Do you know what your organization or company does? Do you know what business they are in? I mean REALLY know what business they are in? If someone asks you what your company does, are you able to explain it to them?
Business Acumen is important for leaders. Business Acumen is about knowing the fundamental business model of your company including the market drivers and the competition. It is important that you know how your company makes money. And you need to know and understand how your contribution supports your team and the company.
- Know your company’s goals and strategies
- Be able to explain your company’s business strategy to your team and others
- Use sound strategic judgment when making decisions
- Balance the financial concerns of the company in the short-term with the long-term strategic needs
- Don’t overlook the people side of the business by focusing too much on the financial side
- Always be aware of your external competition
- Study your company’s financial report
- Explore your competition by looking at their websites
- Share a company-related topic at your staff meetings
- Take the initiative to complete a SWOT (strengths, weaknesses, opportunities, threats) analysis of your business
Senior leaders want people in leadership positions who care about the company and know the company’s business. If you can’t articulate your company’s strategy and explain what business you are in, you have some homework to do. Now hit the books!