The Key Foundations To Set Up For Growth

In the current environment, businesses are dealing with many forces;

• A strong resources sector supported by high commodity prices
• Increased infrastructure spend
• The enormous demand for new dwelling construction impacted by government stimulus payments and low-interest rates
• Skills shortages which have been affected by locked down state borders
• Increased pressure on supply chains to source equipment and parts
• Increase in the cost of inputs including equipment, parts and delays in transport

We work across many businesses exposed the above market forces who are dealing with constraints in terms of capability and capacity.

To set up for profitable growth, there are consistent themes these businesses will focus on for the next 6-12 months, including;

• Understanding the levers that drive their sales, profit and cashflow so it becomes clear which of the levers to focus on to grow their business profitability
• Forecast cashflow for the next 12 months and test various scenarios to better understand the risks to fund growth including managing working capital and ordering equipment and stock
• Reviewing their business in terms of where they are going to play (target market); how they are going to win (value proposition) and the unique capabilities the business requires to win.  The major risk for businesses today is they spread themselves too widely, they lose control and are unable to deliver and they erode profit margins in the process
• Be clear on their employee value proposition and their strategies to train, retain and reward their people

We will be exploring the above themes in more detail at the upcoming Growthcon.  We would welcome you to take time out and attend the event and learn more about these key foundations to set up for growth!