by Diana Southall | Jan 10, 2017 | action plans, planning
I often spend time with clients and other business owners who are full of ideas– so many they don’t know where to start, or they starting working on 2 (or 10) without much progress. Their head and office notebooks are littered with the ghosts of projects past.
I heard another business owner Amy call this being an “idea hamster”– what a great term!
You have an idea, and another idea, and another one, and you start running on that hamster wheel spinning and going no where.
Sound familiar? I know that it does for me, I struggle every day with being a reformed hamster.
Here are six key steps that have made a difference for me to complete something important [as Seth Godin calls it “shipping”]:
- Write a destination postcard for the end of the year– what you plan to accomplish
- From the postcard results, generate a long list of potential projects and categorize by type [are they planning, sales, marketing, people, operational?]
- Now rate those projects on effort and on impact on your goals — then rank by those with the highest impact and the lowest effort — these are your short list– put the rest into a “parking lot” [crucial step 1- they are always there to be re-considered.]
- Prioritize the list of projects— does one have to be completed for another to be effective? Does one address a burning issue or roadblock to growth? Rank them and put a guestimate on the number of weeks to complete.
- Select the Number One priority project, get your team together, make an action plan to divide up the tasks and start chipping away every week.
- Crucial step 2– do not start another project until this one is complete!
Do not get distracted by the next shiny thing, just keep momentum on that project. Focus on the next step, one at a time, every week.
Get your team concentrating on just one task and making progress. Yup, it’s hard to do but any change in habit is challenging.
{See the great graphic above that I think captures what we all go through! This is great, this is hard, this sucks… dark swamp of dispair…}
by Diana Southall | Dec 13, 2016 | planning
I am not clairvoyant, but I can get a quick estimate of the stage of your business based on answers to three simple questions:
- How many hours a week did you work in last year?
- How much has your profit grown in the last three years?
- What percent of your team are A Players?
The answers to these three questions are inextricably linked – the quality of your People is essential to your business profit and your personal work-life balance as a small business owner.
To describe these business growth and health stages, I created a model that I call the People Pyramid.
Stage 1: Fires Chaos & People Drama
When you don’t have a trusted reliable team, you are left to deal with fires, chaos and drama. You and the rest of the team are exhausted dealing with everyday crisis, and feel frustrated rather than productive.
You might have a few Debbie Downers who squelch the whole team, and leave things hanging or a mess that surface later. Good employees are annoyed they have to pick up the slack or deal with someone who doesn’t work as hard or care as much as they do.
Tensions may be high or between co-workers, lowering the team spirit and creating interpersonal drama. The chaos lowers the customer experience and distracts you from pursuing new sales and customers. The focus is on getting through the day, not improving the business.
This creates a vicious cycle that is definitely not the foundation for growth.
Often owners work too many hours, and go home feeling like they didn’t accomplish anything. They feel burnt out and overwhelmed, and think about exiting the business.
Stage 2: A Few Good (Wo)men
At this stage, you have a stable core of long term employees who share your values about how to care for your customers and are good at their day job.
Most people are decent performers but a few don’t seem committed to doing a great job all the time. These lower performers tend to drag down the team, and take a large part of your day assigning and monitoring work is done on time and correctly.
Work flows fairly well and employees are mostly clear about job expectations, although procedures are informal and not written down. New employees struggle in their first few months getting used to how you do things. You have a fair amount of turnover as some of the people you hire leave after 2-3 years, and you are not sure how you can keep the good ones.
To make decisions, staff ask managers questions and get approval for anything they think should be run by the boss. There may be a continual flow of people asking questions and running things by you.
Your days are busy but progress is slow, and you have a wish list of business improvement ideas that you never seem to get started [much less finished].
You would like more free time and you are afraid to leave since issues or problems surface when you take more than a few days off.
Clearly the business is relying on your presence and guidance to function. You have the CEO Syndrome [Chief Everything Officer].
Stage 3: Silos and Soloists
The natural progression for a business is to start to organize around functional areas- sales, operations, customer service, accounting.
This is typically the stage where you have team leaders or managers who now coordinate the daily work in each area. Just like an orchestra, each area head is a soloist- concerned with the work under her section. Sales is concerned with selling more to more customers, operations is concerned with onboarding and servicing the customer, and accounting is counting the beans and controlling the cash.
It is also natural for these soloists to make decisions in a “silo” [a tall structure sitting directly next to another structure, yet not touching or connected.] Sales might promise 7 day turnaround without checking with the team who has to do the work and has a 14 day backlog. Purchasing might find a great deal on supplies and place an order without checking with accounting, and now there is a cash flow issue.
You now become the conductor of the orchestra—making sure that each soloist complements each other’s work and that decisions are made based on the impact on the whole business, not just one area. This requires daily effort on your part, because silos can’t see what is happening outside their walls, and often don’t hear about the impact of their decisions unless it is a crisis.
At this stage, there are often team leaders or manager who now assign and coordinate the work of your employees. These key people now are responsible for the daily monitoring of employees and customer care, and putting out small fires.
Most employees are clear about expectations and you have another layer to assist with performance and attitude issues, so you only need to get involved with serious and persistent People issues.
Now you have time to have informal team meetings to keep people informed and tackle current problems, although you may not stick to a consistent meeting schedule. You and your staff may not know what to talk about and when, and some people find these meetings boring.
