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Recovery from the Recession & Organisational Re-design
We hear today that between fifteen, and as many as thirty major retailers are at major risk going to the wall after Christmas. Whether or not its true for the big high street names they will not be the last. We will see a flow of SME’s hit the wall if they cannot borrow the necessary funds to expand their operations in the New Year..
Cash is often not the answer because what lies beneath the problem of poor revenue streams is a fundamental problem. Providing finance for the short term is often only a temporary reprieve when what is required is a transformation in how the company organises itself for how it does business.
Customers Preferences, Habits, Attitudes & Markets Change
While we know that markets change do businesses anticipate and react fast enough to these changes through how they design the delivery of services to their cleints and customers?
Form follows Strategy
As the recession bites, more companies are close to going bust simply because of cash flow. The banks will support many businesses till the turn of the year when VAT supplier's and salaries have to be paid. Whether the support is forthcoming after New Year that is in doubt.
To remedy the situation, turnaround specialists can often support the management team by providing a rescue package, but this is only a partial solution.
What is needed is a focused business plan with organisational capabilities designed to deliver that plan.
No Focused Business Thrust
Not enough businesses create a strong and sustainable thrust into the market place. They 'forget' that without ongoing sales growth, repeat and loyal purchasing they would have no business at all.
What is critical is ensuring that the organisation is designed specifically to service existing customers, and promote sufficient the growth of new ones.
Fundamentally most organisations need to have sales culture. Organisations need to be designed to be strictly customer facing, geared totally to delighting the customer and winning loyalty and with that sales and profitable growth.
Design of a Sales Culture
Still, in 2008, many organisations are designed around traditional functional responsibility resulting in poor integration between specialist silos. Organisations that will survive beyond 2009 will have to think seriously about organisational design and engineer their business around two key processes. Winning new business and servicing the customer cost effectively.
Organisation Design around the Customer
This requires an in-depth understanding of the customer and the motivations and emotions that drive the customer to you. If the customer makes purchasing decisions with you only because you are the lowest cost supplier, you are in deep trouble.
Process design around Customer needs & wants
You have to satisfy as many of the emotional needs of the customer as you can if you hope to win their life time value. All processes have to be designed with this end in mind. Processes designed around Transactions
In too many businesses, the process and the organisational structure is designed around the business doing business with itself! In these organisations the majority of staff never meet or actively transact with the customer they are too busy servicing administrative functions.
Customer-Facing Organisational Design
Organisational redesign is about making as many staff as possible becoming customer facing, and proactively anticipating their needs. Those who don’t interact, add value, and face the customer, need to support those who do.
Organisational Re-Design Issues & Principles
Organisational Redesign
In Genetics›› In Construction and Agricultural Equipment››
Fuller Explanation of Recovery from Recession through Organisation Re-Design››
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NEWS & BLOG
How to be a complete and utter failure in Sales?Win More Sales - Help Clients Buy'Sales Mastery' MasterclassInternal Audit - Interpersonal Influence & Leadership'Selling Brand You' - ThursoStandard Life: Interpersonal InfluenceUniversity EYP ConferenceNew Business DevelopmentInterpersonal Influence EventCIM 'Brand You'Sales - retain clients & customersWhere's the ROI in Training?'Brand You' - Selling SelfRapid Business ImprovementDemographics - Sales & CustomersCapability & Capacity BuildRecession & the Legal ProfessionBright Purple - Customer FocusedRecession Busting SellingTroubleshooting: Replacing 'Old School' ThinkingConsumer & Customer Behaviour 2010+Black Swan Thinking StrategiesRecovery: Re-Design OrganisationsRecession-proof LeadershipSales: Pitching for New BusinessElite Change TeamMentoring PerformanceBecoming a Change MakerFocus Groups in the NHS'Breaking Spirits'Presents to Russian Delegation'Brand You' - InfluencingRecession ProofAuthenticity: Employee & Consumer BehaviourCredit Crunch 'Interims'Matrix Management5-10% underperformingNew Lean Matrix ManagementBig Bang & Continuous ImprovementPortal of Management, Business Games, SimulationsBusiness TransformationBiggest most painful challengeResistance to ChangePersonality Profiling - Coaching, LeadershipLive the Brand, Zero DefectsLeadership - the No Ass**** RuleDiscovery Review & fix my businessPartners with ClientsCoaching for ResultsSales: Influencing MagicallyInterim & SearchSales: Buyer's RemorsePoor Performance |