Tag: business

Can your business still operate?

If not, it probably means that you do not have a Business Continuity Plan. This is an essential tool for your business as it is the procedure that you will use in time of a crisis, that includes information intended to ensure the ability of the services provided to continue in the event of a serious business interruption.
The roles and responsibilities of individuals are detailed, as are the tasks that should be followed to ensure an effective response to an adverse situation.
The objectives of the Business Continuity Plan are as follows:


• Safety and welfare of employees, visitors and the public are protected at all times


• The impact of the incident on the local community and the environment is minimised


• Continue to deliver crucial services to your customers


• The impact of any incident on your business is brought under control and minimised.


• Quick and appropriate response is made to any adverse situation that may arise.


• Fast and accurate assessment and verification of the potential impacts of the situation.


• Matching the degree and nature of the response to the potential impact.


• Clear and appropriate communication being made with management, employees and customers


The business continuity plan is designed to provide a framework for a structured response to any practicably foreseeable incident resulting in actual potential harm, damage or injury to people, the environment or assets associated with the business.


The business continuity plan is written assuming numerous scenarios associated with the operation of the business ranging from total loss of the facility through to lesser incidents that can be managed through reference to the relevant sections of the plan and utilisation of the recovery strategies. A key part of the business continuity plan is the assessment of key risks for the business that assesses the likelihood, potential severity and possible mitigations for the risks specific to the business, and prior consideration of potential alternative providers for key capabilities.
The business continuity plan is intended to provide task information relating to the emergency response only.

How to be a Responsible Coach

Assuming the Responsibilities that come with Being a Coach

Who can forget the famous line of Peter Parker (Spiderman’s grandfather)? He said, with great power comes great responsibility.

Society expects TV and movie superhero with extraordinary powers to be responsible for saving his town and the world from the forces of Evil. And he never let us down. Despite the temptations of owning such powers, he uses his abilities only for the good of the people around him.

Being a coach has similar parallels. Great coaches can have real power through their abilities to help others and with it, the responsibility to guide others towards success. This is REAL power that can be used to help real people in THIS world. Done well, coaches can help others turn around their lives. Done wrong, and a coach could guide a client down the wrong path.

So, with this power to coach your clients towards manifesting their personal and/or business vision comes responsibilities. Great coaches assume them all as part of the professional responsibility. This can include everything from making sure your client is moving in the right direction, getting them back on course when they are not, and developing and tracking their use of exercises to help them along the way.

There are a few things you can do to be a more responsible coach. Just as important, these same skills can be imparted to your clients to help them lead more responsible, integrity-filled lives.

How to Bring out the more Responsible You in Yourself and your Client

#1 – Develop self-awareness.
Learn and know your own strengths and weaknesses to be able to view your behaviour objectively. Recognise your shortcomings, receive feedback, and make changes when necessary. The more self-aware you become of all your aspects, the more you will know what kind of clients you can coach best and just as important those best referred to others.
The lesson is simple: the more we grow, the more we can offer, and the more we can help others.

#2: Learn to Separate Responsibility from Worry
When we hear the word responsibility, we often think to ourselves, Another task, another problem. However, responsibility is not about worrying over things given to us to work out. Consider this story:

One night at the end of the second shift, the Head of Operations walked out of the plant he managed and passed a labourer. The labourer said, “Mr. Smith, I sure wish I had your pay. But I wouldn’t want the worry that goes with it.”

Mr. Smith answered, “I give the best I can when I am here. But I drop the worry when I leave so I can be 100% with my family when I’m at home.”

You, too, can learn to give your best to challenging work, but then leave it at the door when your off-hours. Worrying accomplishes nothing except to eat away at us, and actually ends up making us less effective! Don’t let worry taint your clarity of judgment and ability to take decisive action. You can learn this as you grow.

Carrying the responsibility of coaching should not intimidate you. It is the ability to help others that coaching is all about. Embrace the responsibilities that come with it.

Nothing is gained by worrying about whether your clients achieve their goals or not. Focus on supporting and inspiring them. Be their partner in their growth. Brainstorm with them when it is called for. But ultimately, it is your client’s responsibility to assume responsibility for accomplishing their goals. You merely help them see and achieve this state.

#3: Take Calculated Risks and Learn from Your Mistakes

Effective coaches have the courage to ask their clients to take risks when results and success are uncertain. A willingness to risk failure is a core attribute of all successful people.

