Slides from shared learning at the May 2018 Thought L@b in Taunton. Sharing best practice and challenges around Business Growth.

1. Thought L@B
Thought Leaders @ Breakfast
Taunton
17th May 2018
Topic: Business Growth
Challenges
Opportunities and Good Practice
Conclusions

2. Knowledge Sharing
Collective Learning
Skills & Expertise Powerhouse
Mentoring Next-Gen Leaders
Brand Advocacy
Improved Service Offering
Thought L@B
A collective of business leaders in the South West who
get together monthly and share the following aims:

3. Thought L@B
Business Growth
The process of improving some measure of an enterprise’s success.
Business growth can be achieved either by boosting the top line
or revenue of the business with greater product sales or service income,
or by increasing the bottom line or profitability of the operation by
minimizing costs.

4. What is business growth?
 It’s excelling at what you do
 It’s seeing revenue increase – having a strategy for where
you want to be and identifying what you need to put into
place to achieve it: people, products and processes
 It’s about what the business and the individual wants and
needs: get business, grow business, make money.
 Pushing as hard as you can, as fast as you can! Having a
growth target – 15-20% revenue increase per annum
recommended and continuously re-investing to facilitate
growth.
Thought L@B

5. Thought L@B
SPEED OF GROWTH
If the business grows too big/too quickly for what the individual wanted. It’s important to align an individuals purpose and
vision with that of the business.
INCREASING PEOPLE RESOURCE
• Identifying the right time to increase resource/appoint specialists so leaders can have time to focus upon the core
business.
• When to bring in an HR specialist – 25-30 employees.
• Staff to leader optimum ratio 6-8 people to 1 leader.
• Identify the tipping point to anticipate resource needs enabling to deliver to capacity. In the agency world this is 60%;
each individual bills out 60% of their time and 40% is for other stuff, like proposals. Max. billing time =75%.
• Identify this tipping point and recognise when to invest in a new person – this may result in a loss for a few months.
• More junior roles, paid at a lower rate create capacity for more experienced team members. Analyse sales process and
identify what can be delegated.
Challenges:

6. Thought L@B
INCREASING PEOPLE RESOURCE continued ….
• When to bring in a CFO, varies with different businesses.
• Business leaders need to understand finance and accountancy to some degree, eg. cash flow and forecasting. This enables
forward thinking in terms of strategy. Accountants provide retrospective information, consultants provide direction and
guidance, analysing and identifying what’s needed to achieve strategy.
• Business leaders need to have knowledge of these aspects to plan for growth.
• Sales – deciding when to invest in someone who focusses upon sales, but ensuring there’s a balance so you don’t grow too
fast.
Challenges:
DOES YOUR MARKET NEED WHAT YOU OFFER?
Are there less organisations/people to sell to in the South West? Consider how you set up your business, do your market
research and establish whether there is a demand for what you offer. Estimate that your market share is likely to be 5-10% of
the market.
FINDING & RETAINING THE RIGHT TALENT TO SUPPORT GROWTH
Do we have the right people in the region to support growth? There is a skill shortage within the SW.

7. Thought L@B
SUSTAINABLE WORKFLOW VS DEVELOPING YOUR BUSINESS
• Allocate time to business development. Some of this can be done in the evenings. Always ensure there are new leads
coming through.
• Even if you are a sole trader/small business look at your role as a collection of ‘departments’ – what are the different roles
you need to perform to create a sustainable, growing business? Eg. business development, finance, payroll, delivery, HR
etc. Ensure that you allocate time to each of those roles throughout the week.
• Consider keeping Monday and Friday as business development/admin days. Deliver Tues, Weds, Thurs and work out what
you need to sell to sustain the other 2 days. Do you need to increase prices? Where can you secure a retainer?
• Some work is ‘lumpy’ ie. the demand is in one big ‘chunk’. Find work that supports that which isn’t ‘lumpy’, ie. a retainer.
• Always ‘keep your foot on the gas’ with regard to sales and marketing.
• Charge by the day, not hours.
• Outsource marketing – SEO, Social Media etc.
Challenges:

8. Thought L@B
CHALLENGES:
Anticipating needs and grasping opportunities, whilst taking care not to dilute core brand.
Worrying about the balance in the bank! If you’re creating revenue and growth don’t focus upon what’s
sitting in the account, it better to be utilising that money.
Challenges:

9. Thought L@BGood Practice:
RESEARCHING YOUR MARKET AND UNDERSTANDING YOUR SALES PROCESS
• Essential to understand your market and their needs – do your market research!
• Understand your sales volumes and conversions. You can then look at all the ways you can increase
revenue. Eg. creating a sales pitch that’s more likely to work, selling to people who are more likely to buy.
• Review your process so you know your conversions. Looks at all the elements of the process and identify
where improvements can be made. Also consider the development needs of each individual.
• Get your sales formula right first and then concentrate on getting the right people.
Quantity, Direction, Quality:
• Quantity – make sure you’re making enough contact and understand how many contacts you need based
on conversions, to achieve sales.
• Direction – make sure you’re talking to the right people – do your market research.
• Quality – say the right things and have quality conversations/communications.

10. Thought L@BGood Practice:
CREATING A COMPELLING EMPLOYEE BRAND
• Attracting the right people at the right level.
• Paying attention to cultural development, ensuring people are onboard right from the start.
• Ensuring that the core people are 100% delivering and in-line with the values BEFORE we grow.
• Understanding what individuals want from life and helping them to achieve it.
CLEAR OPEN COMMUNICATION WITH CUSTOMERS
• Better to turn down work because you’re too busy than do a bad job. When you can’t do it, say you can’t and look for a
compromise if possible.
OBSERVING INDUSTRY CHANGES
• If you’re head’s down & blinkers are on, it’s difficult to notice what’s going on in your industry and anticipate and grasp
opportunity.
• It’s important to observe what your competitors are doing, but don’t try to compete, as this may take away your own focus.

11. Thought L@BGood Practice:
HAVING THE BEST OF BOTH – BIG VISION AND SMALLER DETAIL
• The Yin and the Yang, rather than the Jekyll and Hyde!
• Variety within your team will encompass both. Develop an understanding so communication can be
productive, even
CONSISTENTY
• Management style, culture and values, must be delivered consistently, particularly by the leaders of the
organisation.

12. Thought L@BGood Practice:
EXAMPLES:
Stephens Scown, they have grown from 50 to 300 staff in approx. 2 years. They have done this by
providing; equity share, setting clear values, creating a compelling employee brand. They have set their
vision and gone for it.
Evosite – From 2pm to 5.30pm every Friday developers are encouraged to spend time on anything they
want which is innovative and new.
Mindvalley – 20% of their growth revenue comes from employee inventions that the company invested
in. They supported individuals to innovate, rather than lose that talent.

13. Thought L@BConclusion:
Business growth is about considering all elements of strategy and making sure they are aligned. Having a vision, knowing your goals, creating
a culture which supports that, supporting working practices which enable what you need, such as innovation and having the right systems and
processes in place to maximise sales etc.
Systems and
Processes

14. Thought L@B
Thought Leaders @ Breakfast
Taunton
Exeter
Plymouth