Monthly Archives: September 2022

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Fix the Flaws in Your Tactical Plan

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Look at it this way—if every time you and your team develop goals for your organization all of the goals are achieved every time, take it as a sign that you should be more ambitious. Goals should challenge! Working toward goals should test you and make you grow.

But if the opposite happens and it becomes clear that your strategies and actions are not moving you toward success, you’ll need to stop and discuss. You must understand why things aren’t happening and decide what you can do about it. For sure, a change will have to be made, but how might you figure out what to change?

Today we’ll break down the elements of working toward goals — the actions taken, the strategies, which are pathways, and finally, the goals themselves. Our objective is to recognize what part of the plan is fatal and what is fixable. Spoiler alert–everything is connected. Each component of your plan must support, and be supported by, the other components.

Actions and strategy

It makes sense to start by examining actions—closer to ground level. Every action you or your team takes should be devised to align with and support a specific strategy. All actions should have a purpose that is readily identifiable as a cog in the wheel that carries out a strategy. So if the wheel stops turning, it will not be too difficult to pinpoint the problem and make whatever necessary adjustments.

You may also benefit from rethinking the metrics used to monitor the efficacy and progress of the actions. Are you tracking and measuring the right data? Does the data provide an accurate picture of how your action items contribute to reaching the goal? If not, reevaluate and substitute more meaningful metrics.

Strategies and customer priorities

What matters most is that customer preferences and priorities are tied to and reflected in your strategies. If you’ve analyzed your team’s performance and your actions are on target as regards the plan, then the problem may well lie in the strategy, the wrong path. Perhaps it’s no longer viable?

Or maybe you’ve overlooked other data that indicate customer needs and interests are evolving? If that’s the case, you’ll need to update to ensure that your strategies align with what matters most to customers. You may not need to revise your goals but rather, revise strategies.

Verify the alignment, or lack thereof, between your tactics and strategies. Remember that your actionable tasks are designed to further a certain strategy. It is therefore essential to confirm that you’re using the right tactics to impact the strategy.

SMART Goals

If you’ve taken a cold, hard look at both the strategic and the tactical plans without pinpointing an opportunity for making a timely and productive shift, then it’s time to reconsider your choice of goals.

The problem with your goal may be situational — i.e., what was a valid, realistic goal has lost its luster. The world has turned and now you need to play catch-up and align with the current environment and market. Or it could be that there’s nothing wrong with the goal itself; you just haven’t fully identified, defined and fleshed it out. Reality test your goals by asking yourself the following questions:

SPECIFIC: Specific means “Show a revenue increase of $X and growth in profit of Y% by the end of the current fiscal year,” and not “show an increase in revenue and growth by the end of the fiscal year.”

MEASURABLE: What are the metrics you’ll use to document your progress (and why are they relevant)?

ACHIEVABLE: Is your goal attainable and realistic both in the absolute sense and within the resources—-time, expertise, money—-you can devote to its achievement?

RELEVANT: Does your goal make sense? Does it align with your values and mission of your organization? Does it get your company closer to where you want it to be, in market penetration, referrals and repeat business, revenue earned, or profits made?

TIMELY: Is the time right to pursue and benefit from the attainment of this goal? Also, do you have a clear starting point and metrics targets or deadline date to assess the final result of your initiative?

Thanks for reading,

Kim

Image: ©Winslow Townson, Associated Press. New England Patriots quarterback Tom Brady in the huddle at the December 17, 2017 game against the Steelers at Heinz Field in Pittsburgh, PA

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Getting Started With Financial Projections

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Whether you are starting a new business, expanding or scaling an existing venture, or searching for investors, creating realistic financial projections is a vital component of the process. You’ll rely on those projections to make informed decisions as you execute the plans for your business. It’s imperative that you have a very good idea of the amount of money you’ll need to move forward with your intentions and how much money you can expect to earn as a result—-and also about when the expected revenues will arrive.

So, what is involved and where can you begin when your goal is to create financial projections for your business? The answer is—- surprise!—-do some homework first. Below are factors to research and help yourself create financial projections that help define the path to success that will work for your organization.

