The typical business owner, manager, or entrepreneur spends a considerable amount of their day handling crisis and putting out fires rather than running, managing and growing their business. As a result, at the end of the day they find they’ve made very little, if any progress toward achieving their goals.
And, at the end of several years, they find they’re no further ahead than they were years ago. In fact, in many cases, they’re farther behind, because while their expenses and the cost of doing business continued to rise, their businesses failed to grow at a proportionate rate.
If this sounds like you, and you’re frustrated because of it, don’t give up. There’s a reason for it… and thankfully, a solution. And, the good news is, the solution isn’t all that difficult.
The main reason so many business people find themselves in this predicament is very clear to those who understand the simple principle behind it. Unfortunately, most people don’t realize, have never been taught, or fail to grasp this one basic and fundamental concept:
Work ON Your Business, Not IN It
Most people spend too much time working IN their business, and not enough time working ON their business.
In other words, they’re working so hard trying to keep the ship afloat, that they don’t have enough time and energy to do what it takes to move the ship towards its intended destination.
And sometimes, the business has just grown so fast that they haven’t had time to keep up with it.
In other cases, the business might be slow to develop because of insufficient cash flow, inadequate resources, stiff competition, poor location, or an apathetic buying market, and it’s all the business owner can do to keep the doors open by running it themselves. They just can’t afford to hire anyone else to help them.
You’ve no doubt heard that to get better results, you need to work smarter, rather than harder in your business. Well, that’s a very true statement. And, like the previous statement of working ON your business, rather than IN it, there are a lot of business owners, managers, and entrepreneurs who just don’t understand how to make it happen.
In the course of a day, in any business, job or profession, there are a number of activities or tasks that must be performed. Some of those activities are focused on bringing in new customers or clients. Some have to do with servicing existing customers. And others deal with administrative duties that have to do with paying bills, keeping the business open, and making sure it runs smoothly.
It’s What You Do, Not How Much You Do
How you prioritize and choose the activities you get involved with on a daily basis, as well as how much time, effort and attention you devote to those activities has a tremendous amount to do with determining the impact you have on the growth and direction of your business.
The reality is, that when you work IN your business, you’re doing the activities that, at best, produce only average results for you.
On the other hand, when you work ON your business, you’re doing the 20% of activities that have the potential to produce an incredible 80% or more of your results.
Wear The Correct Hat
Earlier, I mentioned that most business owners spend too much time putting out fires and handling crisis, and not enough time running, managing, and growing their business.
And, the reason for that, is that they don’t have the correct vision of the role they’re supposed to play in the business. Either that, or they are in a crisis situation where time and/or money has gotten away from them, and they have very little other choice but to do much of the work themselves.
But this is a critical mistake. And it can be a deadly one, as well.
If you really want your business to realize the success it’s capable of, and if you really want to enjoy the freedom that running your own business can afford you, then, it’s critical that you begin viewing your position… your job… your responsibility in the correct and proper manner.
Think Like A Business Builder
You Must Begin Thinking Of Yourself As Business Manager And Business Builder, And Not The Owner, A Producer, An Employee, Or A Gap-Filler.
Management expert, Peter Drucker said, “Because its purpose is to create a customer, the business has two and only two basic functions: marketing and innovation produce results; all the rest are costs.”
With that in mind, the most important function you as a business manager and builder can perform in your business, is to make sure your business is constantly developing and offering new and innovative products and services to your customers, that you’re growing by adding new customers to your client base, and that you’re constantly increasing the quality of those customers.
As Drucker says, those are the things that produce results. Anything else you do or get involved with is just a cost to the business.
Well, knowing that, why in the world would you want to do anything other than be involved with marketing your business or innovation… the only two things that produce results?
As the business owner, manager, or entrepreneur, you’re the one ultimately responsible for your company’s growth, for its stability, for providing security for your employees, and value to your customers and clients.
The fact of the matter is, your business is either moving forward, or it’s going backwards There’s no such thing as stagnation… just staying even.
Even if you have the same number of customers or clients from one year to the next, your business operating expenses, wages, supplies, and the general cost of doing business continues to rise. And without an increase in your customer base, or the monies you derive from sales to your existing customers, your profit margins will deteriorate.
Growth Responsibility For Managers
Management Personnel At All Levels Have Building And Growth Responsibilities
If you’re not the owner of the business, but are in a management capacity, the same principles apply to you as they do to the owner of the business. The difference is, that what you manage and build, is the part of the business you have responsibility for, or your job or career.
It’s up to you to make sure those areas are running as smoothly, efficiently, and profitably as possible, and that you’re providing as much value as possible to your customers (who may be the people you work for or with, or whom you have responsibility over).
If you’ve never thought of yourself as a business builder or manager before, or have been involved in nearly every aspect of your business, this may be a major paradigm shift for you. It may not be the easiest thing for you to change your thinking and the activities you engage in on a daily basis. But change them, you must… that is, if you want to reap the maximum rewards from your business.