Failures at an early stage:
A popular saying goes like this- “Failure is the stepping stones to success”. However, this saying works only for those who are willing to learn from their mistakes and never let their fear of failure come in the way of trying new things or working with an open mind all the time. Every entrepreneur starts with a burning desire to succeed, not knowing that with little or no experience, failures and setbacks become part and parcel for course.
Why companies experience downfall?
Surveys show that 80% of all new ventures fail because they’re not focusing on the right things or not doing them right. Their knowledge about the business environment is often questionable leading to overconfidence in their abilities and running up huge losses. Despite these shortcomings startups can avoid failure by learning from their mistakes and making quick course corrections.
Leadership of a company is what drives the success or failure of a company. If the leader is focused only on succeeding without understanding the process that goes into building a successful company he is bound to fail. When this happens the entire company goes into survival mode and starts focusing on minimizing losses rather than charting out a new course of action. It is vital to understand business risks by carrying out a market analysis to reduce risks of failure.
What could be other possible parameters?
A business is driven by a number of things. Marketing, working capital, business execution and strategy are important for reaching the break even point. Poor branding and advertisement can cost a company the publicity it needs to survive in a tough business place.
How can one overcome these flaws?
Conduct a market analysis to determine market demand and requirement(s). Use the expertise of an industry leader wherever possible. For example, Knowlarity communications offers some of the best industry-tested business solutions that are not only efficient but are also quite cost-effective.
Other than that front line managers must be proactive in their day to day dealing with their employees. They should admit their failure. Failure is not a bad thing. It means that you’re trying. Beware of a person with an impeccable record because they may be slacking at work. A manager who does not hide his failure earns the respect of his team making them risk takers. The route to success is long and hard, but discipline, will power, and character, will take you very far. And it starts by admitting your failure and learning from your mistakes.
About the Author:
The article is attributed to Mr. Ambrish Gupta, Founder and CEO, Knowlarity Communications
