Where to start? The systemising of your business is one of the most painful but in the end most rewarding endeavor that you can take on. Once you have put the systems in place not only is your business worth more (I’ll explain in a second) but it also means that you can develop your teams faster, grow faster (increasing scalability) and ideally work on the things in life that you are passionate about and love doing (and yes golf can be one of those things!).
Once of the interesting observations that can be made about a number of business owners is that they have know idea why they got into business in the first place? Is it for lifestyle? Is it the flexibility? Is it to grow rich and take over the world? I don’t know and not for one second claim to but it is something that every business owner or someone about to start a business should really think about. If it is for lifestyle, what better thing to have a business work without you even being there? If it is for riches, what person in their right mind is going to buy a business off someone for millions of dollars to go and work in it 75 hours a week? It is by implementing the right systems in place that can allow business owners to remove themselves from the business and do the things they want to do with the people they love or to sell the business for the largest price possible.
When speaking to business owners for the first time about systemising their business I’m often asked – “where do I start?” The answer I give is “what’s the one part of the business that you dislike the most or gives you the most trouble?”. The thought of not having to do that specific task and then have the ability to show someone to how to do it without being in the room (by using the system you have created) will drive them to systemise that section of the business quickly and see how they don’t have to be always present for the work to be completed in the right way.
How do I create a system. An easy methodology that I have seen and used for creating systems within our own business and others is by following these simple points:
What: What is it (summary) you’re systemising. This is just a heading with a one line sentence explaining what it is.
Why: Why do we have this system in place, so that your team knows the ramifications of what happens if the system is not followed, even tell a brief story so the team understands.
When: When does this system get used? In what scenario? Is there any exceptions?
Who: Who, within the team, is responsible for upholding, checking and keeping the system up to date (use work titles, not names, as people leave)
What: What is it that is done every step of the way. E.g. Cutting a tomato – get 12 inch stainless steel knife out of top draw, get out green chopping board (green for fruit & veg, red for meat) and so on.
If you follow this simple system above it should create a system that will get your team most of the way there in terms of completion but like all great systems, they are continually worked on and changed to suit the changing work environment and ideas that come to the table.
So to what extent should you do I it? My rule of thumb is – that if your mum or dad (lets pretend for a second their not business owners or business people) have to ask questions after reading through the guidelines of procedure within reason, then it’s not good enough!
There are many other points that I will talk about in regards to systemising a business especially as it is an area that is quite specific to the franchising sector and allows our chain to not only grow quickly but with managers of million dollar stores who are only 18!
til next time,
Stuart