9 Tips to Change Business Direction

In my last article we looked at the 8 Signs Your Company Can’t Change Direction. Now that you know what they are, let’s look at the opposite view on how to change direction.

Changes of business direction can happen as a reaction to economic conditions or a decision to change your business goals. Change is difficult and we all react to change with varying degrees of resistance. So, if change is something you want to do, or have to do, here’s how you can make the process easier.

  1. Stop selling products and services. That’s what most of your competitors are doing. Start selling desired results or solutions to problems. No one pays a fee to a copy writer to write copy–they pay a fee for the results of the copy he/she writes.
  2. Stop thinking your customers, clients or patients are different. Dan Kennedy says, “there are no Yogi’s in the forest. There’s no such thing as being smarter than the average bear.” Unless you sell to aliens or different life forms, you sell to people.
  3. Listen to your clients, customers and patients. If you don’t have the time, survey the top 30 to 35% of your customers. Find out what they think and why they do business with you. You might end up being very surprised.
  4. Get out more. As a minimum join your local association and one group of multiple business owners. Maybe it’s the local Chamber or Service Club, a venture forum or some networking group.
  5. Start an idea and swipe file. Great ideas are all around us. The best ones are impossible to hide and someone else as already paid to test they work! Great marketing arrives in you mailbox and in the publications you read every day. Start becoming a collector of the ideas and ads. Write them down but don’t file them away-start using those ideas.
  6. Fire up Google. Find other great companies in your field outside of your market and see what they’re doing. Pick up the phone call the owner, introduce yourself and start a dialog. Try it with a non-competing company in your own town!
  7. Read. Read the trades in your own field or industry, read the trades in any target market and read to expand your overall knowledge. Hint–throw a novel of two into the mix, there are ideas in them too. Caution–don’t start reading all day and think you’re getting something done. Just one hour a day. One dose, 2 thirty min. sessions, or 3 twenty min. sessions. It goes directly to investing in yourself.
  8. Get Accountability. Family, friends and associates are not good advisers. They have their own agendas and opinions on what’s right for you–and how what you do may affect them. Get a business coach, not to advise but to hold you accountable to your plans to do things differently and set new goals.
  9. Keep–or get–the habit of taking action. Without action, deliberate action, nothing happens. Of course you know this so keep up the good work.

The ability to change directions comes directly from your determination to remain flexible. When something’s not working you have to make changes to get the results you want. When you find yourself resisting change remember:

Anything else has a higher probability of success than what’s not working right now.

Gain Problem Solving Skills and Become Change Agent With Green Belt Certification

Problems will always be a part of the organization. They won’t go away unless handled with care. For that reason, top talents are hired, paid handsomely to work as change agent and ensure growth for the company. You too can be that professional with six sigma green belt certification as add a new dimension to your stagnated career. Green belts are demanded a lot for their cutting-edge problem solving skills and also for their ability to manage by facts and data. They ensure that opinions won’t ever have a say in the daily running of the business and rather look to rely on hard data to drive the growth.

More so, green belts know the art of boosting profit and reducing cost on the back of supporting creative endeavors within the organization. With six sigma green belt certification, you’re imparted a deep knowledge of the tools and techniques required to ensure growth to the business. Green belts are the professionals with a better understanding of both people and processes within the organization. They not only understand business and its valuable connections but also have a grip over Lean Six Sigma’s DMAIC methodology. This helps them solve problems of any complexity to add value to the organization. This is why green belts are demanded so much in the industry.

More so, green belts know how to bring change by collaborating with the right people without looking to bypass responsibility. With six sigma green belt certification, the participants are taught to focus on fixing the process rather than evading responsibility. What’s more, green belts are among those rare breed of professionals with the freedom to take up job anywhere in the world, which is deservedly a great flexibility. Even if they are not a hard-core statistician but this does not take away their comfort level with data. In fact, they are trained in data analysis and can make process improvement as simple as needed.

Similarly, organizations can also look to fix processes and achieve growth targets by several other means to have an edge in the industry. They can benefit from the power of RPA consulting or Robotics Process Automation consulting to automate and achieve the desired growth results easily. This consulting is about letting software robots contribute to process automation across enterprises. They look to ease the burden on employees and get bots or configurable software to do process instead. And when business processes are automated in this way, the organization can be sure of superior speed and efficiency. This is how a business can become cutting edge without investing a lot.

Some companies also look to benefit from RPA consulting to bring flexibility & resilience to processes after automation. And when RPA is implemented by an expert consultant, it becomes easy to realize reduced cost and improved productivity. This is how businesses can become more accurate on the back of automation and create difference to their prospects in the industry. With an experienced consulting partner, it becomes possible to boost ROI and reduce cost and go on the right path of growth. The good thing, you can go automated irrespective of the industry or sector you’re part of.This is how your business grows and adds value.

