Friday, March 30, 2007

First Quarter Assessment of Your Business

Today is the last day in the first quarter of 2007 - can you believe it? Whether you are a small business owner, entrepreneur, or a self-employed professional, the business you own needs a candid assessment of the first 90 days of this year. (Some of you may not use the calendar year as your business year, so July 1 - June 30 may actually be the calendar you use. If this is the case with your business, you are ending your 3rd quarter today - and still need to candidly assess your business.)

Here are the questions that I think are extremely useful in assessing your business at the end of each quarter:

  1. How much money came in? List the total receipts for the quarter.
  2. How much did the business cost you this quarter? List all costs assoiciated with the business for the quarter.
  3. What was the profit or loss for the quarter? Basically, the difference in the receipts and the costs give you the profit or the loss.
  4. What were your targets or goals for the quarter - and how successful were you at meeting or exceeding them?
  5. What were the challenges? What were the results of the challenges?
  6. What are the targets or goals for the next 90 days? Use a format for writing SMART goals: specific, measureable, attainable, realistic, with a definite timeframe or time line.
  7. What do you need to do or have more of next quarter?
  8. What do you need to do or have less of next quarter?
  9. How will you market your business next quarter based on the marketing results of this quarter?
  10. What is still outstanding or hasn't been handled - debts, receipts, etc. - and what is your plan for addressing all that still needs to come in?
  11. What have you learned this quarter about your business, your colleagues, clients or customers?
  12. What have you learned about yourself?

These 12 questions provide a very simplistic way to find out how you're doing in your business. The candid answers to these 12 questions can mean the difference between major growth and failure.

Monday, March 19, 2007

The Benefit of the Doubt

I heard something yesterday that has had a profound effect on me. Yesterday Rev. Vinnie Lainson's sermon was powerful - the takeaway from it is basically this: give everyone we encounter the benefit of the doubt. We can change the world just by giving others the benefit of the doubt. Yesterday's effect for me was mostly personal; however, this morning I awakened with the realization that the business world for me and my clients can be forever changed by this exercise as well.

For example, when someone cuts us off in traffic, instead of making gestures and using harsh language that only seems to raise our own blood pressure, perhaps we should give this driver the benefit of the doubt. Maybe he's just lost his job and is on his way home if he can find it or perhaps she has just left the hospital after hearing bad news. Other examples might include the grocery store express line with someone holding us up with double the number of "allowed" items, or the bank drive-thru lane when the person in front of me actually abandoned their car (true story!) and traffic was tied up for half an hour, or a colleague who has gotten on our last nerve for what seems like no good reason at all. There are many examples and we've all experienced them. But I want to look at this from the business perspective.

This Week with Sara Fitts will probe the ways that small business can be changed and improved simply by the power of giving others the benefit of the doubt.
  • What if we abandoned all assumptions and gave our customers, clients, and colleagues the benefit of the doubt?
  • What if we didn't second-guess the complaints, the requests and demands, or the need for a change in the appointment or meeting time?
  • What if we didn't question the need for additional time for that report? What if the report really did get "lost" in cyberspace?
  • What if we simply said "I'm sorry your child is sick and I hope he feels better tomorrow" instead of asking why a nanny is not a part of your household staff?
  • What if we redefined the culture within our organizations to allow for giving every single person connected with the ogranization the freedom to experience receiving the benefit of the doubt? [This is really where it hit it for me.]

The benefits would be phenomenal, I think. And the benefits would be too numerous to ever count. But, for purposes of example, here are some of the benefits that come to mind initially:

  1. Our production would immediately and exponentially increase - due to the simple fact that we have refused to get mad and bent out of shape yelling and saying things that are negative and detrimental to our work.
  2. We would be happier and have happier colleagues, customers, and clients.
  3. The culture of the organization would be much more positive.
  4. The culture of the organization would not tolerate negativity nearly so much.
  5. There would be much more creative energy for everyone associated with the business.

For me, the bottom line is this: When you develop a culture of giving others the benefit of the doubt, there is really no need to have back-stabbing, lying, cut-throat elements that distract from the business and the people involved in the business. Everyone is willing to give more because they are getting more.

It takes time to create this type of environment in any business or organization, and it is possible to have a successful and productive company based on this model. I'll write more about this in the next post.


Friday, March 16, 2007

A Simple Little Formula for Success

This Week with Sara Fitts is showcasing a Simple Little Formula for Success. The formula is not magic, yet the results of it can be magical. It isn't complicated, yet it can be complex. It is simple, and the results are powerful.

These are the key elements of my Simple Little Formula for Success:
  • Define who you are, your vision, and your mission
  • Articulate your skill sets
  • Determine how to use your skills in order to get the best results
  • Manage your time and manage your goals
  • Track your progress with complete candor
  • Celebrate your success throughout your journey

The formula is simple, but the process is complex. Steps cannot be omitted. Dedication and commitment are required.