Posts

BIGG Success Logo boxed

You Can Avoid the Mistakes that Brought this Business Down

quote There’s a great post by Roger Ehrenberg on his Information Arbitrage site. Roger was an investor, board member and leader in Monitor110, a company that planned to become the internet version of Bloomberg. The team had impressive credentials, but ultimately the business didn’t make it.

Roger spells out the reasons why. We admire him for sharing these lessons because most of us don’t like to talk about our failures. These are mistakes that any of us could make, so he provides a great opportunity to learn from others. But even more than that, it’s the way he wrote about it that impressed us – he doesn’t cast blame; he just discusses the lessons he learned in the hopes that we may benefit. And we did!

That’s why we highly recommend that you read the whole post. We’ll hit his highlights here.
 

.

.

7 mistakes that led to the demise of this business

#1 – No single leader
Monitor110 had two leaders – a technology person who was one of the founders and Roger, who was a business person. Roger said this structure just didn’t work.

This reminded us of the number of times we’ve seen two people start a business. It’s pretty common to split everything 50/50. But it’s a recipe for disaster. In almost all cases, there has to be someone who has the final say for a business to succeed.

#2 – The technology-side drove the business
This made us think of the number of entrepreneurs who start a business in their craft. They’re technically oriented. They love their product or service, but they ignore what the customer wants and needs.

#3 – Too much PR too early
Roger’s company was featured on the cover of the Financial Times. You wouldn’t think that would be a problem, would you? But Roger says this raised the bar with everyone – customers, themselves, and financiers … which led to the next problem.

#4 – Too much money
Too much PR. Which led to too much money. Sounds like a company that’s been blessed. But Roger says the blessing turned into a curse.

  • Because of the great PR, expectations went up significantly.
  • Within the financial community, so money flowed in
  • With their customers
  • And most importantly – with the people of Monitor110.

With all these high expectations, they didn’t push a product to market because it needed to be just right. And that didn’t matter because they had a cushion of cash.

#5 – Not enough customer feedback

By now, you see how all of these mistakes were interrelated. Because of the great publicity, they were afraid to show the customers what they had. They didn’t want to disappoint them and be disappointed. But it wasn’t a problem at the time because they had plenty of money. One mistake was feeding another which was feeding yet another.

#6 – Slow to adapt to the market
On a post not long ago, we talked about a military concept called OODA loops. OODA is an acronym for Observe, Orient, Decide, Act. The idea behind the concept is that by getting into the loop, you gain information. Then, by adapting to what you’ve learned, you gain a competitive advantage.

#7 – Disagreements about strategy
This stemmed from the technology side and the business side not being able to come to terms. It’s also an outflow of Mistake #1 – without a single leader, it’s hard to have a clear vision.

Just get started!

All of this made us think of the saying, “You don’t have to get it perfect; you just have to get it going. That’s one of the things that we did with Bigg Success. We talked to a lot of people who had all kinds of great ideas. Some diametrically opposed to each other! We could have easily just got caught in the quagmire.

Ultimately, we just launched. It wasn’t perfect – we knew that. We’ve learned a lot. There are things we would do differently if we had it all to do over again. But by launching, we were able to learn from the most important people of all – our community. We learned from you.

We’re happy to let you know that you’ll be seeing some bigg additions in the near future. So keep checking in and let us know what you think! We’re listening!

 

 

Related posts

Lessons Learned from a Bankrupt Business Owner   

10 Warning Signs of Trouble Ahead for Your Business  

(Image by Avolore)

BIGG Success Logo boxed

Happy Scum

By 440 Dana Mancuso]
Bigg Success Contributor
08-07-08

Life Skills

pm411_logo Have you ever had a disagreement about something you've heard? I often disagree with my husband about popular song lyrics. What he hears is close to the real words in most cases, but not always.

Sometimes what you hear is a direct result of what you've already heard. Sort of like expecting to get an apple from an apple tree. You've always gotten apples from the apple tree, so you aren't going to expect an orange to be growing there. You won't hear country music from the lips of rocker Bon Jovi. Or will you?

Back in high school, I was seated in a small group next to someone from my grade school. This boy had teased me in 5th and 6th grade. In fact, he had never spoken to me in any other manner than to tease me in my entire life.

So, when he spoke to me, not only was I surprised, but my brain turned on the teasing filter. Here's what I heard when he tapped my arm:

"Happy, Scum?"

What?

"Happy, Scum?"

Oh my god, he's calling me scum!

The sentence was repeated once more before I heard what he actually said, "can I HAVE a PIECE of GUM?"

My brain had already determined that anything coming from this guy's mouth was going to be negative at best, hurtful at worst–when all he wanted was some Dentyne. (I handed him the skuzziest looking piece of gum in the pack.)