As a coach you can help your clients work with risk and possible failure. Help them learn to analyse their situation and options. Work with them to list the pros and cons for each option, then assign each choice a risk factor rating from 1 to 5. Next, have them determine the likelihood of each occurring. This will help them quantify and manage the risk-taking process.
Also, lead them to a better paradigm regarding failure. What is failure other than great feedback that our current course of action is not the right path? Use this information for course correction. Failure doesn’t happen until we give up. If you don’t give up, then failure is not an option.

#4: Own and admit our mistakes
Our greatest lessons and growth come through our mistakes. Everyone makes them; it is part of life. Help your client understand this, and they will be able to draw the necessary lessons and take corrective action. If we do the blame game, we don’t even take the first step (ownership) in this process.

Not only does owning our mistakes and failures help us to be more truthful and powerful in our own lives. Owning and assuming responsibility for them lets others see the integrity and virtue within us, and hence further gain their respect.

9 Reasons Why You Need A Business System

arrows box business chalk
Photo by Pixabay on Pexels.com

If you want to build your business, it is essential that you have systems and processes in place as they serve as the building blocks for your business and without them you cannot grow your business. Here are the 9 reasons why you need business, systems:

1. Consistency – With a business system you can repetitively produce the same products and services with no variation. Systems can be implemented for sales, marketing, operations, training, etc. This allows you to monitor your business so that you can make changes to improve it.

2. Change – Because change in any business is inevitable by having systems in place and knowing how your process works you can modify it quickly to suit the required changes. Also, with systems in place you will be able to review it and apply continuous improvement which will improve your business overall.

3. Training – A system will allow proper training to take place which in turn will increase productivity and effectiveness. Procedures will be in place which allows employees to have consistent, high-quality performance on relevant tasks.

4. Focus – When deadlines or new projects are required, business systems will allow the activities to be performed on autopilot as everyone will know the processes and procedures that are required.

5. Customer Expectations – Systems will allow you to measure and analyse customer satisfaction, this will give you information on how to improve your products or services that will give you the competitive advantage in your market.

6. Reduce Costs – The business system is the only way of providing quality assurance as you don’t have to repeat activities several times due to defects. Systems will also allow you to remove waste from your business.

7. Profitability – Because systems are in place your business will be efficient and effective and you will have reduced costs by removing waste from your business. Customer satisfaction will have increased and you will have improved your on-time delivery therefore you will increase your profitability.

8. Value of your business – By having systems in place your business instantly becomes more valuable to an investor, this is because the investor knows that your business will run smoothly, and quality is assured. This will also help you to sell your business and command a higher price.

9. Strategy – By having business systems in place you will be able to step back and work on your business instead of in your business, therefore you will have the time to become more strategic and be ahead of the competition.

 

Systems & Procedures

According to the Oxford English Dictionary a system is:

  1. A set of things working together as parts of a mechanism or an interconnecting network; a complex whole.
  2. A set of principles or procedures according to which something is done; an organized scheme or method.

Many people say that they have a system in place for their property business but when you ask questions about their systems and dig down it turns out what they really have are processes and tools that help them carry out things like analysis of an area or a deal, so it becomes a bit of a shock when you tell them that these are not systems. To understand this, here is a simple definition of a process and a system:

  • Taking an egg and converting it to an omelette is a process
  • A system is a series of processes where the output of one process becomes the input of the next process. An example of this is baking a cake, where you have equipment, correct ingredients, following an exact recipe, applying the method, utilisation of the equipment, transformation into a cake, adding value by adding a filling, presentation.

So why do we need systems?

Well if you want to be successful then you need systems and procedures as this will allow you to work on your business and not in your business. Some of you may be thinking that you got out of the corporate world because you were restricted by all of the red tape of systems; after all you are an entrepreneur. However the reality is whether you’re a one man/woman company or employ fifty people plus, you will need systems and procedures to free up your time and make you money.

Some of you may be thinking that you are just starting out and therefore until you get going you will just wing it for the moment. That would be a big mistake, it is in fact far easier to put systems and procedures in place at the start of your journey rather than leave it until later as it will take you a lot longer to do and in the meantime will have lost time, energy and potentially money, so take heed.

