The 3 Foundations of a Successful Business

Many people dream of setting up and running a successful business, but only a few actually can make it happen. It's a tough and taxing path with many ups and downs that take an enormous amount of time and work on one's part. However, this does not guarantee that once your company is established, you will experience success. Despite how absurd it may seem, nine out of ten businesses fail. What then causes this to occur? In most cases, weak foundations are the cause of a failing business.

Let's examine the three (3) pillars of a profitable company and how to build upon them.

1. Mission

A company's mission outlines its goals, purpose, and the value it provides to consumers. It establishes the path that the organization and its members ought to take. The lack of a clearly defined mission is a common cause of business failure.

Organizations frequently create and promote mission statements, only to eventually forsake them. One of the main pillars of your business is its mission, so make sure you have a well-defined and compelling one that has been well-considered. Your organization's aims should be clearly reflected in your mission statement. Additionally, it needs to include your business's purpose, which explains why it exists and how it advances societal welfare. Your organization's mission statement serves as a foundation for decision-making and unites your team's efforts toward a shared goal.

Let’s look into a real-life example that we all well know, Tesla's mission statement: To accelerate the world's transition to sustainable energy.

It goes beyond selling electric cars; it's about transforming the entire energy landscape. By producing electric vehicles and renewable energy solutions, Tesla aims to reduce dependence on fossil fuels and mitigate climate change. This mission has not only positioned Tesla as a leader in the electric vehicle market but has also influenced the automotive industry's direction toward sustainability.

2. Team

A compelling mission statement is important, but ultimately, it is your team that will put it into action. Having a weak team in place is the primary cause of business failure most of the time. Poor work quality, unethical work practices, and low productivity are the main problems that weak workforce organizations face.

A robust team ensures efficiency in completing tasks, fosters great collaborations and contributes vital talents and innovation. Having a strong workforce will guarantee that your company can eventually handle recurring difficulties and adjust to changing market trends.

This is precisely the reason it is critical to invest time and energy in selecting and assembling a capable staff. Clearly define each team member's position as well as your expectations for them. Examine the individuals' backgrounds, abilities, and mindsets, then select the best fit. After the hiring process, devote much time to further team building.

And of course, what’s Google without its team right?

Google has a reputation for assembling some of the brightest minds in technology. The co-founders, Larry Page, and Sergey Brin, not only built an innovative search engine but also fostered a culture that attracts top talent. The company's success is attributed not only to its cutting-edge technology but also to the collaborative and diverse team of engineers, designers, and experts across various domains working together towards common goals.

3. Leadership

Now that you have a strong team in place, let's dive into the third foundation "Your leadership". Leadership is the one factor that guarantees the smooth operation of various organizational components. Any company that wants to succeed has to have strong leadership. With inefficient leadership, a business cannot only achieve success, but will continue to struggle due to flawed decision-making, poor operational practices, and the inability to identify growth opportunities.

The cornerstone of any business's success is your leadership, which drives your team to accomplish the organization's goal. It is your responsibility as a corporate leader to establish clear goals, delegate tasks to team members, and provide the group direction. In addition, you need to learn how to overcome obstacles and make difficult choices.

Elon Musk, the Chief Executive Officer of SpaceX and Tesla, is an exemplary instance of a successful leader.

Elon Musk is renowned for being a visionary leader. In addition to having high standards for his businesses, he actively participates in day-to-day operations, motivating his staff to go above and beyond. Musk frequently takes big chances for innovation and is resilient in the face of adversity. His style to leadership is hands-on, he pushes limits, and he is steadfast in his devotion to the goals of his companies. Elon Musk's leadership has been instrumental in the triumph and revolutionary influence of Tesla and SpaceX within their respective sectors.

Since a company can only be as successful as its foundations, strengthening them is essential to positioning the company for success. By strengthening all three of these foundations, your company will be better equipped to overcome challenges and stay on its successful path.