According to John F. Rockart in 1979, there are several success factors which will determine the competitiveness in the market, but 9 critical factors. Each of these success factors principles plays a part in determining whether your business will thrive or struggle or even fail. Whether you plan on starting your own business or you already own a business, you should see how each of these success factors fits into your business plan. The first of the success factors is money. Obviously, the point of any business is to make money. You need to analyze if your profit margin is appropriate (not too high or too low), what your rate of revenue growth is, and also if you are experiencing an adequate positive cash flow. The next of the success factors is customer satisfaction. Remember that old adage the customer is always right? Well, if your customers and distributors are happy, you will have a successful business. The third of the success factors is building your customer and distributor base at a good rate. If you do not gain new customers your business cannot grow. The fourth of success factor is product development. Staying on top of current trends as well as lasting trends will keep you ahead of the pack in product development. Make sure that you put creativity and ingenuity as a priority. The fifth factor is the quality of the products or services. This goes back to customer service, customer retention, and new customer growth. If your product is good, and good quality, people will buy from you again. The sixth in the success factors is intellectual capital-which means that you have the smarts to figure out the best and most productive ways to increase your business. The seventh factor is building strategic relationships-or what we call networking. If you build good relationships with your suppliers, distributors, and also businesses which complement rather than compete with yours you will experience profit growth. The eighth factor is attraction and retention of good employees. This way you dont have to waste time in training and hiring and your workers are more productive. The ninth factor is stick-to-itiveness. You have to stay to succeed. |
