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Business Management: Corporate Strategy in 9 points

The world is full of theories and advice on how to build a better business.The most effective concepts, however, can be summarized in a few sentences. Here are nine of the ones we consider most relevant to the construction of a company functions.

Corporate strategies: success is all in the hands of people

  1. The strategy can not be conceived in isolation from the people. Success begins with a handful of great talents. Without the right teamwork, nothing significant can be done. And the strategy would remain largely abstract.
  2. There are, basically and generally, three strategies for operating activity:
  3. Compose a niche market and work for it.
  4. Realize and promote low-cost services.
  5. To be the best in something that your activity considers necessary.

Here we often speak in terms of niche business-centric and customer-centric -dominant. Types of companies highly focused on service to major customers.

  1. For areas of growth, the easiest success is the present moment, and not a long-term path. We live in turbulent times, especially in the workplace. Each business has its own core and is from it that must develop.
  2. When you look at new areas of growth, consider the following two fundamental questions:
  3. You can win with an intense effort?
  4. It is worth winning to certain conditions?
  5. Before beginning any discussion of strategy, let’s look at two questions:
  6. What are the revenues?
  7. What are the margins?

Companies should spend 80 percent or more of their efforts on areas that drive revenues and operating margins.

  1. Leaders must abandon ruthlessly areas failed and refocus.
  2. Focus the growth in the number of areas in which it operates in comparison to the focus of so-called areas of strength is almost always a bad idea.
  3. The incoming money must exceed the output money. Most companies must constantly focus each month on this fundamental point.
  4. Evaluate thousand metric does not pay for business. It is very important that companies focus on the right metrics instead of getting lost in the study of the strategies, perhaps not suited to their business.

Outsourcing: retrain business through external services

When, in a company, there have been too many mistakes and you can not repair them and survive and at the same time, the best solution is probably to start from scratch.

In this case it is important to entrust the management of the “new” services to expert hands, like those of the Gruppo La Meridiana professionals.

Together we can build a solid business and lay the foundations for great success. Contact us for advice, we will find the right business strategy for your business.

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