In my work as a business transformation consultant I see it all. Highs and lows and highs again. Starts and stops. Non-stop energy and complete collapse. Commitment and ghosting.
Is this your year to transform? Be like a caterpillar that transforms into a butterfly? If it is to be your year, you’ll need to recognize the barriers that exist and take steps spread your wings and fly away from the safety of your cocoon.
“This is the way we do things.” I hear this from every low-mid-market and small business owner I know. It comes up in the conversations about pricing models (growth-killing hourly billing); the fear of giving up low paying clients because of the volume of sales; the unwillingness to break what’s working.
“Everyone does it this way.” How does a company lose revenue, profits and market share? By doing what every other company in the same industry does. If you are like your competitors, you will be forced to compete on price and that practice only takes your company downhill.
Continuous pressure to acquire new clients and customers. How is it possible that working to acquire new buyers is going to hold you back from transformation? It’s because your company has some specific and fixed amount of resources to apply to business development. And when you apply too much of those resources for client acquisition, you are limiting your ability to create evergreen, long-time buyers.
Break Things to Build Better
Break things. When working on business transformation, I tell owners they have to put everything on the table and be willing to break it all.
We’re not talking about wanton destruction for the sake of making a mess. We’re talking about taking a close look at all the beliefs, attitudes, processes, policies, methodologies and habits you hold dear and asking, “HOW can we use these resources to transform?”
One powerful area is your pricing model. This is how your company arrives at the prices for the services it sells.
If you continue to charge by the hour—because you’ve always done it that way, because everyone does it that way, or because you’re afraid of losing clients—then your company can not transform. You can be fantastically successful at retention and still not make more money. Your company will remain sales rich and cash poor.
We have a ton of experience helping companies transform their pricing models, their strategies, operations and financial functions. If you’re up for it—and you promise not to ghost when the going gets tough—we’d be delighted to help. 703-801-0345.