put up your price Copyright, Global Training Institute P/L 2005

Some interesting facts about price If your margin is 10% and you increase 3 your price by 10% you can afford to lose 3 ___% of your clients 1 % of people will stop purchasing from ___ 5 business based on price your Most business ____ owners ______ have more problems with price increase than their clients © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

The real purpose of sales Step #3 - getting clients to come back time after time Marketing methods x Sales methods = Focused effort Leading to Massive gain in profit © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

List 5 ways sales people can get clients to come back time after time 1. Place clients on a call cycle 2. Tele-market 3. Special offer What do you have as a 4. group? 5. ________________________ © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Basic building block of business Ownership Manage Market Sell Produce The two must work together © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005 Human Resources Accounting

The real purpose of production 1. To produce the result of the ____ sale 2. To exceed ______ client expectation 3. To massively _____ grow the business © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

List 5 ways you could improve your ability to produce 1. 2. 3. 4. 5. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Train your staff Employ more people Systemise everything Improve quality of sub-components Eliminate re-work Copyright, Global Training Institute P/L 2005

Basic building block of business Ownership Manage Market © Copyright 2002, Action Planning Pty Ltd, all rights reserved Sell Produce Copyright, Global Training Institute P/L 2005 Human Resources Accounting

Let's work on that Ownership Manage © Copyright 2002, Action Planning Pty Ltd, all rights reserved Ownership 5 __ % Sets strategic direction Managing 10 __ % Market Sell Produce Human Resources Accounting __% 3 __% 5 __ 60% 15 __% 2 Marketing Sell Produce Human Resources Accounting Copyright, Global Training Institute P/L 2005

Where to from here? • Work on your marketing then • Analyse methods of improving sales • Spend time on producing • Discuss important team issues • Get into some finances at this point • We'll start bringing it all together • Management, and most importantly. . . • How to free yourself up as an owner Now let's get started on growing your marketing © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

The real purpose of marketing 1. To create more _____clients _____ 2. Have themcoming _____ back ____ 3. Turn them intoadvocates ____ 4. To havefun ___ = GROWING YOUR BUSINESS The old way of doing business "just making money" © Copyright 2002, Action Planning Pty Ltd, all rights reserved Your Action Planning Accredited Business Advisor has the tools Copyright, Global Training Institute P/L 2005

Something important on growing your business • What is happening with client expectation? Increasin ______ g • What do clients want more of than ever Choices before? ____ • What is your client more of than ever Aware before? _______ © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

What does it mean to you? √ If your client expectation is increasing! √ And your clients want more than ever before! √ And your clients are more aware! = Abundant opportunity! If you are perceived as different. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

List 10 ways your business is unique √ 1. 2. 3. 4. 5. √ 6. √ 7. 8. 9. √ 10. √ Friendly staff Shop is clean and tidy We have a 24 hour money-back guarantee Stock in a range of sizes We have a unique 8 -step fitting program to ensure that our staff fit you correctly All of our staff attend an intensive 2 day colour co-ordination training program We are well established We care about you We have a pick-up and delivery alteration service to and from your home We have 28 different brands of coffee and tea just so you and your friend can enjoy your time with us If your competitors can say it, then it's not unique! © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Business exercise #1 With your team, work out 10 unique things about your business. your U S P nique elling roposition © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Back to the real purpose of marketing Step #1 - to create new clients you need to; Generate an enquiry x Do more of this activity Increased inquiry generation © Copyright 2002, Action Planning Pty Ltd, all rights reserved x Conversion to sale = Client Convert more and more Increased synergy 1 + 1 = 3, 4, 5 Improved conversion rate Abundant number of clients = Copyright, Global Training Institute P/L 2005

List 10 ways you could generate enquiries 1. 2. Systemise ‘word of mouth’ – referral system Improve your advertising and do more or just advertise 3. Direct mail to you’re a & b class type prospects 4. Create a Host Beneficiary Relationship 5. Create a strategic alliance with non competing like businesses 6. Telemarketing/phone, mail, phone/cold call 7. Hire more sales people and get them working 8. Have all your marketing material professionally written and then use it 9. Find out the type of client that is your ideal and go out and get more 10. Test and measure everything © Copyright 2002, Action Planning Pty Ltd, all rights reserved Think of what you have done in the past which worked and you now no longer do. Copyright, Global Training Institute P/L 2005

Back to the real purpose of marketing Step #2 - Have them coming back! Clients √ © Copyright 2002, Action Planning Pty Ltd, all rights reserved x Per annum retention rate x Per annum purchase frequency x Focus on retaining them x Ask them to come back Copyright, Global Training Institute P/L 2005 = Yearly transactions = Dramatic increase in yearly transactions

List 10 ways to retain your clients and have them purchase more frequently 1. Maintain a database of clients and prospects and update regularly 2. Contact your clients more often, courtesy calls, post cards etc. . 3. Invite them to special events 4. Make them feel special 5. Send them special offers 6. Keep details on potential future purchases and then 7. contact at the time 8. V. I. P clubs 9. Frequent purchaser program 10. Telemarket/salesperson calls Create a perception of difference © Copyright 2002, Action Planning Pty Ltd, all rights reserved You will lose 20% of your clients per year as a natural course of events. Don't lose any more though in-action Copyright, Global Training Institute P/L 2005