I at least make an effort not to jump to conclusions. But my brain often does it for me before I can stop it. Sometimes I do it when reading an e-mail from a coworker. (She forgot a word in the sentence, accidentally changing its meaning.) Sometimes I do it when I get an odd look from someone (He doesn't have his contacts in so he is squinting a lot.) Everyone has heard the look before you leap cliché, but it applies so well to hearing in haste, as well as to acting in haste.

Next time you're about to turn on that filter, grab a piece of gum and chew it over a bit. 

3 Hear today’s lesson and laugh on The Bigg Success Show. ]

Related posts

642]

538] 

(Image by bruno-free)

BIGG Success Logo boxed

Couples Today are Rethinking Traditional Roles

By Bigg Success Staff
07-15-08

Work – Life Balance

family

If you’re half of a dual-income couple with kids, working out your work – life balance involves negotiating at home and at work. First, you and your spouse need to discuss how household duties as well as child care responsibilities will be divvied up. Who does what when?

The best solution is what works best for you, not what society has traditionally expected. If it works for the two of you and your family, it works!

Redefining roles

According to the Council on Contemporary Families, working couples have seen some significant change in responsibilities over the last 30 years. Men are assuming more duties at home and with the children.

This evolution has been a logical response. If a woman has greater career potential than a man, it may make sense for the man to shoulder more family duties. This is now the case about one-third of the time.

So if a couple decides that’s the best trek for them, the next step involves negotiating at work. For men, this can be difficult because society still often regards household chores and child-rearing as the woman’s role.

Pay vs. flexibility

One of the most effective ways to get the flexibility you need is during a review. Especially if your employer is not able to offer you the pay raise you feel you deserve. Perhaps you can negotiate greater flexibility in lieu of the full pay raise you might like.

Balance your costs with your gains. You may not make as much money as you like, but you may also lower your costs. You can spend more time with your kids rather than paying someone else to do it. That difference may almost offset the lower pay raise.

Pay vs. telecommuting

A question to ask yourself (and your boss) is – can you do more work from home? Save both the time and money of commuting. With today’s high gas prices, you’ll save a lot of money. It doesn’t even have to be every day. Any day you don’t have to drive is a plus.

Once again, it may be best to bring this item up as part of a discussion of pay raises. Perhaps a concession to accepting less of a pay raise is to let you telecommute at least some of the time. You can quickly figure out if your savings equals what you had hoped to earn in additional income. And don’t forget – more income gets taxed, saving money on fuel doesn’t. So compare the after-tax income to the savings from not driving as much.

1100 Hear today’s lesson and laugh on The Bigg Success Show. ]

Related posts

882]

(Image by simmbarb)

BIGG Success Logo boxed

Are You a Born Leader or a Born Boss?

By Bigg Sucess Staff
06-26-08

Leadership Skills

leader 

Some people seem born to lead; others appear born to boss. It’s not necessarily innate; it is also shaped by attitudes, perceptions, and experiences.

Some people think that they are leaders because of their position. However, by definition, you can’t be a leader if no one willingly follows.

That’s what bosses don’t get. Barking out orders doesn’t accomplish much in the long run. Especially in a tough labor market.

Leaders make requests because they can. They don’t demand because they don’t have to. Their people willingly follow them because of a clearly communicated vision coupled with mutual respect. And you can’t expect others to show you respect if you don’t show respect to others.

Remember the old saying, “People join companies; they leave bosses.” You may have heard that quote with the word “managers” substituted for “bosses”. But note that you’ve never heard “leaders” instead of “bosses”.

Do you suppose there’s a reason for that?

Hear today's lesson and laugh on The Bigg Success Show. 

Related posts

916]

248]

453]

496]

(Image by lusi)

BIGG Success Logo boxed

The Respect Reward: Letting Your People Know They Matter Matters

By Bigg Success Staff
06-19-08

Leadership Skills

people

Judy Bardwick wrote an interesting book called One Foot Out the Door: How to Combat the Psychological Recession That is Hurting American Business. In her book, she claimed that as many as two-thirds of America’s workforce feel insecure about their future.

Ineffective leaders reinforce this feeling by scolding employees publicly while being stingy with praise. This results in their troops feeling unappreciated.

Effective leadership calls for the opposite approach.
Let your people know what you expect from them. Set high, yet achievable, goals. Let them know that you realize you’re asking a lot, but you have confidence in their ability to do it.

Then let them do it. Praise them publicly when they do well. Offer constructive criticism privately when they don’t.

The reward for respect
Bardwick says that there’s a direct relationship between leaders who treat their employees like this and positive outcomes. People who are respected and trusted work more efficiently and effectively. They feel like they are part of something bigger. That they matter.

As a leader, letting your people know they matter matters a lot.

Hear today's lesson and laugh on The Bigg Success Show. 



Related posts

248]

270]

288]

314]

453]

496]

545]

562]

(Image by svilen001)