Climate Change and The Deliberate Inaction Against It

There is little doubt that most are waking up to the threats of climate change and human activity on the planet. While young people demonstrate against it and beg world leaders to do more to reverse the trend the question is can anything change? The deniers who hold positions of leadership have the power to override public opinion. That being the case do any of them really care what happens to the world? Can they resist pressure from the Business World to do anything different?

While strongly behind any demonstration bringing awareness surely the young people who are most concerned must start with parents and relatives and urge them to vote against putting such people into power. As they won’t change leaders who are unwilling to take notice there has to be a better way. In the western world it’s only through the ballot box that such effect happen.

During recent elections in Australia and elsewhere fear campaigns against parties promising such action have dominated while these leaders retain their power. What is wrong then with those who are suffering the effects of climate change, such as through droughts, floods, cyclones, and so on, that they are more afraid of the ones who want to do something about it than those who are causing it?

While democracy is the way of the west and persuading arguments are coming from high profile figures against the inactivity of governments they are obviously ineffective against actions required. Taking the problems head-on the following is just some of them that need urgent action.

1. Plastic pollution – solution get rid of plastic from all use and stop supplying it where possible.

2. Deforestation – it is essential to stop cutting down trees and plant more to remove carbon from air.

3. Drought – obviously caused by deforestation and warming of the atmosphere.

4. Super fires – also caused by climate change and a warming planet

5. Rising oceans – caused by ice melt due to worsening environment conditions

6. Loss of species – caused the same

7. Disease and superbugs – while these things are on the increase they will worsen

8. Overpopulation – The trend to have more and more babies is mainly caused by religious beliefs

9. Dwindling resources – caused by overpopulation and lack of management and alternative solutions.

This is only a partial list as the situation goes on and will worsen and affect everyone. The earth is being destroyed faster and it can’t cope. It may be too late to do anything worthwhile as money and Big Business runs the world and thrives on depleting nature. The other question is how many will give up their wealth and change their lifestyle in the process?

Success Secrets – How A Poker Tip Can Change Your Life

I received a phone call 9 months ago and I pretty much ignored it.

I ignored it because I’m not much of gambler.

Hold on.

Don’t move.

Where I’m going with this is very important, so grab a Peach Snapple (I love Peach Snapples) and stay with me.

9 months ago I received a call from a good friend of mine I met in college.

He said, “Mike, you have to start playing poker. It’s just amazing. You can play with us next week in Mark’s home or just jump online and join a game. It’s such a rush.”

He was so excited, but I had to say, “Thanks, but no thanks, I’m not interested.”

About 2 weeks later I was channel surfing and I came across a poker tournament on TV.

Because of my friends ‘frantic’ EXCITEMENT, I stopped and watched.

I wanted to SEE why he was so excited.

It’s taken off.

Like the Beatles year’s ago.

Like ‘Cabbage Patch Kids’ (remember them?).

Follow me here because you’re about to discover a success insight that will change your life and make you mon.ey.

Poker has become a billion dollar business and the newest phenomenon around the world.

I got home from the office yesterday, got my mail, and saw the latest edition of Inc. magazine.

Who was on the front cover?

You got that right, the guy who started the Poker craze.

Oh baby, was I excited, this was going to be a great story to read.

And I was right.

Let me share with you 3 success secrets that Steve Lipscomb, the creator of the Poker craze, has used to build a $300 million dollar business and kick start a multi billion dollar industry.

1) Do Something You Love – Why did Steve Lipscomb even get into the poker business?

Because he started playing it, LOVED it, and saw a better way for poker to be ‘sold’. So simple, but so beautiful right?

What do you enjoy doing? What products or services have you bought in the past that revolve around your passion that you can improve and s.ell to other enthusiasts?

I always go through the same process with my coaching clients in helping them discover their passion and show them how to make mon.ey with it. The steps are so simple and always work – and that’s why I included them in ‘The Ultimate Lifestyle Workshop’.

2) Find A ‘Model’ That Works And Emulate It – After Steve decided to turn his poker passion into a business, he looked for a business model that he could emulate, that he could learn from.

We can learn so much from other businesses outside of our own.

Steve found the model of the PGA golf tour and used it to build his $300 million dollar business. Amazing.

My income tripled when I found a business model that worked with the business I was building.

But here’s what’s funny, this model could work for you in probably 50 other types of businesses.

I’ve only revealed my business model once in public, it was at ‘The Ultimate Lifestyle Workshop’, and I think it’s a big reason why people love it.