From a business point of you what do we mean by systems and procedures? The short version would be a step guide to perform any function within your business. Examples of this may include but is not limited to the following:

  1. What do you do/say when you are contacted by a vendor?
  2. What are the steps do you take when screening a potential tenant?
  3. What are the roles and responsibilities of your team?
  4. How do you get paid?
  5. How do you pay your suppliers?
  6. How do you run the back office? (Administration, Accounts, etc.)
  7. How do you draw up a contract with your suppliers? (Architect, planners, builders, etc.)
  8. What are your “Opening” and “Closed” hours and what happens when “Out of Hours” is required?
  9. What are your policy and procedures for joint ventures?
  10. What is your strategy and how do you communicate this to your team, joint venture partner, Angel investor etc.?
  11. What are your objectives?

As can be seen by the above examples systems and procedures are required to handle these sorts of questions. Do not be deterred by thinking that you need to write a massive manual documenting everything. Keep it simple and easy to follow, use pictures, diagrams, screenshots etc. if this helps to describe your processes. Where there are regulations that needs to be understood within a procedure e.g. HMO requirements, break it down and strip out all of the things that are not necessary and bullet point those that are needed so it is easy to read.

Advantages of Systems & Procedures

The advantages of having systems and procedures in place are as follows:

  1. Productivity will increase as you will not have to re-invent the wheel every time you do something.
  2. It can give you a perspective as now you can have an overview of your business, and the competition so now you can make informed decisions.
  3. There will be consistency in your work as things will be done exactly the same way each time.
  4. Reduced risks as you will have agreements etc. in place that spells out exactly what is expected.
  5. Quality will increase as you will have a framework in place to deal with builders, vendors, tenants etc.
  6. Growth can take place as you can use your systems and procedures to train people.
  7. You will have continuity because if someone is away on holiday, ill, or leaves then you are not reliant on that person as the systems and procedures will kick in.
  8. You will find freedom as now you can work on your business and not in your business, also it will allow you to be away from the business as it will run without you.

Take action now and put systems and procedures in place, once done these will just need to be kept updated as your business evolves.

 

Recommended Reading:

The E-Myth Revisited: Why Most Small Businesses Don’t Work and What to Do About It. By Michael E. Gerber

Scaling Up. By Verne Harnish

Right First Time Property Investing. By John A Foster

Business Owners Toolkit – Problem-Solving

Problem-solving should be in every property investors and business owner’s toolkit, invariably things will go wrong, and you need to know how to get to the root cause so that you can put it right, so it does not happen again. However, problem-solving is not just for when things go wrong as it can also be used to look at deals that have gone well and find ways to make improvements so that it is even better next time.
To become proficient at problem-solving a simple nine-step process should be followed. Although it may seem complicated at first glance, with a little bit of practice it will become second nature.

The Process

1. Problem Statement

The first step is defining the problem statement, this is where a lot of people go wrong including professionals who should know better. All too often people want to dive into corrective action and put things right believing that they already know what the problem is, and invariably the problem raises its head again at some point in the future, or the problem has become worse. So you need to be patient and do not pass this first step until the problem is defined.
Guidelines to a good problem statement are as follows:

  • What has been seen?
    This should include factual information, measurements, photographs, what specification is being deviated from, who found the problem, is it a repeat concern? If it is possible, the originator must physically observe the issue and go to the place where it was found or created to gain clarification.

 

  • Where was it found?
    It is important to identify where the problem was discovered, as this is relevant to later stages of the investigation. At this stage, no attempt should be made to predict where the problem was caused.

 

  • When was it found?
    The date and time a problem was discovered, it may be relevant to the investigation.

 

  • How was the problem found?
    Understanding how the problem was found will assist in later stages of the investigation.

 

  • How many?
    It is important to record the details of the scope of the problem at the time of discovery; this will assist in containment action. Specific details should be recorded to prevent duplication and assist later stages of the investigation.

The following are examples of poor and good problem statements:

a) Poor Statement – The bathroom in the HMO is flooded

b) Good Statement – The bathroom in room 10, became flooded at ten last night, the ballcock valve in the toilet cistern was broken. The water has not only flooded number 10 but has also seeped through to the room below at number 5 causing the electrics in that room to short out.

As can be seen, the first statement just tells you that a bathroom has been flooded, it gives no indication of which room or the extent of the damage. So, armed with this information you would be looking at sending a plumber to fix the problem. Whereas with the second statement you know which two rooms have been affected, you know that not only is a plumber required to fix the problem but that you also need an electrician, and because of the water damage you may also require a builder. In the meantime, you also need to try and find an alternative accommodation for your tenants as they now have rooms that they cannot use.

