Even though firms are reporting more revenue and RFPs, the profit on new work is lower. During a recession, pundits say that firms should invest the most in client relationships and sales during a recession, but they predicted most would not. Pundits predicated that as revenue declined within a firm’s market sector they would try to get into better markets. Pundits predicted that when the recovery occurs, laggards would stay laggards and new leaders would emerge. I find all of these statements to be true. If you and your firm are not enjoying highly profitable and rewarding growth, the good news is that it is not too late. If you are motivated and act now, you can apply business solutions that are certain to improve your experience.
Lagging performance is evidence that clients are viewing the firm as a commodity service provider, or the firm is now pursuing business that has degraded to commodity status. Firms who are leaders made the investment and learned how to stay focused on their core markets, understood their client’s business to a deeper level, and came up with an adaptation to their services that are seen as unique and valuable to their clients. Thus, profit margins actually got bigger as the economy recovered. Which would you rather be?
Solutions are unique to each firm and its leadership team. A diagnosis is a first step, followed by a clear and accountable action plan reached through a consensus process. And, don’t stop with the action plan, as barriers will pop-up all along the way. Thus, it is critical these barriers be anticipated and overcome, one by one, until the firm’s reputation, growth and profitability is strong. Since all professionals have multiple corporate and project responsibilities, including the CEO, one or more external advisors can make all the difference to maintain focus and execution. FosterGrowth’s Corporate Advisory Services is a highly effective approach.