Sunday, June 26, 2011

Clustering Helps Move Your Business Forward

Ask any small business owner how they managed to grow their company and you’ll probably hear a common theme – sheer hard work.

In isolation, moving your business forward is not an easy task. But working in collaboration with others towards a shared goal may be the difference between business success and failure.

Working together with your competitors? Is this possible?

Informally it’s about networking and sharing ideas. On a more organised level, it’s called cluster groups and they operate throughout New Zealand with excellent results.

Collaborating on big projects
Cluster groups bring together businesses with a common interest and then undertake projects for the purpose of moving everyone’s business forward. These projects are often long-term, some taking many years to complete. The critical mass gives the group the leverage needed to engage in projects, which would normally be impossible for single entities.

Improving training levels, developing brands and moving into export markets are examples of areas in which clusters can support a local industry group.

For example, if the forestry industry had an ongoing issue finding skilled pruners, a cluster group of forestry companies could work together with training providers to develop the appropriate courses to upskill the workforce. Cluster groups are about linking with other entities to find a solution which will benefit all parties.

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