Your financial projections will be detailed in the basic financial documents—the Profit & Loss (Income) Statement, the Balance Sheet and the Cash-flow Statement. The Break-Even Statement will help you predict how much revenue the venture must generate to break even in terms of revenues versus expenses and when that’s likely to occur.

Something to keep in mind when you contemplate the need for financial projections is the distinction between projecting versus budgeting. Think of financial projections as a prediction, and budgeting as your plan. When you do a financial projection, you see what direction your business is headed in, based on past performance and other factors and use that to anticipate the future.

When you create a budget, you plan how you’re going to spend money based on what you expect your finances to look like in the future (your projections).

How big is your target market?

Start-up costs

This is the beginning in terms of your research and big question to answer. Understanding how to build a profitable business starts with determining the size and revenue (sales) potential of your market; if there aren’t enough buyers available, you’ll be unable to succeed. Most industry associations publish research regarding the size of their industry. Identifying three or four close competitors is also useful. Competition is a good sign, confirming that there is money to be made. You need to understand the annual sales volume expectations of your venture.

Expenses are much easier to predict than revenues. Start building your forecast model by outlining your fixed expenses, meaning rent, utilities and insurance. Next, consider the variable expenses, such as salaries, cost of goods sold (or the estimated value of the time it takes you to produce the service you offer). Business permits, required certifications and a marketing budget, for example, are other variable expenses to account for.

Also factor into your start-up costs your best estimate of site buildout and/or necessary equipment—coffee making machines, cash registers, computers, printers, online booking software, online payment or mobile payment plan, desks and chairs—in your financial projections.

Revenue projection

Thinking about how much revenue the venture will be able to generate, i.e., creating a sales forecast, attempts to predict what your monthly sales will be for up to 18 months after launching your business. Start-ups can make their predictions using industry trends, market analysis demonstrating the population of potential customers and consumer trends.

A pricing strategy is an integral component of a revenue projection. Research average industry pricing to ensure your prices are reasonable. Start by identifying the top players in your market. Then visit their locations or websites to determine how they price their products and services.

Cash-flow

A cash flow statement (or projection, for a new business) shows the flow of dollars moving in and out of the business. This is based on the sales forecast, your balance sheet and other assumptions you’ve used to create your expenses projection. If you are starting a new business and do not have these historical financial statements, you start by projecting a cash-flow statement broken down into 12 months.

Identify your assumptions

Any forecast requires you to make assumptions about possibilities that are outside of your control. The best way to manage these assumptions and avoid subconscious bias is by explicitly identifying and documenting them in writing.

The assumptions you should list include how much the market will grow or shrink, based on your research about the industry and local or national economy, changes in the number or activity of your principle competitors and/or technological advancements that will impact your business.

Break-even point

Together, your expenses budget and sales forecast paints a picture of your profitability. Your break-even projection is the date at which you believe your business will become profitable — when more money is earned than spent. Very few businesses are profitable in their first year. Most businesses take two to three years to become profitable. The Break-Even Statement will help you consider and plan for how long and how much revenue the venture must generate to break even in terms of revenues versus expenses and position the business for profitability. In other words, you’ll map out the scenario of pulling the business out of the red and into the black.

Thanks for reading,

Kim

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Optimize Social Media Campaigns

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When you’re on a mission to reach the target audience for your products and or services, develop and strengthen relationships with clients, make your case with prospects, or build and promote your brand, the most powerful tool at your disposal is, overall, social media. By using one (or more) of the several free platforms, Freelancers and others with a product or service to sell, or reputation to enhance, can easily broadcast relevant information and persuasive messages to those who might buy, or buy- in.

Utilizers of social media will also receive credible feedback from those who engage with your company (or you), delivered in unfiltered first-person comments (user-generated content) and the platform’s user activity metrics. That means you’ll get timely and accurate insights—-actionable intel—-that reveals what clients and prospects respond to or reject. That’s tremendously valuable information that can guides your marketing strategy and even the development of your product or service. Use social media to reach deep into your preferred client demographic to expand the reach and influence of a company, product or service launch or rebranding campaign, or support the pivot you’ve decided to execute.

