Posts by Mike Taylor, CPA:
As the driving force behind your company’s growth and success you have undoubtedly spent countless hours and dollars strategizing, networking and juggling a laundry list of managerial responsibilities. But your effort has paid off – today, you are praised for your work and are regarded as a leading entrepreneur within your industry. But maybe it feels like you have only begun to scratch the surface and that your business is long overdue for a growth spurt. While these are great challenges to have in the business world, if you are spending all your time in the office instead of hitting the pavement, it could seem like your ability to expand further is simply unattainable.
If only there were more hours in the day!
Throughout my career I have had the pleasure of working with many successful business owners. And while these men and women possess the skills, expertise and leadership traits essential for success in their respective industries, they have all learned that they are not immune to getting caught up in day-to-day managerial distractions. It can happen to anybody and before you know it you are caught up in a fruitless, energy-sapping, time-consuming headache that hurts your effectiveness as a business leader and prevents your company from achieving the growth and revenue you know it is capable of.
When that happens, it’s time to stop what you are doing, take a step back and reassess your organizational development strategy.
Step Away From Your Business – An Intervention – Created with Haiku Deck, presentation software that inspires
Work On Your Business, Not In It
“[The] executives who ignited the transformations from good to great did not first figure out where to drive the bus and then get people to take it there,” says Jim Collins in his book Good to Great: Why Some Companies Make the Leap … And Others Don’t. “No, they first got the right people on the bus (and the wrong people off the bus) and then figured out where to drive it.”
In other words, if you want to continue to grow a successful company, you can’t do it alone. While this advice may sound cliché, your ability to develop a strong organizational structure is directly responsible for your company’s long-term success. But it’s not easy and getting “the right people on the bus (and the wrong people off)” has been the single hardest objective for some of the most talented business owners. But once you are able to achieve this step, you will finally be able to maximize your time and talent by working on your business, instead of in your business.
How To Lead Your Business By Developing Your Organization
- First you must understand that organizational development is a never-ending process. To get started, develop a formal organizational chart and take time to identify “the right people” to effectively fill the top positions on your chart. To aid in the flexibility and evolution of your business’s organizational development, consider forming an advisory board to bring outside objectivity to the process.
- Next, step away from the daily grind of running your business. It’s time to be the business leader you’ve always wanted to be. Join organizations, attend events, and talk to other leaders about your business, your industry and your role in the world. Doing so will help you earn respect and influence throughout your community.
- Once you put some distance between yourself and the day-to-day grind of your company, you will be able to lead your company more objectively. This is an ideal time to observe your current organizational structure and brainstorm strategies to help you achieve your future success with your inner circle. Just make sure that those who make up your inner circle are not like you, will tell you the truth, will add value to you and your organization and are willing to have crucial conversations.
- Now that you have solidified your role as a business leader, it’s time to empower those in your organization to take ownership of the company and their place in it. This includes giving them the ability to make decisions while supporting and encouraging them and demonstrating your willingness to follow their lead.
- One of the most critical responsibilities of a business leader is planning for the future of your company. How will you transition your business once it is time to retire? What should you do now to ensure your company’s longevity? Do you know how much your business is actually worth? In order to protect your most important investment, your business, it is important to thoroughly understand the value of your business and develop a plan for its continued growth.
Starting your business is hard; growing your business is even harder. You will make mistakes. When you do get it wrong,act swiftly to make the necessary changes.
Maximize your time and talent. Email Rea & Associates today to learn more growth and development tips for your business. I won’t say that we have seen it all, but we have certainly seen a lot.
By Mike Taylor, CPA (Millersburg office)
If you run a manufacturing business, then you know it’s no easy task. You may often find that the day-to-day activities become your focus. It can be hectic, time-consuming and physically and emotionally draining. These issues can take away from your ability to focus on actually growing your business. It can be a “Catch 22” because if you aren’t building the right organizational structure, then the day-to-day activities continue to consume your time and before you know it, you’ll become like a cat chasing your tail.
Going From ‘Good to Great’
In the book Good to Great by Jim Collins, he touches on this very issue. He says, “The executives who ignited the transformations from good to great did not first figure out where to drive the bus and then get people to take it there. No, they first got the right people on the bus (and the wrong people off the bus) and then figured out where to drive it.”
Many closely-held business owners struggle to grasp this concept. In my experience, if you want to grow a successful company and have a reasonable quality of life, you must get your arms around your organizational structure. For individuals who don’t, your company probably won’t reach its potential and you may spend most of your time working in your business and not on it.
Building Your Organization May Require Tough Choices
In my career I have worked with many companies that have had a difficult time building their organization. It’s not easy and you won’t always get it right. When you get it wrong you must move swiftly to make the necessary changes. Most of us know when we have the wrong person in the wrong position, but we just procrastinate in making a change. Making the right move is critical for building an organization, even when it’s a tough choice.
Maximize your time and talents – and the time and talents of your employees. But know that it can’t be done without the right people around you. Make sure you have a solid management team surrounding you that can help you move your business in the direction you want it to go.
Author: Mike Taylor, CPA (Millersburg office)
Are you interested in reading more blog posts about managing your business? Check these ones out:
You may find that being your own boss is extremely rewarding. Starting a business from the ground up takes a lot of hard work, and you’ve been seeing the fruits of your labor. But your success doesn’t come without challenges. Business owners are facing some tough challenges these days, and you yourself may be experiencing some of these growing pains. Here’s a list of the top 5 challenges I’m seeing business owners like yourself facing in today’s economy. Do any of these resonate with you?
The 12-year employee at a city school managing adult education programs had her colleagues’ respect. But she made lavish purchases to redecorate her home and constantly gave gifts to others, and some wondered where the money was coming from. Read the rest of this entry “
Actually, yes, there is. The U.S. Department of Agriculture is offering guaranteed loans of up to 90 percent to businesses in communities with populations of less than 50,000 people. The loan program was created as part of the American Recovery and Reinvestment Act, but has not attracted as many takers as officials had hoped. Read the rest of this entry “
I was just eating a grilled chicken salad and it made me think of how each of our organizations strives to provide superior customer service. It made me wonder how many of us do, in fact, meet those expectations.
Here’s the story. We order a lot of lunches from this particular business and usually everything is fine. Today, the salad left a lot to be desired. The lettuce for the most part was almost all a day or two past its prime. The tips were all brown and some if it was slightly slimy (sound appetizing?).
I wonder how many times you inadvertently serve up brown lettuce to your customers? You don’t do it intentionally, but you probably do it. Do you sometimes give advice that’s past its prime? Are you truly on the fresh side of providing new ideas? Read the rest of this entry “
Have you ever wondered why some business people are more successful than others? It doesn’t seem to make a difference what product or service they are selling either – certain individuals just have a natural ability to make a business progresses. Our founder, Richard Rea, identified 11 common ingredients found in all successful business people. If these ingredients are included in a business, it’s hard to see how it could fail. See how you rate against them! Read the rest of this entry “