A Complete Business Development Machine
This Business Development Machine is built for the development and value increase of the entire business. The term “Business Development” is often used in the context of sales and/or selling. In this case, it does include sales, but it is not limited to that alone. The three sets of gears below, turning slowly and steadily, represent three separate machines. It is these three machines that, when coupled, move the organization to the right of the table shown in chapter 2.
A thought: A machine requires energy to run. The source of this energy is people, and the energy, along with the people, must be focused. The focus comes from a Leadership Team, which itself requires a Leader. And the Leader requires a Vision (more on this Vision later).
Bring the perfect prospect to the Salesperson.
Obtain the business.
Bring the same, or another, perfect prospect, out of a current customer/client organization, back to the Salesperson.
As these three machines are perfected, they can, should, … must be merged into one complete machine. The components (each gear set, each gear, and each tooth) with their unique function together make the Business Development Machine. Now, functioning as one with the energy and torque supplied by the Leader through their carefully selected Leadership Team, the organization will grow and increase in value. This will happen at precisely the same rate as the Leader and the Leadership Team, and the people reporting to them, are capable of keeping these gears working together, uninterrupted.
Methods of Growth – Organic and Acquisition
Organic growth takes place as you do more work with existing customers, add new ones, and increase the amount of work you do with each new customer that is acquired. Of the two methods of growth, this is the more important, as it forces systems development. It is worth noting that your systems must be maintained and improved for organic growth to continue.
Growth through acquisition can complement and leverage organic growth if systems are in place to absorb the acquired company or if the organization being acquired has systems that will improve the one making the acquisition; an acquisition can be exciting and wonderful.
The growth charts below are simply models for comparison. This topic will become increasingly clear as we move forward.
Rapid growth for the first three years with roughly 20% for years 4 through eight.
The same growth for the first three years as in the Organic model; acquire an organization of equal size in year 4; absorb the acquisition and grow steadily for the next three years; make the second acquisition in year 8.
Comments Regarding the Principles Upon Which the Machine is Built, and Some Tools that Support Them
The Principles and Tools that are introduced here are discussed in greater depth in chapters 6 through 11. There is nothing here that is new. Different words have been used to represent these concepts. I like “Principles” and “Tools.” I have, through my own practices, as well as observing others, accumulated sufficient evidence to believe that the concepts they represent are as certain as gravity: using it wisely has one outcome, ignoring it has another.
Adhering to sound Principles and following the Rules produce a better outcome than ignoring and avoiding them. I mention this here because it is the use of these Principles and Rules that make building the Business Development Machine straightforward. Notice I did not say easy, but straightforward. The Machine can indeed be built, and it has been my experience that the return justifies the investment.
It is important to understand that this Machine is not, in any respect, restrictive. It does not impair creativity; to the contrary, it provides a structure upon which a seemingly infinite number of variations of products, services, and methods can be assembled and delivered. We are limited only by our imagination. An example of this might be housing. Just look around your own town or city, and you’ll see that there are many variations of a foundation, framing, and a roof.