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Showing posts with label strategic business and market trends. Show all posts
Showing posts with label strategic business and market trends. Show all posts

Sunday, July 17, 2011

Sustainability Through Highest And Best Use HR | STRATEGIC BUSINESS AND MARKET TRENDS

RD Watkins
Strategic Business and Market Trends with RD Watkins


When assessing new hires, a manager committed to the tenants of Sustainability should be asking this question, “Does this person have a synergistic Highest and Best Use within my organization in addition to functional utility?” In actuality, a manager’s thoughts are more often centered solely on the current candidate’s functional competencies and capacity. Many businesses simply try to fill open slots or positions within their organization with skilled personnel and the capacity to fill a functional need within particular areas of production. However, a shift in focus to other aspects of your soon to be hired human assets and resources may be the additional propellant that launches your company into a sustainable orbit. Your next hire may mean the difference between simply building a viable company and empowering a sustainable thriving enterprise.

Let me explain. In my mind a sustainable enterprise is fueled not only by strategies, technologies and the science available but, additionally by the synergistic and ever-renewing enthusiasm that many recognize in entrepreneurship. In that light, new hires and your existing employees might be considered “contributing entrepreneurs” and thereby builders of the sustainability your firm seeks. Sustainability must consider these human resources of production who will power the growth trajectory of the organization. Ignoring this element during the hiring processes potentially installs a virus within the ranks of your team and jeopardizes a manager’s goals and objectives. So, when soliciting and interviewing candidates for your next opening at your firm consider the following as the necessary new communication and perceptive capabilities that you, as the hiring manager and interviewer, should acquire, deploy and hone.

Be open in your job descriptions not only to the functional skills required but, begin to craft verbiage and questions that draw out the emotions, enthusiasm and purpose correlated career directions that may lurk within the respondents. Asking why a person is applying for the position may be as important as do they have the requisite skills and experience. Through a carefully crafted position description or requirement, you can telegraph the strengths you seek as to character, motivation and tenacity that need to be a part of your sustainable team. They may be a relative journeyman technician but, have an uncanny skill for resolving inter-cultural conflicts or generating innovative and cost effective solutions to business problems. Probing these past experiences and noting their ability to interact with others as well as spontaneously recognize and resolve problems can help you select a great new hire rather than someone you must manage to extract their value.

Building a sustainable team also entails a manager who can perceive the personality attributes that would fill remaining gaps in communication, be a basis of collaboration or become the catalyst for team breakthroughs. Select individuals who incorporate these propensities along with a functional skills portfolio needed within the team.

I envision a company as an engine driving toward the mission and vision statement, via the strategic plan, and supplying value to all the stakeholders. With that, the human resources are the fluids an engine needs to sustain its life and continue to produce power and forward movement toward those goals. Individuals are needed who are the lubricants; their skills are those of communication, facilitation and conflict resolution. Their default setting attracts them to issues within the team which they easily resolve and gain great satisfaction from. Then there are the coolants; the planners and moderators of enthusiasm who regulate and contribute direction to the team - often directing and pulling the reins when burnout is imminent. Of course there must be the fuel, these are the innovators; with their endless ideas and energy and ability to engage others to support their dreams they carry much of the visible production and relish in achievement of the team as a whole.

Without any of these human attributes and traits, the engine of your business may fail. Worse still, if you do not find and install these people as contributing components of your engine, you will be left trying to play all these roles and fulfill all these needs to sustain your business. This spells inevitable failure and burnout; the opposite of sustainability despite having a great product, service or innovation that contributes value to society.

Personnel sustainability is not an easy or a static state of production to achieve. We are talking about selecting, developing and coordinating living and dynamic beings with their own pursuits, weaknesses and strengths. Your employees are each individuals, with varying levels of self knowledge and with cycles of peak performance and lower states of energy and alignment to the team objectives. If it is your goal to build a sustainable business, become emotionally aware beyond the functional skills of your team and any potential new hire. During the hiring process, apply the due diligence needed to find the best and highest use for each individual. Orchestrate the functional skills with the default drivers of your teams psyche. Then watch and listen for the harmony that sustainability promises as one of its greatest benefits.

