Entrepreneurs get so involved with the day-to-day operations of a business that they often don’t take time to study it. Thinking like a CEO is a very different perspective than the person who is busy mowing lawns, running a landscaping business.
I’m here to help you get this bigger perspective.
It doesn’t matter what type of company you own, business management skills and best practices apply to all industries. While the Optician and Plumber seem very different, their businesses both operate on basic business rules.
The first rule is to have a Business Plan. I know, you’re probably shaking your head thinking this document is old and outdated. Or that it’s a lengthy, complicated nightmare to write. Neither of those thoughts is true.
The Business Plan is a collection of strategic decisions that drive a business toward success. It includes the operational plans, customer demographics, competitive environment, financial policies, staffing requirements and long-term goals.
The Business Plan is the primary guide and should be reviewed and modified as the business evolves. As the CEO, it is your map for success.
If your goal is to make more money, PROFIT, then you have to examine both the Income and Expenses of your business. Simply raising the prices is not always going to work, nor is slashing employee salaries.
We’re going to explore both sides of this equation and find ways to maximize profits. Every business can benefit from doing a little research and soul-searching. Think about it, where are you going if you don’t have a map? How will you know if you’ve reached the goal if you don’t decide what that will be.
So, are you strategically targeting new buyers? Is your competition going out of business? Can you lower the costs of goods sold? All of these questions are critical, especially in today’s tough economy.
The first step to success is the business plan – is yours current? I update mine every 3 months. It keeps me thinking like a CEO. Kay Peck