Why Your Business Can Avoid the Expense of Microsoft’s Windows 8

 

Updated – Oct. 16, 2012

If you’re like most businesspeople trying to stay competitive in this economy, you like to be current in technology, but you have to avoid security issues and unnecessary expenses.

So whenever Microsoft releases a new operating system, you might think “Oh no, not another expense.” That’s probably the case now with the hype over Microsoft’s release of Windows 8.

Indeed, the cyber world is filled with reviews about Windows 8. A lot of the criticism stems from Windows 8’s start screen instead of a start menu – with no tutorial. But I haven’t spotted any reviews aimed at a typical businessperson’s concerns — unnecessary expenses and managing financial data.

Time to turn to an expert who helps businesspeople manage their information technology: Jerald Savin, who goes by “Jerry,” a leading management consultant in the Los Angeles area who also teaches at UCLA. (See his LinkedIn profile here.) 

He was the first to warn about the difficulties with Microsoft’s ill-fated Vista. Thankfully, he speaks with authority in a direct and easy-to-understand likeable style.

A telephone interview provided relief as he answered two key questions:

1. Windows 8 is not designed for typical and easy business uses.
2. You won’t have to throw away Windows 7 or Windows XP any time soon.

As usual, Mr. Savin’s instincts are visionary. Here’s confirmation from The Ed Bott Report at ZDNet.com about Microsoft’s end-of-support dates:

• Windows XP SP3: April 8, 2014
• Windows Vista SP2: April 11, 2017
• Windows 7 SP1: January 14, 2020
• Windows 8: January 10, 2023

(ZDNet.com is a daily must-read if you want to stay current on technology.)

Business uses

“What is the basic significant difference between Apple and Microsoft?” asks Mr. Savin. “Apple targets the interests of iPod, iPhone and iPad users while Windows targets business utility users. What accountant uses Apple? Nobody.”

Not to oversimplify, he explains the iPad is used for pictures, not for work. Windows is used for data entry and data manipulation.

“It’s hard to visualize businesspeople using tablets, which are designed for pictures and similar processes,” he surmises. “The crux of the problem is that keyboards are still the main way for businesspeople to use their computer for accounting and other uses.”

OK, so Mr. Savin answered the first concern — Windows 8 is not designed for business.

What about the second concern – the expense of substituting Windows 8 for Windows 7 or XP.

Investment or unnecessary expense?

“Who is the biggest Windows user?” he asks. “The U.S. government buys more PCs than anyone, and still uses XP. Getting the federal government to buy new stuff – adopting Windows 8 — is not likely to happen soon.”

The implication is that support for XP won’t end in the immediate future. That might be a positive for Windows 7, too. The economy will not support it. (Here’s another indicator: Microsoft chops Office 365 enterprise prices by 20 percent.)

My thoughts for clients and my computers: “Whew.” A Biz Coach tip-of-the-cap to Mr. Savin, who continues to save us time and money in managing our information technology.

P.S. Donald Bell of CNET provides his top 5 reasons to hold off on a Windows 8 upgrade.

From the Coach’s Corner, if you’re looking for answers regarding tech security, you can find countless solutions in this portal’s Tech section. 

For a comprehensive resource in Internet marketing, see: How Small Businesses Can Capitalize on Cyber Strategies for Profit. 

“It has become appallingly obvious that our technology has exceeded our humanity.”
-Albert Einstein

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Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry. 

 

4 Often Overlooked Options to Generate Soaring Profits

 

Here’s a question from a reader:

Q: Despite my hard work and advertising, my small service company has not been faring well financially. Help!

A: A company performs well by employing strong marketing programs as well as maintaining efficiencies in the control of costs, performance and quality. So, there could be a myriad of reasons for your demise, including competition, lack of proper focus, and poor employee performance.

Not to oversimplify, but here are four areas that warrant your attention:

1. Expenses
2. Too much focus on revenue
3. For talent, strategize to recruit mature workers
4. Big picture planning

Expenses.You don’t indicate how many workers you employ, but the first area on which to focus is your ability stay in business. So focus on expenses without looking desperate. The key is to cut where you can without appearing to do so, and to determine your break-even point.