Statistics about why clients change their purchasing point 12% Relationship: 5% Price / product / time: 15% The biggest of all: 68% Perceived I ndifference Convenience: © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

The real purpose of marketing Step # 3 - Turn clients into advocates Ownership Manage Market Sell Produce Human Resources Accounting Your entire business must be focused on this one common direction © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Most businesses don't have a single focus Ownership Human Resources Manage et Mark Sell Produce Every part is going in its own direction; own speed How to focus your business and have fun © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005 Accounting

Business exercise #2 With your team, work out what is your vision for your business and how it will get there. You must be able to have FUN! © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

The real purpose of sales 1. To _______ into a sale convert enquiry 2. Whileincreasin _____ the _______ of sale average value g 3. Getting customers to _____ time after time come back 4. Massivelyincreasing ____ your businesses _______ revenue © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Some interesting information on sales 8 % of sales are made after the 8 th call. ___ 0 8 % of sales are lost due to the ___ 0 sales person not asking for the order. The best call frequency to keep your business at the top of your clients mind 9 days. is ___ 0 8 % of your income will come from ___ 0 20% of your clients © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

List 3 ways your human resources is involved in marketing, sales and production 1. People market and their skills either produce a result or not. Or no person is hired at all. *Recruitment system, position contract, performance review process 2. Review profitability of sales, enhance production /ability to produce 3. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Skill of production team not high enough *Train production people, systemise processes, hire new people Copyright, Global Training Institute P/L 2005

The real purpose of production 1. Delivery to exceedcustome _____ expectation r 2. Reduce overallcost ____ while maintaining or improving quality 3. Consistently reducere-work _______ © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Examples of production • Accounting firm produce completed __________ tax returns matters • Legal firm producescompleted ________ • Lawn mower person produces ________ manicured lawns Q: What does your business produce? Q: Does your team know that? © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Business Exercise #3 1. List 5 ways you could exceed customer expectation and how you are going to implement the 2. strategies. List 5 ways you can reduce production costs 3. while improving quality! List 5 ways your business is doing rework and how you can eliminate it forever. © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

A little bit on Human Resources List 8 things you don’t like about having staff 1. 2. 3. 4. 5. 6. 7. 8. © Copyright 2002, Action Planning Pty Ltd, all rights reserved They don’t take responsibility They show up late and go home early They think they should be paid more for doing less They are always trying to take advantage of you They steal They get sick when you need them the most You can’t easily get rid of them They treat your customers badly Copyright, Global Training Institute P/L 2005

A little bit on Human Resources Why do they act like that? © Copyright 2002, Action Planning Pty Ltd, all rights reserved 1. Your business does not have a vision other than making money 2. You don’t have a hiring system which imparts any thing other than “we are like all the rest” 3. Your induction system into the culture is non existent 4. You don’t have a stated culture so “you’re like all the rest” and will be treated as such 5. You don’t have an appraisal system that builds and rewards people for their effort 6. You are treating employees like you have been treated in the past and expect a different result 7. You abdicate responsibility 8. You simply don’t have a system for people Copyright, Global Training Institute P/L 2005

A little bit on Human Resources What to do about removing negatives √ √ √ √ © Copyright 2002, Action Planning Pty Ltd, all rights reserved Vision of the business Culture that can fulfil the vision Hiring system Induction system Performance appraisal system Removal system Regular meeting/goal setting system Become a leader of inspiration The 8 keys work toward a powerful team that works without you! Copyright, Global Training Institute P/L 2005

People are the most important aspect of your business Here are 3 reasons why 1. A good employee can earn 3, 5, 100 times more than their wage 2. They give you leverage so you don’t have to work 3. They will grow your business beyond all expectation If you don't have all three now then you need to spend more time in this area © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

aspects of finance 1. You only have 12 months of invoicing in any financial year • Fast invoicing - fast collection = more money in less time 2. Money to you > 90 days old is almost guaranteed not to pay 3. Profit does not = cash in the bank • Cash + stock + accounts receivable = profit • Too much stock and accounts receivable = cash shortage 4. Profit and loss must be known and reviewed monthly 5. The faster you grow the more surplus cash willfor need. • you Plan growth © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

Success. Model™ Planning 1. Step by step process to remove you from level 3 and level 2 activities 2. Step by step process of building your business 3. Inexpensive way of getting external support while you build a plan for your business Here’s what others have to say… © Copyright 2002, Action Planning Pty Ltd, all rights reserved Copyright, Global Training Institute P/L 2005

How are YOU planning for YOUR Business Success. . . ë Are YOU Doing more with less ? ë What team training needs to be planned for so YOU keep YOUR great team ? ë What systems will you need in place to ensure YOU get the best from YOUR Team? ë Where will YOUR technology need to be in 12 months time for YOU to be successful? ë A Sales and Marketing plan… what’s that? Copyright, Global Training Institute P/L 2005