CREATING VALUE!

Welcome to “Improving Your Business” a message from Peter Towers, Managing Director Towers Business Development Pty Ltd an experienced Accountant, Chief Financial Officer, Company Director, Company Secretary, Business Coach.

In this edition we continue with the theme of “Creating Value” within a Company, Business or Organisation:

Are Your Company’s Strategies Documented?
This is very important and is a key component towards the creation of value within a business.

Growing Companies Need Systems and Processes
One or two people cannot do it all.  If you want to “Create Value” you have to take the time to document the systems within your business or engage persons with the required expertise to document the systems and processes for your company.

Executing The Plan Is Vital To Creating Value
Companies, Businesses, Organisations including Charities and Sporting Clubs all need to have a written plan commonly referred to as a “Business Plan” and then diligently monitor the implementation of that plan.

These three concepts are key cornerstones to the “Creation of Value” in a Company, Business or Organisation.  If you would like to have a discussion about how these concepts might affect your company, business or organisation please do not hesitate to contact Peter Towers - Email: or Telephone 1800 232 088.

Having strategies is very important in most aspects of life, especially in operating a business.

The key strategy is to be able to “differentiate yourself from your competitors”.

There are two tests relating to “Strategies”:

1. Does what you are planning to do really matter to enough customers?
2. Will this strategy differentiate you from your competitors?

Strategic thinking is needed in all businesses on a regular basis.  Why not have a regular senior leaders meeting each week, to think about where the business is heading and what changes need to be made relating to the following questions…

How do you “communicate with customers”? How does a customer differentiate your services from your competitors?

Who are your “core customers”?  Why do they deal with you?  Have you developed strategies to improve this relationship?

Is your “brand” recognised in the marketplace?  What does is it convey to a potential customer?  Do you need to develop strategies to improve your brand recognition?

Has your business developed and articulated the “key points of differentiation” and discussed these with your team members, so that they can clearly articulate to a potential customer what your business stands for (e.g. the “Elevator Pitch for your business”)?

Are these points of difference promoted on your website?  On social media?  To your team members so that they have a regular reminder of the points of difference?

Does the Leadership Team discuss strategies and the implementation of strategies review results on a regular basis, to determine where subtle changes need to be made?

All companies need to continually review their strategies as they relate to the differentiation of services to customers/clients.

Companies which are seeking support from investors need to be able to show an awareness of the need to build systems and processes within the business, to ensure that the Leadership Team is receiving key information in real-time.

The main systems are:

Position and Consistency: The business will achieve consistent quality results by implementing business processes detailing how tasks should be completed.

Save Time and Money: If the team members have been trained to know how to do something and to do it in the same way each time, eventually they will become much better and faster at performing the task.  This saves time and money and should give the business a competitive advantage.

Assists Scalability: With the difficult operating conditions that businesses are now confronting, when you have set systems, it is a lot easier to hire new staff, on-board and train them in “this is how we do it here” approach - rather than leaving them to develop their own system.

Leadership Team Benefit: The implementation of “system processes” throughout a business assists the Leadership Team because they are not having to spend as much time in direct supervision and they can concentrate on other business development activities.

A summary of some of the systems that could be implemented include:

• Product specifications and production processes
• New product development
• Research and Development
• Planning a job
• Purchasing
• Inventory control
• Team training
• Talent attraction
• Talent retention

The key components of creating value for a business, company, charity, not-for-profit or sporting organisation are:

• Goals
• “Assets”
• Metrics
• Systems
• Strategy

Once you have established these key components the Directors, Leadership Team and Advisors, then needs to “execute the plan”.

The planning cannot remain as notes on a whiteboard or on a notebook.  The Execution Plan has to be enacted!  This will probably include:

• Identifying the “key objectives” to be completed in the next three months.
• A commitment that a new set of key objectives will be identified regularly.
• An understanding of the “assets” to be created. Many of these assets relate to intangibles but are essential for creating value.
• What new strategies need to be created? By whom?  What is the timetable?
• What new systems need to be created? By whom?  What is the timetable?
• What tactics need to be introduced to facilitate the implementation of the Execution Plan?
• Allocation of responsibility for individual activities and creation of the “reporting back”

This approach is the key for a Company, Business, Charity or Not-For-Profit or Sporting Organisation to “create real value”.

Towers Business Development Pty Ltd can assist in the documentation of the key components of “Creating Value” for a Company, Business or Organisation to assist in raising capital, loan funds or sponsorship funding.

If you would like to know more, please do not hesitate to contact Peter Towers has detailed on page 1.

Stay safe!

Peter Towers,

Accountant, Chief Financial Officer, Company Secretary,
Company Director, Business Coach
Towers Business Development Pty Ltd