How Business Systems Help
You To Accomplish More
A lack of business systems is often what keeps people tied to a business, putting their time into a business week after week. Every activity that takes place in a business can be made into a system itself, or into part of larger system. Your employees should be able to perform all the tasks needed to make your business work, and the systems should allow any employee to come in and perform any task when necessary.
Who answers the phone, who checks the mail, how customers are handled, how money is handled; these are all tasks which can easily be taken care of by making them part of a system. Below are a few systems commonly found in a business.
- Sales system
- Management systems
- Communication system
- Legal systems
- Marketing
Business Systems are one of the best forms leverage, using other people's time. The most successful business owners control huge systems. When you are doing everything in a business yourself, you are working on a 1 to 1 basis with your income. Using employees who follow set systems to accomplish tasks, you can leverage your income. The more employees you have working to produce your income, the more income you will be able to produce. If you have ten employees, you now have leveraged your income producing potential 10 to 1.
Think of your business as a car with every system designed to give you the maximum control with the minimal effort over every aspect of the drive. These are the first layer of systems that you directly interact with. Behind the scene, there are many other systems that you do not directly interact with. These systems still must work properly in order for the whole system to function correctly.
If the human body were a business, think of the human brain as your management system. The ability of management to communicate and lead effectively is going to effect the quality and productivity of every other system involved in the bigger picture.
Your nervous system would be your communications system. If your systems cannot communicate with management or together than the larger system is going to fail.
In order for you to move efficiently through your business environment, you must have one system communicate with another, so you must have coordination.
Think of the companies cash flow as food and your sales system as your digestive system.Cash flow is life sustaining to a business just as food is to your body. Your sales team brings the cash flow into the business. It is then transferred to accounting.
Cash Flow needs to be managed and distributed efficiently to all other systems, and any waste from the process need to be managed in some way by another system.
Accounting would be your Circulatory System. Once your food is digested the vital nutrients are distributed through out your body by your blood. At the heart of your accounting system should be a well qualified CPA. Your muscles are your employees. The cash flow or blood is vital for movement and growth. Your respiratory system would be your marketing dept. They are tasked with breathing new life into your business.
Think of your legal system as the skeleton providing a solid structure for the business, as well giving protection to all of the other systems, employees, and assets.
A business system as a whole should be able to sustain itself and also sustain growth. When every system in your business is not able to sustain the same level of growth, then the growth of your business will be limited by the system that is least able to expand. Imagine the gears of a clock. If you increase the size of one gear in the clock, it will no longer function correctly unless all other gears are increased in size accordingly.
Incorporating a level of growth into each of your business systems will give the system scalability, or the ability to grow. Another way to grow the overall size of your business is by duplicating already successful systems in other locations. Once you understand business systems, it is time to think about building your team.
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