Focus On Your Core

A month ago, I posted what I felt were the 6 tactics business owners should utilize in this economic correction. I meant to get back to it sooner but, as will often happen, life got in the way.

Today I want to expand on the first tactic – Focus on your Core Competencies.

Trying to determine if your company is straying from its Core can be difficult. I usually look at this in 2 ways, are you or your team performing business functions that you shouldn’t? Or, are you trying to take on business – or capture market segment – that you are not prepared for and don’t know enough about?

In the first case, we often think we can just work harder to take care of some of the daily tasks of running a business. You or your team jump in to help – that extra effort shows drive and leadership right? True, that’s what we are taught to believe but it should be the exception rather than the rule. Extra effort to put out a fire that no one saw coming is part of the job – not part of the daily routine. Right now, you and your team need to be doing what you know best to make your company the most money (manifested as cash flow). This is not the time to be distracted by anything that keeps you from that goal.

As a business owner or manager, look at what you spend parts of your day on that are not directly making you money. Do something to push those tasks or issues off your plate. If you get tied up in the mechanics of trying to generate payroll, manage email/computers/phones, write financial/sales reports, or deal with a myriad of other headaches, look at outsourcing it.

Over the last couple years, the term “outsourcing” has taken on a bad connotation. What I want you to remember is that it doesn’t have to mean loss of local jobs – there are hundreds of companies in your area that exist and thrive because you can tap into their skills. They can take on parts of your business that you aren’t good at or is not considered your Core.

Regarding the second case, I have seen some of my customers try and take on new products or services that they really aren’t prepared to sell and\or manage. They think that they have to try and be anything and everything and any sale is a good sale. Unfortunately, the mistakes caused because they did not have the experience or knowledge (wasn’t part of their Core competency) cost them more than it was worth.  

Obviously, this wouldn’t include decisions to expand or grow in a prepared and practiced manner. That’s just good business to decide how and when to expand and strengthen your Core…

But that’s a post for another time. Focus on your Core!

Think Big, Start Small, Act Now.