Posts filed under 'Social Infos'
December 15th, 2008
Small businesses are really excluded from the global economy
Small businesses from many different industries, both traditional and hi-tech, have discovered a new way for them to succeed in the “global economy”.
It involves collaboration on large proposals, R&D and fulfilment of orders assisted by relatively low cost, virtual collaboration technology.
Traditionally many small businesses join supply chains centred on larger companies.
Unfortunately the companies at the bottom of such supply chains are often treated as commodity players and replaced with cheaper alternatives when the opportunity arises.
Some brave small businesses have attempted to “go it alone” by creating sophisticated internet e-business architectures which directly link them to their major customers and partners.
However the expense, risk and sheer management effort involved in this approach puts it beyond the reach of most.
Virtual Enterprise Networks (aka VENs) give small businesses scale
The “third way” which companies are discovering is to join “Virtual Enterprise Networks” or VENs with other like-minded but complimentary businesses to market, sell and deliver collective offers to the market beyond what the individual companies could offer by themselves.
In addition these VENs are also undertaking significant collaborative product development work, often in partnership with applied research institutes and universities, which would be beyond the reach of the member companies individually.
For example, a group of UK Engineering companies are using the VEN approach to collectively bid for many-million pounds of work per annum from a large European Customer. Like many corporates this customer has a supply chain rationalisation (aka small supplier reduction) programme which would stop them dealing with any of the companies individually.
Another example is a group of Swiss component manufacturers who used VENs to move up the value chain away from contract-specific components to branded product solutions in the face of stern cost-based competition from Czechoslovakian companies exporting into their home market.
A third example is a group of Mexican manufacturers who used a VEN to support their entry into a new, more sophisticated market (the US).
So what exactly is the “Value Proposition” for a VEN?
A VEN connects businesses into peer networks that are supported by appropriate technology to give them the capabilities and competitive advantages of global enterprises particularly:
SALES
MARKETING REACH
PRODUCT DEVELOPMENT
HUMAN, CAPITAL & IT RESOURCES
Whilst exploiting their inherent competitive advantages in being able to be more agile in areas such as:
SPEED & RESPONSIVENESS
ENTREPRENEURSHIP & INNOVATION
FLEXIBILITY
LOW OVERHEADS
So what are the critical factors for making a VEN a success?
All the experience points to four main ones:
CSF1. Not over-complicating the technology support!
The surprising thing about virtual enterprise networks is that the technology support companies need to get started and win collective new business is neither complex nor costly.
When companies are starting to collaborate all they really need is a simple web-based collaboration platform which they can access from their companies (whilst travelling) which allows them to securely communicate, schedule, discuss and work on shared documents.
Typically numerous suppliers offer such software as a hosted, pay-per-use service, which requires no software, installed at any of the client PCs.
Companies operating in a network also need access to good shared business applications such as campaign management/CRM - these applications must be web-based as networks of small companies do not have shared IT infrastructures.
CSF2. Taking “Network Governance” Seriously
The biggest concern a customer will have in dealing with a network is who is accountable when things go wrong (and can I sue them if it has to come to that!).
Also customers want to treat the network like a single entity not like a collection of different companies. Thus they need to see single point of contact, seamless business processes and common values from a network.
This can all be grouped together under the term “Network Governance”.
Networks, which do not invest in building this typically unravel in their first sales pitch to any large customer once the customer’s procurement department starts asking probing questions.
“Marriage of Convenience networks” rarely win collective contract work from major organisations.
CSF3. Development of Common Collaborative Working Practices
A virtual enterprise network is a virtual team. However it is made up of individuals from many different organisations with different ambitions, IT awareness, business cultures many of whom do not know each other well.
It is therefore a classic Virtually Networked Team and as such needs to agree the way these people will work together, make decisions, handle conflicts, share information and use the virtual collaboration technology.
An aspect of VENs which seem to differentiate them from other forms of networking is the willingness of the members to invest in the development of these shared working practices.
Without such practices it is unlikely that trust will grow in the network to the extent necessary to achieve anything significant.
The first conflict that happens will probably destroy the network.
Strange as it may seem it is sometimes the appearance of the first good business opportunity that destroys a network as members revert to non-collaborative styles with the smell of the money!
CSF4. “ABC” Roles
The most successful virtual enterprise networks are based around 3 key roles, which can be remembered using “ABC”.
“A” is for the Architect who knows what the network of companies can (and cannot) deliver. The Architect is also responsible for finding companies to fill gaps in the virtual supply networks needed to deliver specific customer opportunities.
“B” is for the Broker who sources potential customer opportunities for the network and then works closely with the Architect to qualify them and configure the right virtual teams to bid.
“C” is for the Coach who works with the individuals in the different companies to build trust, design accountability structures, resolve issues, address conflicts of interest and build them into effective cross-company teams.
I am sold - how can I get started?
