Catching up from past insights Growing companies usually require more working capital during their periods of rapid growth. In past insights we have calculated the amount of additional capital needed for a business as it grows, and the additional capital required is often surprisingly large. In this insight, we need to speak of the sources […]
Dave Berkus
Economics 101: If Water Flows Downhill, Then Why Fight It?
You’ll get the importance of this in a moment. Hang in there. Substitute the word “money” for “water” and we have an explanation for most all the reasons why successful products move from concept through early adopters through mass market. How money flows through the system Money flows to the cheapest effective solution to a […]
How much is that one additional unit worth?
Most college econ courses teach marginal economics. So, not to scare those who didn’t take econ, here is a simple explanation. Let’s use break-even as our test Let’s say that your company is exactly at breakeven. Here’s the importance of that event and how it affects every productive move you make after that moment. There is amazing […]
Should You Cast Your Net Where the Big Fish Swim?
This is one of those “My dad used to say” homilies. You’ve probably heard the accompanying “It takes just as much effort to sell a small deal as a big one,” over the years. It is not that simple in the business world The truth of this is more nuanced. Some businesses will prosper in […]
Which is More Important? Workplace Safety or Profits?
Its a new world out there. Some businesses never sent people to work from home, told they were “essential businesses.” Soon more will reopen as weeks and months go by. That’s a relief for most of us from the combination of boredom and lack of social interaction. Even if we were safer at home as […]
Have You Lost (some) Enthusiasm for the Job?
So, you’ve been at this for years through thick and thin, great days and days in which you’ve had better times. Much of your job has become routine. But it feels good to see your “baby” grow and others buy into your vision. That daily routine It is human nature for you and every entrepreneur […]
Does Your Company Culture Encourage Employee Curiosity?
It’s more common than you think Some of the world’s best companies to work for are those that encourage employees to spend time following their own paths of curiosity toward development of new products or services. Google, 3M, Facebook, and Microsoft all allow their employees to take time to explore new ideas they conceive and attempt to develop. […]
Especially Now: Play nice!
To survive this nasty Covid-19 surge facing businesses of all types, leaders must make decisions that hurt but are necessary. Keep the employees for the SBA PPP requirements regarding loan forgiveness, or furlough or let good employees go, so they can file unemployment claims? And what about termination decisions you make affecting just the few […]
Could You Be Your Company’s Bottleneck?
So many tasks; so little time As a manager, you have a number of critical tasks that are general to your position as opposed to specific to your industry. These include ensuring the continued health of the organization, setting the moral compass for your stakeholders, providing for succession by training and documenting, leading the effort […]
Remember the FAIRNESS Doctrine to Avoid Lawsuit Threats
Reduce the emotion; reduce the threat of lawsuit. You’ve almost certainly experienced an angry “it’s unfair” outburst from an associate or employee. Usually it’s just after they’ve learned of an action that they took as “unfair,” no matter how rational the explanation by the decision maker. Most emotional responses to decisions in business are generated […]