2. Form your Team

The second step is to form your team, this can be one person or a team of people depending on the complexity of the problem. Each problem is assigned a leader and the responsibilities of the leader are:

  • To control the actions.
  • To clarify the problem description (in consultation with the originator).
  • Confirm the need for the Root Cause Analysis (RCA) to be carried out.
  • To track the investigation through all stages to a conclusion and ensure that the RCA process is followed.
  • Determine the problem-solving team considering the nature and complexity of the problem.
  • To escalate any obstacles and blockages through the management hierarchy, which could be just you
  • To report on progress on the RCA activity.
  • Present the RCA for closure upon completion.

3. Containment

Containment action is the next stage it is the initial actions taken to protect the customer from further occurrences of the stated problem.
The scope of the problem should be determined, and appropriate action was taken on all items suspected or found to be non-conforming. For example, leaflets with the wrong contact number are ready for distribution, how many do you have in stock, how many have been delivered to houses. Upon the completion of containment activity, no further defects should reach the customer.
Typical types of containment actions are as follows:

  • Identifying and locating all suspect material through in-house process check.
  • Check material to requirements, quarantine all defect material.
  • Review any material that may have been generated with the same process.
  • Obtain all escaped suspect material, or quarantine and notify customers.
  • Implement temporary fix and take appropriate action to ensure no further defects of the same nature reach the customer.
  • Upon completion of the containment activity, the problem leader must confirm that the problem has been contained via all appropriate actions having been completed and enforced.

4. Root Cause of the Escape

It should be determined at which stage of the process the defect or problem should have been detected, and the reasons why the issue was undetected. This activity may identify more than one process stage where the defect was not detected, and each should be considered.
Review of working practices, procedural documents and instructions should be supplemented by the use of appropriate tools, e.g. brainstorming, 5 whys, Ishikawa diagrams, process mapping, etc.

5. Prevent Further Escapes

Action should be taken to ensure that future occurrences of the problem are detected at the correct process stages. These may be permanent or temporary activities for example:

  • Use of mistake-proofing methods e.g. smoke detectors are designed so they cannot be mounted until a battery is installed.
  • Additional inspection instructions
  • Updates to procedures/work instructions/process plans

6. Root Cause of the Issue

Where possible this analysis should involve individuals with knowledge of the processes and should also involve a review of the process as it occurs in reality Use of the approach of “go, look, see and understand” is recommended.
Appropriate tools should be used to support the analysis and investigation e.g. process mapping and 5 whys, Ishikawa diagrams etc. It may be the case that a number of contributory causes are identified and any that cannot be dismissed need to be included for correction. When defining the root cause the following type should be avoided:

  • Repeating the original problem description.
  • “People error”
  • “Lack of resource”
  • ” Issues beyond physical control”

These are not root causes and show the process has not been applied effectively/ rigorously.

7. Permanent Corrective Action

Actions must be taken to permanently eliminate the cause(s) of the problem. As a general rule, to correct a problem requires a change, for example, process changes, procedural changes. Changes should be implemented following the appropriate change process.
When introducing a change, the following should be considered:

  • The impact of changes on training
  • The impact of changes to work in progress
  • Risks associated with the change
  • Procedural requirements for making a change e.g. is a joint venture approval required?

8. Preventive Action

Preventive actions are those actions taken to prevent a similar problem occurring in other areas of the business. At this stage, it is important to consider if any other areas of the business could benefit from the changes made as a result of the problem resolution. If there are other areas of application, the corrective actions should be applied in those areas too.

9. Verify

Each problem or issue subjected to the root cause analysis process should be subject to final verification activity to ensure that the issue has been satisfactorily resolved. This should be carried out by the problem owners/manager.

Topics to be considered are:

  • Has sufficient containment action been taken?
  • Do the identified root causes relate to the original problem?
  • Are the root causes identified true root causes and not symptoms of a deeper cause?
  • Have all identified corrective actions been implemented?
  • Have corrective actions been effective in eliminating the original problem?
  • Have corrective actions been applied to appropriate processes?
  • Have any temporary containment and protection actions now been removed?
  • Are the preventive actions robust e.g. is mistake proofing used?

Good practice in verification should, as a minimum, involve a “go, look, see” activity where physical inspection of the corrective action etc. takes place.