3) Ignore The Naysayers – Nobody believed in Steve Lipscomb. I know how that feels and it’s not too good. The cable companies, production companies,even people around him thought he was crazy.

They said, “Nobody would buy this”, but he believed in himself and his idea.

And that’s what YOU need to do.

By taking it 1 step at a time, celebrating each victory, Steve Lipscomb has now built a publicly traded company worth $300 million.

Pretty good for a guy with a passion and an idea.

Are you ready to stretch yourself, believe in yourself, and go for what you want?

Talk to you soon.

Mike Litman

http://www.unleashyourgreatness.com/ns.html

www.mikelitman.com

Forbes Africa – Delivering Information, Ideas and Technologies That Change the World

Started by B. C. Forbes and Walter Drey in 1917, Forbes Africa is published as a biweekly magazine. The original name of the magazine was Forbes: Devoted to Doers and Doings. Its current editor-in-chief is Steve Forbes, and its CEO is Mike Perlis.

At the time, B. C. Forbes was a financial columnist for Hearst papers, and Walter Drey was the General Manager of the Magazine of Wall Street. While B. C. Forbes went on to become the Editor-in-Chief, Walter Drey became the Vice President of B. C. Forbes Publishing Company. Ever since, the publishing company has stuck to being a family run business, with its headquarters in New York City, where all its primary competitors have their footing too.

Forbes is the one of the few magazines that features original articles on various topics including: finance, investing, marketing, and industry. In addition to the previously mentioned, the Forbes Africa magazine also features articles on technology, science, communications, and law.

Forbes is famously known for its lists and rankings, including lists of the richest Americans (the Forbes 400); and rankings of world’s top companies (the Forbes Global 2000). One such list that was lately released is the Forbes Africa magazine list of the 50 Richest Africans 2013; where Nigerian industrialist Aliko Dangote is at the No.1 spot, with a net worth of $20 billion.

Forbes Africa’s mission is “Creating value and empowering people by accurately and passionately telling Africa’s business story – first.” It is distributed in South Africa, Nigeria, and Kenya.

Apart from offering topics such as “The World’s Most Powerful People,” “Global High Performers,” and “The World’s Billionaires,” the magazine also features various topics from around the continent, adding relevant content, where necessary, from partners in the US.

The magazine makes the connection from various patterns, and explores beyond the obvious, to give insights of a completely different kind. This serves to deliver sharp, in-depth, and engaging stories written by experts who use an African standpoint to look at global and domestic issues.

Forbes has come to come to be known as a media brand that documents all things interesting and encourages business, culture, innovation, leadership, politics, entertainment, and technology. The distinguishing factor for Forbes is their special access to all of the world’s most powerful people; who are game changers and influencers in advancing industries across the globe.

Since 1917, Forbes magazine has been providing world business leaders useful strategic insights into the business world. A part of the Forbes’ initiative is to introduce in their agenda, cover stories of celebrated people who are changing the world for the better: Oprah Winfrey, Bill Gates, Christine Lagarde, Jack Dorsey and more.

Forbes is an iconic status in the lexicon of American media and a huge success in both print and digital formats because of its wide editorial lens. The magazine has changed the way content is being created, propagated, read, and shared through their unique platforms of print, digital and mobile products. The Forbes Africa digital magazine and all the other Forbes e-magazines have seen an increased growth recently. It is so much easier now to carry your digital copy of the Forbes Africa rather than a paper magazine. The digital magazine stays accessible on your mobile device whenever and wherever you need it, and it offers you interactive content on the fly.

There are plenty of options when it comes to mobile devices and their operating systems, including: iOS, Android, Windows, and Symbian; you also have the option of the web and the newsstand apps that are used to download and view the magazines are plenty. Most of the apps are free to download for the user, who only needs to pay for the subscriptions to the magazines they choose. Some of the apps are free for use to the publisher, who is then able to offer competent prices to the user.

Get on the band-wagon and start downloading your favorite a few magazines! Make way for digital reading!

Rethinking The Oil Change Business Venture

Annual quick lube survey, is it still viable?

I wish to comment on the Fast Lube Business and the annual survey done by Auto Laundry News, one of the few Industry Magazines for the car wash industry. In this 2001 survey, we see an increase on the number of locations out there. Yet the leader of the Industry is by far Jiffy Lube. We see variations on theme, but we can safely say that Jiffy Lube has adapted best to the American public and their desires when it comes to oil changes.

