Managing your results

Mastering the basics of running a business is the first thing I work on with a new client. Managing your money, your time, and the consistency of your product and delivery are the key to running your business.

These fundamentals are so important to running your business because you need to know where you are going in order to get there. Your eventual outcome and how you get there are determined by the goals you set, and measuring you and your team’s progress. To know what’s working and what isn’t working, you must test and measure results.

The first to set is your KPMs, Key Performance Metrics. You should have no more than five measurements that act as business drivers, something you can act upon to impact your bottom line performance. For example, your average dollar sale and your profit margin are business drivers.

Learn how to use your cash flow statement and your income statement to track your finances and your actions that tie them all together. Then, start tracking your average dollar sale and your conversion rate, your key business drivers. Next, find and track two things that are connected to increased productivity and customer satisfaction at the same time. Improving your KPIs, Key Performance Indicators, need to become your priority and your team’s priority.

Setting goals and comparing results of the reporting period to the goals is how you measure progress. Get in the habit of asking your team why there is a variation of results and the actions that led to variation, positive or negative. Discuss continuing the positive actions or changing the negative ones.

You have all the information you need to manage the results in your business. Master the fundamentals of running your business and be proactive. 

If you would like further information or you have any questions about this blog give me a call at 305-899-9963 or email me at [email protected] and we’ll make it happen.

Coach John
“Living beyond the ordinary”

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