How to turn risks into business opportunities

Opportunity will never be without risk. Flipping that on its head (the good old glass half full approach), though, says there’s also no risk without opportunity. It’s a point to consider. If you dig deep enough into any risk, there’s a slightly dusty opportunity you can clean up and use.

 

Think long-term

Say you adopt a puppy (bear with us). Immediate repercussions include a ruined carpet and more than a few widowed socks. But long-term, it’s companionship, entertainment and an invaluable welcome home every day.

Opportunities can exhaust money and time and you might not see a return on investment immediately. Thus, timing is critical. Using a forecast engine, you can model different timings and deduce the best time for you to make a move. The ultimate message: think long-term, but do so responsibly.

 

Was that really necessary?

One point to consider, even before considering the technicalities, is whether the risk is really necessary. With the labyrinth-like web of business advice constantly feeding us on and offline, it’s difficult to not feel inclined to jump into every platform and path.

Yes, there are an innumerable amount of articles telling you that LinkedIn is the best social media site for businesses and will do wonders for you. But, if you own a small store selling kids toys, LinkedIn really isn’t your best bet. With our reporting function and bespoke alert barrier, we can highlight the gaps in your business, helping you to target and fix the problems that really matter.

 

Look for bitesize alternatives

Let’s consider building a website. Building a good quality site is hard work, costly and a big risk. However, there are alternatives to shelving your online presence for a later date.

For now, a Twitter or Facebook page could be sufficient, as a low cost, low commitment alternative. This is a small step towards building your online presence. So, when the time for a website comes, you’ve already got an established following and a source of traffic.

 

Silent but deadly

The easiest way to fall victim to risks is a simple lack of awareness. Before you make a move, map out the potential risks (and solutions!) and rate them by likelihood and potential destructive power.

In that position, you can start minimising the risks that each one poses and compare alternate paths. Using our scenario planning platform, you can model potential actions, big and small, to see the effect on your business and plan the best path.

 

(Not a) solution: never take risks

Risks and opportunities are growth fuel. Always playing it safe is a risk in itself. As we said earlier, every opportunity has some kind of risk, and we can confirm, the head-in-the-sand approach isn’t productive. Full stop.

Regardless of how fast you’re growing, you’re limiting yourself if you’re not considering every risk as an opportunity. Growing too fast and playing it safe is a recipe for overwhelm. Whilst your popularity and order volume is expanding, you can’t afford to sit still. Refusing to risk growth opportunities leaves you with a too small factory, not enough staff and far too many customers.

In the same fashion, if you’re growing very slowly, or not at all, it’s probably due to your lack of risk-taking. Especially in today’s world, you need to stand out.