Exit Strategy – Selling your Business

When starting a business always look at what your end game is and keep this in mind. You may decide that you want to build a legacy, therefore, you will be passing it on to your heirs. But you should still look at setting up the business with a mind to selling it, as you may find that you could make more money by selling and so you can give more money to your heirs, or you may find that your possible heirs may not want the business as they have no interest in it or they are not capable of running it.

Your business must be able to run without you, if your business cannot run without you then it will die with you, therefore before you even think about selling or passing on your business make sure that you have processes, systems, manuals and procedures in place. This must be your number one priority above anything else, if you do not know how to set these up get help, as it is worth paying someone to put these in place for you, remember this adds value to your business so don’t cut corners or skimp on the price for the consultancy, so think of it as a short-term loss for a long-term gain.

When selling your business, it is critical that you understand the processes involved. After all, unlike other business decisions, this will only be made once!

So here are a few questions that might help you in the process.

Why are you selling? Are you selling because the business has reached its full potential, or do you want to get out because you have had enough? It’s important to have a reason for the sale as you will get asked this question from all potential purchasers.

Is your property on a lease? If a buyer is looking at your business, your buyer will want to see a long-term lease in place. Negotiate with your landlord an extension to your lease and make sure that you have a clause in there which allows you to transfer the lease to the new buyer.

When did you last value your assets? This is especially important when it comes to property as prices are constantly changing and you might get a very pleasant surprise.

Do you want to sell just the goodwill and still own the property? Often when selling a business, it is possible to keep the property and lease it to the new buyer. If you do not need the full proceeds it is often wise not to sell the property as long term it will be an appreciating asset. Make sure though that you get a full repair and renewal lease put in place with the buyer.

Are you the one hundred percent owner? If not, what do the other shareholders think about you leaving? One of the easiest ways to get out is to sell your stake to the other shareholders.

Do you want to protect some workers in your business once the sale has gone through? You might have members of the family or close friends who work in the business and they might need some security after you have left. One way to do this is to provide them with decent employment contracts prior to the sale.

Is the timing, right? The best time to sell the business is just after you have had a good year of trading. Even economists disagree about what the future may bring so try not to predict how the trading environment will change but get out when profits are high.

Prime the business for sale. Just as a house will achieve more with a lick of paint and the garden in top condition so a business will need as many loose ends tied up as possible so that it is easier for a new buyer to walk in. Get rid of all the dead stock and dispose of all old and useless machinery and equipment.

Tidy the place up. Make it look as attractive as possible and make sure all the light switches and bulbs work. Make sure the place is as bright as possible by using higher power bulbs than normal.

Get professional help. If you have a small business all you need are the services of a good accountant and solicitor. If the business is more complicated a decent business broker might be required to get the maximum price for your business.

The easier you make it for the buyer to move in and start running the business from day one the higher the price you will achieve for the sale.

Are Forums the new Mentor?

It is interesting to see how more and more people are turning to forums to obtain the answers to their business rather than going to a mentor or coach. It is practically an untapped resource that many more people are getting into, here’s why no matter what you do in this life there is usually someone out there that is a lot better at it than you. You could teach yourself until you get good enough to beat them or you could learn from them gain all the knowledge in less than half the time and beat them at their own game.

This can be related to forums, for an example, I will use someone who wants to succeed in an internet home business. We will call her Jayne, Jayne has just got his webpage promoting a product or service Jayne doesn’t know where to start. So, she starts researching, she finds all the info he needs after a few months and applies it. After a few years Jayne is making some money but nothing serious, she knows it will take her a few more years to be successful. Let’s take the alternate path Jayne starts her product or service and joins a forum relating to it, she asks people questions only to come back the next day to find they are answered. After a couple of months, Jayne is making a bit of money, after a few years, she makes a full-time income.

My point is it increases your learning curve dramatically, hence this accelerates your growth exponentially. Let me explain further from a more practical point of view, say we want to promote an affiliate service. First, we go to the search engines and type something related to it such as a home business forum. The search engines come up with various home business forums join one, make sure that it is centred around a home business, not multiple subjects. The reason for this is that it will take a lot longer for your question to get answered. Once you have joined anything that you are unsure about just ask about it if you want more information on a subject just ask. People in forums are generally very experienced and will be happy to help you never be afraid to ask a question regardless of what it may be.

Take the time to get familiar with the forum and try to post at least once a day, this will get you credibility and build up backlinks to your website. After a while of posting you will notice that you are learning a lot quicker and realise how long it would have taken you to learn yourself.

