Do you Evaluate Your Business Model?
Most of us are so busy on a daily basis we don’t have time to think about our business models. It is the rare client that questions their business model, let alone continually modifies it for success. Do you question your business model on a yearly basis?
Why is it Important?
There are many reasons to re-evaluate your business models on a frequent basis. How many of these impact your company?
- The global economy – Well, if you don’t see constant movement and change in the global economy – which is impacted by countless numbers of events and triggers, some predictable, some uncontrollable (such as the California fires and related impacts) and some multi-faceted and complex – we can’t imagine what bubble you are living in (and sometimes wish we could join you!).
- Demographics – Are you thinking about how the baby boomers are impacting your company? No matter what you think, they are the largest generation ever and will have a profound impact. Have you thought about what it means?
- Social mores (customs and manners) – What is society thinking and how will it impact your company and personal career? Do you think we are going back to dressing up in the work place or wearing jeans in a casual environment? It was just a few years ago that virtual teams was the hot topic but millennials seem to enjoy engagement. Speaking of millennials, do you think the environment and sustainability are important? You bet!
- Technology – Have you thought about the changing nature of technology, the latest trends and what is likely to impact your company? Technology has the ability to obsolete entire industries if you have your head under a rock. It also has the potential to provide an enabler to success if you keep your eye out.
- Globalization – Not only are our devices connected (internet of things) but our countries are connected in ways you might never think about or take into consideration. Certainly, currency differences are relatively easy to understand, although not to predict. Yet, there are vast numbers of connections between countries, economies, politics, natural resources and much more. Have you thought about what is changing in the globalization landscape? For example, ten years ago, no one was fired for outsourcing to China (whether it made any sense or not). What is going on today? Near-sourcing is certainly a more relevant trend but only when considered in the global view.
Whatever your business model, it’s important to take time to evaluate and assess so that you are ahead, not behind the curve. Where are you?