Business Growth

How Strategic Thinking Shapes Small Business Success…And Saves Money

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Jackie Nagel, Synnovatia

What do wise entrepreneurs do when their business growth begins to slow? Most either work harder or throw money at the perceived problem—or both! Neither of these options is advisable—or desirable—until you apply some strategic thinking to your business strategy and operations.

Consider a recent strategic conversation with “Katherine” (not her real name for the sake of confidentiality), which perfectly illustrates how strategic thinking can shape business success. Katherine had already invested a lion’s share of time and money into her growth initiative. As results failed to materialize, her initial frustration turned to irritation. Finally, in total exasperation, she decided to move forward with a project requiring a substantial investment of resources in the hope that it would be “the thing” that fueled her small business growth.

Her situation sounds only too familiar, doesn’t it? As entrepreneurs, we’ve all experienced the same frustration when results fail to materialize despite our best efforts.

What Strategic Thinking Can Do For You

Before proceeding with her plan, we decided to put strategic thinking to the test. We examined her performance metrics to glean whatever insight was available. For many small business entrepreneurs, looking at performance metrics is like partaking in a Rorschach test. We know it’s supposed to mean something, but it all looks like a bunch of undefined, incoherent inkblots.

What we discovered—in a word—was hopeful!

Using our best investigative skills, we poked, prodded, and analyzed her performance metrics. We compared them to industry benchmarks. We aligned them with her growth goals and business strategy.

Ultimately, our strategic thinking skills cracked her performance metrics wide open. We identified a set of actions Katherine could take immediately to boost her business growth —before making another substantial investment.

Isn’t that exciting? Time will tell how Katherine’s actions will ultimately shape the trajectory of her business growth. Until then, she won’t have to grow her business in the dark with fingers crossed, hoping for success. She now has strategic actions to guide her.

The Power of Strategic Thinking

This experience underscores the transformative power of strategic thinking. You can uncover insights that save time and money by taking a step back, analyzing available data, and aligning actions with strategy and goals. It’s about working smarter, not harder.

So, how willing are you to apply strategic thinking, knowing it could shape your business success and save you time and treasure? Strategic thinking involves assessing your goals, understanding the market, and planning the most effective ways to achieve your objectives, using data to guide your decision-making.

Doing so allows you to navigate challenges more effectively and capitalize on opportunities. Remember, strategic thinking is the way forward if you’re ready to see tangible results and elevate your business to the next level.

Take the First Step Today

Strategic thinking isn’t just a buzzword—it’s a crucial tool for navigating the complexities of running a small business. By adopting a strategic mindset, you give yourself a roadmap to success.

Are you ready to transform your business with strategic thinking? The time to start is now.

If forming meaningful, growth-driven partnerships sounds like the next step for your business, we’re here to help. Contact us to explore how we can support your efforts.

Eliminate Energy Drains for Better Business Growth

Posted by

Jackie Nagel, Synnovatia

Thomas Leonard, an innovator in the coaching realm, introduced a concept that shook the foundations of productivity: tolerations. Imagine a whopping 80% of your energy potentially squandered on these pesky distractions. For an entrepreneur like yourself, that energy could be better invested in scaling your business’s growth.

Picture tolerations as grains of sand grinding away at the gears of your entrepreneurial engine. Tiny? Yes. But detrimental nonetheless. These vexations dull your zest, obscure your vision, and confuse your priorities. And you deserve better.

Encountering Tolerations Everywhere: A Common Experience

Tolerations lurk everywhere. At home, a peeling paint job or a window chipped during a lively childhood game might catch your eye and nag at you. At work, cluttered desks and disorganized files might be your silent adversaries. Tolerations manifest as the clutter in your car or the unhealthy eating habits formed in the race against time.

In business, tolerations often arise in the form of missed timelines, unrelenting stress, subpar performance from others, and encountering demanding clients who may not align with the core values or offerings of our enterprise

Certainly, we are surrounded by tolerations, but what compels us to persist in tolerating them? The desire to transform ineffective energy utilization into something more powerful — business growth.

Energize Your Business Growth: Fuel Your Expansion

Bidding adieu to the seemingly trivial yet persistent nuisances cultivates joy and propels business success to new heights. It’s a liberation that lets us focus our energy and resources on strategic initiatives, fueling growth and fostering a more resilient organization.

We create space for creativity, innovation, and enhanced productivity by liberating ourselves from the burdensome weight of minor frustrations.

