From my observations of a number of businesses over the past 6-9 months it is very apparent that most businesses are very good in some areas of their business and not so good in areas that could make major differences to their actual operating basis and their profitability.
Generally most are stuck in production every day and making sure that whatever their product is, that it is produced and either marketed or sold daily. They are also doing the things that they like doing because usually they are very good at it. They are technically very good and in most cases they actually know that and therefore have a real sense of pride in their work and their product.
Some areas that can be worked on for overall improvement of the business are :
Organisation – simple flows of who does what and how they fit within the business provides team members with direction and understanding that they are important to the overall.
Communication – set areas where communications can be channelled so that all team members get the message without having to go to or discuss with others what is happening .
Policy and Procedures – written so that any team member can access and get to know what the company policies are and how to carry out any particular function.
Statistics – weekly information so that whatever function is being performed it can be actually measured and then graphed.
Financial Management – weekly reports that show financial solvency and allow better decisions to be taken for going forward.
Business/ Strategic Planning – Goal setting and planning for the longer term. 1 year goals, 3 year goals, 5 year goals, exit strategies.
With those that we have worked with to date we have found that some of these things are in place, but not all and in many cases all of these areas are not in order.
Initially we have sought to ascertain which area actually needs and wants some focus, and the 2 areas that come up the most are Organisation and Planning.
In a number of cases just by putting some order into the organisation the business has become a happier place for the team because they are being given real direction and they can see that what they are doing can make a difference.
In some cases even a marriage can be saved just by getting each party to understand what their role is and what it should be, and how it also affects others in the team.
Steve Hansen, Director, Hanco Pty Ltd
The views expressed in this column are the author's own and do not necessarily reflect this publication's view, and this article is not edited by QSR Media. The author was not remunerated for this article.
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Steve Hansen is the King of Strategy at Think Big Management Consultancy. Steve is completely passionate about business and franchising, having received the Paddy Thompson Award for Contribution to Franchising in 2007 and holding a Diploma in Business (Franchising).