As a seasoned entrepreneur known for bootstrapping and overcoming adversity, those who know me know I get things done and have little patience for waste and fluff. Dedicated to math and science, I’m likely to perform cost-benefit analysis of all endeavors before embarking, and I’m known to hold myself and others accountable to outcomes and work ethic. I extend these principles into this forward framework.
This point in time is marked by a great many changes to be considered by business owners, many of which are feeling overwhelmed and even apprehensive. Many such changes include impact of pandemic, a change in societal values, new employment laws, remote work, talent shortage and optimization of technology. Supply and demand are in flux, and the aggregate cost of change has never been relatively lower. For this reason, we present a streamlined checklist by which business owners should hold their incumbent leaders accountable, and get the right leaders into the right seats.
Employment Law: We’re continuing to see rapid changes in federal, state and local laws, and we can see more quickly coming down the pipeline. According to today’s court reports, too many cases are emerging at costly litigation or government complaint level, revealing strong gaps in proactive reasonable care. As expert guest professor teaching law to business owners and esteemed universities, I read and implement legal changes daily. I highly recommend consulting a legal expert on forecasts, changes and risks… but don’t stop there. Case studies and blueprints are at our access to incorporate legal know-how directly into the policy and practice playbook to optimize aggregate organizational goal attainment.
Analytics and Accountability: Especially with increased company change and increased work from home (WFH) practices, precise business analytics are a “must have.” While some universal platforms may be able to plug-and-play for top-down results monitoring and decision data tools, the greater opportunities lie in custom programming to create simplistic dashboards, KPIs and BANs for your leadership team. These enable quick glance predictive models to evaluate the probable result before your investment into the change. Measuring and communicating performance for remote workers is optimized by metrics and analytics which are customized to unique business characteristics. “Nimble” remains a key organizational goal as we continue to learn about the everchanging business landscape and seek to capture new opportunities at early mover status.
Let the numbers talk with meaning, and deploy business savvy talent to produce accurate and actionable data that makes sense. “Data for the sake of data” remains an erroneous use of time and money, except for favorable happenstance. Resources in this discipline have grown exponentially by enhanced programs at universities, trade schools and innovative employers.
Employer Culture: Defining and consistently implementing an aligned and effective culture will make or break a scaling employer during the next 5 years. Societal values are in flux and the talent crunch is not disappearing anytime soon. With a glut of information pouring at us all, the most common motivators must be considered; however, a smaller or more innovative company may very well find a distinctive and attractive niche by aligning with less common motivators. The keys to “culture” begin with the authentic embodiment of top leadership and succession planning. Culture should not be an accident or default, but rather a purposeful blueprint aligned with mission, vision, history, top-down values and leadership styles. Competing for talent? “If you build it, they will come.”
Generational Stereotypes: Generations are marked by shaping, age and stage of life, whereby many stereotypes are more fiction than fact as individuals experience life. Among the many researchers, we’ve studied and reported trends for decades, and we continue to debunk myths and distinguish between fact and fiction. Maslow’s hierarchy is still a great starting point to be applied to the unique demographics and offerings of the individual employer. It remains true that extrinsic motivation is much more likely to be affected by company practices, and intrinsic motivation should be carefully evaluated prior to organizational entry.
The incoming workforce is Gen Z (born 1995 or later). Often referred to as “Zoomers” and digital natives, they are more likely to seek safety, health, privacy, be cautious with money and connect with Boomers. Their entrepreneurial spirit can abound. 5 years ago, our business analytics guru (and my son) Matthew Bare crafted a well-read article, reporting this generation to be more likely to seek “hands on” professional training, work at earlier ages (similar to Boomers) and/or to prefer trade school as integral to pre-employment preparation. We’re still expecting this group to be highly educated, but with more focus upon practical academic choice, preparing them to “hit the ground running” in employment. While the pandemic has certainly changed the conditions of academia, keep an eye on these up-and-comers as a great resource for your company.
Mergers & Acquisitions: With increased M&A activity due to pandemic impact and rapid changes in opportunities, the actual value of a business can be easily underestimated or overestimated. Among our case studies and never-ending research, we’re seeing increased acquisition for companies that did not weather the pandemic well and offer higher value to the buyer. Many buyers seek a synergistic buy for their existing company scaling, and others look for a target that’s not capturing its best success and can do so under new ownership. As we continue to dress companies for sale and safeguard alignment after M&A, it remains true that showcasing pro forma forecasts to potential buyers can elevate the purchase price. At the end of the day, “best offer” may drive the price, and the valuation method may follow according to the competitive market and buyer interest.
- Jessica Ollenburg, Managing Partner
Also published in IBAW Magazine