Wednesday, 30 December 2009
Never to be beaten Kitchen and Bedroom deals!
Yes, it’s “Sale Time”, again!
One of our associated industries, fitted furniture, yet again manages to offer “never to be repeated” discounts of 60% reductions (and more), on goods that are still manufactured to order.
How do they do that? Discounts of 20%, I can understand. A discount like that, can still leave some margin but 60% - how does that work?
It works because for most of the year leading up to the “sale season”, the headline price is unrealistic but the customer sees (and likes), the opportunity to strike a bargain. Good old fashioned barter. It creates satisfaction for the “cute” consumer, via the “Mexican Hat Dance” leading up to the moment of satisfaction for the salesperson – the close!
So how is this funded? Are such retailers really taking substantial amounts of money from their own bank accounts, to benefit every customer who walks through their door, eagerly awaited by the “ever so humble”, hand writhing, Uriah Heap character, equally eager to offer discount beyond your wildest dreams? Are they true modern day benefactors of the general public?
Of course not and deep down, we all know it! They don’t make a loss. They just make a higher than average profit all year and charge “extras” at every given opportunity;
“Sorry madam, we didn’t know that your electrical system was inadequate, so we need to charge an extra £450”.......” Removing the tiles has meant more plastering than we first thought, so the extra cost is £1500”........”We thought you were going to move the sockets, so we will have to charge £150 per socket extra”.......”We thought that you would have moved the radiator, before we arrived. We now need a plumber and who knows what that will cost!”......
Unfortunate but common-place industry solutions to gaining margin. It’s the cowboy mentality that we would seek to eliminate.
Our advice? Stick to the realistic discounters with first class installers! Try Katherine Cavendish Fitted Interiors Limited (www.katherinecavendish.co.uk), installed by Rubicon Developments Limited.
Peter Saunders
Director
One of our associated industries, fitted furniture, yet again manages to offer “never to be repeated” discounts of 60% reductions (and more), on goods that are still manufactured to order.
How do they do that? Discounts of 20%, I can understand. A discount like that, can still leave some margin but 60% - how does that work?
It works because for most of the year leading up to the “sale season”, the headline price is unrealistic but the customer sees (and likes), the opportunity to strike a bargain. Good old fashioned barter. It creates satisfaction for the “cute” consumer, via the “Mexican Hat Dance” leading up to the moment of satisfaction for the salesperson – the close!
So how is this funded? Are such retailers really taking substantial amounts of money from their own bank accounts, to benefit every customer who walks through their door, eagerly awaited by the “ever so humble”, hand writhing, Uriah Heap character, equally eager to offer discount beyond your wildest dreams? Are they true modern day benefactors of the general public?
Of course not and deep down, we all know it! They don’t make a loss. They just make a higher than average profit all year and charge “extras” at every given opportunity;
“Sorry madam, we didn’t know that your electrical system was inadequate, so we need to charge an extra £450”.......” Removing the tiles has meant more plastering than we first thought, so the extra cost is £1500”........”We thought you were going to move the sockets, so we will have to charge £150 per socket extra”.......”We thought that you would have moved the radiator, before we arrived. We now need a plumber and who knows what that will cost!”......
Unfortunate but common-place industry solutions to gaining margin. It’s the cowboy mentality that we would seek to eliminate.
Our advice? Stick to the realistic discounters with first class installers! Try Katherine Cavendish Fitted Interiors Limited (www.katherinecavendish.co.uk), installed by Rubicon Developments Limited.
Peter Saunders
Director
Monday, 21 December 2009
Blog title...
Three wise men and the Messiah
The pressures of business in the current climate are causing stress amongst many businesses.
Three wise men and a Messiah would be welcomed openly by many of us, as a potential solution to raising finances, new business development, cash-flow improvement and business planning and forecasting.
Who are the wise men in your business and who is your “Messiah”?
Are the wise men, the “Managing Director”, the “Sales Director” and the “Financial Director”? Let’s hope so!
Is the Messiah the bank manager? Probably not.
In this analogy, the Messiah is planning, strategy, resourcefulness, training and communication.
The Messiah for business, is looking after staff now and in the future. The three wise men of business, should embrace this Messiah in 2010.
