If you want to scale up your business and create a saleable asset then you will need to have a systems focussed business. I look at 3 specific areas where your business can deploy systems to scale up and 5 easy steps to create a system.
One of the ways in which I was able to scale up BNI India was through having a clear written sales process. Initially we tested various methods of converting sales. For each test we only changed one variable at a time so that we could clearly see how it impacted conversion.
We kept the things that increased conversion against our benchmarks and we discarded things that were lower than the benchmark.
The research shows that if you have a written sales process that you and your team follow it increases your sales by 20% compared to companies that don’t follow a written sales process.
I am great fan of systems because they allow my business to have consistency and get predictable results. Systems enhance my team’s productivity.
My advice to entrepreneurs is to initially focus on these 3 systems:
- Marketing systems – You need to have systems where by you get the right qualified prospects into your funnel. I only focus on 3 areas within marketing:
(a) Systems to get new clients.
(b) Systems to get existing clients to spend more.
(c) Systems to get existing clients to spend more frequently.
- Production systems – These are documented workflows on how to execute a particular job. I put emphasis on quality, consistency and speed of the output. These are relevant whether you are in a service or manufacturing sector.
- Administration systems – This is the support system that makes everything work in a cohesive manner. This would include things like your accounting, human resources, vendor management and customer support amongst others.
These are 5 simple steps I use to systemize any process in my business:
- Identify – which processes are (a) key to your business and (b) repetitive in nature.
- Document – Like a recipe, note down every ingredient and sequence you take to successfully complete the task. I use Evernote for capturing the steps.
- Optimise – Once you have captured all the steps ask yourself these 3 questions: (i) Which of these steps is unnecessary? Eliminate this. (ii) Which of these steps can be automated? (iii) Which of these steps should be done in a different order to improve the results?
- Test – Go through your recipe again, executing only what’s written. Do you get the expected result? If you don’t then it’s likely you missed a vital step in writing down the recipe.
- Share – Once it passes step 4 it is ready to share. Systems are a key to successful delegation. If your team is able to replicate the results following your process “recipe” then you have truly created a successful system.
Systems create consistency, enhance productivity and make delegation possible. A systems driven business fetches a much greater valuation for your business. After all my definition of a business is that you can be away from it for up to 4 weeks and will grow by itself. If you don’t have systems then you won’t have a business that can grow by itself.
So which part of your business are you going to systemize first? Please share in the comment box below.