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Cracking
The Business
CODE
The Business Builder framework is designed to
accurately determine at what stage your
business is at present while at the same time
highlighting critical areas that you need to focus
on to ensure your business grows and succeeds.
The Business Builder uses an algorithm
developed by incorporating the lessons and
insights gained from working with 1000s of
business owners over the last 14 years. By
applying the framework, you will be able to
drastically increase your chance of building a
sustainable business in the shortest time.
At the session we will share insights into:
The Central Nervous System
The Equity Multiplier
The Sales Accelerator
The Governance Quadrant
Survived to year 5
Survived to year 10
Failed by year 5
Failed by year 10
Cracking
The Business
CODE
1
1
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1
0
0
1
0
1
0
1
1
0
1
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1
Helping businesses
succeed by providing
a blueprint for
success
Central
System
Financial
Multiplier
Market
Profiler
Lead
Generator
Sales Code
Innovation
Funnel
Customer
Value
Execution
Capabilities
Leadership
Signature
Governance
Quadrant
The Business Builder
framework is designed to
accurately determine at what
stage your business is at
present while at the same
time highlighting critical areas
that you need to focus on to
ensure your business grows
and succeeds.
The Business Builder uses an
algorithm developed by
incorporating the lessons and
insights gained from working
with 1000s of business
owners over the last 14 years.
By applying the framework
you will be able to drastically
increase your chance of
building a sustainable
business in the shortest time.
10 Business Building
Block aimed at
stabilizing and growing
your business
1
2
3
5
6
7
8
9
10
4
1
Keep it
simple
2
Debate
Assumptions
3
Use
Framework
4
Allocate
Resources
5
Identify
Priorities
6
Monitor
Performance
2 /5 Year
Strategic
Plan Rules
Central
System
Most organizations
only realize 6-% of
their strategies poten-
tial value due to issues
in development or
execution. The foll-
wing are crucial
aspects of target
setting and perfo-
mance tracking
1
Financial
Multiplier
As the owner or
manager of a
business, of course
you are very busy,
but it pays to step
back and plan for
your financial future.
Take the time to
forecast, plan, and
budget.
P&L,
balance
Sheet and
Cash Flow
•Analise and
review
statements
Annalise all
expenses
•Ensure they are
linked to profit
generating
activities
Product
profitability
•Annalise
customer and
product
profitability
Develop a
budget
•12 months
detailing revenue
and margin
targets
Establish
monthly
meetings
•review and plan
around your
financial
statements
Financial
Manage
ment
2
Financial
Multiplier
As the owner or
manager of a
business, of course
you are very busy,
but it pays to step
back and plan for
your financial future.
Take the time to
forecast, plan, and
budget.
2
ROE = profit margin
x asset turnover
x equity multiplier
Operating efficiency -
which is measured by
profit margin
Asset use efficiency -
which is measured by
total asset turnover
Financial leverage -
which is measured by
the equity multiplier
Valuation = Score
X average NP
Business Builder
Score = Multiple
Earnings
NP – where NP is
equal to the average
NP over three years
Market
Profiler
Market development and
penetration should form the
core focus of all growth
activities. Growth should be
actively targeted over and
above the function of
maintaining the current
performance. Growth
activities should be linked
to market opportunities and
not resource availability.
Increase Market
Share
Dominate Growth
Markets
Drive out
competitors
Increase existing
usage
Market Strategy
1. Implement five
existing customer
approaches
1.New
geographical
markets
1.New
product
dimensions
1.New
distribution
channels
New market
segments
2. Target selling existing
products into new markets.
3
Lead
Generation
It is important to plan your
marketing strategy around
lead generation and brand
development. The key is to
ensure that it delivers
measurable results i.e.
Actionable leads. Your
marketing strategy must be
integrated into your budget
making available adequate
funds to support marketing
campaigns.
