In a volatile, uncertain, chaotic and ambiguous world today, businesses experience tremendous pressure that sometimes leads them to corporate and SME graveyards. In the last 10 years alone, many corporates and thousands of SMEs have succumbed to this
pressure and either bowed out through acquisitions, mergers and even direct closures. Some names that quickly come to mind include YU Mobile, Lakestar Insurance, Standard Assurance, Imperial Bank, Chase Bank, Firestone, Proctor & Gamble, and Castle Breweries.
What went wrong? Could these companies have been saved? Were there signals that could have indicated possibility of the existence of a problem? Did management, directors, owners, or boards of directors overlook certain aspects of the business?
In the last 14 years that Lan-x Africa Limited has provided business advisory services, we have established that a number of organizations and businesses suffer because of the people involved. After the experience of the Desert Storm, Collin Powel concluded, “Organization doesn’t really accomplish anything. Plans don’t accomplish anything either.
Theories of management don’t much matter. Endeavors succeed or fail because of the people involved.” When people make or don’t make decisions, business still happens. Albeit sometimes in the wrong way.
Endeavors succeed or fail because of the quality of the decisions made by management on a daily basis. Most of the time, these decisions are made based on what has always worked rather than using empirical information.
To this end, and in order to assist management, owners and directors to make quality decisions, that guarantee profitability, success and stability of their businesses, Lan-x Africa Limited recently established an Android Growth Index Tool (AGIT). The tool is used to comprehensively carry out performance audits for business as well as providing them with a report that shows how they are performing, how peers in the same industry are performing and a comparative appreciation of how other businesses perform in general.
AGIT looks into 7 critical areas of your business (Growth Indicators) and comprehensively examines different aspects of each. Through weighted scores, it allocates a Growth Index Score (GIS) to each indicator before summing it to give your Total Growth Index Score (TGIS). These 7 areas are: –
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