However, for best results, you must consider the capabilities and user demographics of the platforms on which you post. To which platforms do your clients and prospects gravitate? Their age range is a reliable indicator.

Choose the platform

There are several options available and each has a particular style. The age range of your target market is a primary determinant of your chosen platform, as is the category of product or service that you’ll promote. Below is an overview of the most popular and how each might enable the marketing outreach that you need.

  • Facebook has 2+ billion active users and 79% of Americans age 18 – 49 are regular users. 58% of Americans age 50 – 64 are regular users. Ecommerce integretion allows you to sell your products and services directly from the platform which supports your do-it-now Call- to-Action. Moreover, the advertising feature is a reliable way to brings in more potential buyers.
  • Instagram has 1+ billion users and especially if your target audience skews younger and visuals are an important communication tool, this platform is where you want to be. 67% of young adults <30 years are regular users and nearly 50% of adults age 50 or younger are regular users. Tell your brand story, chock full of videos and photos, on this platform.
  • LinkedIn is B2B county. 37% of its 300+ million regular users are age 30-49 and 50% of those who earn $75,000/ year or more are regular users. Plus, 51% of regualr users have earned at least a bachelor’s degree. The platform provides your best opportunity to connect with business decision-makers who might green light the sale of your B2B products or services. Furthermore, LinkedIn features hundreds of industry-specific networking groups that members can join and trade information with colleagues based on their industry, job function or career interests.
  • Twitter is a real-time social media platform that functions like a global text messaging service. Come here to make big announcements on this platform—- your new venture, new service, the workshop you’ll teach, the panel you’ll moderate. Tweets can be maximum 280 characters, which will inspire you to craft a short, sharp , concise message that gets your point across. With about 330 million users worldwide, Twitter is much more about text than images. It’s biggest demographic consists of people between the ages of 18-29, with 38% of people in this cohort actively using the platform.
  • TikTok quickly became a social media juggernaut and its eye-candy 60 second videos became all the rage. Just walking down the street can cause you to witness a teen with a smartphone, recording a dance clip to upload to the platform. TikTok is a darling of B2C marketers, but B2B is figuring out the terrain. If your clients and prospects skew to age 35 or younger, TikTok videos are a useful way to run your brand awareness campaigns. The platform is also effective for building and solidifying a community of brand fans. The platform is too big to ignore. Globally, there are 1+ billion users monthly.
  • YouTube is arguably the best social media platform that exists. For one, 1.9 + billion people use YouTube on a regular basis and it is also the 2nd largest search engine, after Google. There is a downside, however— you’ll have to learn how to create videos and production can be costly if you want to make a video that stands out. You may want a more polished product than your point & shoot TikTok videos. So not only will you need good content, but you’ll also need an entire video setup with a camera, lighting, microphones and editing software. Option 2 is to hire a professional but, again, it will cost you. On the plus side, the video content can also be uploaded to your website and/or shared on other social media platforms and that will increase your reach. Whatever story you’d like to tell, podcast or webinar you host or guest on, or (recorded) online interview that you give should be posted here.

Brand is the focus

In your posts, write about your business and things that relate to it. Social media is a relatable and personal way to make you and your company visible to your target audience. Limit your posts, text and images, to your products and services and avoid personal and polite opinions (which can haunt you).

Original content

Every day, companies upload new content, trying to outdo their competitors and bring more attraction to their business. This can be anything from a picture to a (short) video to a podcast. There are countless ways to produce appealing content that’s relevant to your business. Making sure your page is filled with original writing and images will make you and your organization more recognizable and memorable.

Organic growth

It is far better to slowly gain an audience of visitors, followers and subscribers for your social media audience, instead of chasing hits and likes from those who have no interest whatsoever in doing business with you. Building a real community of loyal fans takes work and takes time (and I know from personal experience!). You will get discouraged when the numbers climb oh-so-slowly, but the more genuine your presence is online, the more attractive it is for real users to engage. With social media, slow and steady wins the race.