This survey showed the average customer would drive 5.7 miles to get an oil change. If 50% of the customers would drive 5.7 miles and 80% of the customers usually come from a three-mile radius to get a car wash, I see additional synergy. These car washes with oil lube centers are getting a further reach than the industry average. This is great news for those carwashes adding oil lube bays, but also it takes up space and if not marketed correctly it will not work. The survey was quick to show that oil change facilities do best in middle class areas, not high-end areas. They do poorly in low-income areas. This all makes sense. Free standing car washes were the most likely to have oil lube facilities on there properties. Interesting too is that minimum wage was not prevailing, normally the companies pay $8.00-10.00 per hour. Makes realistic sense and I believe good help starts in this country at $10.00 per hour in most metros and $8.00 hour in rural.

Only 23% of the fast lubes had a website. Only half had internet access in the locations. Average employees were 5 full time and 3 part timers. Luckily for the image of this industry 74% had specific uniforms. The average shop had 3 bays, not enough to do the volume if adequate blitz marketing and community based marketing were taking place. Average revenue was $32.00 per car. That is an awful lot of upselling since the average advertised price that I have noticed is around $19.99. Less than 30% were open on Sundays? Bad mistake since there is no time to change oil and wait in line for most Americans. Average monthly gross was $2,400.00 per month per bay?

This is shit, this is not even a viable business, these people are wasting their time. Think about it, you have cost of oil and filter too and labor? Forget that news. I question the viability of the entire oil change industry. The largest Jiffy Lube franchisee in the country with 180 units was de-listed from NASDAQ and so was another prominent auto care and lube company recently. I like the Kwik-Lube Company and feel they are doing it right, but also question the ROI of such an endeavor seeing these results and the cost to build the building and time to build it. One good thing that the oil lube bays have going for them is the up-sell, but as the consumer dollar gets tighter and the credit card debt gets higher and the fall out rates increase where will this extra impulse revenue and up-sell cash be coming form?

The Industry is still expanding and new entrants to the market place are hurting existing units and I question the saturation point, not on need, but on desire. No one wants to spend money on oil changes, they need to. People buy what they want, satellite TV and beer. Not what they need, so I see a frequency problem issue brewing and people waiting 5-6-7 thousand miles between changes. So I believe that if an oil lube bay is not already attached to another reason to frequent the facility it will soon be in desire straits. The survey also showed that 93% OF THE OIL LUBE BAYS USED ADVERTISING TO GET THEIR CUSTOEMRS? WHY? We do not advertise, word of mouth and happy customers advertise for us. There you go again more cost.

Also 60% of the surveyed said that competition was discounting. HMMM? You have labor costs that are high, frequency is down, new car technology on the horizon, cost of oil going to the big guys and throw in a price war? I see problem as the non-savvy operators leave facilities for sale and exit the market place. By eliminating the facility and going mobile with the existing customer base of let’s say a mobile truck repair business which can co-band and fleet services available you could beat these other companies since they running redline over saturations of mailer coupons and phone book ads and no web sites. Many companies are not watching the changing demographics at their locations and lease or property costs and unable to sell or borrow more due to their lousy profit margins. And what can you convert and Oil change bay into? Cover up the hole for a tire shop? What happens when Hydrogen cell comes and no one changes oil. Can you convert to filter type operation? Not really since often the tires and wheels are offset and will land the modular car into the lube bay hole. We have the solution and we can beat them in almost every aspect. Some consultants have said; “Bunch of dummies copying each other.”

Listen to this part of the survey, advertising dollars were spent on, here is where the respondents said they advertised; TV 15%, Direct Mail 51%, Radio 38%, Newspaper 35%, Bill Boards 18%, Yellow Pages 53%, other only 13%. Scary, all that costs money and everybody is running redline copying each other. This is what happens when people cannot think any longer and cannot adapt and do business at the speed of thought,

[http://www.speedofthought.com]

81% of respondents said they would honor competitor’s coupons? Whatever, why print them then. Let everyone else spend the money and take theirs? 80% said they have tried to use discounting to lure customers from other lube places to theirs. Boy this sounds like the carpet cleaning industry to me.

Breakdown in costs per job. 10% rent or property, 3% maintenance of facility, 26% labor, 30% materials, 4% utilities and many reported expecting that to double and some have already in the west experienced a tripling. Insurance 4% and that to expected to keep rising and some said 8%, Customer claims for damage 1%, this is in-excusable, Advertising 10%. Want to add those up for me. Why are they doing it?

Average new facility costs were; Land $206,000, Improvements $505,000, New equipment $36,000. WOW all that for little or no return? Average number of competitors within 10-mile radius? 36% said 3, 19% said two, 19% said 5, 7% said 5 or more. How can anyone invest this kind of money per location when we can build a couple of units for a total of $65,000 and nearly equal the number of potential vehicles to service? Also with AAA building oil change facilities and Wal-Mart getting into things, the competition will be bloody and that is a lot of money to invest in a business with an uncertain future. Not a good bet, if you were a betting man.

