Growth is a function of planning, execution, and funding.

Growth requires cash.  Cash is generated through funding, investing, or operating the business.  The ability of a business to generate cash through these three mechanisms requires:

• a sound business model,
• knowledge of the market and environment,
• self-knowledge about the organizations abilities and resources,
• a measurable, clear objective,
• planning - strategic, funding, and operationaL, and
• the ability to execute (take action, do, succeed).

Audio Clip: Lea Strickland on Adoption of New Technology by the Market from Interview by Radio Show Host Tony Trupiano

Growth requires capacity and systems that are capable of supporting and sustaining operational effectiveness and efficiency.

Growth that is not managed, manages to consume the organization.  Growth requires cash.  The faster you grow, the more cash is needed.  The ability to manage the cash conversion cycle (cash, accounts receivable, accounts payable, and "inventory") is one determinant of the sustainable growth rate of an organization.  An organization that does not plan, monitor, and control growth will consume cash faster and with less efficiency (lower returns) and effect (results) than a business that is able to prioritize, allocate, and direct its resources to the "right things".

Growth is about quality of revenues and control of costs.

All revenues are not created equal.  Low margin and no margin revenues may generate top-line (revenue) growth, but they can also lead to cost increases and loss of profits.  Businesses must understand that revenues, margins, profits, and cash all play a role in measuring the quality of growth and the viability of the business.  Measuring growth solely in terms of revenues can lead to reduced profitability and cash shortages.

From Finance to Strategy...to Bottom-line Results!