You want to grow your revenue but sales may have been flat the last few years.
Your business has a good reputation and sales often comes from referrals and repeat customers. You may have sales people who use the traditional methods of networking, advertising and responding to leads that are generated to convert into customers. You may not have a specific sales pipeline or track sales metrics on a regular basis.
You feel like you are progressing on the business, but may feel like you “pay for it” when you take time off.
Stage 4: Trusted Accountable Team [Ready for Growth]
If you want to grow beyond a few million in revenue or 20 people without imploding, these are the elements you need to for scalable business. (Or if you want your smaller business to be more valuable and less reliant on you.)
This is a business that runs on “autopilot.” Just like an airplane, the captain is setting the course and still there for oversight and monitoring, but the routine work of flying at the same attitude is delegated to the co-pilot and systems.
This is a business that does not revolve around the CEO, who can then focus exclusively on strategic long-term planning and implementation.
This is the highest valued business, since it doesn’t need the expertise or effort of a single person to create value.
Key tasks and results are defined in standard operating procedures and are followed consistently. There is a method in place to review and improve process to eliminate bottlenecks, increase efficiency and delight the customer.
There are “A-players” in every main role and the majority exceed performance expectations. There is an ongoing coaching process in place to give regular performance feedback, and everyone has a training and development action plan. People are engaged, committed and loyal and the culture is positive and values accountability.
Everyone is clear about their responsibility and how they can impact business goals, and have individual metrics and projects with “line of sight” to key business priorities.
The business has a strong brand, and a consistent repeatable process to find leads and turn into customers. Sales is not dependent on a single rainmaker. The sales pipeline is clearly defined and semi-automated, and is reviewed and refined by the sales team in regular meetings.
The business uses dashboards to evaluate key company & individual results weekly and monthly. Business decisions are based on data analysis of past, present and future modeling. Managers meet regularly to evaluate and revise their plans and projects for continual improvement and long-term value creation.
Owners of businesses at this stage spend most of my day doing what they love, and choose how much time they take completely unplugged from the business.
If you feel trapped in your business, you are working hard but can’t seem to get out of the day-to-day…maybe you don’t have a reliable team.
by Diana Southall | Nov 15, 2016 | coaching, Delegation, job role, performance
Lately I have been sharing with you resources to 1) Clarify the best use of your time, 2) Create a delegation wish list of your “stop doing” tasks, and 3) Identify to whom to delegate this list.
By delegating, you are creating a “win” for you AND a “win” for you high performers.
Your high performers crave challenging assignments and want to know they are being developed for future growth.
In fact, “opportunities” to develop is the number one retainer and engager of your top people- the least expensive and most powerful reward your organization has to build your A team.
To continue your delegation journey, I created a 18 minute video to show you the whole process. The development action plan process gets all employees working towards goals that benefit them and the company.
Watch the 18 minute Video: Develop High Potentials with Action Plans
(The video shows not only how action plans benefit your best performers, but also the average Jane and the lowest performer as well!)
So go ahead, give up something off your list in January and watch your people grow!
by Diana Southall | Oct 11, 2016 | action plans, planning
Remember Steven Covey’s habit “Begin with the end in mind”?
There are five main plans to guide your activities and decisions to create the business you desire:
1. Strategic plan
It is crucial to provide a roadmap to guide your major decisions. A simple strategic plan answers the key questions: “what kind of business do we want to be, who are we, what do we do best, who is our ideal customer, how are we different, what do we value?”
2. Budget
An annual budget is a planning document that is a snapshot of your goals for revenue increases, cost reductions, and profit enhancement. Once finalized, it becomes a monthly report card to ensure your activities and projects are on track to achieve the expected financial results, or to alert you to items requiring attention to fix.
Budgets are also extremely valuable to aid your decisions— they are a simple tool to forecast the return on investments or business changes.
3. Sales plan
If you want to find, attract and cultivate leads into new and repeat customers, the solution is to have a consistent optimized sales process that is semi-automated. This “pipeline” is designed around finding the Ideal Customer [who craves what you have to offer and deliver well], and then nurtures the relationship, until they are convinced they need your solution and you are the right vendor for them, turning them into customers.
4. People Plan
This plan outlines your current and future people roles—what job titles you need, clarifies role responsibility and authority, and forecasts what additions and changes to roles are needed to support sales growth and new business lines.
This plan also specifically outlines what people are accountable for, and how they will be measured, as the foundation of your performance coaching and process improvement.
5. Owner’s plan
Owners, just like every team member, should be in a role that maximizes their strengths. Many owners continue to be the CEO- the Center of Everthing Officer. This creates a huge roadblock for growing the business as the owner becomes overworked and overwhelmed. An owner’s plan considers their current and future desired involvement, and outlines a plan to transition responsibilities to key people over time.
Once you have these 5 plans defined, this guides your team to prioritize activities and make effective decisions to achieve the results outlined in your strategy. You and your team have the entire “operating manual” to optimize and automate your business, and ensure it’s transition and survival beyond one key person.
This reminds me of a phrase repeated by my veteran friends — Proper Prior Planning Prevents Poor Performance…
Image provided by basketman at FreeDigitalPhotos.net.
