Take a look at the calendar. It’s hard to believe we are midyear and at the perfect point in time to take stock of your business progress and ask yourself, “How are we doing?”
Most business owners start the year with high hopes and great expectations. When we turn that page on the calendar there is always a renewed sense of optimism and often a declaration: “This is the year to (finally) establish and document those processes and procedures that can take us to the next level.”
So now I ask:
Did you audit your processes and procedures?
Did you find vulnerabilities in the processes and procedures that need to be improved?
Did you make the changes that will make you more efficient and profitable?
Did you create process flowcharts to discuss with the staff?
Did you start documenting tasks at risk if you lose a key person?
If the answer is “yes” to any or all of the above questions, congratulations on an incredible 1st half! If not, it’s not too late to work on that for the 2nd half of the year!
Here are (3) three very important questions that business owners should ask themselves as we move forward into the second half of the year:
Is the business profitable?
Processes and procedures are put in place for many reasons, including streamlining operations, improving efficiencies, and increasing cash flow. By sticking to established processes and procedures, your employees can perform their jobs in a consistent, reliable manner with supervisors and managers spending less time checking if the output meets or exceeds expectations. While many factors can impact a company’s profitability, such as increased competition in the marketplace, current events, and the rising cost of real estate, business processes and procedures can help to ensure cost effective workflow in your company.
Is the workforce stable and working effectively?
Your employees are the engine that keeps your company running. Turnover is very costly in both productivity and morale. Employee morale can undermine and negatively impact the goals you established in January.
If an employee is uncertain regarding their responsibilities and what they must actually accomplish in their position and feel there is no potential to growth in the company, as a manager, you must address this as soon as possible.
Often this situation starts with a germ of discontent and grows from there. At this midyear point you should meet with managers and supervisors for a departmental review and determine what, if any, processes and procedures must be established or revised to correct any escalating employee discontent.
Are you retaining customers and bringing in new accounts?
Most business owners start the year with a yearly sales forecast that includes revenues, profits and additional goals that will be derived from existing as well as new customers. At the same time business development and lead generation procedures were established or refined. Now that (6) six months have elapsed, it’s time to quantify the team’s progress; are they meeting goals and expectations or exceeding goals and expectations? If they have exceeded, you are either ahead of the curve or your original forecasts were too low. Are your business development processes working; are you seeing enough profitability? Do you need to make some changes in the sales forecast, goals and expectations or sales staff?
As smart as it is to establish new and review existing processes and procedures at the start of the New Year, it is equally as important to do a midyear review before too much time has elapsed. You want to be certain to have enough time to allow any necessary revisions to be put into place and make an impact.
June is here…start now!
Taken from the June 2015 Unique Business Solutions Newsletter