Until you have reason to be confident, fake it until you make it. Act with conviction and customers and vendors will remain confident in you.

Sometimes hiring or outsourcing work to independent contractors are the way to go because they’re more experienced and require less supervision, and they do not require health insurance or other benefits.

For many job descriptions, interns can be beneficial. But if you don’t pay interns, make certain you adhere to applicable laws and regulations. You don’t want to be accused of exploiting them for profit gain.

And, there is wealth of software that helps small businesses to function.

As for your location, determine where you can economize. Can you move your business into your home or into an executive suite, which can be rented by the day or month? You’ll get secretarial help, such as a receptionist or telephone answering services and photo-copying.

Many professional firms sub-lease or rent out their extra space. Conversely, perhaps you could rent out your extra space.

What about your loans? Can you consolidate your loans for vehicles or equipment to lower your payments?

Implement the step-by-step solutions for a company turnaround.

Too much focus on revenue. Sometimes entrepreneurs find themselves focusing on how to make money when that’s really the desired result, but management behavior doesn’t match the goal of being profitable. They reactively cut prices to generate volume without considering other solutions.

And cutting employees without enough focus on other sales and customer service are often premature.

You need to find customers who want your products and services. Give them reasons to keep coming back. Give them the right incentives to refer other customers to you. And don’t forget to make your business fun.

Companies succeed when customers come first by creating a happy buying environment. This accomplished when you start with the point of customer contact. You must have competence in telephone answering – a skilled receptionist, who is great in business etiquette and in solving of problems.

Make certain customers get prompt responses and don’t screen your calls. How many times a day does your receptionist say these words: “Can I say who is calling?” Customers don’t like to be screened out.

Consider the elements needed for your customers’ satisfaction. Low prices only represent a small percentage of their satisfaction. Customers appreciate fast, responsive and knowledgeable customer service.

My research shows customers will start buying from your competitors when they feel taken for granted by you or your employees. That’s true in 70 percent of cases when customers buy elsewhere.

Only about 18 percent of consumers are so price-conscious they only buy products or services at the cheapest price.

So, target the customers who appreciate value in other ways: The diligent work of your staff, your strong business image in the community, convenience, and a reasonable price.

Here are the 10 best marketing tips for growth even on a tight budget.

Never stop marketing. Invest 20 percent of your time and resources every day. Give adequate thought on how much money to invest. For more on marketing, see the secrets to success in a weak economy — expand marketing. If you’re frustrated in looking for clients, soften your approach.

If you take such precautions, you will distinguish yourself from the competition.

Recruit mature workers. They are a source for experience and stability — in human resources, slow motion gets you there faster. Employer turnover and poor recruitment are detrimental to controlling costs. Research from employment services company Manpower Inc. in 2007 indicated many companies don’t have a good understanding of employee recruitment.

In particular, it seems that 78 percent aren’t concerned about the graying population and its impact on the retaining of good workers. Some 28 percent don’t have a strategy for keeping their workers past the age of retirement and 18 percent aren’t planning to recruit such mature employees.

The temporary help firm suggests several best-practices in hiring, such as training programs to increase skills, flexible scheduling or job-sharing, and new job descriptions to accommodate candidates who can bring value to the company.

Big picture planning. Budget time on a regular basis for “blue-sky” planning. In other words, make the most of your free time. Even the most harried entrepreneurial manager can make time to brainstorm. Use the white space on your calendar to connect the dots between your personal and business goals.

Hint: Think 1930s for business success. Consumer attitudes are changing.

Consider whether you need to make fundamental changes, alter your business structure, fine-tune components, or to inspire confidence in customers and employees.

Thinking outside the box is a bit of a tired, over-used phrase, but it’s still apropos. Consider the principle of “contrary action.” Take contrary action in all that you do. In this way, you’ll learn to keep an open mind. Then, focus on areas in which you’re passionate.