However, if you want to build up a business very quickly and have accountability to make sure that it happens then you will need a mentor/coach. Your mentor/coach needs to be experienced in the field that you are looking at so that you can be guided correctly. You may also need more than one mentor/coach due to the nature of the business. For example, you may have a mentor/coach for investing in property, but that person may not be versed in setting up systems or know how to take waste out of your business. If you want to scale up you will need a variety of mentors, think of how corporations work, in that they have specialist departments and leaders to run the business, your mentors can be compared to these specialists.

In conclusion, forums are a good starting point if you want to take it steady and stay small, however, if you want to move quickly and scale up then you need mentor/coaches to help you.  

Getting through Creative Blocks

 

Do you ever feel like you have some great ideas, but when you sit down to write them, they are not so great? Or even worse, you can’t really get a sense of what the ideas were? In one of my training courses, we have been discussing the difficulty of translating partly formed ideas into words on paper. One technique that makes use of a normally underutilised part of our brain is called “Mind Mapping.”
What is a Mind Map? Tony Buzan, who created the word “Mind Map” and has written extensively on it, describes it as a powerful graphic technique that makes use of the way our brains naturally work. He says it has four characteristics.

1. The main subject is crystallised in a central image
2. The main themes radiate from the central image as branches
3. Branches comprise a key image or keyword printed on an associated line.
4. The branches form a connected nodal structure

How Do You Mind Map? Mind mapping is best done in colour. If you have some markers or coloured pencils, and a sheet of white paper, you’re ready. If you don’t, just use what you have. Start with the central idea that you are trying to wrap your mind around. It could be the big picture (e.g. your next business idea) or a smaller idea (e.g. a process within the business.) Write it down in one or two words at the centre of the paper and draw a circle around it. If there is a symbol or picture that you can put with the words, sketch that in. The idea is that you are activating the non-verbal side of your brain. The quality of what you draw is not important since you will be the only one seeing it. The same is true for the ideas you come up with. Do not edit, just put in what comes to mind.

There are no rules for the way to proceed from here. I tend to break rules, anyway. The way my mind works, I start thinking of related ideas, categories, and ideas, which I write in little circles surrounding the circle in the middle. I then use lines to connect them. Tony Buzan likes to draw curved lines emanating from the centre and write the related or associated ideas on the lines. The result looks like a tree emanating from a central spot. My map looks more like a bunch of balloons.

As you continue to add associated ideas to your outer circles or branches, you continue to draw the connections. You will notice as you fill them in that there are cross connections that appear. I find it helpful to draw lines between those interconnecting ideas.
How Does a Mind Map Help? The brain is an associative network, and the right hemisphere (in most people) is responsible for non-verbal, visual, associative and much creative thinking. Normally when writing, we are mostly making use of our left hemisphere, which tends towards the analytical, one-thought-at-a-time approach. Our internal thoughts, however, are not shaped like that. Thus, we have a roadblock as we try to get our brilliant thoughts on paper.

By using a Mind Map as a starting point for thinking, you can bypass the blockage and feeling of being overwhelmed caused by overly analytical thinking. The Mind Map allows you to see more than one thought at a glance, and in doing so helps clarify your thinking. It shows the way ideas are interrelated (or less related than you thought.) It allows more access to creative, non-linear parts of your brain.
Here are some helpful ways to make use of Mind Mapping.

1. Use it for brainstorming ideas for your proposal or new research project.
2. Make a Mind Map of your next chapter or the one you’re currently stuck on.
3. When planning your career, make a Mind Map to show the pros and cons of your available options.
4. Use a Mind Map to take notes.
5. Mind Mapping can help keep you awake and interested in your subject.
6. Prepare for an upcoming meeting with a Mind Map and use it to explain your ideas.
7. Use it in training, both to prepare presentations and for handouts.
Play around with Mind Mapping. You’ll find it’s a refreshing break from the usual approach of writing things down.

 

Creating a Strategy

On a scale of one to ten, having a good business strategy should rate at ten

No matter what kind of business you have — whether you sell products or a service, as the saying goes, “if you fail to plan, then you plan to fail.”

Creating a strategy can mean the difference between you working 60 to 80 hours a week all year long — and then breaking even, or worse, losing money.

On the other hand, many successful entrepreneurs who have a strategy work fewer hours and make lots of money — and they usually attribute their success to having a strategic plan and following it.

