Let’s build generational business
THE Colosseum, build around 70AD is still a tourist attraction centre in Rome to this day. The material used was stronger than our usual concrete and cement today. Measuring 190 by 155 metres, the amphitheatre was the largest in the Roman Empire.
Its beauty is so captivating that a lot flocked to Italy to have a glimpse of it. Back to our motherland, we have our own Great Zimbabwe in Masvingo which was built purely on stones in the 11th century and up to now, it’s still a tourist attraction centre.
But when it comes to businesses, most people think of pocketing a few dollars now for the current needs without engaging in long term thinking for business growth and sustainability.
A strong foundation is normally as a result of the material that is used. In coming up with your business concept and ultimately the business, make sure that you deploy the best strategies and hire the best minds in the market.
The Colosseum was built of concrete and cement of the highest order and thus its longevity and strength. Similar conceptualisation and thinking must be used on our businesses.
Kongo Gumi Co. Ltd, one of the oldest construction company based in Japan has over 1 440 years in existence specialising in the construction of Buddhist temples though it later went into general construction. The company was first launched in 578AD.
Experts world over felt that Kongo Gumi had many lessons to teach on how family-owned businesses and even other businesses can be successfully run.
Key in what came out as lessons are stability and flexibility in business practices, sound succession principles, and value-based management. These were the secrets of its longevity. I will touch on factors that influence longevity and sustainability in business. It is important to have a built-to-last for they continuously contribute to socio economic emancipation.
Get organised
Running a business calls for a sober and organised mind. The whole process involves coming up with a bankable business idea informed by challenges you intend to solve in the market. You would then proceed to set-up structures and systems that will help you accomplish that bigger objective of yours.
Business entails the configuration of resources, human, material and otherwise obviously following a clear path (plan and strategy) that will take the organisation forward.
Every part of the organisation need to be operating at its optimum level for better results and such needs some form of order.
Most family-owned businesses collapse on the death of the founding family member. This is mainly due to lack of succession planning. Kongo Gumi survived into more than 1 400 years due to proper and well timed succession planning.
Business systems always evolve and organisations must also move with change and be flexible on policies, systems and processes.
Be customer centric
All businesses are built around customer needs and neglecting this important stakeholder in your business matrix is a recipe for disaster.
A customer-centric way of doing business is focused on providing a positive customer experience before and after the sale in order to drive repeat business, enhance customer loyalty and improve business growth.
However, a customer-centric company requires more than offering good customer service. Customer-centricity is a business strategy that’s based on putting your customer first and at the core of your business in order to provide a positive experience and build longterm relationships.
There is every need to connect extensively with customers. Don’t just look within your borders as you think of customers. The whole world is yours to exploit depending on the type and nature of the business that you are in.
Employ a great team
Who you hire and how you hire them into your organisation determines how far you will go in terms of performance. Your company is as good or as bad as its team. These are the people interfacing with your esteemed client’s every day and as they do so, such interactions either create or corrode your relationship with clients. A great team is an invaluable asset to your organisation which must be retained and cherished.
Employees must buy into your vision and run with it. You would want people who are innovative and really understand the ever changing business dynamics and come up with relevant solutions for the current and emergent challenges your target market face.
Stay focused
A number of people are taken off the mark by over the night seemingly profitable business opportunities to the extent of neglecting their main cause. Success and progressive growth needs a bit of focus. What you focus on eventually grows. In as much as it is encouraged to have multiple revenue streams, you need to make sure that you are fully understood in your market and servicing well your current portfolio before introducing others. Every business has its own head and heartaches.
Update your solutions
As mentioned before, businesses are there to provide solutions to challenges people face. These challenges are ever changing and if you continue giving an expired solution to a live and current challenge, you will eventually become irrelevant in the market. There is every need for continuous evaluation of your solution to see whether they are still speaking to the challenges people are facing.
You can’t continue to be ordering postage stamps in this era of technology. That has been already overtaken by phones, WhatsApp and other instant messaging platforms.
Think in profit terms
What makes business sustainable and grow are profits. If you get into business, make sure you make profit. There are those who are happy with a big topline (revenue) and that is not bad as long as your bottom line (profit) is also making sense. You can be known for attracting people to your business and making good sales and yet you are not even breaking even.
Make sure you operate at a profit for these monies are the ones that can then be ploughed back into the organisation for business growth obviously after having met the daily operating costs.
◆ Dr Kudzanai Vere is the founder and CEO of Kudfort Zimbabwe, a fast growing accounting and business advisory firm that has assisted individuals and organisations start, support, sustain and succeed in their businesses through company registration, establishment of standard operating procedures (SOPS), basic book keeping, accounting, auditing, forensic accounting, PRAZ registration, business health checkups and business advisory services. Dr Vere authored a number of business and personal development books that have transformed minds./You can contact Dr Vere on +263 719 592232 or kudzanai@kudfort.co.zw