Business Survival

SRV1

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“Normally, entrepreneurs tend to think of survival in terms of the effort that a business owner has to put in to make the most of his business opportunities and to minimize expenses.

“Risk management, as a methodology to cut (minimize) profit erosion, is ignored - to watch over your risks (business threats) is perceived as not practical and time consuming.

“This tendency to adopt short term and shortsighted solutions is the main reason for business failures and, of course, also created the global economic crisis we are experiencing right now.” - Michiel Jonker

Message: This cartoon illustrates the basics of survival - an entrepreneur surviving by simultaneously profiting from his opportunities and mitigating his profit erosion risks (i.e. business risks threatening to eat the profits he made from pursuing his business opportunities).

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SRV2

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“Last year my wife and I stayed at a hotel... the service was excellent... BUT when we had to pay the bill on the last day, the clerk provided us with an incorrect statement (a lunch and several other orders were left out).

“I requested him to investigate the matter. It appeared that not all my signed orders had been sent to the Administration Department for processing!

“Now, this may sound petty, but this lack of organization and control could cause a heavy profit loss for the hotel. Picture the negative impact on their profits if 1000 visitors do not pay for all their dinners, lunches and orders - just because of flawed processes and systems!

“Then add some hundreds of other profit erosion cases to this scenario, and the picture starts looking extremely dark for the hotel!

“As soon as the staff know what profit erosion is and how it could affect the hotel (and their job security!), I bet this issue of unprocessed orders would soon be mentioned to and discussed with the managers. And as soon as the owners and managers learn of the case, they will provide protection policies, procedures and standards.” - Michiel Jonker

Message: This cartoon illustrates a business (hotel / restaurant) assuming that “it won’t happen to them.” Risk management, as a means to ensure survival, is not even an afterthought… as a result the possibility of the threat of theft occurring was not even considered by the owners or management as a potential risk and profit erosion agent in the organization.

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SRV3

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“In our opinion, small business companies have been the victims of the business world for far too long. It is time to act! Minimize your risk of failure and maximize your chances of business growth and success by dealing with every pitfall you are facing in a deliberate way - instead of running away from it!

“Reduce the threat agents in your enterprise, eating away your profits like hungry bears! You can maximize profit in the years to come by implementing our profit protection methodology - and you will be shown how to do this in our e-Book Course Manual, titled Survival Kit for Small and Medium Businesses - Profit from your Business Risks.” - Michiel Jonker

Message: This cartoon illustrates a bearish economy… bears (business risks portrayed as bears) “hunting” a business owner’s profits. The outcome of the current global recession is reduced sales and profits.

On top of that, businesses that haven’t addressed the threat agents (risks or profit erosion agents) in their businesses suffer even more profit loss than other and stand the chance to go out of business – never mind surviving the credit crunch.

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SRV4

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Message: This cartoon illustrates a business that has taken precautions (did their survival planning) a long time ago against potential risks causing damage, loss and eventually profit loss. As a result, they will be able to survive.

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SRV5

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"What is profit protection planning? It is nothing else than business risk management - THE survival tool for companies.

"We have entered an era where entrepreneurs will have to focus on risk management to increase profit and survive rather than on short term profit solutions. The days of making quick money is something of the past.

"Only by considering your current and potential pitfalls in a deliberate manner (i.e. by performing risk assessments), you will be able to clearly identify the profit erosion agents in your company that can cause serious loss and damage." - Michiel Jonker

Message: This cartoon illustrates the fact that without profit protection planning (risk management) chances of business survival are low. The two entrepreneurs are not able to identify the REAL risk they are facing due to their lack of control and risk management.

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SRV6

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"Cash is king. This notion, well known by our grandparents, is back due to popular, not demand, but ignorance. It is back to be studied by us (again!) - most likely because we didn't do it probably as we refused to take the lessons of economic history seriously.

"As cash from credit sources started to dry up in the past year, some entrepreneurs realized, too late, that the only REAL source of cash is pure profit and that you need to protect your profit, not at all cost, but at cost effective cost.

"Without deep pockets, survival is basically impossible (depending on the duration of the recession, of course)." - Michiel Jonker

Message: This cartoon illustrates the fact that without cash (derived from pure profit and protection countermeasures), chances of business survival are basically naught. You need cash for difficult economic times.

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