Gain the Pie or Increase Pie Share?

Doing business is competing with others. In an open market like Cambodia, we need to do things aggressively and make sure that we are safe a position that we’re standing. To grow the business, we might think of increase market share, by getting more share from competitors. But there are some companies, they thinks a different way. They ask themselves whether they “should increase the pie or gain the pie”. What’s the different between these two?

Increase Pie or Increase the Market Share is a traditional and quick win strategy. With this business purpose, they would anything to make sure their pie is increase and sometimes, they compromising some risks to get their goal. A lot of companies are stick with this strategy. To increase the pie, sometimes they have to do things unethical or noncompliance. In Cambodia, most of companies are trying to beats their competitors by using resources that sometimes they knows that it is not legal. Doing business by stick with this strategy, sometime, it is not long-term business, because competitors they would find the way to defend, to increase their pie as well and once our company don’t have enough resources to support that strategy, we would definitely lose the share and we’ll really hard to get it back. Increase pie share is not long-term business strategy, in my purpose. Classic example of increase the pie strategy is “Browser” market share. IE, Firefox, Chrome, Opera, Safari, they are fighting with each other to increase their market share in horizontal way. If IE’s market share increase, then Firefox will be decline. They keeping fighting each other in this way and both sites will suffer.

Gaining Pie from other Sources, looking for other opportunities to gain our pie is very important. Opportunity is out there, but we just need to explore, pick it up, polish it and make it shine. Gaining pie strategy is more likely on expand our business to more area, more customers. This is long-term business strategy. We need to invest, we need to explore and expand. There is a few companies in Cambodia that using this strategy, one of which is GlaxoSmithKline (GSK). GSK is trying to do things which other pharmaceutical companies would never imagine. GSK invest in developing healthcare system, by building healthcare centers, training healthcare professionals (HCPs) and increase access to medicine by reducing the price so that people can get the GSK’s quality products. In result, they grows consistently even they have some obstacles along the way. Now their pie is getting bigger and bigger in vertical. This example picture will show what “gaining pie” strategy would look like.

There are so many strategy to run a business, but those only fit if your business plan is fit to what your purpose is. At the end of the day, no matter which strategy you will choose, you’re the only one who’ll responsible for your own business.

Long-term business, result would never come easily, but it would come with reputation and respect. Short-term business is a war.

What All Managers Should Not Missed

The growth of a business is coming from the contribution of all employees, not any individual contributions. Working as team is really important for the growth of the business.

Each and every companies has its own leader or manager who has huge responsibility and ability to grow the business to achieve the goal. To achieve the goal, a leader or manager need to remember this:

1. Celebration the success with all the employees — Sharing the success with team is the most important thing for any leaders or managers to get to know their staffs and be close with them and understand their concerns and fix those concerns properly. This is not just having fun with them, but it is about sharing.

2. Get to know your staffs and be closed with them — A comments or suggestion from staffs are very important to strengthen the business plan, and more importantly is to grow the business and achieve the ambition that already set.

3. Treat people fairly — Be fair and treat them as your treat yourself. Staffs are just like the wheels of a car, the moment the wheels are flatted, or broken, the car will cannot be moved.

4. Development plan for your staffs and business — This is very important for you to keep your staffs works for you for a long time period. People always has their own ambitious and that ambition will be feed by the plan that you have for them. Develop a specific plan for each and individual of them and build them based on their talents. They will never forget you and will keep themselves to work for you as long as they still breath.

5. Longer term vision — Business is feeding by Invest, harvest and repeat the process. To keep your business or company exist in the market, long term strategies are very important. Normally, 5 to 10 years plan is commonest.

These are just what I have learned from my 5-years working experiences and I believe that these would give you some ideas to build a better working environment as well as successful business.

Compliance – Is it good or bad?

There are so many companies that running their business both in non-compliance and compliance way. We used to and keeping hearing this “COMPLIANCE” concepts in our business as well as our everyday life, but not most of us are fully understand what this word means neither it’s good or bad, we don’t know.

 

Compliance

 

Compliance is about do everything right, responsibility and accountability of what we are doing. Everything we do we responsible for every result that it could possible bring. Before we do anything we have to ask ourselves and check these questions:

1. Is it legal? Is it allow to do?

2. Is it for social benefits or individual benefits?

3. Will somebody see of what we are doing is a bribe? Will it looks like bribery activities?

4. Will it impact whether good or bad to our organization?

5. Will it reflex to our value? Our organization’s value?

Compliance is not just about what we are saying about it but it is about what are doing it and the people around us see it. Compliance teach people to do things in a right way and differentiate from others.

Is it good for the business? 

Compliance is about building long-term business. It is good for long-term business and it will always good for each and individual staffs to learn and teach themselves to do things in the write way.

In high-risk market such Cambodia, compliance may create so many issues along the way, but this is right way to do business with integrity and transparency.

How people see about compliance? 

Currently, exactly, Cambodia market as well as Cambodian people, they are not much familiar with compliance things as well as deep understand about it. The way that an organization trying to push the compliance practice into the real life, their staffs will starting to doing something in on-compliance way because they want to survive in a hard and tough situation.

Most of Cambodian people, could potentially including me, not much see the value of compliance if the organization didn’t show them the real meaning of Compliance.

So how to make compliance become a real-life practice, not just in theory?

The only solution is embedded and immigrated all the concepts in to each and individual staffs from the beginning so that they will understand it and do it right way.

 

Compliance is very important to long-term business and it will never disappear at any step of the business circle.