For more information, please visit RD's TNNWC Bio.



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Saturday, April 23, 2011

Entrepreneurs Adjust Strategy When the Federal Reserve Promotes Inflation | STRATEGIC BUSINESS AND MARKET TRENDS

RD Watkins
Strategic Business and Market Trends with RD Watkins



Federal Reserve Mandate and Tactics



Consumer Prices Before and After; the Federal Reserve Created in 1913


The Federal Reserve System acts as the central bank of the United States and "manages the economy" using inflation management tools. The private company was given special powers and duties by Congress in 1913 to provide the nation with a safer, more flexible, and more stable monetary and financial system. Over the years, its role in banking and the economy has expanded.

Although they have four areas they are tasked with managing, we will discuss only one today. Here is a quote of that mandate from the mission statement on the Fed site, "conducting the nation's monetary policy by influencing the monetary and credit conditions in the economy in pursuit of maximum employment, stable prices, and moderate long-term interest rates". Simply put, they control the interest rate and the money supply with the purpose to deliver "maximum employment" and "stable prices". How are they doing so far?

The tools they use are money supply, meaning printing or destroying dollars in circulation and raising and lowering the interest rates so businesses and consumers are encouraged to change their borrowing and spending habits.

Who’s Affected by The Fed Policies & Inflation?

Entrepreneurs and growing small to medium businesses make up the largest portion of the inputs to productivity. Centrally managing their ability to grow through Fed Policy has a global affect on GDP of a community or group of exchange partners. If you are living and doing business in an "industrialized nation" you are part of the G20 partnership of central bankers who have a similar mandate to the Federal Reserve and affect you.

• Entrepreneurs (business venture capital, CapEx costs, payroll)
• Small to Medium Business (credit, materials costs, payroll)
• Consumers (increasing cost of living, healthcare, retirement, insurance, decreased investment return)

What Trends Should Entrepreneurs Care About?

Business people of every size should have their eye on the changing or trending of markets as well as global policy makers like the Fed. You may think it’s a political thing, and it is but, that does not negate the fact it will affect you and preparation is the only prophylactic. If you are in business with a significant CapEx and asset purchase requirement, the PPI and CPI are to be closely monitored. These are the first place federal agencies begin letting the “cat out of the bag” that inflation is increasing. Closer to home, just watch gasoline prices and consumer goods. You family grocery & utilities bills will likely indicate much more than you give them credit for.

Related Links to Use as an “Inflation Dashboard”:
• PPI Chart Link (supplied by seekingalpha.com)
• CPI Chart Link (supplied by forecast-chart.com)
• 10 Yr Gold Chart Link (supplied by kitco.com)
• Light Crude Oil (CL, NYMEX) Chart Link (supplied by futures.tradingcharts.com)

Strategic Changes to Your Business Plans

Now that you monitor inflation, what can you do when the trend turns upward? Use your common sense, your past inflationary experience, study and adjust your product or service lines to suit the inflationary environment. There are features of your business that suit this environment, expand those, and reduce those that are at risk. Hedge your bets to ensure not losing ground at a minimum. If your business as a whole is entirely at risk during inflationary periods (study history), then consider major changes or offsets to alternate sources of income and growth with a new business that thrives when inflation rises.

You, as entrepreneurs, are the primary driving engine of all economies globally, no matter what country you reside in. It is the central planners, who believe they can change the course of supply and demand to their will and purposes that are afraid of you. Observe and monitor trends, trust your instincts and be willing to modify your strategy and plans to mitigate the threats and exploit the opportunities they provide for those willing to live and do business in this ever-changing environment.

Chaos can be your friend if you follow the example of nature. Fires, earthquakes, tornadoes and man do damage to her everyday and yet, the tree bends, the seeds replant themselves and bloom and landscapes come to rest; always settling back to a state of equilibrium. That equilibrium state always has a trending element of growth in it, albeit a slow one. It is natural law; as dynamic and evolving beings we must grow and adapt or die and become extinct.