The following activities will help you optimize
your marketing strategy
A simple database
The backbone of all good marketing is about building a solid database
A great website
Your website must attract attention and give value to those who visit
An elevator pitch
Make sure you have a fun, interesting and memorable pitch ready at all times
Professional marketing material
Make sure they look professional and appealing at all times
A professional brand
It encompasses everything people see, hear, think and feel about your business
Well developed product or services
Make sure you do your research and listen to your customers
A marketing plan and a budget
Getting a plan that will support you and clearly communicate to your team
4
Sales Code
In order to effectively
deliver and manage sales
you have to measure sales
performance weekly and
monthly. For sales to
deliver on targets there has
to be a business specific
sales process and sales
funnel. The sales funnel
should be aligned with the
relevant sales software.
The following activities can be completed to
improve sales capability
Develop a sales funnel
Develop a sales process
Link to business plan with 3x
cover
Track sales pipeline
value
Mapping products
value proposition
(FAB)
Regular
tracking
5
Innovation
Funnel
Technology-
push
innovation
Market-pull
innovation
Business
model
innovation
Design
thinking
Platform
strategy
To ensure continued
relevance and in-
creased sales an
innovation process
needs to be dev- loped
and imple- mented. To
ensure growth and
sales increase both
markets and compe-
titor trends should be
monitored.
6
Customer
Value
In order for your
business to succeed
you have to ensure a
consistent number
of new customers
are added while at
the same time
existing customers
are retained.
Customer
Value
Generation
1.Convert sales
and revenue
targets into
number of
customers
1.Ensure that
your customer
retention is high
1.Track
profitability and
LTV on customer
level
1.Measure
customer service
using the net
promoter score
system.
7
Execution
Capabilities
For the business to
grow it must be able to
consistently deliver
high quality product or
services. In order to do
this both resource
capability, linked
quality and process
efficiency needs to be
tracked and managed
Conduct a capability
audit across the
organisation
Implement a
quality
measurement
Analyse
Business
automation
8
Leadership
Principles
The most important aspect of
executing your strategy is ensuring
all the resources in the business is
aligned to achieving its goals. If the
people in your business are not
100% aligned to the vision, they will
not be able to deliver effectively.
Everyone in the business must have
targets alighted with the overall
plan and that they are in the right
positions
The following 5 areas should be managed
Compensation and benefits
Training and Development
Employee engagement
Clearly defined job descriptions
Legal compliance
9
Governance
Signature
Corporate governance is as
vital to SMMEs as it is for
large corporations.
Implementation of cost-
effective and simple
mechanisms and processes
will establish structure,
improve operations,
contribute to business
growth and ensure effective
compliance with the law
Create simple internal policies such
as a code of conduct that clearly
sets-out duty of care, skill and
diligence.
Demonstrate effective leadership
characterized by ethical values of
responsibility, accountability,
fairness and transparency
Separate roles and responsibilities
of the shareholder, director and
manager to limit liability and
ensure effective division of labour
and function. Consider creating a
board of directors
Do your bit for your local
environment and community -
nature, society and business are
interconnected
Governance
Quadrant
10
Cracking
The Business
CODE
1
1
0
1
0
0
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UNLOCKING
ENTERPRISE
DEVELOPMENT
ACHIEVE YOUR VISION
Increase SME revenue
capability & Generate Profits
Ensure governance
compliance and return on
investment for shareholders
Focus on overall critical
business growth areas
Business Builder
Help your customers:
DIAGNOSTIC
1
10
Building
Blocks
10 Page
Business
Diagnostic
Report
30 Page detailed
Business Diagnostic,
Analysis and
Development Report
Cracking
The Business
CODE
UNLOCKING
ENTERPRISE
DEVELOPMENT
Improve Overall
Business Sustainability
Improve capability
through automation and
innovation
Increase the
organizational maturity
in key focus areas
Objectives
Target Overall Maturity +1
Your Success blueprint!