Heighten Awareness: Pay attention. Observe yourself. What gets under your skin? Raise your antennae. But don’t be too astonished by the magnitude of energy you’ve poured into these tolerations.
List Them Out: Maintain a list over the coming days — every single pet peeve, whether large or small.
Gauge the Costs: Weigh out the hard costs (like hiring a bookkeeper) against the soft costs (the energy you lose stressing over late invoices and reconciling your accounts.).
Target and Eliminate: Choose the most draining toleration and axe it from your life. And don’t just cut. Dig out the roots to prevent them from sprouting again. Look for the source of the toleration!
Rinse and Repeat: Tackle each toleration until your list is clear, your energy reclaimed, and your attention refocused.

Freeing yourself from these shackles not only brightens your mood but also turns you into a magnetic force of positivity. You’ll have boundless energy to inject into growing your enterprise.

Ultimately, isn’t this the very essence of entrepreneurial pursuit? With clarity on your journey towards exhilarating business expansion, the decisive step forward awaits.

Join our community of driven entrepreneurs today for inspiration, support, and guidance to skyrocket your success. Because together, we transform challenges into victories and tolerations into triumphs.

Can You Grow Your Business in an Uncertain Economy? Yes, with a Business Growth Strategist!

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Jackie Nagel, Synnovatia

Economic uncertainty can feel like navigating a ship in a storm. Mixed signals, especially prevalent in an election year, contribute to a sea of confusion for small business owners and entrepreneurs. How do you set sail and plot a course for success in such choppy waters? The answer: strategic thinking, planning, and execution in partnership with a seasoned business growth strategist. During the economic downturn of 2008, entrepreneurs faced the harsh winds of change. Businesses hunkered down as a storm of recession-battered the marketplace. And yet, amidst this tempestuous backdrop, a few resilient businesses not only survived but thrived. What set them apart?

The Bellwether of Business Resilience

My Dad, weathered by The Great Depression, often remarked, “We need to tighten our belts.” That era demanded frugality and foresight, virtues that proved vital during the 2008 recession as well. Even as we tightened our financial belts, some businesses couldn’t keep pace with the surge. However, those that could sustain a growth rate of 20% or more? They did more than stay afloat—they navigated the storm. Fast-forward to 2013, and the murmurs of a looming economic decline began to surface. These prophecies foretold a global downtrend touching down in the United States by 2020. What wasn’t predicted was the maelstrom of COVID-19—a disruption that capsized a staggering 22% of small businesses by April 2020. Yet, a year later, a beacon of optimism shone through. An astonishing 89% of small business entrepreneurs firmly believed in their businesses’ survival. In other words, we’ve been through this before.

Navigating Business Growth Rates

During my time roaming the halls of UCLA Anderson School of Business, Professors Yvonne Randle and Eric Flamholtz shared how they navigated many through the growing pains of entrepreneurship. Here’s a glimpse of the five rates of growth they charted:

Less than 15% Annually—Growth: Steady as she goes! This rate, while not meteoric, ensures you can double your business in five years without capsizing.
15–25% Annually—Rapid Growth: The winds pick up. Are you prepared for the increased effort, investment, and the challenge of thinning margins? This is the stretch where strategy makes all the difference
25–50% Annually—Very Rapid Growth: Now you’re catching gale-force winds. The demand to expand and innovate is palpable, and so are the rewards for those who can withstand the pace.
50—100% Annually—Hypergrowth: At this exhilarating speed, it’s crucial to keep a keen eye on the horizon to steer clear of any obstacles.
Greater than 100% Annually—Light-speed Growth: This is not just growth; it’s a transformation. Here, agility and foresight will determine whether you soar or crash.

In this tumultuous economic ocean, which rate is yours for the taking?

Why You Need a Business Growth Strategist

You might wonder, “Is it truly possible to achieve such growth in today’s uncertain economy?” Here’s the secret: the courageous captains who weathered the roughest seas had a “strategist” by their side, ensuring they weren’t just reacting to the waves but riding them with intent. A Business Growth Strategist isn’t just a coach or consultant; they are your partner—bringing you clarity, sharpening your focus, strengthening your resilience, challenging your premises, assisting with setting strategy, and guiding you towards the desired horizons. They provide the compass, and the map, to discover profitable routes you might have missed.

