Companies fail when nine critical business problems go unanswered.  Today, I am sharing some of the most important lessons about recognizing and resolving problems.   First…

The 9 Critical Business Problems:

1. Not adequately capitalized
2. Cybercrime
3. Loss of major customer
4. Product obsolescence or failure
5. Supply chain problems
6. Fraud
7. Loss of key employee
8. Not knowing your true costs
9. Misgauging market competition and product demand

Personal experience:

I founded and led SafeData, a data backup and recovery company. In the first year, we acquired 7 major customers, but 1 customer represented 50% of the sales. Being a new company, we were happy to have increased sales and the prestige of having a prominent customer as a client.  On the other hand, we understood the pain that losing that customer would cause. How we planned for problems:

• We assumed the customer would eventually leave.
• Signed customer to 3-year contract with auto renewal clause.
• Made sure customer depended on us and  was happy with our service.
• Increased customer base to reduce dependence on 1 major customer.

The customer stayed 5 years. Because we had a plan, the company grew and prospered.  The plan was the key to our success. In Planning Saved My Business: I explain the importance of planning and the pain that occurs when you don’t plan.

Leadership is recognizing and resolving problems.

6 Keys to Resolving Problems:

1. Recognize problem
2. Involve the team
3. Make a plan
4. Set deadlines
5. Monitor progress
6. Celebrate success

My favorite is: Celebrating Success.

Why Celebrate:

• Problem resolved
• Recognizes success
• Way to rally and reward team

 Can you add a 10^th critical problem? How are you resolving problems?

P.S. – Do you need an Outside Director, Advisory Board Member, Trusted Advisor,  or Interim CEO?  Someone who can help you see your business and your goals through “Fresh Eyes.”  Contact me and I will work with you to look at where you want to go and help you find the best way to get there.  Sometimes all it takes is someone with a fresh viewpoint, unencumbered by company politics or culture to help find the right solution.

Image Credit: dreamstime

Larry Putterman

Board Director | Advisory Board Member

Avoid painful lessons learned. Let me help solve your business problems. A fresh set of eyes can show you a different set of possibilities. Use my experience to save time and money. I have been there and done that. What makes me highly effective is my fresh viewpoint, unencumbered by company politics or culture.