Growth Accelerator
Help your customers:
DIAGNOSTIC
2
5
Pillars
Business
Maturity
UNLOCKING
ENTERPRISE
DEVELOPMENT
Turnaround Strategiser
Develop high growth
turnaround strategy focused
on key bankruptcy indicators
Improve cost efficiencies and
review capital structure
Focus on core and improved
management structure
including culture alignment
Objectives
Distress Indicator Turnaround Indicator
Help your customers:
DIAGNOSTIC
3
10
Stage
Business
Turnaround
UNLOCKING
ENTERPRISE
DEVELOPMENT
Access To Market (ATM)
Position your business for
profitable growth and align
to turn quick profits
Develop a winning brand and
value proposition
Align your brand and value
proposition to gain market
share and access
Objectives
Help your customers:
DIAGNOSTIC
4
12
Step
Access
To
Market
Diagnostic
Platform Certification
Learn at your own pace. Earn
Business Builder Certification.
Access to latest training
content and videos anytime.
UNLOCKING
ENTERPRISE
DEVELOPMENT
Customer Service
Portal
Easy to use monthly learning
and tracking portal. Provide
your customer with their own
access to track and manage
progress.
Structured Customer
Acquisition process
Follow a proven acquisition
process. Easily find your
prospects challenges and ad-
vantages for easy conversion.
Monthly Management
Meeting reporting
Comprehensive progress
reporting functionality. Easily
update and report on all
aspects of your customer
development progress.
Diagnostic Report and
Proposal Creation
Automated report creation.
Prepare professional business
analysis and development
proposals in one click.
Unlimited Tools
And Resources
Your business in a box solution.
Customer reports, monthly
development plans, sales
collateral, promotional content
and videos.
Business Improvement
And Development tools
Automated business develop-
ment. Use the monthly
development platform to
easily build value for clients
Low monthly
subscription
Unlimited access to all existing
and future functionality.
Ongoing access to new content
and new functionality
BENEFITS
Platform
and
System
http://businessdoctors.co.za

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RED360 Cracking the Business Code.pptx

  • 1. Cracking The Business CODE The Business Builder framework is designed to accurately determine at what stage your business is at present while at the same time highlighting critical areas that you need to focus on to ensure your business grows and succeeds. The Business Builder uses an algorithm developed by incorporating the lessons and insights gained from working with 1000s of business owners over the last 14 years. By applying the framework, you will be able to drastically increase your chance of building a sustainable business in the shortest time. At the session we will share insights into: The Central Nervous System The Equity Multiplier The Sales Accelerator The Governance Quadrant
  • 2.
  • 3. Survived to year 5 Survived to year 10 Failed by year 5 Failed by year 10
  • 5.
  • 6. Central System Financial Multiplier Market Profiler Lead Generator Sales Code Innovation Funnel Customer Value Execution Capabilities Leadership Signature Governance Quadrant The Business Builder framework is designed to accurately determine at what stage your business is at present while at the same time highlighting critical areas that you need to focus on to ensure your business grows and succeeds. The Business Builder uses an algorithm developed by incorporating the lessons and insights gained from working with 1000s of business owners over the last 14 years. By applying the framework you will be able to drastically increase your chance of building a sustainable business in the shortest time. 10 Business Building Block aimed at stabilizing and growing your business 1 2 3 5 6 7 8 9 10 4
  • 7. 1 Keep it simple 2 Debate Assumptions 3 Use Framework 4 Allocate Resources 5 Identify Priorities 6 Monitor Performance 2 /5 Year Strategic Plan Rules Central System Most organizations only realize 6-% of their strategies poten- tial value due to issues in development or execution. The foll- wing are crucial aspects of target setting and perfo- mance tracking 1
  • 8. Financial Multiplier As the owner or manager of a business, of course you are very busy, but it pays to step back and plan for your financial future. Take the time to forecast, plan, and budget. P&L, balance Sheet and Cash Flow •Analise and review statements Annalise all expenses •Ensure they are linked to profit generating activities Product profitability •Annalise customer and product profitability Develop a budget •12 months detailing revenue and margin targets Establish monthly meetings •review and plan around your financial statements Financial Manage ment 2
  • 9. Financial Multiplier As the owner or manager of a business, of course you are very busy, but it pays to step back and plan for your financial future. Take the time to forecast, plan, and budget. 2 ROE = profit margin x asset turnover x equity multiplier Operating efficiency - which is measured by profit margin Asset use efficiency - which is measured by total asset turnover Financial leverage - which is measured by the equity multiplier Valuation = Score X average NP Business Builder Score = Multiple Earnings NP – where NP is equal to the average NP over three years