Thanks for reading,

Kim

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6 Soft Skills You Need Now

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The behaviors known as soft skills continue to be highly valued in the workplace. Unlike technical, or “hard” skills, that encompass job functions, soft skills refer to the values and practices that shape your working style—-how you interact with clients and colleagues, how you manage your work and how you solve problems. Soft skills govern how you behave in different situations. They reveal who you are.

Technological innovations such as artificial intelligence and automation have made the execution of numerous mechanical or routine tasks faster, cheaper and more accurate and that saves time and money. However, the adoption of AI has contributed to the value of soft skills because the jobs that the machines cannot do are often dependent on soft skills.

Freelancers, who must present ourselves to prospective clients as not only possessing the hard skills required to get the job done, but also communicate that we’re good to work with—- resourceful, cooperative, dependable, pleasant—-are perhaps more explicitly in need of soft skills than are employees. It is now obvious that for Freelancers, soft skills such as emotional intelligence, adaptability, optimism, self-motivation and resilience are critical success factors. It is doubtful that you can build and sustain a successful venture without displaying your command of soft skills traits. Soft skills are also elements of your personal brand, BTW.

Of the many soft skills that Freelancers might cultivate, the following come to mind for me (and I’m sure that you, dear reader, can suggest several more):

  • Analytical ability
  • Creativity
  • Judgment
  • Communication
  • Organization
  • Teamwork

Analytical ability

Problem-solving starts with analyzing the issue you need to unravel, examine, evaluate and resolve. Looking beyond the surface to discover the root cause or motivators of the problem is usually necessary. Analyzing a dilemma can include a number of problem/solving skills, including:

  • Research
  • Forecasting
  • Historical analysis
  • Risk management

Creativity

The solution to a problem is not always obvious. Predicting what clients may want next is an ongoing puzzle. Out-of-the-box thinking and other points of view can be very beneficial as you search for a viable ideas and solutions.

  • Brainstorming
  • Editing
  • Design or presentation of products and services
  • Narratives

Judgment

Drawing from your life experiences is the most reliable way to develop good judgment because ideally, we learn from our experiences. As you navigate the personal and professional sectors of life, you’ll eventually learn how to consider the nature of a problem, understand what resources could be needed to bring about the solution and recognize what might go wrong along the way. The soft skills you’ll rely on will include:

  • Critical thinking
  • Decision-making
  • Collaboration

Communication

Communication is the foundation of problem- solving. Leaders (and managers) must be able to inspire, motivate, reassure, coach and constructively criticize. Being a good communicator also helps you to articulate your decisions and persuade your team to align and support your vision.

  • Active listening
  • Patience
  • Persuasion
  • Negotiation
  • Empathy
  • Building rapport
  • Public speaking
  • Body language
  • Verbal communication
  • Written communication

Organization

Once you’ve chosen a solution to a problem and communicated it to your team, you still have to create a process to carry out your plan. Organization skills help you implement the steps everyone needs to take, which can improve alignment and efficiency. Executing a strategy to achieve your solution requires a number of problem-solving, among them:

  • Prioritization
  • Initiative
  • Project management
  • Time management

Teamwork

Teamwork is essential to successfully collaborate with your colleagues. or your work partner or contact at a client’s firm. It’s necessary for brainstorming and exchanging ideas, delegating tasks and efficiently working toward a solution.

Even if your role is largely independent work, you still need teamwork to collaborate with colleagues in different departments and keep your goals on track. As a Freelancer, your role could involve interacting with multiple people. Make an effort to develop the skills that will make everyone want you on their team:

  • Collaboration
  • Delegation
  • Feedback, giving and receiving
  • Goal setting
  • Dependability
  • Prioritizing
  • Setting expectations
  • Assessing employee strengths and weaknesses
  • Setting expectations
  • Performance evaluation
  • Identifying outcomes
  • Trust
  • Respect

Thanks for reading,

Kim