Business is an adventure, and like any adventure it begins with planning.
Planning doesn’t stop once you embark of the journey, it continues throughout the adventure. At each leg you take a moment to evaluate where you are, how you have done, and where you are going. Re-evaluating at each segment gives you the situational awareness to stay on course, or make necessary diversions. Regular, honest, impartial, re-evaluation of each element of business gives you the opportunity to expand or contract your business as situations arise. Many entrepreneurs only look at continued expansion, as the recent economic climate has demonstrated, that is a short sighted mistake. A successful business is a flexible business, able to expand or contract.
Scalability is a buzz word in business that is frequently misunderstood. A truly scalable asset will grow or shrink as needed. No product or service is infinitely scalable, everything has its limits, upper and lower. It is the responsibility of the business owner/manager to understand what those limits are, and how they might impact the business in ether direction.
Responsibility is another word that seems to ether misunderstood or just plane missing from the vocabularies of some people in big business. As a small business owner/manager you know that it is your butt on the line. If you are not responsive to your customers, you lose them. If you don’t pay your bills, you don’t get services or products, and then you lose your customers.
In the current economic environment the small business owner who understands scalability and takes responsibility has a chance to come out ahead. While there are no guarantees, it can be assured that a business owner/manager who does not understand these concepts will undoubtedly not survive in this competitive climate.