What is the secret to improving profitability of your company? In a post for PM South, Harry Hall elaborates on the simple act that will keep your company on track: alignment between your strategies and your projects.
Where to Channel Energy
Success does not directly indicate a need for working harder; it requires you to work better: “Do the right things at the right time with the right people.” In order to improve where you are, you need to understand where you are presently, where you want to be in the future, and how to get there. The “how” is a matter of the company’s strategy and conferring with the stakeholders to define and achieve this strategy.
There are six different areas of concentration for a strategy that a company can focus on:
- Market demand
- Business need
- Social need
- Customer desire
- Technological advancement
- Regulatory requirement
The market demand calls a focus towards what is needed or would be successful in the market presently, while the business looks internally to unearth a way to decrease expenses. Social and customer needs look externally to uncover what is being demanded and how the company can better serve its clientele. Technological advances look at things such as an app to make things easier for a person. Meanwhile, regulatory requirements ensure that the company is abiding by federal and state laws.
It is not enough to acknowledge these elements initially. You must continually monitor that the strategy stays aligned. Business analysts can prove beneficial in this area and are adequately equipped to measure the impact they have in the future. They should actively be monitoring the strategic objective and targeted performance (aka the profitability). Ensure that everything is progressing forward towards the desired goal.
You can read the original post here: http://www.pmsouth.com/2015/11/13/bottom-line/