We are very much liking this Industry because we know things the Industry does not and we can slam them because they have missed the boat. We have seen a few companies which are looking into ways to change the oil on the water for yachts. What is even better is that they all missed the boat at the same time and are fighting on shore for a few little boats to get to the ship that is leaving the harbor. Who will survive this oil change war. The one who bests services the customer, they way the customer wishes to be serviced.

The Four Stages of ‘Change Curve’ Small Business Owners Should Know

The ‘Change Curve’ is a helpful tool for small businesses to understand the stages of personal transition each employee undergoes. Kubler Ross developed this model to explain the grieving process (Shock and Denial, Anger and Fear, Acceptance and Commitment).

This model helps small business owners predict how employees will react to a change, and advises how to help and support the employees through their personal transitions.

An organization does not change just because of new systems or processes. It changes because people within the organization adapt and change. Only when people within the organization make their own personal transitions can the organization benefit from the change.

The Change Curve model

The ‘Change Curve’ model helps small business owners understand the stages of personal transition and organization change. This model comprises four stages that employees go through as they adjust to a change.

Stage – 1: Shock and denial

Stage – 2: Anger and fear

Stage – 3: Acceptance

Stage – 4: Commitment

Stage – 1: Shock and denial

This is the first reaction that small business owners notice in their employees – they react to the challenges to the status quo. This reaction is seen more in experienced and established employees because these employees are indifferent to new systems and procedures. They feel uncomfortable because of the fear of the unknown, fear of doing something wrong and lack of information. They feel threatened and fear failure. Under these circumstances, they normally take it as a friction rather than an opportunity.

What do the employees need here?

Employees may experience this stage multiple times. To get over it, employees need information, need to understand what is happening in the organization and need to know how to get help from the organization.

Note: This stage affects particularly those employees who have not experienced any major change before.

What should the organization do?

At this stage, it is the responsibility of the owners to communicate with their employees and educate them about the benefits that they will gain by adapting to new systems – personally and professionally. Remember not to overwhelm your employees by flooding them with loads of information at a time, or they may even be more confused.

Stage – 2: Anger and fear

This is the second stage that is seen in the employees. As employees react to a change, they start expressing their anger, concern, resentment or fear. They may resist the change actively or passively. This stage could be dangerous and if the organization does not manage it carefully, it might result in chaos.

What should the organization do?

At this stage, the small business owner should handle employees’ objections carefully. Since reaction to change is personal and emotional, it’s impossible to prevent it from happening. Therefore, the organization should try to address the employees’ experience and iron out the issues as early as possible.

Note: As long as employees remain at Stage – 2 of the Change Curve by escaping progress, the change will be unsuccessful.

Stage – 3: Acceptance

This is a turning point for employees as well as the organization because the employees have stopped focusing on what they have lost and have started accepting changes. They begin exploring changes, and get a real idea of what’s good and what’s not and how to adjust themselves accordingly.

What should the organization do?

This stage is critical – it takes time for employees to learn and accept things. Therefore, don’t expect your employees to be 100% productive during this stage. Give them time so that they learn and explore without much pressure.

Stage – 4: Commitment

At this stage, there will be a commitment from the employees in analyzing and embracing the change. They start rebuilding the way they work and this is the stage at which the organization starts to see the benefits of the change.

Benefits of the change

At this stage the organization will see the benefits of putting in effort for the welfare of their employees when they were in a grieving stage. The positive effects of the Change Curve are now more evident through its productivity and profit.

The Change Curve is an effective model for small business owners while managing employees. Locating an employee on the change curve will help the business owner decide on how to effectively communicate information to employees and to know what kind of support they require. This helps them take necessary measures and protect both the business and the employees.

Business Enterprise – The Key to Change in Nigeria

Nigeria currently stands 41st in international GDP rankings, according to the IMF World Economic Outlook Database – its largely oil-driven economy pegged at $165 billion. This marks a fourfold increase over ten years from just $36 billion in 19971. Progressive policies undertaken in the years following the installation of a democratically elected government in 1999 takes the credit for this remarkable increment. The Nigerian Economic Policy, 1999-2003, is specifically to praise for incorporating far-reaching measures that have helped enable Nigerians with access to technology and education.

A vigorous disinvestment programme involving public sector units in oil marketing, communications and port operations boosted private sector participation and led to the creation of jobs and ancillary businesses. The spirit of economic reforms was further evident when oil prices were deregulated in 2003 and four national refineries were privatised. However, these and other initiatives have not succeeded entirely, and Nigeria remains “information poor” in the context of utilising computing power in the industrial process. Further, and although digital networks have come up in recent times, the communications infrastructure continues to suffer massive deficits.

