1. Survive & Thrive by
Being Willing to Evolve
Adapt…Change…Evolve

2. A Presentation for Napier Rotary Members
• Prepared and Delivered by: Peter Alexander
• On: Monday 26th January, 2015
• To: Napier Rotary Members
• At: Breakers Restaurant, Napier, N.Z.
Peter’s contact details:
Email: pete.cathy@xtra.co.nz
LinkedIn: nz.linkedin.com/in/peterdalexander
Phone: (06) 8395999

3. Presentation Scope
• Quick introduction
• Survival of the species that are most adaptive to
change
• Speed of Business Evolution formula
• Business culture development
• The principle of “inclusivity”
• How to set your team up to win
• The place for predictive modeling in evolving your
business

4. Quick Introduction…
• Business Studies graduate of 1991 era. Majored
in marketing.
• Have worked in the primary, manufacturing,
export, retail and property industries in N.Z.
over the past 24 years.
• Have worked as CEO and General Manager in
the retail jewellery sector for 15 of these years,
and as a CEO in the property valuation sector for
the 6 month period leading-up to Labour
Weekend 2014.

5. Quick Introduction (cont)…
• Have lived in Hawkes Bay since 1991, and
currently live in the Puketapu community.
• Have been involved coaching a Napier City
Rovers junior soccer team for the past 3
years, and are presently helping-out with
junior tennis coaching at Greendale Tennis
club in Taradale.

6. Quick Introduction (cont)…
My Business Values -
• Set other people up to win.
• Lead people to become the masters of their own
destiny (imparting knowledge continuously and
readily).
• Push my own boundaries continuously – and help
others push through their “glass ceilings”.
• Recognise and praise achievement and provide
encouragement.

7. Quick Introduction (cont)…
Areas of Expertise -
• Governance guidance
• Strategic and operational planning
• Information technology design and development
• Market research
• Business intelligence and analysis
• Data capture, collection, analysis, management and reporting
• Training programme development and management
• Financial management
• Marketing campaign design and implementation
• Business development (parent company and individual site level)
• Change instigation and management
• People management
• Preparation and/ or evaluation of legal documentation
• Business culture development

8. Quick Introduction (cont)…
Commercial Milestones in Recent Years –
• Instigating and facilitating the merger of the
Gemtime Jeweller franchise ($20 million sales T.O.
p.a.) with the Australian based Showcase Jewellers
franchise (approx. $500 million sales T.O. p.a.).
• Designing and developing the Showcase Jewellers
ecommerce platform for Australia and N.Z. (approx.
$500K investment across 300 stores), and B2B
online platforms (Knowledgeboards, KPI reporting
menus, etc)…a further approx. $500K investment.

9. Why I’m Here Today ?
Because it concerns me greatly the extent to which
particularly SME businesses in Hawkes Bay – and
elsewhere in N.Z. - are failing to evolve at a rate
which will ensure their survival in the medium-long
term.
Because I care about SME business people being
shown current proven best business practices, to
elevate the performance of their businesses…to
evolve.

10. Being intelligent is not enough
It is not the strongest of species that survive,
nor the most intelligent,
but the ones most responsive to change.
[Charles Darwin]
Domination of Michael Hill Jeweller in N.Z. – failure
of traditional jewellers to recognise the MHJ
business model as a realistic threat. 40 % market
share after only 10 years in the NZ market soon
pulled heads out of the sand.

11. Nimble and Agile vs Strong and Big
Showcase Jewellers franchise evolutionary course
(scale orientated) versus Gemtime Jeweller
evolutionary course (nimble/ agile).
Same market share %, yet vastly different operating
structures, intellectual property and business
cultures.

12. Business Evolution Formula
The speed at which a business will evolve is dependent on:
Factor 1: Resource Capacity and Allocation
Plus
Factor 2: People Competencies
Plus
Factor 3: Structure
Plus
Factor 4: Desire/ Will to Change
“e” = Factor 1 + Factor 2 + Factor 3 + Factor 4

13. Resource Capacity & Allocation
 The availability of the right number and range of
people with the right skill sets focusing on activities
that closely relate to the Critical Success Factors of
the business.
 Are the most suitable software systems being used
by the business ? If a system was to be changed
(updated or replaced), would this free-up 1 or more
person to concentrate more of their time and
energy on activities which are more closely
associated with the Critical Success Factors of the
business ?
 Where are resources being directed to currently ?
Putting-out fires, fixing software system glitches ?

