Thursday 11 December 2008

When just in time is out of time

Today we see the sad end to the Woolworth retail story. 

Shoppers fighting over the so-called bargains as the management seek to squeeze every ounce out of  this once proud bastion of the high street. Regardless of what analysis is reached, when all is said and done it seems that here is a company that has been constantly sailing too close to the edge. 

Many retail operations work on the assumption that they lead the market. In truth, very few do and like lemmings, they follow their competition. Of course, it is the businesses that get in, and out, early on that make the real money. Whilst just-in-time works for manufacturing, retail requires stock at the point of sale when the customer is there. 

If your business is retail based, make sure you don't make the same mistakes as Woolworth.

Friday 21 November 2008

Guy and Madonna show us the way


So, Mr & Mrs Ritchie have decided to call it a day. No great surprise there. But in doing so, they have demonstrated that you can still end a relationship, no matter how multi-layered, with dignity.

There is a good lesson here for us in business. We often hang on to failing businesses or favourite ventures, in the misguided hope that we can turn it around. Look at the current disastrous position that Woolworth's have got themselves in. 

When we see that despite the best intentions, we cannot make a business or a division a success, we need to boldly take decisive action. Like a surgeon removing a tumour, the cut must be quick, lest we allow the rest of the body to be infected.

Tuesday 18 November 2008

Dangerous times in far-off waters

As we read about the tanker hijacked by Somali pirates, it seems a good analogy for some of the less than sensible business decisions made.

Often I come across companies that have embarked on completely new areas of business, either because they have perceived an opportunity or they thought it would be good to conquer a new market. However, after the first flush of success, they come unstuck.

Management teams must realise that leveraging success in new markets comes from building n that which one knows. It is far better to seek out opportunities in fields where there is obvious synergy with an existing successful business. This approach, though guarded, can still bring rewards and will ensure that the organisation will not be left to the mercy of parasites who feed of others success.

Monday 17 November 2008

Seeing the real story

Whilst we all argue about when the UK actually went into into recession, rather than let the government tell us it has yet to happen, I came across an interesting article on the BBC website.

The link is  http://news.bbc.co.uk/1/hi/business/7695746.stm  It essentially follows a number of businesses as they feel the credit crunch at first hand. It will be interesting to follow their progress over the coming months.

One thing is clear; anyone who thinks this economic downturn will be over quickly is certainly fooling themselves.

Thursday 13 November 2008

Size doesn't matter

In today's online world, there is  really very little to stop anyone creating an international company overnight.  With a laptop, and a browser, one can create a virtual company with just a few clicks.

This can often take companies outside the realm they would normally occupy. Of course, with this virtual move, comes potential pitfalls. A key understanding of what 'going global' means is vital. Every part of the supply chain should be looked at. The key change here is how sales are achieved and accounted for. 

Wednesday 12 November 2008

One-trick pony

Today, a client told me that they had given a presentation to an existing account, only to be asked very  strange questions at the end. It seems that the presenter was expecting one view, whilst the audience had something quite different in mind.

We must all ensure that we prepare for meetings as well as we can. Sometimes, we fail to ask clients what their expectations are, either through poor planning or not wanting the client to think we are not in tune with their needs. However, as has been demonstrated, not asking a question can be worse than asking the wrong question.

Monday 10 November 2008

Published Articles

One of the true measures of how one is perceived in the business world is being able to get your views across in the media.

I am pleased that a number of articles that I have written have been published. I've also appeared on BBC Breakfast and BBC News 24.

Please view these;

http://www.bre.co.uk/filelibrary/training/HI_enews/hi_enews_feb062.htm


Monday 11 August 2008

Intro

I left school at the tender age of 16, desperate to strike out and make money. I hit the UK property boom of the 1980's just as it was starting and had a whale of a time. I managed to dodge the first signs of the downturn but it eventually caught up with me.

I then spent the next few years selling both property and IT services (not concurrently!) in Cyprus. Great friends, great times, and even managed to earn some money.

Back in UK, established my own IT training company which I sold to the senior managers. Then joined the dot-com craze and did the same as everyone else - raised millions and spent the lot!

Joined Tesco after this, but didn't enjoy the corporate life (or the politics).

Left to set up Stratify Associates, working in the emerging market of Home Information Packs. Great fun punching above my weight - perhaps there's a story in there for another time. The rest will become evident as we go along...