Don’t allow business pressures to negate true values and the reason for Christmas.
On that note, Merry Christmas to all and let’s put our faith in a happy and healthy New Year.
Peter Saunders
Director
The pressures of business in the current climate are causing stress amongst many businesses.
Three wise men and a Messiah would be welcomed openly by many of us, as a potential solution to raising finances, new business development, cash-flow improvement and business planning and forecasting.
Who are the wise men in your business and who is your “Messiah”?
Are the wise men, the “Managing Director”, the “Sales Director” and the “Financial Director”? Let’s hope so!
Is the Messiah the bank manager? Probably not.
In this analogy, the Messiah is planning, strategy, resourcefulness, training and communication.
The Messiah for business, is looking after staff now and in the future. The three wise men of business, should embrace this Messiah in 2010.
Don’t allow business pressures to negate true values and the reason for Christmas.
On that note, Merry Christmas to all and let’s put our faith in a happy and healthy New Year.
Peter Saunders
Director
Walking the Floor
Walking the floor
What is management?
Every manager has occupied a more junior position and almost certainly, looked upward to higher ranks and said “I could do it better”.
So what happens, when the opportunity to “do it better”, is given? Is it initial enthusiasm, overtaken by eventual apathy?
Pose the question;
“If all the directors left the business, could the shop floor personnel create output and profit?”
The answer is undoubtedly “Yes”.
Now pose the alternative question;
“If all the shop floor personnel left the business, could the directors alone create output and profit?”
The answer is more than likely, “No”.
So what do managers and directors do? What should they do? What “added value” do they contribute?
They should direct and manage resource, including people, to ensure that the output and profitability of the business is directed and managed to the greatest effect, adding value through improved efficiency and planned growth.
They should empower the shop-floor and create “transparency for growth and improvement”.
All too often, “KPI’s” are cited as the “Holy Grail” and the cornerstone of business improvement. All too often, managers and directors, rewarded by bonus based on performance improvement cite numbers and then massage them for the benefit of themselves.
As a management consultant, my first approach is to “Walk the floor” and talk to the people that matter and too often discover that they don’t know about business policy, company direction, growth strategy, imminent new products and even more surprisingly “KPI’s”. Improvement here is the best first step in any improvement process.
Even when surrounded by glorious coloured charts with clear upward or downward trends, they often don’t know why. In many cases, the charts are out of date on the shop floor but up to date on the manager’s laptop.
The best KPI’s of any, are “how often do the directors and managers walk the floor?” and “how often do they communicate personally with staff?”
Such two way flow is a key element in improvement strategy.
Don’t wait until “bonus time” or “pay review time” to communicate and take a careful look at your “KPI’s”. Do they really reflect reality and more importantly, does you greatest asset (staff) know of them and agree with them?
Peter Saunders
Director
Rubicon Developments Limited
What is management?
Every manager has occupied a more junior position and almost certainly, looked upward to higher ranks and said “I could do it better”.
So what happens, when the opportunity to “do it better”, is given? Is it initial enthusiasm, overtaken by eventual apathy?
Pose the question;
“If all the directors left the business, could the shop floor personnel create output and profit?”
The answer is undoubtedly “Yes”.
Now pose the alternative question;
“If all the shop floor personnel left the business, could the directors alone create output and profit?”
The answer is more than likely, “No”.
So what do managers and directors do? What should they do? What “added value” do they contribute?
They should direct and manage resource, including people, to ensure that the output and profitability of the business is directed and managed to the greatest effect, adding value through improved efficiency and planned growth.
They should empower the shop-floor and create “transparency for growth and improvement”.
All too often, “KPI’s” are cited as the “Holy Grail” and the cornerstone of business improvement. All too often, managers and directors, rewarded by bonus based on performance improvement cite numbers and then massage them for the benefit of themselves.
As a management consultant, my first approach is to “Walk the floor” and talk to the people that matter and too often discover that they don’t know about business policy, company direction, growth strategy, imminent new products and even more surprisingly “KPI’s”. Improvement here is the best first step in any improvement process.
Even when surrounded by glorious coloured charts with clear upward or downward trends, they often don’t know why. In many cases, the charts are out of date on the shop floor but up to date on the manager’s laptop.