14. Resource Capacity & Allocation
 “Noise” management.
 ‘Noise’ refers to all the chatter/ email/ txts/ Skype
calls that is directed to the people who are
designated the ‘evolutionary cogs’ of the
business…effectively locking them up so much so
that they can’t dedicate meaningful time to focus on
‘evolutionary’ type tasks.
 Effective ways of managing ‘noise’ include:
Introducing an electronic Knowledgeboard.
Introducing an electronic Noticeboard.
Designating a certain timeframe in each
week/ month when particular topics/ matters
can be discussed.

15. Resource Capacity & Allocation
 ‘Noise’ can be the No. 1 cause of a business failing
to evolve…particularly if your business is an SME
and the number of people designated as
‘evolutionary cogs’ is only say 2 – 3.
 ‘Noise’ reduction should be your No. 1 activity in
preparation to set-off on your evolutionary course if
your business currently reflects an environment
where the noise volume is turned-up fairly high.

16. People Competencies
 Are the right skill sets apparent in the people who
are currently in your team ?
 Given the new objectives you have defined in your
Business Plan for 2015, is it time that you reviewed
the skill sets of your team relative to the skills that
you need in order to achieve your objectives ?
 Are the right people performing functions that they
are best suited to ?
 What need is there to guide certain people in your
team to undertake a course/ study in order to
become more proficient at what you employed
them to do ?

17. Structure
 Introduce the right structure from the outset which is
compatible with your medium-long term business
objectives.
 Contractors versus Licensees versus Franchisees.
 If your objective is to engender a real sense of business
ownership amongst primary stakeholders then often a
‘Services Contract’ or similar will fail to produce this
feeling amongst third parties who you engage to deliver
your client proposition...especially if the contract fails to
provide for the contractor to sell his/ her business
interests over time.
 Re-structure if you need to, to lay the right foundation to
develop your business on.

18. Desire/ Will/ Appetite to Change
 Finally, if sufficient resource capacity exists, the right
people competencies are in place and the right
structural foundation has been laid…YET only a low
level of desire to want to evolve is evident amongst
either the business owners and/ or 1 or more team
member then the speed of change (“e”) will be relatively
slow compared to a business whose stakeholders are
all brimming with excitement and desire to evolve.
 “Change Lead” dedicated roles (titled as such) now
appear in the likes of the SEEK website.

19. Business Evolution Formula
The speed at which a business will evolve is dependent on:
Factor 1: Resource Capacity
Plus
Factor 2: People Competencies
Plus
Factor 3: Structure
Plus
Factor 4: Desire/ Will to Change
“e” = Factor 1 + Factor 2 + Factor 3 + Factor 4
If you’re serious about evolving your business then concentrate
your efforts and energy on optimising Factors 1 – 4 above.

20. A Business Without a Positive
Culture is Underperforming
• If you do not have a business environment which is
characterised by cultural principles such as
“cooperation”, “collaboration”, “empowerment” and
“inclusivity” then your business is more than likely
not a happy and (intrinsically) rewarding place for
people to work…and unhappy people equates to less
than optimal productivity and creativity; and can
reflect in a relatively high staff turnover rate.

21. “How” we conduct ourselves in business is as
important as “what” we do
• Example of an outstanding positive business culture.
• High level of collaboration
• High level of camaraderie
• Commonly agreed upon decisions are still
supported by the opposing minority
• Ready exchange of ideas
• Example of an undesirable business culture.
• Poorly communicated stakeholder expectations
• Low level of trust amongst internal stakeholders
• Low level of cooperation and collaboration

22. “How” we conduct ourselves in business is as
important as “what” we do
• The most successful businesses spend time, effort
and money on fostering a “great place to work”
feeling amongst their team. People feel:
• Included on the journey.
• Valued.
• They can apply their individual strengths/
characters in their role without fear of being
judged.
• Naturally drawn to want to help their colleagues.
• That they want to share their ideas openly.

