Monopoly-Chance

Who stole our monopoly?

Technology and the world-wide web have a lot to answer for!

Gone are the days where professional service providers held a virtual monopoly over the information and technical expertise that underpinned their service offering. Further, the regulators move to a risk based “self assessment” environment coupled with increasingly sophisticated intuitive technology has changed the game forever. Whilst XBRL, the global standard for exchanging business information and reporting, started with the big end of town this will be the norm for SME’s within a relatively short period of time.

The demand for compliance and transactional services will continue albeit at lower margins and volume.

Adding insult to injury the competition is moving from being predominately local to global and damn it, many of these players are quicker, better (choke) and cheaper. Another interesting and recent move is that of the Big 4 international accounting firms who have developed comprehensive affordable advisory packages targeted at SME’s, a marketplace they often left to others competitors.

What all this means is that smaller to medium sized accounting practices are under competitive threat from all sides.

Information is free, knowledge is cheap, however wisdom that solves client needs as they arise and better still predicatively, is at the heart of remaining competitive.

The need to change is a given, do you have an end game, a strategy to back it up, a target market and a value proposition that will drive your competitive advantage?

fish460_1012615c

Managing ego in your business

Manage and mitigate the negative side of ego in your business

fish460_1012615c

In his book The Long Term Starts Tomorrow, Nigel Lake addresses, amongst many interesting and important issues, the dangers of the supremacy gene. “The moment that a company starts to believe that its current strength and sophistication compared to its competitors is likely to be genuinely enduring, the rot sets in,” states Nigel. In essence the supremacy gene stifles vision, innovation and the drive needed to continually challenge and develop the organisation’s capacity to remain competitive.

The underlying cause of the supremacy gene is ego which is typically driven by the double edged sword of false pride – “you don’t need to look” and irrational fear – “you dare not look”.

I see so many situations where traits like supremacy, complacency and ignorance progressively destroy an organisation, some slowly, some quickly. Read more