Like a ship facing a storm, the past 18 months have been tough on most industries. Just about every business has readjusted and redirected their efforts. As far as I can tell, the only two industries untouched by the stormy economy are the funeral and health care industries. If you have been unaffected by the economy, consider yourself fortunate.
Despite the gloomy past, I am preparing for a more invigorated economy in the New Year. I do not know when it will come, but the signs are evident. The stock market appears to be improving, and the Dow Jones industrials average has topped the 9,000 mark for first time since August 2002. Even media outlets are sounding more optimistic.
Here are ten resolutions to consider for planning for the New Year.
1. Be different and stand out. Roberto Goizueta, former chief executive of the Coca-Cola Company said, "It is very difficult to be the captain of your own destiny, when you are always a passenger in somebody else's ship." Many organizations suffer from what I call mental constipation or the "We've never done it that way before" syndrome. If you are a business owner, ask what makes you different from your competition. If you cannot answer that question, you are in trouble.
2. Know what is important. Identify the most important tasks you have -- the effort that generates business success. Ask yourself, "What has the greatest impact or value on my staff members or clients? What will increase sales?" Write it down, make it a performance standard, and let everyone know how he or she can help achieve it.
3. Control costs and eliminate waste. The beginning of the year is the best time to analyze your work processes. Determine what is wasteful. Eliminate the causes of poor performance. The Ritz-Carton hotels created a form called the "Internal Defect Form." Any employee noticing a deficiency or defect during the workday completes a form. All forms are forwarded to a central office for action. This simple process contributed to a sales increase of $75 million using 500,000 less man-hours.
4. E-mail marketing. Just about everyone in the United States has an e-mail address. Provide a designated place in your business, on your forms, registers, and Web sites for people to give you their e-mail address. Make sure you have their permission to e-mail them information. Begin sending an e-mail notification, newsletter, or sales notice one or two times a month.
5. Do not let your top performers abandon ship. Employee retention begins the first day on the job. Put extra effort in your employee orientation programs and let them know why your company is a good place to work. Managers should meet with new employees during the first week, and conduct a new hire survey approximately 30 days after they have been on board.
6. Learn to delegate. Many people have trouble delegating. If you do not learn to delegate, you will become like a matchstick -- burn brightly for a moment then burn out like a puff of smoke. It is not necessary for a manager to personally handle every task.
7. Put a shopping cart on your Web site. Online sales are growing at a dramatic pace. According to Jupiter Research forecast, the U.S holiday season is expecting to see about $13.2 billion in purchases online, a 17 percent growth rate over last year. This increase of sales is coming from people who want to save time, followed closely by avoiding the crowded stores, and the ability to shop outside of store hours.
8. Make them say "Wow!" Most businesses lose 15-20 percent of their customers each year. Why? They never hear from you, they are bored. By applying a small amount of effort you can boost your profits by as much as 40 percent. Remember the 80/20 rule. In most cases, twenty percent of your customers generate 80 percent of your sales. Do you know who your top customers and clients are? Design a marketing plan to communicate with them at least once a month.
9. Pay-per-click advertising. As a business owner it is difficult to stand out from the crowd. One way to do this is a pay-per-click ad on major search engines. Using pay-per-click can insure you receive top visibility on Web sites driving more customers to your door. Many business owners are eliminating classified advertising in lieu of pay-per-click. Most of the major search engines are now offering this service. My favorite is found on Google.com.
10. Energize and recognize your workforce. Many businesses are building a more positive work environment. We conducted a survey and asked people the following question: "What causes you the greatest dissatisfaction with work?" The answer with the most responses was "Lack of appreciation." Setting up a program to make a positive work environment is not difficult. A well-administered program builds camaraderie, values, and makes people feel good about themselves and their jobs.
Greg Smith is the president of a management consulting firm, Chart Your Course International, located in Atlanta, Georgia. He can be reached at 770-860-9464.