  • 10. Market Profiler Market development and penetration should form the core focus of all growth activities. Growth should be actively targeted over and above the function of maintaining the current performance. Growth activities should be linked to market opportunities and not resource availability. Increase Market Share Dominate Growth Markets Drive out competitors Increase existing usage Market Strategy 1. Implement five existing customer approaches 1.New geographical markets 1.New product dimensions 1.New distribution channels New market segments 2. Target selling existing products into new markets. 3
  • 11. Lead Generation It is important to plan your marketing strategy around lead generation and brand development. The key is to ensure that it delivers measurable results i.e. Actionable leads. Your marketing strategy must be integrated into your budget making available adequate funds to support marketing campaigns. The following activities will help you optimize your marketing strategy A simple database The backbone of all good marketing is about building a solid database A great website Your website must attract attention and give value to those who visit An elevator pitch Make sure you have a fun, interesting and memorable pitch ready at all times Professional marketing material Make sure they look professional and appealing at all times A professional brand It encompasses everything people see, hear, think and feel about your business Well developed product or services Make sure you do your research and listen to your customers A marketing plan and a budget Getting a plan that will support you and clearly communicate to your team 4
  • 12. Sales Code In order to effectively deliver and manage sales you have to measure sales performance weekly and monthly. For sales to deliver on targets there has to be a business specific sales process and sales funnel. The sales funnel should be aligned with the relevant sales software. The following activities can be completed to improve sales capability Develop a sales funnel Develop a sales process Link to business plan with 3x cover Track sales pipeline value Mapping products value proposition (FAB) Regular tracking 5
  • 13. Innovation Funnel Technology- push innovation Market-pull innovation Business model innovation Design thinking Platform strategy To ensure continued relevance and in- creased sales an innovation process needs to be dev- loped and imple- mented. To ensure growth and sales increase both markets and compe- titor trends should be monitored. 6
  • 14. Customer Value In order for your business to succeed you have to ensure a consistent number of new customers are added while at the same time existing customers are retained. Customer Value Generation 1.Convert sales and revenue targets into number of customers 1.Ensure that your customer retention is high 1.Track profitability and LTV on customer level 1.Measure customer service using the net promoter score system. 7
  • 15. Execution Capabilities For the business to grow it must be able to consistently deliver high quality product or services. In order to do this both resource capability, linked quality and process efficiency needs to be tracked and managed Conduct a capability audit across the organisation Implement a quality measurement Analyse Business automation 8
  • 16. Leadership Principles The most important aspect of executing your strategy is ensuring all the resources in the business is aligned to achieving its goals. If the people in your business are not 100% aligned to the vision, they will not be able to deliver effectively. Everyone in the business must have targets alighted with the overall plan and that they are in the right positions The following 5 areas should be managed Compensation and benefits Training and Development Employee engagement Clearly defined job descriptions Legal compliance 9
  • 17. Governance Signature Corporate governance is as vital to SMMEs as it is for large corporations. Implementation of cost- effective and simple mechanisms and processes will establish structure, improve operations, contribute to business growth and ensure effective compliance with the law Create simple internal policies such as a code of conduct that clearly sets-out duty of care, skill and diligence. Demonstrate effective leadership characterized by ethical values of responsibility, accountability, fairness and transparency Separate roles and responsibilities of the shareholder, director and manager to limit liability and ensure effective division of labour and function. Consider creating a board of directors Do your bit for your local environment and community - nature, society and business are interconnected Governance Quadrant 10