So what is strategic business management? Very simply, it’s the process of defining the goals and objectives for your business, creating an action plan so you can reach them and then follow the plan.

How do you create a strategic plan for your business?

1. First, know what your vision for your company is. If there were no barriers, nothing stopping you from taking your company as far as you could — what would that look like?

2. Next, what are your company’s core operating values? What are its guiding principles? In other words, why are you in business and how do you do business?

3. Now create a 3 to 5-year plan. Your long-term plan is based on the broad objectives that will help you get from where you are now, to where you want to be.

4. Develop a plan for this year. These are the specific objectives you plan to accomplish this year that will lead you closer to your long-term goals. Remember to be “SMART” when setting your annual goals (Specific, Measurable, Attainable, Realistic, Time-oriented). Include a list of the barriers that are stopping you from getting where you want to go. You need to figure out what resources you’ve already got, and what resources you need to get you past those barriers. Then create an action plan that clearly lays out how you will achieve your goals. Involve key employees in this part of the planning process.

5. Create a set of milestones or benchmarks. This is very important so that you can measure your progress.

6. Share the plan with your employees, and anyone else who will be involved in the process. Your annual strategy is the roadmap that will make sure everyone ends up at the same destination — but to be effective, everyone needs the same map!

7. Put the plan into action. Now that you have the roadmap, it’s time to begin the journey.

8. Check your progress. Just like any trip, you need to check the map every now and then; to be sure you are still on the right road. If something is not working, the sooner you figure it out and make the necessary adjustments, the sooner you’ll be back on track.

9. Follow the same cycle next year. (Dream, Plan,  Do, Check, Act).

Creating a business strategy and following it will ensure that you enjoy the journey as much as getting to your final destination.

Recommended Reading

Good Strategy/Bad Strategy: The difference and why it matters

 

Make Your Bed

 

Introduction

I first came across the author Admiral William H. McRaven when I watched a video clip of his speech when he addressed the graduating class of the University of Texas. His speech was very inspiring and so when I saw he had written a book for life/mindset based on his ten lessons learnt from SEAL training I knew that it would be a book that would be useful to entrepreneurs.

General

This book is just 130 pages long and an easy read, but the content is profound as it will help obtain a mindset that can help anyone move forward in their business. There are 10 chapters in the book, the titles will resonate with entrepreneurs and are as follows:

  1. Start your day with a task completed
  2. You can’t go it alone
  3. Only the size of your heart matters
  4. Life is not fair – Drive on
  5. Failure can make you stronger
  6. You must dare greatly
  7. Stand up to bullies
  8. Rise up to the occasion
  9. Give people hope
  10. Never, ever quit

The training that Admiral McRaven went under was designed to push them to the limit both physically and mentally, so there is a high rate of fallout with people quitting. This is no different to people wanting to start a business but when things get tough they quit and go back to a job because it is easier. Admiral McRaven had a parachute accident at 5,500 feet where his pelvis was ripped apart by almost five inches, and his stomach muscles became detached from the pelvic bone and became bedridden for two months, he thought that this was the end of his career, but his wife and boss refused to let him indulge in self-pity and reminded him who he is, and this support got him back on track and saved his career with eventually passing a fitness test and back on active duty. This should remind entrepreneurs that they can’t do everything themselves, they need help to move forward in their business.

During training, if they failed an event their names went down in the instructor’s notebook to join the ‘Circus list’. The circus was held at the end of the days training and was another ‘two hours of additional callisthenics, the obstacle course, the timed runs, or swims.’ The circus was feared by the trainees because they would be exhausted from the extra workout and there was a chance of failing the standard again which meant another circus. ‘It was a death spiral, a cycle of failure that caused many students to quit training.’ Admiral McRaven ended up on the circus list and stayed on it for a little while but refused to give up, and what he found was that he started to get stronger, faster and more confident. In the final 5-mile open water swim he and his swim buddy finished way ahead of the rest of the class. The Admiral sums up the circus in this way: ‘In life, you will face a lot of circuses. You will pay for failures. But, if you persevere, if you let those failures teach you and strengthen you, then you will be prepared to handle life’s toughest moments.’

Summary

Throughout the book, there are lots of gems that if you apply it to your business and life it will help you move forward. This book is small enough to keep with you and refer to when you think that things are tough and that you want to quit or stuck in a rut.