Friday, August 31, 2012

When a company is resistant to change


 
I have met very few people who enjoy change.  I know I don't.  I like things that are familiar and comfortable.  In such circumstances I know my role, what's expected of me, and what success looks like.  Changing things means all of these are up in the air.  I no longer know what my role is (or if I'll even still have a role), I don't know what others expect of me, and I no longer know how to measure success.  If this is true of the owner-manager of a small business, think how much more true it is for employees.

Unfortunately, change is no longer an option and hasn't been for a long time.  It doesn't matter if you and I enjoy change, it is going to happen.  The marketplace has changed dramatically over the past few years.  Customers, and employees, expectations have changed.  Everyone now demands more value in every item or service they buy.  With the rapid increase in social media, marketing has changed.  Unless your target audience is baby boomers and older I would be very reluctant to advertise in the local newspaper or on the local radio station today.  Younger generations no longer read the newspaper or listen to the radio.  Small businesses that do not move a substantial portion of their marketing dollars to social media may soon find their customer base shrinking rapidly, and with it their profits.

I recently started watching Bar Rescue on television.  I don't know how much of that is reality and how much is staged for the cameras, but the premise is a valid one.  Bars that have been losing money for extended periods of time call in an expert to turn them around.  Immediately, he identifies a number of issues that will require significant change for the owner, the employees, and how the bar operates.  Everyone is opposed to the changes, but once the expert yells at them long enough they agree to make the changes he recommends.  Of course, at the end of the hour-long program the bar is now making money.  What's interesting is when the producers return to the bar a few months later to see how they are doing.  Some continue with the changes and are making a nice profit, but occasionally the bar owners revert back to their old ways of doing things even though they know those ways will not be successful.  The change is just too much for them.

What is limiting the growth of your business?  What do you know needs to be changed, but the thoughts of making that change scares you to death?  What will be the short-term effect if you don't make those changes?  What are the possible long-term effects?  These are questions you need to honestly answer if you want your small business to remain successful and profitable in the future.

Pyschology tells us that we can't resolve problems simply by thinking about them.  We need someone to talk to about them if we want to be able to find the answers we need.  Do you have someone you trust that you can talk to as you try to answer these questions?  If not, I have coached a number of people and would be glad to come alongside you as a coach to help you identify and begin to make the changes your small business needs to make.  Send me a note telling me you would like to discuss having me coach you through some changes in your company, and we'll discuss how I can help your company begin to move forward.  In the meantime you will find a lot of help in my latest book available only on your NOOK or NOOK apps.



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