RD Watkins brings value and builds productive and collaborative relationships by "Applying Common Sense Project Management Principles in a Virtual World". He fills the role of Senior Project Manager, is a PMI certified PMP® (Project Management Professional) and holds CompTIA IT Project+™ credentials. You can connect with RD to discuss his capabilities in cost effectively managing and enhancing productive consensus on your virtual projects through his LinkedIn.com profile at http://linkedin.com/in/rdwatkins or contact him via email at rd@rdwatkins.com.

For more information, please visit RD's TNNWC Bio.


Powered By TNNWC Group™

For complete tactical and strategic business planning, marketing, media, lead-generation, technological and capital resources, scalable solutions and tools to support every entrepreneurial start-up, young enterprise, small- to medium-sized business and emerging high-growth company, talk to The National Networker Companies™/ TNNWC Group, LLC.

We are a collaborative entrepreneurial, creative organization offering you hands-on, personalized assistance in every aspect of achieving your monetization, profitability and financial sustainability objectives, domestically and globally.

We don’t just coach you or offer you pre-packaged, push-button solutions – we listen to you, analyze your exact needs, and work within your budget to: 1) create your tool kit and 2) work as your partner to implement your plan by supporting you in the most efficient and productive use of every tool.

Visit our website, which is located at http://www.TNNWC.com .

To receive our newsletters, publications, information bulletins and alerts, simply join us as a Member. Membership is free and the benefits are unequalled anywhere.

Just go to our home page, and click on the “JOIN US” button.



Membership is FREE!The NATIONAL NETWORKER™The BLUE TUESDAY Report™The NATIONAL NEWSPICKER™LEFT, RIGHT and CENTER™Customer Experience PracticeSpecialized Financing & Credit EnhancementEmerging Enterprise Venture Capital Program™Merchant Payment Processing SolutionsNews Releases, Publicity and Public RelationsBUZZWORKS™ - Branding and Social Media DominationMarket Research, Surveys and PollsAssessment ToolsBLOGWORKS™ - Expand Your Search Engine Presence, Positioning and CredibilityAdvertise with Us!Selected Service ProvidersInternational Connections Service - Go GlobalIntelligence and Information OperationsInstant Mobile Communications & ApplicationsCooperative Business Community
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Monday, February 14, 2011

STRATEGIC BUSINESS AND MARKET TRENDS: The Baltic Dry Index – A Pure Global Supply v. Demand Barometer? - Part 1

Strategic Business and Market Trends with RD Watkins


What if you had access to a global barometer of your competitors capital deployment plans? If this barometer were data points that you could plot on a graph for analysis, would that aid in your decision making process and strategy planning? Further, what if those trends were unpolluted by deflections based on speculation or high frequency trading influences? If that data point were added as an additional validation input in your SWOT analysis, do you anticipate you would be better able to ascertain the margin pressures you might face? Do you think you could make better decisions as to where to source your materials acquisition, manufacturing, support facilities and manpower?

Baltic Exchange Dry Index (BDI) & Freight Rates
This article exposes that the Baltic Dry Index (BDI) is just such an indicator, amongst many little known and obscure trend analysis tools, that an enterprise investor or entrepreneur should consult when planning the entry timing and geographical locations in which his venture should be set. This precursor to production is often times labeled as the purest of the data points available in regards to contract futures and business trends in general. It exposes the committed capital in both shipping spending and indirectly the tonnage of raw material delivery contracts as they happen over time. Because it is tracked and calculated daily, it can be read similar to a stock chart to expose trends and project reversals of the same when compared with other data.

What is the Baltic Dry Index?
The Baltic Dry Index (NASDAQ: BDIY) is a measure of the average price per metric ton to ship dry bulk materials by sea (i.e. cargo ships). It is based on 20 different routes and ship capacities and is calculated daily as an average of those aggregate costs. The BDI uses the US dollar as the standard currency and numerator of measure when calculating and posting its daily reading. The Baltic Dry Index can Expose Trends relative to...
  • Shipping costs of Raw Materials

  • Global Margin Pressures

  • Commodity Demand Trends

  • Capital Deployment Commitments and General Business Confidence

  • Decoupling the US Dollar Value within the BDI and Global Commerce

Shipping costs of Raw Materials

The commodities shipped and tracked by the BDI are raw material commodities such as coal, steel, cement, and iron ore. It does not include nor concern itself with finished goods shipment or container shipping data and remains, other than raw material futures contracts themselves, the measure farthest away from production and consumption data points.

