Check the Ricardo Correa advice of the National Quality Foundation (FNQ), to improve the management of your company.
Small businesses that adopt management standards have higher profits, are less indebted and invest more. This is shown by a study by Serasa Experian, at the request of the National Quality Foundation (FNQ).
According to the survey, companies using the Model of Management Excellence (MEG), disseminated by FNQ, reported EBITDA margin of 19.9% in 2009 against 14.6% of those who do not adopt the model. They also had lower overall debt levels on equity (107% vs. 116%) and increased their investments by 11.4% in the year – compared to 8.2% increase recorded in other companies of the same segment.
“The survival of small businesses depends on their ability to compete in the market. To identify their main needs, the company can adopt a system that enhances its management, increase their competitiveness and provide better chances of success, “the CEO of FNQ, Ricardo Correa.
Check out the following 10 tips executive to better manage your business, increasing your chances of success
1. Strategic planning
Establish strategies to achieve the company’s objectives, taking into account information regarding customers, markets, suppliers, employees, their ability to provide services, produce and sell. “This allows you to position the organization competitively and ensure its continuity,” assures Correa. Not enough is only in the planning. The next step is to create action plans, defining responsible, time and resources necessary for the implementation of activities aimed at achieving the main goals and strategies.
2. Promote continuous improvement
innovate in products, services, processes and management methods is a fundamental step to ensure business growth. Listen to the contributions of employees and search for information on the market – the sources can be other companies, competitors, universities, research center, and associations, among others. “The implementation of an ongoing program of improvement and pursuit of excellence contributes to increasing the company ‘s competitiveness,” said Correa.
3. Control the performance
Creating indicators and targets of monitoring the main activities and analyze business performance is essential to ensure good management. “Regular meetings with the organization’s leaders are essential to measure the results and take corrective action when necessary,” says the director of FNQ. The indicators and targets should cover the main areas of business, including finance, production, sales, suppliers, customers, employees and environmental issues.
4. Do not neglect finance
Keep an eye on cash flow and always have a budget plan for at least one year. Correa points out that this is “a good strategy to ensure the availability of resources for the purchase of materials and services, paying employees and expenses, in addition to investment in equipment sales, service, production and delivery.”
5. Organize the information
necessary information to carry out the activities of the company, analysis and conduct of business should be organized in a standardized system that includes effective tools and technologies to meet the needs of employees. “The company should share information in order to allow proper implementation of tasks. When recorded and documented, this information enables business continuity in case of replacement workers, “recommends Correa.