Measure and Maintain your Business

This article was originally shared in the first edition of ScoopVizion, March 2021.
In the modern world, where the business world is an ever-changing environment, it’s necessary that business people adopt practices that promote sustainability and build the organizational culture that cements their sustainability goals and puts them ahead of their competitors. Measures such as the SWOT analysis, PEST analysis, five whys, heptalysis, and De Bono’s thinking hats are significant analysis measures that a business person can undertake to foster growth when adequately incorporated into their business. Check out the various ways a business person can promote best practices into their business acumen.
SWOT analysis
A SWOT analysis can be defined as a set of methods utilized to assess both the external and the internal environment of a company. The strategy comes in handy when a company seeks to launch new plans, majorly marketing plans. The process’s backbone is based on four elements: strength, weakness, opportunities, and threats. The strengths and weaknesses are defined as those factors that are within the control of the company. A simpler term would be the internal environment. The external environment, which is determined by factors outside the company’s power, comprises the opportunities and threats. The defining characteristics for strengths and weaknesses are based on human resources, economic situation, and competition. Understanding the strengths and weaknesses in this section can help shape the company’s future. Rules and regulations from the government define opportunities and threats, the economic situation among others with such one can influence the development of the company.
PEST analysis
This analysis is centered on four elements the Political, economic, sociological, and technological features. The method is utilized when needed to assess external impacts on the performance of a company. The political element is the primary subject of analysis as the current political situation defines the present and future operating environment. The economic aspect is determined by the local and the global financial crisis. The community in which a business exists and operates is covered in the sociological element. In this section, the customer demands are met, and the company identifies the shifts in trends. The technological aspect is the most crucial, keeping in mind the dynamic state of technology. It determines how sustainable a business can be if they adopt changes in their operations technologically while keeping tabs in the Industrial Revolution. Companies must adopt reasonable measures that work to keep up with the technological advancements being made.
Five whys
Five whys is an analytical tool that a company can apply when seeking a given problem. One gets the privilege to oversee the whole process and find a solution to any existing problems in their operation areas. When a service company notices a drop in returning clients, their five whys would be:
Does the service matchup with the pricing?
Was the customer care good?
Do we offer competitive prices?
Competitor aftersales service versus ours
Were the expectations fulfilled
Heptalysis
Heptalysis is a method that analyses the seven factors that need to be considered in the initiation stages of a business, majorly in the company’s formulation. Its success comes with the analysis of venture capital needs. The seven supporting approaches are execution plan, economic engine, human capital, market opportunity, potential return, and safety margin. All the seven factors put together work towards the development of a better and sustainable business venture.
De Bono’s Six thinking hats
Developed by Dr. Edward De Bono, this approach can be utilized when coining new business ideas. This approach best fits when brainstorming and can generate different beliefs and values that can be used appropriately. Through thinking about positivity, negativity, emotions, creativity, ability to control, and pure and logical facts, one can effectively complete the De Bono six elements. For a person starting a business De Bono’s approach will help bring all thoughts to the table and tackle them as they come it also brings about better understanding of the business world since the thinkers are also the doers.
Adopting best practices for any business person would be the deal-breaker. A right way trickles down to good organizational culture, which promotes positivism and eventually the business’s sustainability, which is one characteristic of a company running to infinity. The approaches mentioned above will help promote best practices. It’s only wise that a business person incorporates these practices into their business acumen.