Setting Your Business Foundation
Systems, in the business world, are more formally referred to as business operations. So what does that mean? Business operations, or systems, are your way of doing things; how your business operates. How you get from A to B to C, within your company. So let’s say your business is a service based company. How do you get from a client inquiry, to a booking and payment, to delivering that service? What are the steps in between each of those actionables? Or, if you’re a product based company, how do you get from a purchase order to shipping? What are the steps between those action items? You should have standard operating procedures (A to B to C and so on steps) in place for all areas of your business - hiring, training, client communication, team management, inventory, payment structure, off boarding, shipping, delivery, etc - whatever you do in your business. That, in a nutshell, is systems.
Before we get into more detail on breaking this down, I want to take a step back, because essentially, you won’t be able to thrive unless you have a few other items in place first. Most importantly, you need to have a solid Business Foundation. There are two prongs necessary to get this in place: your Business Identity and your Business Operations. When talking about your Business Identity, we’re talking about who you are, what you’re about, and where you’re going. When talking about your Business Operations, we’re talking about how you do things, your daily procedures.
Your Business Identity
Let’s break down your Business Identity first; starting with: who you are. You must have a clear concept of what your business sells. Are you selling a service or product? Who is your ideal client? What’s already out there in the market? Who is your competition? And WHY should people choose you? These questions will help you understand your business.
Next, what are you about. This speaks to your business philosophy; your personal and professional beliefs. What are you putting out into the world? Who do you want to resonate with? What kind of energy or vibe are you trying to tout? Now think about how these relate to your mission statement and core values. I know this is business 101, but these are important concepts for you to fully embrace as a business owner. Your mission statement should be a short, concise statement to explain your business's reason for existence; it’s purpose for being. Keep it to one sentence, and make it inspirational. One example I always like to use is from TED.com. Their mission statement is simply: Spread ideas. That’s it. Two words, and you know exactly what they’re about.
Moving onto core values, I find that 3-5 tends to be the magic number. You don’t want too many because then they start to lose their importance. Pick 3-5, and make sure they’re meaningful and specific to you and your company. It could be anything. Things like integrity, authenticity, transparency…whatever! Just make sure it lets people know who you are and what you care about. These two items, your mission statement and core values, are impactful ways to set up your Business Identity and will be your guideposts for moving your business forward. Anytime you’re making a business decision, changing things up, hiring new people, come back to these and make sure they still resonate.
And lastly, where are you going? What’s your vision for your business? Where do you see yourself in 1, 3 or 5 years? Do you want to operate out of multiple locations with lots of staff? Or do you want it to simply be a lifestyle business where you keep it kind of small and manageable with just yourself and maybe one or two other people? Be honest with yourself about WHY you went into business and what you’re hoping to get out of it. This will help put you on the right path and will facilitate decision making going forward.
I do want to acknowledge that what you put today, may change along the way, and that’s OK. This just gives you a good starting point to propel yourself forward. I want you to continually look back at your Business Identity every 6-12 months to see if what you have in place still makes sense and aligns with what you have going. And if you need to make changes, GREAT, make changes and adjust your path accordingly.
