Business - Do We Overcomplicate It?

No-one is suggesting that business is easy.

However, in trying to juggle the day-to-day issues, maybe we let them overcrowd our thinking so that our judgement becomes impaired. Maybe – just maybe – if we tackled the issues one at a time, in order of priority, we might achieve better outcomes.

In general terms, there are 5 fundamental elements of business:

  • Cash
  • Customers
  • People
  • Operations
  • Strategy

Cash is the lifeblood of the business, without which, the business could not survive. We must be constantly aware that we have enough of it (and at the right time) so that the business does not dry up – and sufficient cash to ensure we can maintain our growth.

Without customers, we don’t have a business. Period. Socrates is attributed to have said “Know thyself” as the basis for human existence; why not take this one step further, and add “Know thy customer”!

As we grow, we rely on other people whom we employ, to carry out the various tasks necessary for the business to meet its promise to its customers.

Operations, in this sense, is everything that the business does. If operational tasks don’t occur, the business stops delivering.

Strategy sets the rationale behind what we do; it starts with vision and goes through to setting the guidelines for everything that occurs by every person occupying every position in the business.

Verne Harnish, in his best-selling book “Mastering the Rockefeller Habits” counsels us to identify – and work on – the top 5 Priorities. Once we make this a habit, we are well on the way to un-complicating and demystifying our business.

I am suggesting that we use these 5 fundamentals of Business as a basis of identification of the most important issues.

What is your Number 1 Priority?

What are your obstacles for achieving it?

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What John Matthew believes about small business

That the owner has risked many things that others take for granted;

That there is no guaranteed income or reward for the considerable effort that is required;

That often, the family home is on the line to support the business and its constituents;

That there is a dignity and self-respect that is earned;

That entire communities would be better places if there was an increased appreciation and respect for small business.

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