For average Nigerians, what has improved in recent times is access to technology, and a new breed of emerging entrepreneurs are harnessing the power of the Internet to start model ventures and strike global partnerships. While their contribution as foreign-exchange earners is minor in terms of the Nigerian economy, the significance of their innovation, in the context of Nigeria’s past economic stagnation, can hardly bee overlooked. What is optimistic for the government and Nigerians in general is that such stories of successful Nigerian enterprises are starting to gain in frequency. Even though the rate of progress has been slow, the country is decidedly on the right track as far as promoting business development goes.

Nigeria is currently the United States’ largest trading partner in sub-Saharan Africa. In 2008, the USA imported Nigerian goods (predominantly oil) worth $38 million. The figure is up from $32.7 million in 2007 and indicates a growing US dependence on Nigerian oil, which currently accounts for almost 11% of its import requirement.

The Paradox

The ‘Nigerian Paradox’ is a frequently cited economic phenomenon that describes the condition of sweeping poverty and abysmal human development indices in a country of abundant natural recourses that earns billions in annual petrodollar revenue. The economic decline of Africa’s most populous nation began right after the oil boom of the 1970s, when political corruption and non-inclusive policies plunged the vast majority of Nigerians into degrading poverty. Subsequent decades of civil and political unrest and the continuation of outdated policies made Nigeria a virtual untouchable for international investors. Over the years, the deteriorating security situation was paralleled by a simultaneous decline in infrastructure that killed existing businesses and made the emergence of new ones impossible. The corresponding human toll was even more disturbing as the country plunged into decrepit poverty and economic despair.

Because of the deep fissures in its history, Nigeria’s emergence from a disturbing past has not been smooth. The recent reversal of some of its fortunes has come at a steep price and the country continues to lag behind in vital indicators. A historic overdependence on oil skewered agriculture and local industries and created massive economic imbalances that are still far from being corrected. Rampant unemployment and inflation have created a climate of youth unrest that precipitated in violent militancy in the oil-rich but volatile Niger Delta region, together with rising levels of organised crime. Severe infrastructure deficiencies – especially in power, roads and communications – widened the rural-urban divide and provoked large scale migration into towns. Official indifference and inhibitive policies spawned a gigantic informal economy that continues to grow and operate outside the ambit of government regulation despite furious policy redirections in recent years.

Surprisingly, this unorganised sector currently contributes 65% of Nigeria’s GDP and accounts for 90% of all new jobs.

The Improvements

There have been a number of improvements fostering business growth. They include:

* Entrepreneurs have more control over their lives and have obtained social and financial security for their families.

* The Nigerian government has now made it possible for Nigerian products to be shipped to Europe and the United States.

* Entrepreneurs in Nigeria are being offered tax incentives in order to promote further enterprise development.

* Modern technology is making its way into Nigerian culture, taking the country closer to self-sufficiency in the technology sector. However, it is an ongoing process that that banks heavily on government aid.

Opportunities

Established in December 1999, The Small and Medium Enterprises Equity Investment Scheme (SMEEIS) instructed all Nigeria’s banks to put aside 10% of their pre-tax profit for investment in small and medium sized enterprises. This was to present an opportunity for those looking to break into a business of their own. Sadly, as of 2006, only 26% of this funding had been used.

The Nigerian Small and Medium Scale Industries Development Agency (SMEDAN) is another important player in the country’s efforts to boost entrepreneurial spirit. Although it’s still a rather young organization, it is making a positive difference.

Skills and Ideas Development Initiatives (SKIDI) is an NGO that is helping entrepreneurs realize their dreams in Nigeria so that they can obtain the freedom that they desire. There is a specific focus on rural and suburban Africa, especially since rural areas have seen more poverty. The poverty rate in Nigerian rural areas stood at 40% in 2001, compared to the 35% in urban areas where more businesses are prevalent.

Bridging that gap happens to be just one of the many challenges on Nigeria’s road to prosperity.

"Switch How to Change Things When Change is Hard" by Chip Heath and Dan Heath Business Book Review

Business mavens, Brothers Heath released their new book, entitled, “Switch: How To Change Things When Change Is Hard,” (Broadway, 2010), in February. The authors address change at the individual, organizational, and societal level. Change involves the brain’s emotional and rational side. The Heath brothers identify the overpowering emotional element as the Elephant. The rational, decision-making component is secondary and sits atop the Elephant as the Rider. When conflict between the two exists, the Rider is inherently the underdog. To make lasting change, the Elephant and Rider need to unite. Also key is having clear direction. Following is an example from each of the nine principles contained within the triad to accomplish long-term change. It’s noteworthy that the change framework benefits anyone without a vast amount of authority or resources.

DIRECT THE RIDER-Analytical, Rational Thinking.

