People often talk about the importance of diversification, especially for cash-intensive businesses such as manufacturing. But what exactly is diversification, and how to plan for it? Is it about having the right balance of customers? Is it about rejecting opportunities even if you might have millions of dollars knocking on your doors? Well, diversification requires the complete change of thinking and redesign of your business model. To be completely diversified, you can't just be revenue-focused. You need to think about possibilities such as, hey, what if your major customer goes bankrupt or gets acquired? Or they end up canceling orders due to a financial or marketing risk at their end.
In today's episode, our guest, Aneesa Muthana, shares her journey of transforming her shop after losing all of her key customers because of the consolidation in her customers' industries. She also discusses why diversification is important for manufacturing businesses and how to diversify the business in a methodical manner rather than jumping on to every opportunity that comes your way. Finally, she shares why manufacturers require a complete transformation of their shop and not just one aspect, including understanding modern marketing methods, cutting edge manufacturing practices, and cost-saving strategies to stay afloat in business.
For more information on growth strategies for SMBs using ERP and digital transformation, visit our community at wbs.rocks or elevatiq.com. To ensure that you never miss an episode of the WBS podcast, subscribe on your favorite podcasting platform.