Click on this link to access “A 6-week plan for setting up a Virtual Enterprise Network” ===> http://www.bioteams.com/2005/07/24/a_kick-start_plan.html
Ken Thompson’s shared know-how on the “how-to” of virtual collaboration and successful bioteaming is available free on http://www.bioteams.com
September 7th, 2008
There is this unassuming little word you often find in the biographies of famous people. The word is ‘met.’
Then William R. Hewlett met David Packard.
Then Dean Martin met Jerry Lewis.
Then Sid met Nancy.
Then Siegfried met Roy.
We meet people all the time. Meeting people is part of life. Meeting people is one of the fundamental steps to building priceless business relationships through networking. But it is not the only step.
So, how do you build priceless business relationships? This is an important question to consider because, to a large degree, who you know and associate with determines who you become in life. The most successful, well-rounded and happy people are most often the ones who are best connected to other successful, well-rounded and happy people. When these people need support or information, they know the right people to call.
How well-connected you are determines your access to those with the most money, the best contacts, the real power and influence (not to mention the best seats at sporting events). Being connected to the right people opens up opportunities for you and your company.
But, there is a big difference between meeting someone and building a priceless business relationship with them. There is a long way from ‘Met to Net’ and because people misjudge this distance the term ‘networking’ has gotten a bum rap.
I consistently ask professionals that come to workshops based on my book, Cracking the Networking CODE, to share with me what they think of when they hear the word ‘networking.’ Far too often I hear it conjures up images of manipulative, self-serving, insincere and predatory individuals, who are on the prowl for someone they can pounce on, try to sell something to, or solicit an unearned favor from. Wish I could say this style of ‘networking’ wasn’t out there, but it is and it is a waste of time for the ineffective networker and the unfortunate people they corner.
Successful networking is something of an enigma because the skills needed to network successfully are simple to understand but not necessarily easy to consistently implement. It helps to think of networking as a creative process. You are creating ways to serve and to help people progress. You progress when you help others progress.
Progress is what it is all about. To crack the networking code, to build priceless business relationships and become a truly effective networker, you need to constantly search out ways to help others progress. You must position yourself in their minds as a catalyst in their progress, as an agent in their progress, as a Progress Agent.
When you have made someone feel good, when you’ve helped them solve a problem, when you have helped them take a positive step, they see you as a Progress Agent. They start to turn to you, listen to you, want to be around you and help you. Plus, they start to talk about you in a good way to all the people who are in their network. You create a positive word-of-mouth, a positive buzz. You are worthy of buzz. You are buzzworthy. Keep ‘Being Progress’ and your buzzworthiness grows. Buzzworthiness? Is that even a word?
A nurturing, giving attitude is the cornerstone to Cracking the Networking CODE. The four letters that make up the word CODE stand for the four steps consistently taken by the most effective networkers to build truly priceless business relationships.
Effective networkers:
C: Create Personal Curb Appeal
Effective networkers feel successful and display a genuine desire to help others progress. They are Progress Agents. They look and act the part of someone you would want to have in your corner. They don’t go to
networking events looking for success, they take success with them to the events.
O: Open Face-to-Face Relationships
Effective networkers connect with new people everywhere they go. They also research the various networking event options and commit to a networking strategy. They get out and about and reach out. They proactively open relationships.
D: Deliver Solid First Impressions
Effective networkers know their first impression sets the foundation for all future impressions, and they make sure it’s a good one. Effective networkers strive to stand out in a positive way in the
minds of people they want future contact with.
E: Earn Trust
Effective networkers follow up and keep in touch. They stay involved with the people they meet and earn their trust through a series of progress-based impressions. They continually find ways to help - to ‘be progress’ for those in their network. This is where most ineffective networkers drop the ball.
Sure, being in business is challenging.
Sure, marketing is a moving bull’s-eye.
Sure, people are often pressed for time.
But here is something else I know for sure: People do business with, as well as help, share information, brainstorm, and give referrals to people they trust and value. They trust and value people who genuinely care about them and are Progress Agents for their lives.
Crack the Networking CODE.
Be Progress.
Recognized as a ‘Sales-and-networking guru’ by the Dallas Business Journal, Dean Lindsay is the founder of The Progress Agents LLC (http://www.ProgressAgents.com) - a seminar company dedicated to empowering progress in sales, service, and workplace performance.
Dean’s best selling book Cracking the Networking CODE: 4 Steps to Priceless Business Relationships has been endorsed by a who’s who of business leaders and performance experts including Ken Blanchard - author of The One Minute Manager, Brian Tracy and Frank Bracken, the President and COO of Haggar Clothing Co.
Jay Conrad Levinson - the author of Guerrilla Marketing, thought so much of Cracking the Networking CODE that he wrote the book’s foreword.
A cum laude graduate of the University of North Texas, Dean presently serves on the Executive Advisory Board for UNT’s Department of Marketing and Logistics. The Dallas Business Journal selected Mr. Lindsay as one of D-FW’s Rising Stars Under Forty in The Business World Today in their yearly Forty Under 40 list.
