Growth for the sake of growth isn’t the recipe for success. Opening doors in other regions or expanding offerings without doing your homework could actually set you up for failure instead of success.
Making a successful plan for growth begins with knowing what your customers want and finding new ways to improve sales and customer satisfaction. You might find ways to streamline operations that will lead to greater productivity, as well as reduce costs. The idea is to expand operations carefully and thoughtfully, without over-reaching. You want to determine potential niches, new geographic locations, or services that make sense for your operations and your customers. Consider the effect that your new goal might have on your existing labor force, budgets, and whether it will have positive effects on your existing customers and prospects.
You might have an idea about what you can do to safely and successfully expand operations, but you want to put some concrete figures to your educated guesses. You should be able to get good data out of your enterprise resource planning (ERP) software system. Solutions such as Microsoft Dynamics® GP offer a powerful business intelligence (BI) feature and reporting features so that you can quickly and easily pull out the data you need to create strategic goals that can drive growth. You can identify your best customers and most popular products or services, then determine how to optimize secondary and cross-sales. You can also set goals on improving the products or services that are lagging but have the potential for growth, or discontinue the operations that have a poor profit margin or none at all. For distributors, greater visibility into your supply chain and customer buying habits can dictate more streamlined ways to get products delivered to customers quicker and with lower transportation costs.
If you are going to set the goals that can drive business growth, you will want to track them to make sure you stay on the right course. Microsoft Dynamics GP enables users to set up notifications that will alert you when metrics are being met or exceeded. The Role-Tailored interfaces make it easier to find the data you are looking for at a glance, and you can drill down deeper when details are needed.
Expanding into new geographic locations, taking in every possible product line, and reaching out to each demographic is an inefficient way to drive business growth. The way to grow your business is with slow and thoughtful consideration on what makes sense for your business, your customers, and the resources that you currently have and use. Using reliable, accurate data from your ERP can help you make reasonable strategic goals that will help you achieve growth and stay on track toward reaching those goals. Contact The Resource Group for more information about making a plan and achieving successful business growth.
By Earl Hunt of The Resource Group, a Microsoft Dynamics GP Partner out of Washington