Your Call to Action

It’s time to raise the anchor and unfurl the sails. With strategic thinking, execution planning, a compass point for every decision, and a clear map of growth rates, you’re equipped to sail even the most uncertain of economic seas. Are you prepared to be the optimist who, in the face of adversity, not only survives but prospers? If your answer is a resounding “Yes,” then it’s time to join forces with a Strategist who can steer your course to safe harbor and beyond.

Take the helm. Be the beacon. Grow boldly, grow strategically. Grow sustainably.

Don’t weather this storm alone. Contact us today and discover how, together, we’ll chart a course for success that keeps your business thriving, no matter the economic forecast.

Strategic Thinking: The Ultimate Self-Care for Overwhelmed Entrepreneurs

Posted by

Jackie Nagel, Synnovatia

When entrepreneurs think of “self-care,” we often think of indulging in a long walk, a vigorous run along some trails, a massage, an afternoon nap, a fictional read, or a long weekend. We would not add “carving out time for strategic thinking” to that list.

Strategic thinking, a cognitive process of clarifying your business objectives, goals, and plans, is often viewed as a task worthy of our undivided, focused attention. It’s time to concentrate intensely on planning and problem-solving using every brain cell available. Self-care? Hardly!

The Self-Care Myth

Most of us conflate “self-care” with “work-life balance.” We often place our attention and effort in the work-life balance bucket in search of a drumbeat of work and rest that keeps us sharp, focused, and innovative — only to stumble repeatedly.

And it’s not just me. The entrepreneurs with whom I strategize share the same angst.

Attempts to achieve self-care through a balanced life feel a bit like a mirage. There are continual roles to juggle, projects to implement, and deadlines to meet. That’s how business functions in today’s fast-paced competitive marketplace. Being overwhelmed by all the responsibilities of growing a business almost feels natural.

Unfortunately, self-care is usually the last item to be addressed — unless we’re “forced” to slow down, take a break, and take it easy. But never fear! There is a way to make self-care more of a priority without losing your sanity.

It turns out that strategic thinking is the ideal form of self-care for overwhelmed entrepreneurs.

Who knew?

21^st Century Self-Care is Powerful

Honestly, self-care has gotten a bit of a bad reputation.

Yet, a continual diet of stress and overwhelm that often accompanies business growth forces our bodies into overdrive. We produce high levels of cortisol. Adrenaline increases our heart rate, elevates our blood pressure, and uses more energy than normal because of the perceived or real threat. The result? Even greater levels of stress and overwhelm — only this time, our bodies are less equipped to fight back. Eventually, burnout sets in.

But you already knew that, right?

Rather than succumb to the unseemly impact of persistent pressure, why not reignite possibilities by taking time to think strategically about the future of your business?

Open Your Mind and Say, “Ahhh”

You may think you’re too distracted or stressed to take the time to think strategically — especially if you’re caught in the Messy Middle. Yet, the gains of doing so far outweigh the many perceived disadvantages.

Strategic thinkers, often characterized as having high levels of creativity, adaptability, problem-solving skills, and decision-making abilities — all important traits for any successful entrepreneur — require time to see things differently. It’s mandatory for success.

When the frantic speed begins to slow, our minds open to creative possibilities. We create space to listen to ourselves — an often-ignored quality. Strategic thinking pulls us out of the vortex of crisis thinking and encourages objectivity.

It emboldens us to look at problems from different angles and to come up with imaginative solutions not previously considered to address stubborn problems.

But it goes beyond finding solutions to problems; strategic thinking helps identify opportunities and create strategies that lead to growth. You make better decisions about where to invest your time and money to achieve the best possible outcome for your business. It empowers you to avoid costly mistakes, maximize profits, and stay ahead of your competitors in an ever-changing market.

Finally, as a strategic thinker, you are better equipped to ensure that everyone involved in a project understands the vision and objectives for each task or project. It fosters collaboration and allows your team to work together towards common goals more effectively.

In addition to gaining clarity, strategic thinking enhances well-being and quality of life. Energy levels increase since you’re not expending unnecessary vitality in catastrophizing. It improves your ability to do quality work and boosts your willingness to persist when business gets tough.

Think Smarter, Not Harder

The first step in utilizing strategic thinking as self-care is to figure out what “strategic thinking” means — and looks like — for you.

Strategic thinking involves understanding the bigger picture of your life and work and figuring out how to move forward with those goals. It focuses your energy on the most important tasks, or as one of my clients calls them, “high-impact, high-value tasks,” while minimizing distractions from less important ones. It allows you to prioritize your goals so you can focus on the ones that will influence your business growth the most.

