Many businesses embrace digitalisation and hybrid working, which I believe is a good thing. Thanks to technological advancements, strategic office locations have become less critical. Remote working is becoming increasingly popular, especially in these challenging times. The culture of remote working is not a new phenomenon. It allows corporations and businesses to hire people from outside their home countries. That is, in my opinion, one of the positive outcomes of Covid. However, no matter where we are, the issue is attracting and retaining the right talent.
MB: In your opinion, what are the things that Malaysian entrepreneurs should be looking for this year to bounce back from what happened in the last two years?
A: A common mistake that my coaching clients face is the Shiny Object Syndrome. This is when the entrepreneurs get distracted by the “next better thing”. However, this ends up distracting them from their core business. What needs to be done is to return to the basics to understand why your company exists in the first place.
People feel that businesses exist solely to generate income and profits, but I beg to differ. The only reason your company exists in the first place is because of the customers you serve. The products or services you offer as a company are valid reasons for your firm's existence. Business owners must identify their company's purpose, product-market fit, and the best strategy to serve their customers, among other things.
One of my business friends, who owns a theatre, was badly impacted by the pandemic in March 2020. There were no theatre performances, and we had no idea when we'd reach the endemic stage. This occurred at the start of Covid-19, and he was forced to pivot because else, he would have lost everything, and the company would have died. However, one thing he was always conscious of was who his target customers were and how best to serve them. So this guy pivots and changes the medium in which he delivers his content, and he continues to conduct theatrical production in a virtual setting.
The company now has a film crew that works remotely for an online live show that is very interactive and entertaining rather than performing physically at a theatre. The audiences can still participate via their computers and mobile phones. This is just an example of how we should go back to understand the fundamentals of the business to figure out how best to deliver the values to our customers.
MB: You started Vodien Internet Solutions at the age of 17 and sold it for 30mil $ and at the age of 33. Could you share with us what does it takes to build a successful business?
A: I get this question a lot from start-ups owners, and that was one of the reasons I started to sit down and come up with a framework, the process, steps and methodologies that I took to do all of that. It wasn’t an overnight kind of thing. 17 years is a long time. So it took me a while to figure out why I did what I did, what mistakes I admitted, and what lessons I learned from it all.
In 2020, I just sat down and spent a few months coming out with that framework. So the framework is now known as the 5E scale engine because of the 5 principles, which I used to coach entrepreneurs to super-scale their businesses. This is the framework that I used to grow my business from a bootstrap, from zero dollars to SG$30 million.
MB: What are the common traits that every business leader and entrepreneurs need to have in order for them to be successful in what they do?
A: There are a few necessary traits that every entrepreneur should have. The 4 values and traits include customer-centricity, hunger, always being an action taker, and open-minded.
Customer-centric
First and foremost, we must start with a fundamental, and regardless of what type of entrepreneur we are, the one thing we all need is to be customer-centric. If you are doing the business to make money, you have a different purpose and objective, definitely not customer-centric. Profits are still important because companies must be sustainable. However, because you are customer-centric, you begin to do things that perhaps other businesses don't do. Even though that may not be the best option in terms of profits and cost, these sacrifices will benefit both customers and companies in the long run.
Hunger
Furthermore, I believe you must have hunger as well. Hungry for success, yet success does not always mean being rich. However, being able to provide the value that your clients demand is a non-negotiable requirement because, in most cases, the road to entrepreneurship is not easy, and every entrepreneur will have to face it sooner or later. If you are not hungry and don't have that drive, it is very easy to question yourself and give up when obstacles, challenges, and problems occur. I believe that hunger is necessary as well.
Action taker
There are many entrepreneurs globally, but one trait that sets successful entrepreneurs apart from the rest is their willingness to act. We don't always know what to do or what is correct. However, the most important thing is to take action.
Even if we are not entrepreneurs, we may confront this situation in our daily lives. Nothing will change unless we take action, which is true in business as well. If you don't do anything while you have a team and clients depending on you, your business will remain stagnant. Entrepreneurs must be proactive and able to determine what is best and act promptly.
Open-minded
Last but not least, you should be willing to receive and share feedback. Open-mindedness is a quality that business leaders possess. Otherwise, we risk becoming oblivious to a variety of issues.
To grow a business, entrepreneurs require the support of their team members. That is what I realised when I was building my business. I am not the only one in the company. I have a team of cofounders and partners, and my role as an entrepreneur is to figure out what the problem is and how to best solve it, as well as get input and comments from all of them, many of whom are better than me in various sectors such as engineering, sales, and marketing.
MB: What are your thoughts on people who has a 9-to-5 job but want to start a business?
A: I was able to balance school and my own business when I was 17 years old. It is possible in terms of time investment. Also, we must consider the four attributes I mentioned earlier: one of them is that you have to be hungry for success. After all, it's not an easy journey. If you have other commitments, which is often the case, you will have to sacrifice them, as I did. When I was a teenager, I made many sacrifices. Even though having fun and having a good time was the norm, I had to make the choice to sacrifice them in order to have time to work on my business.