Other Related Resources:

- In Part 2 we present how the BDI indicates trends in global margin pressures and commodity demand.

- In Part 3 our discussion turns toward assessing how aggregate competitors planning for capital deployment is exposed and how to remove fiat currency distortion from the BDI indicator for a more normalized, tangible asset based reading.


RD Watkins brings value and builds productive and collaborative relationships by "Applying Common Sense Project Management Principles in a Virtual World". He fills the role of Senior Project Manager, is a PMI certified PMP® (Project Management Professional) and holds CompTIA IT Project+™ credentials. You can connect with RD to discuss his capabilities in cost effectively managing and enhancing productive consensus on your virtual projects through his LinkedIn.com profile at http://linkedin.com/in/rdwatkins or contact him via email at mailto:mailto:rd@rdwatkins.com.

For more information, please visit RD's TNNWC Bio.


Membership is FREE!The NATIONAL NETWORKER™The BLUE TUESDAY Report™The NATIONAL NEWSPICKER™LEFT, RIGHT and CENTER™Customer Experience PracticeSpecialized Financing & Credit EnhancementEmerging Enterprise Venture Capital Program™Merchant Payment Processing SolutionsNews Releases, Publicity and Public RelationsBUZZWORKS™ - Branding and Social Media DominationMarket Research, Surveys and PollsAssessment ToolsBLOGWORKS™ - Expand Your Search Engine Presence, Positioning and CredibilityAdvertise with Us!Selected Service ProvidersInternational Connections Service - Go GlobalIntelligence and Information OperationsInstant Mobile Communications & ApplicationsCooperative Business Community
Visit Our WEBSITE for more!http://www.TheNationalNetworker.com
Capital, Traffic Building, International Customers and unique SERVICES.
The National Networker Publications™ produced by TNNWC Group, LLC
Resources for Business Planning, Development, Capital and Growth

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Monday, January 24, 2011

The Baltic Dry Index – A Pure Global Supply v. Demand Barometer? - Part 3 | STRATEGIC BUSINESS AND MARKET TRENDS

RD Watkins
Strategic Business and Market Trends with RD Watkins


In our previous installments of this series, we explained what the Baltic Dry Index is, what materials it pertains to and how margin / pricing pressures and underlying commodity cost could be implicitly forecast using its data. Now we progress into evaluating competitors and the weaknesses of the index.

Capital Deployment Commitments and General Business Confidence

The BDI is also an indirect indication that capital is being committed to raw materials needed for end state conversion to consumables. A rise in the BDI is indicative of more shipping going on across the globe. Because the supply of ships is relatively inelastic, any increase or decrease in demand makes itself known quite quickly in the movement of the index. Any business that has a global footprint may use the BDI as a general indicator of business uptick and down ticks.

Some would argue that the recent drop in the BDI can be accounted for by the number and volume of underutilized dry cargo ships and assume they represent an oversupply, a buffer if you will, in this supply demand equation. If that is so, it should be able to be verified via reports on growth and shrinkage of the industry slack. Also, take into account that the initial drop in early 2009 triggered a large number of decommissions of capacity and tear down for scrap in shipyards. That trend is now in reverse in that there are reports that there are 200+ ships near to completion and ready to be put into service. Being that it takes years to plan and build these ships, this element of the equation is relatively inelastic and readily researched.

Decoupling the US Dollar Value within the BDI and Global Commerce
Comparison of BDI peak vs. today normalized to the price of gold rather than the USD as the numerator. Due largely to money supply efforts by the US Federal Reserve labeled Quantitative Easing, removal of the changing value of the USD as a distortion to this indicator is necessary. Lets use gold that has intrinsic value across the globe.

