ADVOCATE COLUMN 2nd WEEK NOVEMBER 2012

Most of us would like to be successful at whatever we chose to pursue particularly if it is something that we are passionate about or that has a negative financial impact if it were to fail. In fact one of New Zealand Chambers of Commerce Northland strategic objectives is based around enabling business success. The difficulty comes in defining what constitutes success. Obviously there are some performance indicators and results that will show a business is or is not financially viable and any business still operating after the difficult times of the last two years has achieved a level of success. Then there is the purely analytical perspective based on the potential of the concern and whether or not, given external influences it is performing to its full potential or is it through underperformance failing to achieve the maximum return on investment. Once again this is going to be a result of the business processes in place, the overall level of business excellence being practiced and the level of capability of the owner and workforce. Measuring success on these criteria is relatively straightforward as it a combination of evidence based behaviour confirmed by measurable results. However the human factor is still missing from the equation. It is the individual business owner who has made the investment, taken the risk and has an expectation of some reward. The attractive nature of the owner’s aspiration and their future desire is what energises and motivates them to take action. It gives a reference point against which they can focus, adopt innovative ideas and develop a level of resilience that is so important. Success cannot be measured without a business first having set clear goals and unlike many large corporates, the nature of Northland businesses mean that many of these goals are going to closely aligned to the personal aspirations of the people and families who own these businesses. For many business owners, their personal goals and their business goals will be inextricably linked. Having asked where the business owner wants to be in their personal life at some date in the future will inform them as to what their business objectives will be. For this reason even if business is financially underperforming and there is room for improvement with its systems and processes, it may still be a success if the owner’s goals are being achieved. Of course having set your goals, using good businesses practices improves the chance of success.