The best KPI’s of any, are “how often do the directors and managers walk the floor?” and “how often do they communicate personally with staff?”
Such two way flow is a key element in improvement strategy.
Don’t wait until “bonus time” or “pay review time” to communicate and take a careful look at your “KPI’s”. Do they really reflect reality and more importantly, does you greatest asset (staff) know of them and agree with them?
Peter Saunders
Director
Rubicon Developments Limited
Sunday, 20 December 2009
Meeting Tips: 6 tips for making a good first impression in vital meetings
For any sales person, business principal, account manager or other business professional approaching client meetings is a time to make a good first impression. Aspects such as appearance and personality (and age, despite non-allowable prejudice), sway the initial proceedings for the meeting. So how can you eliminate as many of these negative initial reactions as possible?
Tip 1: Have an Agenda prepared.
Too many meetings either “shoot” off on tangents as you lose control, or last too long when your time could be spent on winning business. Many decision makers that you meet, will have little of the precious commodity of time. It is important to maintain a quality, structured meeting agenda so you get your ideas across and hold an efficient meeting. If you talk too much you will bore them. If you talk too little, you don’t get the message across. Strike a balance and above all, read the signs.
Write the agenda (where possible and appropriate) in good time and send it in advance, to everyone who will be attending. This will structure the meeting in a way to suit you and facilitate a path towards the “close”.
Tip 2: Small Talk.
As part of your agenda (don’t write this on any documentation sent to the client of course!) you should include small talk at the beginning. It can be deemed very negative to walk into a meeting and start pitching immediately. Understanding the individual you are to meet is crucial, so be observant. Channel small talk around a picture on the wall (football team maybe), a sporting link, an emblem on a tie, a crash helmet in the corner etc. Be creative!
Tip 3: Look smart.
You are an ambassador of the business you are representing. You should always aim to dress better than the person you will be meeting (but don’t tell them that!). A scruffy, dishevelled appearance indicates a dishevelled approach to business. Shiny shoes, crisp shirt, neatly pressed suit. When travelling, hang your jacket up, where possible – there is nothing worse than that creased jacket look!
Tip 4: Listen first, pitch second.
How can you expect to offer the best solution you can by pitching straight off? The etiquette for this tip is simple:
· Ask what their requirements are
· Listen to their in depth requirements
· Take the stem of your product/ service and tailor it to suit their business.
90% listening and 10% talking - you have 2 ears and one mouth, so try and use them in proportion.
Tip 5: Talk about the competition.
The minute a competitor’s activity is mentioned, good business owners and executives listen. If you can show that you have researched their market and competitors, it emphasises your company and it’s advantages.
Do not, however, malign the competition. Use the features and benefits approach. This is far more professional and sets you apart from “also-rans”.
Always give out 2 business cards – one for them and one for a colleague. That way, you ensure post meeting conversation and stand every chance of reaching true decision makers.
Tip 6: Follow up and close.
Clearly arrange a “close” and/ or a “follow-up” strategy.
“what day would it be best for me to call you?”
“when will you be making a decision?”
“how do you feel about the information I have given you today?”
“when would you be looking to take delivery?”
Peter Saunders
Director, 20th December 2009
Tip 1: Have an Agenda prepared.
Too many meetings either “shoot” off on tangents as you lose control, or last too long when your time could be spent on winning business. Many decision makers that you meet, will have little of the precious commodity of time. It is important to maintain a quality, structured meeting agenda so you get your ideas across and hold an efficient meeting. If you talk too much you will bore them. If you talk too little, you don’t get the message across. Strike a balance and above all, read the signs.
Write the agenda (where possible and appropriate) in good time and send it in advance, to everyone who will be attending. This will structure the meeting in a way to suit you and facilitate a path towards the “close”.
Tip 2: Small Talk.
As part of your agenda (don’t write this on any documentation sent to the client of course!) you should include small talk at the beginning. It can be deemed very negative to walk into a meeting and start pitching immediately. Understanding the individual you are to meet is crucial, so be observant. Channel small talk around a picture on the wall (football team maybe), a sporting link, an emblem on a tie, a crash helmet in the corner etc. Be creative!
Tip 3: Look smart.
