Page created 7/14/09
    Stages of Business Recovery - What Stage Are You In?
    by Grant Cardone

    During periods of major loss or change, individuals and
    businesses experience a number of stages in response to the
    loss or change. Everyone has to go through each of the
    stages in order to recover and the speed at which you get
    through them will determine how soon you recover.


    1) Denial - Refusal to believe and accept that things have
    changed, typically involving some loss. All efforts and energy
    invested in resisting that conditions have changed.

    2) Anger/Blame - Finding a target to blame for the change.
    All energy and effort is spent on finding someone or some
    institution to assign as reason for current situation.

    3) Bargaining and Hope - This stage involves people bargaining and hoping for someone to save them. This is a low level
    of responsibility. Lots of businesses are in this phase today as they wait for the banks to free up capital or the government to
    come in and suddenly save the day. This is just another level of denial of the situation.

    4) Apathy - Acceptance that things have changed and no one can save you and that in fact there is nothing you can do
    about it! This results in people moving into major contraction and worsening of their own condition by saving money, energy,
    resources, creativity and any efforts to figure a way out. The higher your responsibility level the shorter this stage and the
    lower your responsibility level the longer this stage. Apathy is a form of quitting or withdrawing.

    5) False Acceptance and Action - A spurt of effort to accept conditions and do something about it resulting in inconsistent
    and disappointing actions. This is the first stage of accepting that things have changed but in this first stage of acceptance
    most underestimate the degree of change (pain or loss) and then take actions based on earlier scene.

    6) Disappointment (another level of apathy) - . Because the actions used are from the past they will not result in
    satisfactory levels of production causing disappointment, confusion and possible frustration. This however results in and
    prepares the individual, team or company for true acceptance of the situation and what is required to dig out.

    7) True Acceptance Stage - This final stage is where the individual or team becomes fully aware of the amount of change
    for the first time and is now prepared to let go of the past and move into the future. This is the first time that an awareness of
    the need for new skills and actions will be needed. In this final stage of acceptance people will experience a reinvigoration and
    excitement about their business and future and become highly interested in reinventing themselves and their business.

    In just the last weeks I have personally conducted over 100 tele-conference calls directly with over 800 business owners,
    executives and managers. The results of those calls suggest people are moving through the stages. Clearly the companies
    and individuals that are taking the time to have conference calls with me are going to have a higher degree of responsibility,
    so the statistics that follow are most likely not representative of the general population.
    Here are some of the results obtained from the teleconference calls with me.
    • Almost 80% of them stated they are no longer concerned with who is to blame but rather what they need to do.
    • Over 95% believed as a result of the call that no one was going to come in a save the day. (This is critical realization for
    moving on.)
    • Almost 100% of those on the calls expressed disappointment in the results from the actions they were taking and realized
    they were in the false acceptance stages.
    • 99% of these same people acknowledged that they needed to learn new actions, new skills and new approaches for the new
    economy and that this change had to start with management.
    • 98% agreed that while their economy was problematic, it was not the problem. This is also critical to recovery, as anyone in
    the blame stage will not take action as they are using all their energy and creativity assessing who is responsible.
    • Lastly, over 90% believe the call moved them through the stages more quickly so that they could reach the final stage of
    ‘True Acceptance’ and start taking new actions to achieve new results.

Grant Cardone is a speaker, author, sales trainer and CEO of Cardone Training Technologies. Author of Sell To Survive and other Audio,
Video, and training programs, for more information on Mr. Cardone visit
grantcardone.com.

Grant Cardone, Author of "Sell to Survive".      800-368-5771

Cardone Training Technologies, Inc. •6767 Neptune Place • La Jolla, CA 92037         Index of other articles on this site.
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