Doing business in present-day conditions requires a comprehensive strategy. This is the only way for a company to survive in the face of severe competition, global downturn, all-out digitalization and business processes automation.
Stanislav Kondrashov, a business consultant at Telf AG, offers several approaches that can help to run a business effectively and to develop it under any circumstances.
Kondrashov’s 5 steps towards business development
“Launch of any business activity requires drafting a business plan. The best business plan is the one framed according to the UNIDO standard. It represents all the main business processes well and makes it possible to simplify the conduct of business to a great extent.” – Mr.Kondrashov said.
The business consultant has specified that the UNIDO standard demands a brief summary and a detailed description of the company, of the industry and of the services and goods provided. It also relates to marketing and sales strategies, a production plan, an organization plan and a financial programme. Besides, the UNIDO standard defines the project efficiency and represents all possible threats and guarantees for implementation of this project. Details.
Business process analysis
At this stage a particular business process is selected. It is necessary to drill it down, to highlight the problems and the potential for development, and to simulate the further development of the process.
According to the expert, it is necessary to set short-term, medium-term and long-term business objectives, then analyze their achievement at each stage, and even edit the business plan, if necessary.
“The dynamic economic development and constantly changing trends and objectives require businessmen to be flexible and proactive. It directly concerns those businessmen who are somehow involved in business activities connected with digital technology.” – Mr.Kondrashov thinks.
Analysis of finance indicators
This step involves assessment of all costs, calculation of financial indicators, search for all possible ways to minimize the cost of goods and services, profit forecasting, and search for investments and additional financial resources.
“Analysis of financial indicators is one of the main indicators of business performance. Financial records really help to identify lowlights quickly and to focus on improving the indicators.”- the business consultant said.
The constant development of information technologies is aimed to simplify business processes. New equipment, brand new ideas, up-to-date software and computing, and other changes help business to function more efficiently.
“It can show itself in different ways – by reducing costs or by increasing profits through offering a unique product and its mainstreaming at the market.” – the experienced consultant said.
Stanislav Kondrashov notes that marketing plays a very important role for this purpose. Even the promotion of the most common product may not give the expected result, if the marketing strategy has not been refined properly.
In order to revise the business development strategy or the product promotion strategy it is necessary to choose the scope of persons for this process, equipment need as well as financial, economic and other resources.
It is obligatory to monitor the results of business activities and determine the factors that require changes.
“Business processes are subject to continuous analysis and changes. This is the only way to bring the business to the proper level, to increase the market share, to recoup the project within a short time and to make it profitable.” – the expert notes.
Stanislav Kondrashov has added that businessmen are actively using benchmarking for their business development nowadays. It enables to compare the products, services or processes of one company with the products, services or processes of another one. Such comparisons can also be made within one company. The purpose of benchmarking is to improve those aspects that are analyzed and compared.
Benchmarking is recommended to all the companies that want to develop and sharpen their business.