I didn't go out much, nor did I participate in many sports or outdoor activities. Though I eventually saw that as a sacrifice that I was willing to make, I believe that anyone who feels the same way, whether you have a 9-5 job or other commitments, must first understand what you are willing to sacrifice to move forward with the business.
MB: What are the key takeaways from your Super Scaling book Alvin?
A: Basically, the whole framework is in the book, as I call it the 5E Scale Engine, a method to grow and scale your business efficiently. The 5 principles consist of Evolve, Envision, Empower, Engage and Execute. The principles are in order, and putting this framework together took months. I started with three principles, worked with them, and added another, making it four. After a while, I realised I focused too much on the business, tactics, and strategies rather than the entrepreneurs. In a business, the person leading the company is usually the owner or entrepreneur, which is something we need to start with. This resulted in the addition of the fifth and final principle - Evolve - which is about the entrepreneur themselves.
5E Scale Engine
Evolve
The first principle, evolve, stressed the importance of having an entrepreneurial mindset. Before you even look at the business, think about what you need to know as an entrepreneur. For example, even with the best car in the world, if the driver lacks expertise, has the wrong mindset, or is physically unfit, he will be unable to drive it efficiently. When an entrepreneur is running a business, the situation is similar. I consider the first step is to work on ourselves.
Envision
The second principle is envision, which is a great starting point for entrepreneurs and businesses because it focuses on creating a company vision that propels them ahead.
So, in most businesses, entrepreneurs have a vision that is solely known to them. However, at this stage, we want to translate it into something tangible and understandable so that entrepreneurs can express and portray the message to their team. Recruiting and talent retention is often the major issue. As entrepreneurs, one of the most important things we can do is explain why our company is different from others. TESLA and Apple are not the same companies that they were when they were first established. Nobody believed in them, and no one noticed, but look at where they are now. It indicates that these companies are motivated by their vision.
Empower
The third principle, empower, is when we start looking at the team members. Empowerment is a critical component for most businesses. It requires the process of recruiting key players, retaining them, and truly allowing them to perform at their best. One of the most comprehensive principles in the book is empowerment. I went through the processes, and I utilised them to both recruit and retain good people on our team.
Engagement
The next principle, engagement, focuses on customers. I provided a five-step customer journey map for people to follow. People often focus solely on sales and customer acquisition. To fully engage with your customers, you need to plan out your customer journeys and make sure you do things in the proper order. Active engagement is the difference between your consumers talking about your product and no one caring about you. When you get consumer engagement right, your product sells itself because they can't wait to tell their friends about it.
Execute
The final principle of the 5E Scale Engine is execute. For this principle in particular, I'm using Hussain Bolt as an analogy. What if I told you I could beat him in a race? Only one condition allows me to sprint faster than the world's fastest man. He needs to run in the opposite direction.
That's what happens when business owners concentrate on the wrong things and do things in the wrong order. Execute is the last principle because we want to ensure we have completed everything else before we start thinking about ways to optimise or automate things to make things more efficient.
MB: How long did it take you to write the Super Scaling book?
A: It took me around 6 months to write the book, but it took me longer to develop the principles. I travelled the world full time and only returned to Singapore in March 2020. I wanted to become a coach and translate what I learned into actionable guidance for businesses. So when I came back, I know I have to start working on something to guide entrepreneurs.
"Hey Alvin, how do I grow my business?" is a common question. It was quite challenging for me to answer them. To begin with, I have no idea where they are coming from or what they have tried or have yet to try. Also, what's the current state of their business. So I spent over six months just putting together the framework, trying to understand what I went through as an entrepreneur, the lessons I learned, and my mistakes. Apart from that, codifying it and developing a framework that people could utilise. That was something my coaching clients found to be extremely valuable.
The book serves as a means of communication whenever people ask me how to scale their business. It's like getting lost in the woods, communicating with one another, and having a map telling you where you are. That system resembles a road map. As a result, I'd say that the entire process of developing the book took me more than a year of focused attention and concentration.
MB: What is your advice to people who want to start but don’t know when to start or should they even start in the first place?
A: My parents were extremely protective, and they made all of my decisions, from what I study to what I eat, where I go, and even what I wear. However, at the age of 16 I told my parents that I wanted to make my own decisions regarding my education choices.
I decided to attend the school of my choice; it wasn't a popular choice at the time, and both parents were concerned, but I went ahead and did it. Because I knew I wanted to major in technology and learn more about computers because it is my passion and purpose.
On the first day of orientation, I sat next to this guy, and we became friends, and he later became my 17-year business partner. So, if I did not make that choice, if I had followed my parents' wishes or what society said or expected me to do. Then I would not have met my cofounder, evolved into the person I am today, or even started my own business. So, my advice is to figure out what motivates you, your mission, and your passions, and then be very clear about what it will take to accomplish all of that.
Alvin is constantly putting out content on his social media accounts to help entrepreneurs thrive! He is reachable via Instagram @alvinpohofficial, YouTube AlvinPoh. Check out his website www.alvinpoh.com and https://superscaling.com for more deets on scaling businesses to the next level.
