The third of the definitions of leverage I proposed to you was “Do something once and get paid forever”. This is probably the most obvious and easy type of leverage to apply in your business today.
This is the leverage of systems and procedures that are so important in any business. An obvious example of this form of leverage is the writing of a book. It is written once and can be sold for generations to come. Another example is creating or establishing a business system or a process. Once created it can be used continuously and for a long time. This provides real leverage.
The best businesses are process driven. Processes mean that there is a fixed, researched, honed and prescribed way of doing things. This in turn is an important component in producing a product of consistent and reliable quality.
How many processes exist in your business? Are they robust? Have they been consistently measured? Do they produce the desired results each time and every time? Are they written and documented? If not they won’t be scalable, repeatable nor will you be able to properly train new team members to them.
A very useful exercise to do with your senior team is to identify 4 to 9 processes that drive your business. They may be things like, the sales process, the client acquisition process, the quality process, the adding extra value process, the billing or getting paid process, the education or leadership development process. You get the picture. Now ask yourself the following questions.
Are these real processes? In other words are they documented? Do all the relevant members of the team know what the process is/ processes are?
Do we measure the results of the process?
And this is the killer question. Who owns each process? In other words, who, on our leadership team, is accountable for the upkeep, documentation, measurement and adherence to each specific process?
I promise that the results while they may be uncomfortable will also be very revealing.
You may also want to read this Blog from February of this year. Click here
We will be looking at leverage and other similar, simple, but oh so effective strategies to build a better, more profitable business whilst generating a better lifestyle in our next free seminar. Why not come along and hear for yourself. Click here for details Please note the change of date to 21st May.