Become known as a leader in your industry. But don’t make the mistake of failing to learn principles from others outside your profession. Read biographies of successful people and learn the reasons why they solve problems and create opportunities for growth. And, network with professionals outside your particular industry.

Study your competitors. How do they differ from you? Think like a customer and take out a pen and paper. Determine where you fall short and what you need to do for improvement.

When facing a stressful problem, remember this one basic principle: There’s at least one event in your past that has prepared you for this challenge.

From the Coach’s Corner, by the way don’t forget about developing an exit strategy now. 

“Profit in business comes from repeat customers, customers that boast about your project or service, and that bring friends with them.”

-W. Edwards Deming 

 

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Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

How You Can Position Your Micro Business to Win

 

Small businesses are trying to cope with a longstanding structural economic problem. It’s nothing new, and makes it a challenge to keep working with enthusiasm.

We all know about the devastation caused by the recession. However, even before the recession hit in late 2007, many small businesses were already off track.

Here are two indicators:

First, the National Federation of Independent Business, reported its index of optimism among its members was down in early 2007. One gauge is employment. While 14 percent planned to hire more workers, 9 percent were planning to scale back their workforce.

Second, a 25 percent increase in credit card debt among small businesses raised eyebrows, according to the Small Business Administration (SBA).  The SBA said the number of small companies with loans under $100,000 skyrocketed 25 percent – from 15.2 million to 19 million businesses – from 2004 to 2005. Seventy percent of that increase was in credit card debt.

Loans for small businesses the previous year only increased 5.3 percent. So, the 25 percent credit-card debt trend was not a good omen heading into a New Year.

The SBA studied the lending of $1millon or less to 21 million companies by 8,799 banks. The aggregate debt: $600 billion.

All of this data underscores the important of due-diligence and hard work.  How are you poised to succeed in this landscape?

Here are some basics to consider:

Financial. Utilize the services of least a part-time, proactive accountant – get references, determine a division of responsibility in the event you’re audited, and choose a personality that meshes with yours.

Or, if budget is a challenge, purchase financial management software to produce accurate financial statements (balance sheet and profit-and-loss).

Track sales-to-expense ratios every 30 days. Monitor your inventory levels and project sales, receivables and cash – make certain to adjust your spending accordingly. Remember cash is king.  Here’s why and how to determine your break-even point. 

Understand the ratio between accounts payable and accounts receivable and their impact on cash flow. Focus on a capitalization approach for stability. That includes your earnings; and if necessary, short-term and long-term loans.

And closely monitor the work and performance of your accountant or financial advisor.

Strategic Planning. For overall business improvement, evaluate whether you need to make changes in the following:

• Your company’s focus – do you need new products or services?
• Cutting expenses
• Develop opportunities for growth
• Design an effective strategy to raise fees, prices or retainers
• Evaluate the most cost-effective revenue streams
• Leverage assets or resources for additional revenue
• Change vendors or strategic partners
• Evaluate systems, products or services needed to improve your billing, client service, marketing and selling
• Use 11 strategies to keep your small business floating above water.

Marketing. To increase revenue, consider:

• Analyze your strategies for shameless, self-promotion or marketing
• Assess your tactics in relationship-marketing
• Identify activities or organizations that are ideal to help you align your business goals and target the right clients or target audience
• Upgrade your networking strategies
• Develop new marketing collateral (i.e. blogging, brochure, courses, newsletters, reports, sales letters, teleseminars, webinars or workshops,)
• Use the 10 best marketing tips for growth even on a tight budget.

Good luck!

From the Coach’s Corner, don’t forget your personal improvement.

Here are some reminders:

• Identify what you need to read – business books, publications, Web sites or reports
• Determine which of your skills that need development
• Obtain a mentor
• Decide on enhancements needed in your office or home for better efficiency, inspiration or organization
• Here are more solutions to rejuvenate yourself and business.

“Passion is the single most powerful competitive advantage an organization can claim in building its success.” 

-Richard Chang

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Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.