Global Economics 101 #2

Debt Relief

Measures of health We can judge our financial health by both, our Income profile, and our Balance Sheet. If we have a decent income, and spend less than we earn, then our savings will in time repair a bad balance sheet. Likewise if the balance sheet has good assets on it, we can sell those […]

Global Economics 101 #1

Global-Economic-Growth

With all the drama playing out in the media on the various debt crises, it may be useful to reflect on some language used, and some plain and simple laws of economics to frame up the situation better. How are we doing? The “economy” and “economic growth” are measures of spending. And this spending is […]

Emotional Intelligence #3 Timely decisions matter more than thorough analysis

Timely decisions

Man is still a creature of the animal kingdom, and emotion plays a considerable part at critical decision points. Research has repeatedly shown that timely decisions — based on less information — frequently generate equal or better results than delayed, but more fully analysed decision making. This probably reflects man’s instinctive learning capability, and our […]

Emotional Intelligence #2 Skill Versus Aptitude

decision-making

Much has been written of the sources for entrepreneurial advantage, be they personality characteristics, family connections, or learnt skills. My initial premise begins with a view that passion often drives opportunity seeking, yet skills form a foundation to maintain operational integrity and minimise risk. And it is such skill to quickly re-assess business situations with […]

Emotional Intelligence #1 Attributional Bias

Global Entrepreneurship Monitor

In this next series of Blogs, I will discuss issues arising from the emotional intelligence of our leaders. Our intrinsic biases and prejudices colour our outlook. They guide us and inform our decision making, and we need to be more self-aware to also become more effective when engaging others. We explore these issues in more […]

Guest Blog Spot: Tim Harcourt, Chief Economist, AusTrade.

Tim Harcourt

As Chief Economist, Tim analyses the global economy to help Australian exporters and helps Austrade devise its own international business strategies. A prolific author and globetrotter, Tim has visited over 50 countries in the past 5 years alone. Tim is an active commentator in the Australian and international media on economic and trade issues and  […]

What is “Good Business”?

You need to prune your business wisely

When I review a business, my starting point is always “what is the unique talent of this team?” What insights or skills do they possess that we can amplify? One of my first questions of a CEO is “What one customer, with one purchase decision, would you describe as your sweet spot”? So this sets […]

Good Debt versus Bad Debt

good-debt-vs-bad-debt

The phone has not stopped ringing in recent months with questions from entrepreneurs concerning “what should I do?” Today I will begin a short series of Blogs to help frame the discussion. Idea #1: There is “good debt”, and there is “bad debt”. Good debt is taken on to purchase assets and fund expenses for […]

Creating Value – Are you doing it?

Key performance indicators

This is a critical question for us all, and one I ask entrepreneurs from time to time. In the conversation that inevitably follows, it offers insight into not only one’s understanding of “value” but also the elements of valuation. Further, this informs most business manager’s priorities on how to allocate people, time and capital. Several […]

CEO Alert – some actions to consider this next week

Working capital loans

Do you have working capital loans with any banks? If you do, and against the backdrop of global attention to government lending and Basel 3 reforms, let me suggest you take your Banker to lunch quickly. At lunch you should bring with you an updated view of your business for the next 1-2 years, and […]