5 Success Factors and 5 Risks to Growing Profitably as a Manufacturer
Bill is a manufacturer who is expecting to grow his business exponentially in the next 12 months, but is unsure how to manage his growth expectations.
Bill knows there are many success and risk factors that he must watch out for as his manufacturing business grows, but would appreciate some guidance on how to plan accurately for growth.
He goes to Bob, his business manager, for some suggestions and advice. Here is what Bob thinks is best:
5 Success Factors:
- Good Planning: Without the right data, it’s difficult to fully understand what is happening in your business. This can lead to mistakes and bad decision-making.
- Hard Work and Determination: Without hard work and determination, your company will never grow and investments will not pay off.
- Agility and Response to Market Demand: A lack of agility leads to stagnation, lost revenue, missed opportunities, and low customer satisfaction which will eventually end up in lost customers.
- The Right Technology: Outdated, standalone systems and organizational silos waste time and energy and make it difficult to scale operations and innovate the business.
- Having Staff with the Right Skills: It is essential to keep skilled staff and equally important to be able to quickly and efficiently onboard new staff to support the business.
5 Risk Factors:
- Business growth can place excessive pressure on operations, damaging quality and customer satisfaction.
- Taking on large and complex projects you lack the skillset and technology to deliver effectively can damage your brand reputation.
- Senior executives in the business may not be fully prepared for the challenge of managing a larger, more diverse business.
- Unplanned business growth may lead to unexpected consequences which would have a negative impact on the business.
- Workloads may increase to a level that places too much pressure on staff, prompting key people to leave.
Bill really wants his business to grow and he can see some of the risk factors already cropping up. Now that he knows what to look out for, he can guide his team to follow the 5 keys to ensure success and avoid the 5 risks that could negatively impact his company.
If you are a manufacturer and want to know how to grow your business, click the link below for more information.