  • 19. UNLOCKING ENTERPRISE DEVELOPMENT ACHIEVE YOUR VISION Increase SME revenue capability & Generate Profits Ensure governance compliance and return on investment for shareholders Focus on overall critical business growth areas Business Builder Help your customers: DIAGNOSTIC 1 10 Building Blocks
  • 20. 10 Page Business Diagnostic Report 30 Page detailed Business Diagnostic, Analysis and Development Report
  • 22. UNLOCKING ENTERPRISE DEVELOPMENT Improve Overall Business Sustainability Improve capability through automation and innovation Increase the organizational maturity in key focus areas Objectives Target Overall Maturity +1 Your Success blueprint! Growth Accelerator Help your customers: DIAGNOSTIC 2 5 Pillars Business Maturity
  • 23. UNLOCKING ENTERPRISE DEVELOPMENT Turnaround Strategiser Develop high growth turnaround strategy focused on key bankruptcy indicators Improve cost efficiencies and review capital structure Focus on core and improved management structure including culture alignment Objectives Distress Indicator Turnaround Indicator Help your customers: DIAGNOSTIC 3 10 Stage Business Turnaround
  • 24. UNLOCKING ENTERPRISE DEVELOPMENT Access To Market (ATM) Position your business for profitable growth and align to turn quick profits Develop a winning brand and value proposition Align your brand and value proposition to gain market share and access Objectives Help your customers: DIAGNOSTIC 4 12 Step Access To Market
  • 25. Diagnostic Platform Certification Learn at your own pace. Earn Business Builder Certification. Access to latest training content and videos anytime. UNLOCKING ENTERPRISE DEVELOPMENT Customer Service Portal Easy to use monthly learning and tracking portal. Provide your customer with their own access to track and manage progress. Structured Customer Acquisition process Follow a proven acquisition process. Easily find your prospects challenges and ad- vantages for easy conversion. Monthly Management Meeting reporting Comprehensive progress reporting functionality. Easily update and report on all aspects of your customer development progress. Diagnostic Report and Proposal Creation Automated report creation. Prepare professional business analysis and development proposals in one click. Unlimited Tools And Resources Your business in a box solution. Customer reports, monthly development plans, sales collateral, promotional content and videos. Business Improvement And Development tools Automated business develop- ment. Use the monthly development platform to easily build value for clients Low monthly subscription Unlimited access to all existing and future functionality. Ongoing access to new content and new functionality BENEFITS Platform and System

Editor's Notes

  1. The Business Builder framework is designed to accurately determine at what stage your business is at present while at the same time highlighting critical areas that you need to focus on to ensure your business grows and succeeds. The Business Builder uses an algorithm developed by incorporating the lessons and insights gained from working with 1000s of business owners over the last 14 years. By applying the framework you will be able to drastically increase your chance of building a sustainable business in the shortest time. At the session we will share insights into: The Central Nervous System The Equity Multiplier The Sales Accelerator The Governance Quadrant We will also look at platform functionality and briefly review key methodologies i.e.: Growth Accelerator Turn-around Strategiser Access to Market
  2. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  3. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  4. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/ ROE Multiplier Equity Multiplier
  5. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  6. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  7. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  8. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  9. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  10. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  11. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  12. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  13. https://www.linkedin.com/pulse/innovate-perish-product-leadership-demands-mix-gurava-induri/
  14. The Business Builder framework is designed to accurately determine at what stage your business is at present while at the same time highlighting critical areas that you need to focus on to ensure your business grows and succeeds. The Business Builder uses an algorithm developed by incorporating the lessons and insights gained from working with 1000s of business owners over the last 14 years. By applying the framework you will be able to drastically increase your chance of building a sustainable business in the shortest time. At the session we will share insights into: The Central Nervous System The Equity Multiplier The Sales Accelerator The Governance Quadrant We will also look at platform functionality and briefly review key methodologies i.e.: Growth Accelerator Turn-around Strategiser Access to Market