Based on the above, the BDI indicates a shrinkage of demand to the just a tick over 8% of what it was on May 20, 2008. The real question is how can this be used as a baseline going forward. An astute investor can use a similar calculation to determine that the real value of the Dow is not as it seems due, again, to the inflationary value of the USD upon which all stocks on that exchange predicate there reported values. We live in a global economy and using a benchmark that eliminates distortions of fiat currencies, intense media forces, gyrations and manipulation is critical to an entrepreneur making start-up or ongoing strategy plans into the future.

Although the BDI is not a "pure" indicator of global supply and demand relating to the pertinent products, it can be used as a trend assessment data point in a strategist toolbox. Look at your industry, determine if you have touch-points to the materials that correlate to the BDI and compare its historical charts with the charts of your businesses waxing and waning. See if you can use it as an adjunct in your strategy toolbox...
  • In Part 1 we presented the Baltic Dry Index; what it is and how it tracks the beginning of the supply chain.

  • In Part 2 we presented how the BDI indicates trends in global margin pressures and commodity demand.
RD Watkins brings value and builds productive and collaborative relationships by "Applying Common Sense Project Management Principles in a Virtual World". He fills the role of Senior Project Manager, is a PMI certified PMP® (Project Management Professional) and holds CompTIA IT Project+™ credentials. You can connect with RD to discuss his capabilities in cost effectively managing and enhancing productive consensus on your virtual projects through his LinkedIn.com profile at http://linkedin.com/in/rdwatkins or contact him via email at rd@rdwatkins.com.

For more information, please visit RD's TNNWC Bio.


Powered By TNNWC Group™

For complete tactical and strategic business planning, marketing, media, lead-generation, technological and capital resources, scalable solutions and tools to support every entrepreneurial start-up, young enterprise, small- to medium-sized business and emerging high-growth company, talk to The National Networker Companies™/ TNNWC Group, LLC.

We are a collaborative entrepreneurial, creative organization offering you hands-on, personalized assistance in every aspect of achieving your monetization, profitability and financial sustainability objectives, domestically and globally.

We don’t just coach you or offer you pre-packaged, push-button solutions – we listen to you, analyze your exact needs, and work within your budget to: 1) create your tool kit and 2) work as your partner to implement your plan by supporting you in the most efficient and productive use of every tool.

Visit our website, which is located at http://www.TNNWC.com .

To receive our newsletters, publications, information bulletins and alerts, simply join us as a Member. Membership is free and the benefits are unequalled anywhere.

Just go to our home page, and click on the “JOIN US” button.



Membership is FREE!The NATIONAL NETWORKER™The BLUE TUESDAY Report™The NATIONAL NEWSPICKER™LEFT, RIGHT and CENTER™Customer Experience PracticeSpecialized Financing & Credit EnhancementEmerging Enterprise Venture Capital Program™Merchant Payment Processing SolutionsNews Releases, Publicity and Public RelationsBUZZWORKS™ - Branding and Social Media DominationMarket Research, Surveys and PollsAssessment ToolsBLOGWORKS™ - Expand Your Search Engine Presence, Positioning and CredibilityAdvertise with Us!Selected Service ProvidersInternational Connections Service - Go GlobalIntelligence and Information OperationsInstant Mobile Communications & ApplicationsCooperative Business Community
Visit Our WEBSITE for more!http://www.TheNationalNetworker.com
Capital, Traffic Building, International Customers and unique SERVICES.
The National Networker Publications™ produced by TNNWC Group, LLC

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The Emergence of The Relationship Economy

The Emergence of The Relationship Economy
The Emergence of the Relationship Economy features TNNWC Founder, Adam J. Kovitz as a contributing author and contains some of his early work on The Laws of Relationship Capital. The book is available in hardcopy and e-book formats. With a forward written by Doc Searls (of Cluetrain Manifesto fame), it is considered a "must read" for anyone responsible for the strategic direction of their business. If you would like to purchase your own copy, please click the image above.

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