If you grew up in the 1980s or 1990s, you must have read or been exposed to the Marvel comic books and series, particularly the X-men. These were the real cartoons and comics; not what is on TV right now.
My personal favourite is Kitty Pryde, a mutant with the ability to phase through solid matter. Imagine being able to walk through doors or walls without any pain or injury to self; being able to reflexively be in a phased state at the sight of danger or perception thereof.
Phasing is one super-ability every business should assume.
No, this article is not just about comics but about the lessons we learn from characters we perceive to be superheroes and heroines. From Kitty Pryde, its phasing.
I believe the mark of any great business is its ability to withstand the financial pressures of any economy; for start-ups, it’s the ability to move to growth. It is at that point of growth when phasing should be seen.
One of the ways a start-up could phase is by developing a robust budget process which would manage cash flow and ensure project controls.
In Kenya, every election cycle is marked with low shilling uptake, unpredictable investment and social environments, worse still, low conversion rate of consumers and these factors alone are enough to close any business. However, if every business learned and developed time phased budgets, not only would their businesses remain financially healthy but they would also be protecting the business against losses due to the unpredictable financial and social environments.
A time-phased budget matches the project’s timelines to the project’s budget. Remember, that the budget is based on a cost analysis and not on revenue. Therefore, one should split the sums of cash in a budget based on the progression of the project. Essentially, spread out the budget over the period of the project. The benefit of a time-phased budget is that it allows you to check the progress of any project against the budget. Therefore, you will be able to manage cash flow and have project controls.
Every business should develop this technique of budget phasing and integrate it to the budget making process. Let’s get phasing. Let’s get growing.