Find the Bright Spots. In 1990 an international organization that helps needy children accepted a Vietnamese government invitation to decrease malnutrition. They earned six months to make a difference. The short timeline negated ending poverty, purifying water and building sanitation systems to address starvation. Organizers traveled to a rural village and met with mothers. Despite widespread malnutrition, some children were thriving. Why? The team searched for bright spots-successful efforts worth emulating. They discovered bright spot moms fed their children four times a day (easier on kids’ digestive systems), vs. the standard two. Another finding among several was that bright spot moms added shrimp and crab from the rice paddies into their kids meals. Cooking classes originated with bright spot moms teaching other mothers how to prepare healthy meals for their children. The mothers already had the emotional component (Elephant) – natural concern for their kids. They needed direction (Rider) not motivation. Six months later, 65 percent of the village kids were better nourished and stayed that way.

Script the Critical Moves. Doctors studied a case history of a patient with chronic arthritic hip pain. Their options were to perform drastic hip replacement surgery or administer a single untried medication. They chose the drug 47 percent vs. doing hip surgery. Another doctor set studied a similar case history with two untried drugs presented as a choice. Here, only 28 percent of the doctors chose one of the prescriptions. The remainder selected hip surgery. The study results display decision paralysis. Too many choices tax the Rider’s strength; and it will always revert to the status quo. Change creates uncertainty and ambiguity. Any successful change requires translation of ambiguous goals into concrete behaviors. Script the critical moves (not every move but key moves). In the above studies, the critical directive to “Use invasive options only as a last resort” would have resulted in more physicians choosing the drug option. Clarity dissolves the Rider’s resistance.

Point to the Destination. In the mid 1980s a popular investment firm’s research department ranked an embarrassing fifteenth in its ability to generate revenue for banks. Top executives recruited a new leader who became both GM and coach. He announced that he expected analysts to initiate at least 125 client conversations a month. He promoted a team environment; requiring analysts to cite colleagues’ work at least twice during presentations. He also declared that the firm would crack the premiere investment magazine’s Top 5. He not only scripted the critical moves (make 125 calls, cite colleagues’ work); he also created a destination postcard- a vivid picture from the near-term future that shows what could be possible. In three short years the firm leapfrogged from fifteenth to first place. When you describe a compelling destination you decrease the Rider’s ability to get lost in analysis paralysis.

MOTIVATE THE ELEPHANT-Emotional, Instinctive.

Find the Feeling. In the late 1970s, a state’s Department of Youth Services (DYS), an agency that focuses on delinquent kids; overhauled its operations. Nonprofits including group homes and halfway houses replaced youth prisons. The head of accounting for DYS ruled his division with an iron fist, earning the title of Attila the Accountant. Expense reports submitted with a single mistake like a date omission or miscalculated subtotal were returned to the offending nonprofit for corrections. The organizations operated on a shoestring budget and delayed payments jeopardized their ability to service kids. Frustrated, Attila’s colleagues invited him on a field trip to visit some participating nonprofits. He witnessed firsthand their operational and financial challenges; and returned to the office a changed man. He was still authoritarian but less nitpicky about expense report submissions, allowing the nonprofits to receive their payments faster.

Shrink the Change. A local car wash ran a promotion using loyalty cards. One customer group received an 8-stamp card, earning a free car wash once filled. Another customer set received a 10-stamp card, with 2 stamps already completed, advancing them 20 percent towards their goal. Several months later, only 19 percent of the 8-stamp customers had earned a free car wash, vs. 34 percent of the head-start group, which also earned their free car wash faster. The authors state that people find it more motivating to be partially finished with a long-term goal than to be at the starting gate of a shorter one. How could you rally your family, coworkers, community, etc. to achieve a long-term goal by highlighting what’s already been accomplished towards its completion? To motivate an uninspired Elephant, shrink the change.

Grow Your People. In 1977 the St. Lucia parrot faced extinction. Island natives undervalued the bird, some even eating it as a delicacy. No clear economic case for saving the parrot existed. Conservationists knew an analytical case for protecting the bird would fail. Instead, they implemented an emotional appeal. Their goal was to convince St. Lucians that they were the kind of people who protected their own. They wanted St. Lucians to swell with pride over their exclusive island species. The St. Lucia Parrot Campaign included T-shirts, bumper stickers and locally recorded songs about the parrot. The animal became part of the natives’ national identity. In 2008, conservationists noted that no St. Lucian had been caught shooting the parrot in fifteen years, resurrecting the species from extinction.

SHAPE THE PATH-Provide Clear Direction.

