Step 3 of Building a Better Business
Defining exactly where you are now is crucial to building a better business.
This step is often overlooked, but you must know your starting point to create the best road to success. It sounds so obvious, but many business owners plan for the future without knowing where they are now.
Answer the following questions honestly to help define where you are now (warts and all):
1. How aligned are the owners and managers of your business?
If asked independently, would the owners and managers have the same vision for the business? We must address conflict and align thinking before we can plan the future.
2. What activities are generating your current results?
It’s not just about the sales numbers, but the activities driving your results. Consider the number of sales leads you’re generating, your conversion of leads into actual sales, average sales value, etc. It’s essential to know these numbers now so you can improve them.
3. How engaged is your team to deliver your vision?
Businesses with a great culture and an engaged team significantly outperform those without. Your team needs to understand how their roles contribute towards the overall vision for the business. Without the team on board, you won’t achieve leverage.
4. How appropriate are your measurement and reporting systems?
If you can’t measure it, you can’t improve it. Review the systems you use to measure your results. Do they provide accurate and useful information? The decisions you make are only as good as the information they’re based on.
5. What are your five biggest vulnerabilities right now?
What keeps you awake at night? Is there industry disruption? Is there new legislation that could impact operations? Are your systems robust? Do you have high staff turnover, succession to plan for, cashflow strains, or a weak financial position?
Take the time to define where your business is right now. Be honest and identify the weaknesses in your business so you can take steps to improve.
Skip this step at your peril!
Need help answering these questions? Get in touch!
“Opportunities don’t happen. You create them.” – Chris Grosser