Follow the Roadmap of Past Success

This past weekend I went to a family reunion. Three generations of family from the big city piled into a motor home for the two hour trek to the family farm in the country. The farm has been in our family for well over a hundred years. It is a great opportunity to connect family, experiences and generations.

For the first time in a number of years my children, brothers, nieces, nephews and parents were all there at the same time.  A very special generational connecting event happened this year; the city kids experienced “the walk to the water fall”.

Through our property runs a creek, the creek is very much the same as it was when the Miami Indians roamed that area for hundreds of years, wild and untamed. Pipe Creek has a hard rock bottom where fish and crawdads dart all around you. The rock sides and deep tree lines make it feel as if you are an explorer in a world no one has ever seen.

What is special about this walk are the connections and generational ties that bind it together. As my brother set out on the several hour walk from the family reunion site down to the falls, he left with kids in tow. The city kids experiencing and exploring a simpler and more basic time in life. Seared in my memory from thirty years ago was the same walk with my brothers and cousins. My Dad recalled vivid memory of his creek walk to the falls as a city boy spending the summer at the farm sixty years ago.   

Walking down the creek they had experiences that only they could have. There were obstacles, when my son grabbed a small snake as it slivered across the water. He grabbed it, it bit him. The snake was not venomous and makes for a great story but could have derailed the trip. 

When they reached the water fall the older boys slid down the ten foot drop into unknown depths. Fear and risk diminished by the exhilaration, adrenaline and embolden of youth. Their goal accomplished at journeys end while just starting the story that they will pass to their children.

Following a path that has been laid before you guides your way with a goal to reach. Businesses have operated for many years and there are some fundamental principal paths that all companies follow. No matter how creative, innovative or unique the companies story it must operate in a way to assure its success. The way to success has been laid before you to follow with time tested road maps.

Two fundamental principal concepts are shared in successful companies.  First, they sell their product or service at a profit; some do it out of shear luck, but most understand their costs and have a solid accounting principal to allow a profit through guidance and planning. Second, they sell enough product or service. This requires enough transactions of value that sustain the cash flow to allow for the plan to be realized.

These principals seem obvious, but it is surprising how many businesses are started and run without a map or path to achieve their goals. It is much more interesting to talk about your business in terms of all the abstract potential and aspirations. Risk, cash flow, expenses and a business plan are diminished by the sales projections and the unique way you do business. In consulting with many companies, I have been amazed at how many companies forgot the basics only to become “snake-bit” by the practices that everyone in business “should know”.

The reality is that when a business follows the tried and true fundamental principal plans there is a significantly higher rate of success.  When my kids started down the creek, they had a goal and a plan to reach the water falls. Their experiences along the way were unique and their own, but accomplished by following a path that others had already traveled.  

There are those that succeed in unusual, innovative and creative ways, but few if any do it outside the scope of proper business fundamentals. No matter how innovative, creative and unique the company its chance of success is tied to following basic business fundamental paths laid by generations before us.

Over the next several blogs we will discuss these fundamentals and how to apply them to your business and goals for success. Well established companies going back to evaluate the basics can have profound effects on profitability and for young companies it is essential for long term success.

We want to hear what you think about this topic and questions you need answered for the success of your business.

Rick Williams is an award winning businessman and the managing partner of the business consulting firm ProMMC & ProMMC China.  You can contact Rick Williams at rickwilliams@prommc.com or at www.prommc.com