Unfortunately, the key to success can’t actually be found in that question. You see, a thriving business is only marginally dependent on the broader economic conditions in which it operates. While many businesses benefit from a thriving economy, it’s undeniable that strong businesses are able to thrive no matter what the economy is like.
Thus, the more meaningful question would be: “Is my business the kind that can thrive … in any situation?”
In other words, your success depends more on you than it does on the economy. Spend a minute noodling that one. Not only are you able to cause your business to grow and profit, in fact, you’re the only one who can.
So what is it that sets some businesses apart from the rest? What causes a business to thrive? Is it better products? Faster service? More effective sales and marketing? Or could it be something more basic than any of those factors?
This has been THE question … the central theme of my research, consulting, and professional study for the past three years. As I watched the global economy melt into a deep recession in 2008, I found many examples of companies in the IT channel that broke with the trends and managed to grow, to profit, to legitimately thrive. And there are more each year since. What’s different?
A few current examples: a $7 million solution provider in the Mid-Atlantic just hired a new sales rep to drive revenue growth 2 weeks after the biggest one-day decline in the stock market in years; a $100 million+ solution provider in New England enters into a memo of understanding to purchase a $50 million+ company less than a month after the US credit rating was historically downgraded; a $2 million managed service provider in the California Bay Area launches its biggest-ever marketing campaign one week after its largest client declared bankruptcy.
On the surface, these appear to be random examples of isolated business investments rather than a pattern of business success. But on further investigation, they reveal the real secret: confidence to act in the face of high-pressure circumstances.
After years of analysis and study, one factor rises to the top as a differentiator between businesses that thrive and those that simply survive. It’s not a question of business secrets or super-human feats of innovation … but of the apparently rare ability to do what you can normally do in regular situations when faced with abnormal circumstances.
Call it “clutch,” or the opposite of choking. But don’t call it luck, or the result of a good economy. See – uncertainty is always present. Risk is always real. To sit around pining for a better time when there isn’t too much risk is to simply ignore reality: if there were no risk, there would also be no opportunity. The very foundation of a capitalist economy is the exchange of risk; it’s the lifeblood of business.
And the key to success in business isn’t a secret … it’s the ability to step up in the face of risk … and execute, execute, execute. As a member of CompTIA’s new Business Growth Professionals community, I’ve been having this conversation more and more often. This group of coaching and consulting professionals was created to help CompTIA members learn the basics of business execution so they can thrive no matter what the economy looks like. And it’s working. Real companies are learning real best practices and achieving real results – through work, not mysterious sources of fortune.
Here’s the very good news: “clutch” isn’t a mysterious quality or a random condition. It’s not a question of “guts” or of bravado. It’s a fundamental business skill; it’s measurable, and therefore manageable. This is something you can learn and improve! It’s not easy, but it’s not reserved for a fortunate few who were lucky enough to be born with it. In fact, it’s exactly the opposite.
A wise mentor of mine tweeted this quote this morning: "Press on: nothing in the world can take the place of perseverance. Talent will not; nothing is more common than unsuccessful men with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination alone are omnipotent." --Calvin Coolidge
And there it was: the answer.
The question that remains unanswered is this: do businesses in the IT channel have the “clutch” to step up?
Ryan Morris is the Principal Consultant for Morris Management Partners, an independent firm that consults with technology vendors, distributors, and solution providers on go-to-market strategy, channel management, and business profitability. Mr. Morris can be reached at [email protected].