Tweak the Environment. The airline industry abides by the “sterile cockpit” rule. Anytime a plane is below 10,000 feet, either ascending or descending (the most accident-prone times), no conversation other than flight-related is permitted. At 11,000 feet the crew can talk freely. An IT group adopted the sterile cockpit tenet to advance an important software development project. They aimed to reduce new product development time from three years to nine months. They established “quiet hours” Tuesday, Thursday and Friday mornings before noon. It gave coders a sterile cockpit, allowing them to concentrate on complex bits of code without being interrupted. Ultimately, the group achieved their nine-month development goal. What looks like a people problem is often a situational challenge. People have a systematic tendency to ignore situational forces that shape other people’s behavior. Simple tweaks of the path can produce dramatic behavioral changes.

Build Habits. One of the subtle ways our environment influences us is by reinforcing (or deterring) our habits. Habits are important because they’re behavioral autopilot. They allow good actions to happen “free” without taxing the Rider’s self-control, which is exhaustive. To change yourself or others you need to change habits. Forming a habit involves both environmental and mental influences. “Action triggers” are effective in motivating action. They preload a decision and are most useful in difficult situations when the Rider’s self-control is strained. Action triggers create “instant habits.”

Rally the Herd. A hotel manager tested a new sign in the hotel bathrooms. It simply stated “the majority of guests at the hotel reuse their towels at least once during their stay.” Guests who got the sign were 26 percent more likely to reuse their towels. They took cues from the herd. In ambiguous situations we all look to others for cues about how to behave. Change situations often involve ambiguity along with their inherent unfamiliarity. To change things, you must pay attention to social signals. They can either guarantee a change effort or doom it. Lead an Elephant on an unfamiliar path and it’s likely to follow the herd.

The authors acknowledge that change isn’t always easy. When change works it tends to follow a pattern. People will change with clear direction, ample motivation, and a supportive environment. The Rider, Elephant and Path need to align in support of the switch. Visit the authors at http://www.heathbrothers.com.

Durables to Disposables – Are We Ready For a Phase Change?

The worldwide nonwoven industry has grown steadily at about 7.5% per annum in tonnage in the last decade. While the nonwoven industries growth in North America, Europe and Japan has slowed with maturity, these countries are still growing at 5% per annum. A significant portion of worldwide nonwoven expansion is due to the rising demand for these materials as emerging economies like Asia expands. India and China are the key players contributing to this growth.

India has a huge opportunity to capitalize on much larger portion of this growth. Government of India emphasized the promotion of all steps of the textile industry, especially by paying attention to the innumerable use of nonwovens in unnoticed applications. Indian industry is starting to expose itself to international trends by inviting foreign players to partner with entrepreneurs in India. As nonwovens and technical textiles have been considered to be the most promising and dynamic segment of the textile industry, the demand and consumption of nonwovens and technical textiles will grow enormously in the near future.

The questions that come an individuals mind is that “Is India the next booming market for nonwovens? Will India be reaching the new horizons in nonwovens and technical textiles?

Strength:

With a large textile manufacturing base and technical manpower, India has the potential to become the leading exporter of various nonwovens and technical textile products. The promotion of nonwovens in India is promising in healthcare as traditional textiles are replaced with single-use disposables, improving agriculture for better crop protection and in geotextiles to meet increasing needs in infrastructure and the possibility of controlling floods. The major strength for Indian Nonwoven industry is listed below:

* India is one of the largest producers of natural and manmade fibres

* Population growth and increase in middle class disposable income

* Low cost skilled labor

* Ability to cater to the value chain

* Growing domestic retail market

Weakness:

Some of the major weaknesses for Indian nonwovens industry are:

* Textile industry being fragmented to less of organized and more unorganized sector.

* Low productivity and cost competitiveness

* Obsolence in technology

* Lack of product knowledge and expertise.

In an Interview with Mr. G Ravishankar, an expert Nonwoven consultant from India, he tried to portray the current scenario of Nonwovens industry in India with some future forecast statistics to have a guideline for entrepreneurs and new entrants into this emerging field.

Q. How do you see the future of Nonwovens in India for next 10 years? Give us some facts and figures for the same?

A: The current Indian production levels in Nonwovens are minuscule by developed world standards. I expect the production level to touch 1.0 million tons in ten years which would mean a very high growth rate.

The nonwovens consumption is directly related to economic development and per-capita income of the population. As over 60% nonwovens usage is in disposable products, the availability of surplus income and increase in hygiene awareness are important factors for growth. Current nonwoven production level is only about 70,000 tons per annum which was the same level in China, fifteen years ago. China today is producing over 1 million tons of nonwovens.

With more emphasis on renewable raw materials like cotton and viscose for disposable nonwovens, many European and American manufacturers are expected to set base in India due abundance of these two raw materials in India.

Copyright @ 2008

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