Eight Reasons Why SMEs Fail!

As an international senior consultant and executive with three decades of hands-on experience in SME growth, policy design, and multi-industry development, I've witnessed firsthand the huge potential of small and medium enterprises (SMEs) as the backbone of job creation and economic dynamism.

Now, let’s look at the challenges faced by SMEs. Undoubtedly, fierce competition is the number one barrier against SME growth. Estimates show that one in three new SMEs fail in the first year, two out of four by the end of the second year, and three out of four by the fifth year. Only 5 to 6 percent SMEs conduct a feasibility study, prepare a plan to operate the business, consider the financial resources, technology, skills, market conditions and competition (products, services, and prices) in the long-term.

Here are 8 key reasons why SMEs fail and how to avoid them:

1. Lack of Working Capital and Financial Mismanagement (34%): Implement robust financial management practices and explore diverse funding options to ensure steady cash flow.

2. Poor Management and Leadership (13%): Invest in leadership development, foster a culture of innovation, and empower your team to thrive. 

3. General Economic Conditions (13%): Stay informed about market trends, diversify revenue streams, and maintain agility to navigate economic fluctuations.

4. Ineffective Sales and Marketing (13%): Invest in targeted marketing campaigns, leverage digital channels, and prioritize customer engagement to drive sustainable growth.

5. Poor Data Management (10%): Implement robust data management systems, harness analytics for actionable insights, and prioritize data security to stay competitive in the digital age.

 6. Poor Supervision, Capacity, and Staffing (9%): Prioritize talent development, foster a supportive work environment, and ensure sufficient resources to meet demand.

 7. Personal Factors (5%): Maintain a healthy work-life balance, seek mentorship and support networks, and cultivate resilience to weather the inevitable storms.

 8. Poor Risk Management (3%): Identify potential threats, implement risk mitigation strategies, and maintain contingency plans to safeguard your enterprise against unforeseen challenges.

Protect Biodiversity and Ecosystem Services!

Kemera Şavşat Turkey by Yusuf Tokdemir May 2023

Key Strategies for Keeping Plants Health

🌿🔍 Did you know that up to 40 percent of global crop production is lost annually due to plant pests and diseases, costing the global economy over USD 220 billion (U.N. FAO)? The impact of invasive insects alone amounts to at least USD 70 billion. This shows the critical need for effective plant health management strategies.

Do you have an Integrated Pest Management (IPM) or Integrated Plant Health Management (IPHM) strategy in place? These approaches not only enhance plant health but also contribute to consumers' well-being, environmental sustainability, trade development, and global market access.

Our goals are clear:

✅ Minimize the impact of plant pests and pathogens.

✅ Enhance overall plant health.

✅ Increase agricultural productivity.

✅ Minimize losses for farmers.

✅ Safeguard livelihoods.

✅ Preserve biodiversity and ecosystem services.

✅ Support agricultural industries and trade development.

Implementing an IPHM program aligned with EU regulations, IPPC standards, and EPPO guidelines is crucial. Additionally, considering WTO SPS measures and MRLs in trade development is essential for global market access.

Here are some best practices to consider:

🌿 Use genetically resistant plants to minimize damage.

🌿 Implement horticultural best practices such as proper tillage, water management, and crop rotation.

🌿 Employ pesticides judiciously to control pests and diseases.

🌿 Utilize biological control methods with beneficial organisms.

🌿 Implement quarantines and pest eradication programs.

Horticultural and agricultural enterprises must develop and implement robust plant health management strategies to ensure the consumer well-being, brand loyalty and international market access in today’s digitalized business world.

Facing challenges in plant health management and integrated pest management? Let's connect and collaborate on solutions to ensure healthy and sustainable plant management.

Plant Health

8 Keys to Food Safety

🌾🔍 Are you implementing a comprehensive food safety approach from farm to fork in your agrifood business in today's digital business landscape?

In today's competitive landscape, ensuring food quality and safety isn't just important; it's crucial for the growth and expansion of the agribusiness and food industry. But how can you ensure your products meet the highest safety standards across the entire supply chain?

🌍 Stay informed about domestic and global food recalls relevant to your products and supply chain. By identifying root causes and establishing robust governance for risk management, you can stay ahead of potential issues.

🧪 Identify, test, and assess potential risks from farm to fork using the right sampling methods and periods to ensure accurate results.

📊 Define uncertainties and risks and implement a probabilistic scenario approach to proactively prevent failures and recalls.

🛠️ Regularly test your ingredients, process lines, and finished products to guarantee their safety and quality, maintaining consumer trust and brand loyalty.

📆 Conduct shelf life studies. Develop and execute an effective shelf life management strategy and action plan to maintain the quality and safety of your food products throughout their shelf life, reducing waste and maximizing value.

📘 Develop and implement a comprehensive food quality and safety manual, applying emerging technologies and strict measures to prevent any failures and uphold your brand reputation.

👥 Collaborate with experienced professionals or experts across your food value chain to ensure organizational alignment and expertise in food safety and shelf-life management.

🔄 Apply an integrated food safety approach and secure an end-to-end value-chain strategy. Develop a customer-experience vision and strategy to drive revenue gains and cost reductions.

🌟 Be transparent and proactive in your supply chain and operations, maintaining visibility and trust with consumers, both domestically and internationally.

Don't underestimate the power of quality as a competitive advantage. By prioritizing food safety and quality, you can transform customer experience and secure your brand position in the global market.

Do you have challenges to address? Let's connect and collaborate to develop and implement solutions together. Make it happen!

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