Running a business isn’t easy. When you start a new company, you are unlikely to know everything there is to know about consistent success. However, there are a few secrets that every great company knows. If you want to overcome challenges that arise and take your company to the next level, here are 5 of the top secrets of the most profitable companies you need to know.
1. Communicate from the Core
One of the main secrets of the most profitable companies is that they communicate from the inside out. They regularly ask themselves why they are doing what it is they’re doing. Spend some time thinking about why you wanted to be in business in the first place and what your customers care about. In order to become a popular brand, you need to have a purposeful mission statement that attracts customers and encourages them to take an interest. Although people can live without a service or product, you need to prove to them that what you are offering matters through your mission and vision.
A statement isn’t enough, though. You need to orient your business in such a way that your decisions align with your mission at each level and within each department. People will always gravitate toward genuine passion and vision. They can smell a fake and just as easily spot the genuine article. People want something to believe in, something to rally around. The best brands, business owners and brand managers, understand this. Putting your focus and energy behind something that brings you satisfaction and meaning has a way of rubbing off on others. And often, they’ll stay customers for life.
When Apple launches new products, it describes its vision which instantly attracts people to take an interest. For instance, when Apple recently launched the new MacBook, it claimed that it wanted to engineer the lightest Mac notebook ever and managed to do the impossible. If there is one thing that you can learn from Apple, it is the fact that it engages its target audience by first promising something incredible, then by proving to them that it can conquer the impossible and provide them with the best product. It prioritizes the needs of its users to develop easy-to-use products that are a class apart. In short, speak from the heart, communicate clear objectives, only promise what you’re confident you can deliver, rally others toward your cause, and then deliver time and again.
2. Do away with poor performers and invest in the promising ones
Another secret that you need to know if you want your company to be profitable is to get rid of poor performers. Although this might sound harsh, you need to create the best working environment to ensure that your company grows. This means that you simply cannot let someone’s negativity affect everyone’s performance. By having the weakest links exit the building, the complainers and the ones always looking to pick apart the mission, you’re doing everyone a favor. Keeping the best improves productivity, creativity, trust, and loyalty.
Most of the successful companies would not be where they are today if they kept workers who only complained and failed to provide results consistently. On the flip-side, invest heavily in the development of talent that shows promise, even those who might be lagging behind but are hungry for growth and change.
3. Walk It Out
Quite often, you might feel stuck. Although it’s perfectly normal to feel like your business is not going anywhere, you need to do something about it. Don’t let the waves of worry and negativity take over. Think about it, run solutions and act decisively. Interestingly enough, there is a way to help this process along. Before you take on any task, you should consider, quite literally, walking it out. Studies show that exercise goes a long way in improving your decision-making skills. It allows you to think creatively by organizing your thoughts, cleaning out distraction and stress, and focusing you in new ways.
Now, you don’t need to head to the gym for a heavy workout. You just need to take a quick walk around your office a few times. It will work wonders. In fact, you should even encourage employees to stretch their legs when they feel stuck. It is also a good idea to host walking meetings. All you need is 4 to 6 people to brainstorm some amazing ideas. To avoid overexertion, you need to ensure the meeting does not exceed 30 minutes. Physical movement is a catalyst for cognitive movement. Creativity blossoms when the body gets working.
4. Be Transparent
A secret that you will notice every profitable company follows is being transparent. The fact is that customers today value transparency more than ever before. This is why it is important that you open up about methods and processes. Now, transparency does not mean that you need to share your trade secrets. It simply requires you to be honest about your business operations. If you want customers to purchase from you repeatedly, they need to be able to trust you and have faith in your mission and product or service. Information sharing and openness go a long way in helping establish trust and loyalty.
When you mess up, don’t hide it or try to candy-coat it. Say it like it is. Be direct. Present the necessary facts, the sincere apology and your clear plan for fixing it. Oftentimes, with brands, there is a kind of “family” dynamic going on with your audience. Be open and generous. Most will stick with you when they see your character in action.
5. Encourage Employees to be Creative
Original thinking is necessary for an organization to be profitable. Too many business owners, in an effort to control everything, try to micromanage their staff, keeping them from the freedom, space, and engagement needed to develop original ideas. Encourage your people to get creative. Communicate creative thoughts and ideas even if they don’t immediately seem great. Sometimes, ideas take time and other minds to get to their greatest manifestation.
Don’t be afraid to spend a bit for this, to dedicate time and other resources to allow creativity to flourish. For instance, Google allows its engineers to spend time working on projects they are passionate about. This allows the company to come up with unique services. Free up your people. It will come back to you with new products, greater productivity, and a happier workplace.
Conclusion
Of course, this isn’t an exhaustive list. There are many more secrets of great businesses. We’ll dive into more of them in future articles. It’s important, though, for you to grasp the keys to building a strong, trusted, innovative business, one that attracts customers, builds loyalty, and continues to develop itself and its services. Many have gone before us. We may as well learn as much as we can from them, both their failures and successes.
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For answers to a few of your business management questions, check out our FAQs below.
FAQ
What sets the most profitable companies apart from so many others?
It’s definitely a host of things. But many of the fundamentals are consistent across the line, transparency and openness with customers and employees, consistent follow-through, encouraging creative thought and original ideas, rest and movement (mild exercise), ousting poor performers while investing in promising talent, and putting your efforts behind products and services you’re passionate about.
What are some things to always avoid?
Don’t promise what you can’t deliver. If you need to wait a bit longer, do so. Solidify your objectives, and communicate clearly when you’re ready to present new things. Don’t get stingy with investing in new talent and in creating an environment where freethought can thrive. Pour into your talent pool, reward them, and build their confidence.
Don’t get hammered by poor lifestyle choices like unhealthy eating, a lack of exercise, too much alcohol, or avoiding time with loved ones. Your business and brand will reflect your own life and health. Be good to yourself and it will bring new life to your professional efforts.
How can I be sure I’m staying on the right path in my business?
Find a good mentor. Look for someone who has shown repeated success for many years, both in business and in their personal life. You want someone who values integrity, quality, creativity, personal health, transparency, loyalty, and tenacity.
Even if you’re paying for their time, an amazing mentor and consultant with years of experience can often be the voice you need to help you dial in the finer details. Make sure it’s someone with no agenda except to see you develop. You don’t want someone looking to recreate your business in their image but someone who wants the best for you and your company.