More info at: http://www.ProgressAgents.com or 1-877-479-5323
September 7th, 2008
Many times in my work as a grant writer and consultant, I am asked by my clients to contact a foundation about potential funding. I am happy to do this; it is part of my job and it helps for me to directly ask the questions that will effect what I write in the grant proposal, but I sometimes wonder if the client isn’t missing an opportunity by making that connection directly.
By the same token, when I am first meeting with a potential client, they often ask me if I have good connections with any local foundations. I do, I say, but then I think to myself that my connections are irrelevant; it’s their connections that matter.
This all bring up the question of whether or not having a connection inside a foundation is more important than what you put in your proposal. Whenever I teach grant writing or nonprofit fundraising planning I am asked about this common assumption, and whether or not it is true.
It is completely wrong, I tell my students, having connections won’t get you funding. Except in those situations where it does. Let me explain further.
Connections mean nothing
I can’t even count how many times I have submitted an un-invited grant proposal to a foundation based only on my research, without having even one phone conversation or email exchanged between us, and had that proposal fully funded.
On the other end of the scale, I have been in situations where a well-known foundation was wining and dining my co-workers and me, toasting us and what a great partnership we had, only to pull our funding two months later because of a “change in priorities.”
The bottom line here is that it doesn’t really matter how many friends you have on the inside. If your proposal is well written and clearly identifies how it is in line with the funder’s priorities you will be successful. If your proposal is not what the funder is looking for, or it simply isn’t clear what you want to do, you will fail. The best connections cannot save a lousy proposal or one that is completely outside the guidelines.
Relationships are everything
What I wrote above does not mean that you shouldn’t try to cultivate good relationships with your funders. The same courtesies and attention you put into your individual donors should be shown to your foundation and corporate sponsors as well.
While you can be very successful only submitting un-solicited proposals, you are always playing a numbers game. There are more good nonprofit projects and program proposals than there are charitable dollars to go around. You will receive your fair share of rejections along with the funded grants.
Where good relationships will help you is when it pays off in trust. When a decision is close, being known as a reliable nonprofit that meets its goals and is easy to work with can make all the difference.
Even better is when that relationship pays off with the foundation approaching you for a proposal before you approach them. While even an invited proposal is no guarantee of a grant, it does start you out on much better footing.
But it is up to you to build that reputation and that relationship through dependability and good communications. Respect your foundation officer’s time and only call with important questions, not just to gab or to complain, and be sure to thank them for their time. Likewise, be available when they call you with questions about your programs or to find out what your issues are. Submit your reports on time, using the format they provide, and don’t ask for any special favors or extensions.
Conclusion
Getting back to the clients who have me make their foundation calls; they’re not doing anything wrong by outsourcing that job, but they are missing a chance to get to know their funders better.
As for the clients who ask about my relationships as a pre-requisite to hiring me: my relationships can only go so far. For long-term funding they need to build long-term relationships, and those must be made from within the organization, not from an outside contractor.
To those students of mine who are new to the nonprofit sector and the world of grant writing, I say, don’t despair. Build your resumes first, with well-written proposals and successful programs, be yourself and be professional, and the relationships will develop in good time.
To all of them I say, remember, connections mean nothing: relationships are everything.
Ken Goldstein is a grant writer and nonprofit consultant working and living in Silicon Valley. Since 1989 he has been an executive director, a board member, volunteer, and consultant to nonprofits. His education includes a BA in Politics from UC Santa Cruz and a Master of Public Policy and Administration from CSU Sacramento. Goldstein Consulting can be found at http://www.goldsteinconsulting.com Ken is also the author of “Introduction to Fund Development Planning” - Please see http://www.fundraisingplanbook.com for more information.
(c) 2006 by K.R. Goldstein, all rights reserved. You may re-print or re-post this article only complete and un-edited, and including the author information, active web links, and copyright notice.
September 2nd, 2008
Successful networking requires the understanding from the get-go that it is
about what we can do for each other. Networking requires time, patience, and
a commitment to helping others. Honest networking is not just meeting as
many people as you can with the intent of citing a “mini-commercial” about
what you need. No room for selfishness here; networking requires showing an
interest in others that will help build credibility and trust — establishing a real
relationship.
“Drive-by” networking is often perceived as selling; this is unfortunately the
kind of networking that many people experience. The Insights For Women
series supports the kind of networking that results in new friendships and
mutually beneficial relationships. Networking is NOT the same as canvassing
for sales leads. That kind of hard sell introduction does not mutually support
everyone.
Go into business and social situations with business cards in your pocket, just
in case you need them. Be ready to share information about your business with
confidence and pride when the situation naturally allows for it. But also keep
in mind that laughter, camaraderie, and small talk can result in sales in
ordinary situations where you do not “try too hard”. Let the networking
happen without any preconceived notions of a financial dividend. Let the
promise of possibility be your goal.
Co-authored by Deb Voss Quail and Roxanne Vincent
Vincent Voss Ventures LLC
Sponsors of Insights For Women, Delafield, WI
http://www.vvvinsights.com