You are an ambassador of the business you are representing. You should always aim to dress better than the person you will be meeting (but don’t tell them that!). A scruffy, dishevelled appearance indicates a dishevelled approach to business. Shiny shoes, crisp shirt, neatly pressed suit. When travelling, hang your jacket up, where possible – there is nothing worse than that creased jacket look!
Tip 4: Listen first, pitch second.
How can you expect to offer the best solution you can by pitching straight off? The etiquette for this tip is simple:
· Ask what their requirements are
· Listen to their in depth requirements
· Take the stem of your product/ service and tailor it to suit their business.
90% listening and 10% talking - you have 2 ears and one mouth, so try and use them in proportion.
Tip 5: Talk about the competition.
The minute a competitor’s activity is mentioned, good business owners and executives listen. If you can show that you have researched their market and competitors, it emphasises your company and it’s advantages.
Do not, however, malign the competition. Use the features and benefits approach. This is far more professional and sets you apart from “also-rans”.
Always give out 2 business cards – one for them and one for a colleague. That way, you ensure post meeting conversation and stand every chance of reaching true decision makers.
Tip 6: Follow up and close.
Clearly arrange a “close” and/ or a “follow-up” strategy.
“what day would it be best for me to call you?”
“when will you be making a decision?”
“how do you feel about the information I have given you today?”
“when would you be looking to take delivery?”
Peter Saunders
Director, 20th December 2009
Tuesday, 15 December 2009
A Refreshing Change
It just goes to prove that not all companies are having the same approach to their budgets for 2010. Forward thinking companies are planning ahead and forecasting what training they will be doing in the new year to optimise their success.
Having just visited a company to discuss their upcoming requirements, I was impressed by their refreshing approach and forward thinking. They are looking ahead to next year and planning both strategically (i.e. what new staff will require training), financially and from a business development perspective to offer their employees consistent and regular training. They pride themselves on their staff retention, which is so key to minimising the costs in your business, yet not a lot of companies have this in mind when considering staff training.
I relish working with companies with such positivity, and making such an investment in their staff and in turn the future of their company - long may this attitude continue!
Carol Saunders
Director - Rubicon Developments Ltd
Having just visited a company to discuss their upcoming requirements, I was impressed by their refreshing approach and forward thinking. They are looking ahead to next year and planning both strategically (i.e. what new staff will require training), financially and from a business development perspective to offer their employees consistent and regular training. They pride themselves on their staff retention, which is so key to minimising the costs in your business, yet not a lot of companies have this in mind when considering staff training.
I relish working with companies with such positivity, and making such an investment in their staff and in turn the future of their company - long may this attitude continue!
Carol Saunders
Director - Rubicon Developments Ltd
Saturday, 12 December 2009
A path through life is like 2 sides of an equilateral triangle. there is a wrong path or side and a right path or side. The further progress is made down the wrong side, the harder it is to get back to the right side. The path becomes longer and more entangled with difficulties.
Training follows a similar pattern. An untrained person often lacks guidance and if their path lacks structure, the stage can be reached, where there is no route back across the triangle, the only option being to go all the way back, "unlearning" all of those bad habits and the further down the wrong path you are, the harder that journey becomes.
The return journey is not impossible but it takes a strong character to firstly identify or admit to such issues and an even stronger character to correct it.
It never ceases to amaze me though, how many such characters exist and it gives us, at Rubicon Developments Limited, an unbelievable level of satisfaction, when we meet them and in some small way, assist.
Training is like the guidance of a parent. We never stop needing it and we never stop passing it on. Who says you can't teach an old dog new tricks?
Training follows a similar pattern. An untrained person often lacks guidance and if their path lacks structure, the stage can be reached, where there is no route back across the triangle, the only option being to go all the way back, "unlearning" all of those bad habits and the further down the wrong path you are, the harder that journey becomes.
The return journey is not impossible but it takes a strong character to firstly identify or admit to such issues and an even stronger character to correct it.
It never ceases to amaze me though, how many such characters exist and it gives us, at Rubicon Developments Limited, an unbelievable level of satisfaction, when we meet them and in some small way, assist.
Training is like the guidance of a parent. We never stop needing it and we never stop passing it on. Who says you can't teach an old dog new tricks?
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