Four Stages of Business Growth

1st Stage-Initiation:

There can be varied reasons for a business start-up but the main values in running the business are of those who are the founders. We can see that company exhibits the main skills of the founder in its spirits, for example, if the founder is an engineer, he will emphasize in production rather than sales and marketing which should not be neglected. Main efforts are centered on the acceptability of the product in the market. If the owner can provide the demands of business i.e. time, energy, and finances, he/she can move to the second stage. Otherwise, he/she will have to wind up their business as there is limited time for the company to stay at one stage. Here the main focus changes to establish the company and earn profits. With this financial push company will need to formalize the system and start record keeping, an unskilled manager can’t handle this all. After this, there will be demand for change in administration’s style because of increased activity in his business.

2nd Stage-Growth:

The moment a company moves forward to the expansion stage it should be able to earn a decent profit, but that profit will not go to the owner. This is because it will be invested in the business in order to assist in the capital demands of the company. It demands time for coordinating functional managerial activities; it demands complicated organizational structure mainly focusing on functional lines. Now research and development will be established in order to increase product range. At the start, it will be on a smaller scale because of lack of capital. If management continues changing its environment, the company can stay at this stage for some time. In many cases, owners sell their business at this stage for substantial benefits. The increase of new markets and product will demand more finances. This stage faces larger competitors who deal the situation by putting stress on emerging firm; this stress can be in the form of very low prices as well. At this stage over trading is the biggest threat if not handled properly it can lead the business to demise. As the company grows it need to extend geographical trading and distribution, so ‘supervised supervision’ will be required at this stage. If new competitors enter the market and the owner wants to maintain his shares, he will have to put more capital by himself or attract some partners.

3rd Stage-Expansion:

This stage demands proper management reports, budget control, and dispersed authority, along with a formal accounting system. Basic adaptation at this stage will be to systemize administrative roles which are keys to survival through this stage. The expansion stage demands stable long term funds which will be important and if there is not plan for partners then this stage must be considered right now. Although retained earnings are major forms of funds but dividends are the special attraction to the investors; at this stage these are inevitable. Now company’s track record will help in gaining long term loans but the company will have to give security in the form of assets.

4th Stage-Maturity:

At this stage main issues are about expense control, search for growth opportunities and productivity. The direction of authority can be towards functional lines or it is reorganized with production lines. As there is severe price competition, therefore, productions department should be the center of focus and authorities should emphasize on innovative moves towards betterment.

Now basic investments are in sales and marketing struggles and maintenance and plant up gradation. The company grows up to a level that income is sufficient to tackle this but occasionally more long term load prove to be a support. At this level firm may limit its operations or move on, normally acquisition or floatation in order to become a large corporation.

Decisions to Be Made for Analytics Training

Ways in which you can identify the kind of analytics training you need

Many people inquire about ways in which they can further the knowledge that they have in analytics. This is an industry that is still in its infancy and there are many developments that are bound to occur in the future. It is therefore important to choose the right kind of analytics training that will get you ahead and keep you current.

The boom in training

In the recent past, analytics education has experienced a boom. Some of the training is done in classes, some use software while there are also workshops and online tutorials that have become profuse. This makes it quite hard to identify the best program to choose. The other issue is the lack of clarity regarding pertinence, practice and process so as to clearly tell people what is really needed to succeed in analytics.

What do you want to do?

This should be the very first step regardless of the career in question. What kind of role currently or in the future are you aiming at? Do you want to be a data scientist or an analyst? You may also be a business professional looking for a way to leverage analytics into your daily workflow. There are also those who seek to make a transition within their career to become analysts. When you have made a clear determination of where you are at and what industry you are in, you will be in a better position to choose your path.

Identify the skills gap

When it is clear to you exactly what it is you want to do, it is time to identify the skills gap. One of the things that should be noted is the fact that the skills needed in different areas like marketing, product development and so on are different from those needed by a data scientist. There are many analytics skills that successful professionals apply. They should be able to get data from different sources and then organize it to be able to analyze it.

An analyst must learn different techniques to successfully extract value from the raw data. An analyst should also be in a position to work with the different stakeholders through effective communication.

Choose the best training option

When you have clearly defined the skills gap, you should be able to choose the best training option. The kind of training that you need is usually based on the gaps that you intend to fill. It also depends on exactly what you want to do.

There are several options when it comes to training. There are universities that offer a master’s degree in this area. The programs are usually ideal for persons who don’t have any kind of professional experience but want to handle analytics roles. The programs are usually comprehensive but can be time-consuming. You can also choose the online options that are quite accessible.

Local universities also offer some semester courses. It may be wise to also keep an eye open for the professional workshops that are usually held by major companies.

How To Know When You Need A New Advertising Agency

Even though many of us don’t own or run our own businesses, we know that times can be pretty rough in the business world. In order to stand out and compete, businesses will take on the services of an advertising agency so that while the business focuses on having a solid product or service to offer, the advertising agency can focus on making the business a consumer juggernaut.

In practice, this sounds great. In fact, the argument can be made that this is the way to go for businesses looking to stay ahead of the game versus their competition. Far more often than you’d think, businesses will try to take on advertising internally, figuring that no one knows their business better than they do. The problem with this is that at some point, you’re too close and drawing conclusions on advertising strategy is being done based on emotion rather than analysis & assessment. In the same way you can’t really tickle yourself, it’s hard to handle your own advertising.

But, sometimes the job isn’t getting the job done. What was once an exciting partnership isn’t quite as productive, and you wonder what the future holds. Moreover, you hope you see the signs of decline before it starts affecting your bottom line.

How can you tell it’s time for a new advertising agency? Well, that be harder than you think. Here are a few tell-tale signs it’s time to part ways:

You Encounter Nothing But “Yes” Men – A business owner may find the idea of uniform agreement pretty nice simply because it makes you feel as though you’ve got all of the answers. The problem is that an advertising agency needs to be able to challenge their client to think differently.

You Lose Track of the Numbers – How advertising dollars are spent weekly, monthly, quarterly, or yearly helps a business know where they stand financially, where they need to re-group, and how best to move forward. Transparency is key, but if an advertising agency isn’t keeping communication about these numbers open, the business who hired them is flying blind.

Your Advertising Agency is Missing in Action – When things are new & exciting, the advertising agency you hired for your business is maintaining regularly scheduled communication, providing a breakdown of all that is happening with your account. Over time, though, the communication becomes less frequent, and the business starts feeling left out and less important. Tension can fester, making subsequent meetings with the agency feel forced and uncomfortable. Both sides may dread appointments. It’s time for a change.

The one thing businesses need to keep in mind when working with an advertising agency is that in order for plans and strategies to play out, it takes time. Each side plays their part in achieving goals & milestones along the way. However, keep in mind that an advertising agency works for your business, and if they aren’t cutting it anymore, you have to find an agency that will.