23. The All Important Cultural Principle:
INCLUSIVITY
• If you want to take other people on a journey that
you have mapped-out, then you need to SHARE the
facets of that journey with them. Discuss: Parent
company level Strategic Plan disclosure treatment
differences between two different companies.
• The quickest way to distance yourself as a business
owner from your team is not to share your vision/
plan with them…and KEEP them informed about the
progress being made towards realising the vision
periodically. ENSURE they stay on the journey with
you !

24. Setting Your People Up to WIN !
• ‘People Management’ versus ‘Management By Legal
Instrument’.
• It is far more positive and productive to manage
the activities and behaviours of other people
through management practices versus enforcing
some legal agreement.
• Talk with your people…often.
• In “managing” your people, set them up to
win…equip them with a solid understanding of what
you expect them to do (and how) from the outset.
• The failure of business owners to set their people
up to win. Example.

25. When You Know It’s Time to Grow !
• What is “predictive modeling” ?
• Essentially, it is the act of predicting future outcomes
based on the assumption that certain conditions/
events/ values will materialise and cause those
outcomes.
• An Excel spreadsheet is a very effective predictive
modeling tool. Discuss merger variables used to
prove a lower operating cost scenario
• Set-up your ‘predictive model’ and be disciplined at
practicing changing the values in this model each
month – at the same time you review your P & L
tracking.

26. When You Know It’s Time to Grow !
• Your predictive model will help you identify when it is
time to (for example):
• A) Expand your business interests – engage more
contractors/ licensees/ franchisees in existing and/ or
new geographies.
• B) Merge your business with a likeminded business to
achieve greater economies of scale and market share.
• C) Acquire another business to achieve greater scale
and market share.
• D) Re-structure your current business to achieve
greater productivity and sales.

27. When You Know It’s Time to Grow !
• If you keep doing the same things that you’ve always
ever done, then sure as sure the results that you
achieve from one year to the next will be similar…if
you’re lucky !
• Make the time to review the tracking of your actual
business achievements relative to your Business Plan
objectives, and during this time update your predictive
model to keep monitoring to know when it makes good
sense to grow your business using whatever method
you desire.
• If you’re achieving more or less the same results year
on year currently, then you’re vulnerable to market
share erosion…and you’re not evolving.

28. Parting Suggestions
• If you haven’t already done so, share your Business
Plan (overview) with your team…start bringing them
on your journey.
• Put real effort, time and money into developing a
positive business culture. A small start is to shout
your team morning tea once a month (or more
frequently) – during which you update them on how
the business is tracking (keep bringing them on the
journey).
• Commit to evolving your business and work on
optimising the four factors which will determine the
speed of your business evolution – within the bounds
of affordability.

29. Parting Suggestions
• Research ideas/ practices to incorporate in your
business – and commit to trialing those concepts that
on face value look like a good fit for your business.
• Develop a predictive model and use it month to
month to gauge when it makes good sense to take
the next step in your business evolution…measure
the risk, measure the investment and forecast the
likely outcomes using your model…………then ACT.
• Commit to designating at least one (1) day each week
when you do not go to your normal work place. Free
yourself to work ON your business and not in it. You
simply MUST find this headspace in order to evolve
your business. Tell others what this day is.

30. Parting Suggestions
• Perhaps have a suitably skilled person from outside
your business – who is not a friend and ideally who
has no vested interest in your business - help you
gauge where you are currently at on your
evolutionary path, and to help you chart a course to
start evolving your business more convincingly in the
direction that you want to take your business.
• Now is a good time to start...life is short, be the best
that you can be at what you do and live life to the
fullest. Evolution is a choice, and requires time,
effort, energy, considered thought, conviction and
commitment/ discipline. The consequences of
choosing not to evolve are clear to understand. 

31. Thank you
• Remember: start by making a few small changes, and
your comfort around implementing change will
steadily grow and you’ll be surprised how quickly you
gain momentum on your chosen evolutionary course.
• Thank you for listening.