More importantly, it recharges your soul.

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We would love to help you think and grow more strategically. We’ll even share our “famous” planning process with you. Click here to schedule a time to explore the possibilities.

The Blueprint for Strategic Business Growth for The Messy Middle

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Jackie Nagel, Synnovatia

When asked about business growth goals, many entrepreneurs caught in the messy middle respond with vague statements like “do better than last year” or “double what we did last year.”

These off-the-cuff answers don’t stem from a lack of ambition; They expose a lack of strategic thinking necessary for establishing clear goals, which are essential for guiding decision-making and ensuring long-term success.

For most small business owners, achieving growth often feels like a mystery surrounded by uncertainty and challenges. This ambiguity happens when we’re caught up in day-to-day operations, constantly addressing urgent issues instead of focusing on long-term strategies that drive growth and sustainability.

Business Growth: Not as Easy as it Seems

During the economic downturn of 2008, entrepreneurs faced the harsh realities of an economic retreat. Revenues dipped, budgets were slashed, and talent was reduced just to stay afloat.

My father, a product of The Great Depression, would always say, “We need to tighten our belts.” And tighten our belts, we did. Despite these efforts, many businesses couldn’t survive. The failure rate for small businesses hit 4%, and an additional 12% shuttered in 2009.

Still, some companies managed to sustain a 20% growth rate and weather the storm.

Fast forward to 2020, and we faced another economic upheaval due to COVID-19. By April 2020, 22% of small businesses had vanished despite PPP support—that’s 3.3 million businesses gone. One year later, nearly 37% of small business owners anticipated that returning to normal operations would take longer than six months, with talent acquisition being their primary concern.

Despite the uncertainty of the past 15+ years, optimism remains high among small business entrepreneurs. That’s encouraging news!

Business Growth: How Fast is Too Fast?

While pursuing my MDE (Management Development of Entrepreneurship) at UCLA Anderson School of Business, I had the privilege of studying under Professors Yvonne Randle and Eric Flamholtz. They created a framework to prepare entrepreneurs for business growth.

Based on their extensive work, they identified five rates of growth for small business firms (from “Growing Pains…Transitioning from an Entrepreneurship to a Professionally Managed Firm” by Eric Flamholtz & Yvonne Randle):

1. Less than 15% annually — Sustainable Growth

While this rate might seem modest, it allows a business to double in size over five years. Not too bad! For many small business entrepreneurs, doubling in five years would be a welcome change from “a different year, the same revenue” situation.

2. 15 – 25% annually — Rapid Growth

Rapid growth is exhilarating but it can also be exhausting. Business owners at this rate of growth often find themselves stretched thin, juggling time, talent, and finances. This accelerated growth often requires an infusion of capital. Although the idea of a capital infusion can be daunting it’s often necessary for breaking through to the next level. Being strategic helps you manage the risks — and reduces your stress.

3. 25 – 50% annually — Very Rapid Growth

With very rapid growth, we see a significant increase in performance or market expansion each year. This often indicates a company or sector that is scaling quickly and capturing market share quickly. This rapid expansion highlights the company’s ability to adapt to changing market conditions and it also underscores the potential for long-term sustainability.

4. 50 – 100% annually — Hypergrowth

Companies experiencing hypergrowth are scaling at an exceptional pace, often outpacing competitors by rapidly expanding their operations and customer base. These companies typically leverage innovative strategies, advanced technologies, and agile practices to sustain their accelerated growth.

5. Greater than 100% annually — Light-Speed Growth

This level of growth signifies that a company is more than doubling its size every year. Such accelerated expansion often indicates a strong market demand, innovative strategies, and dynamic leadership driving the business forward.

Your Goal for Business Growth

Rapid growth is enticing. It offers the promise of increased revenue and market presence, and it can also bring significant challenges.

A business that expands too quickly may outpace its existing infrastructure, leading to operational inefficiencies and logistical bottlenecks. This results in your business struggling to manage its newfound success, potentially choking on the very growth that seemed so promising.

Final thought…

Being strategic aids in managing risks. By strategically planning for the year ahead, you can navigate the year more effectively and focus more precisely on your goals. You’ll maintain a sense of control, ultimately leading to a more balanced and less stressful growth experience.

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At Synnovatia, we specialize in helping small business owners caught in The Messy Middle unlock their growth potential. If you’re ready to pave your path to strategic business growth, reach out to us, and let’s make your growth goals a reality.

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