Wednesday, October 29, 2014

Get Better



In most big businesses, there is a lot of effort put into improvement efforts that shave cost, increase efficiency, improve quality, and more.  The efforts go by a variety of names, from continuous improvement to TQM to Six Sigma, and the list of these initiatives can get pretty long.  The effort put into these programs is often quite large in terms of both money and time.  All of that investment wouldn’t be made if there were no advantages to be gained by these initiatives, and the point is that they are important, even critical, to the success of the businesses where they are employed.  These efforts help reduce labor content, improve product life, make the workplace safer, improve the customer experience, reduce inventory, and in general, make every single aspect of the business a little bit better.

In small business, not so much.  Instead, we tend to do what we’ve always done.  After all, why change what made us successful up until now?  Oh sure, we might tweak our product or process here and there.  We might invest in the latest machine or computer to enhance our product or service.  But like so much else in the life of a small business owner, we struggle to find the time or energy to get serious about long-term, sustainable improvement in our business across its various operating functions.

Do you think this topic doesn’t apply to you?  Then let me ask you, is your business perfect?  Do your customers always have an incredibly good experience, with no complaints?  Do you never have to replace a product, nor re-do an installation, nor refund money?  Are your employees 100% productive during their working hours, continuously producing value for your customers?  Is your inventory completely current, useable, saleable and accurate all the time?  Do your marketing programs generate a reasonable number of new leads that keep your capacity at a high, even full level?  And most importantly, are you as the owner able to pay yourself what you deserve for creating and investing in the business you proudly call your own?

I didn’t think so.

The truth is, no business, big or small, is that perfect.  They all have shortcomings, and they can all be better.  But we have to work to make it so.  The big business folks understand this, and they understand that it takes an ongoing, relentless, never-ending effort to truly achieve continuous improvement.  It can’t be an event, but rather a process.  It has to become a part of the culture of the organization not only to seek improvement, but also to make it long lasting, i.e. sustainable.  It takes a curiosity and a drive to constantly seek to make things better.  It takes a willingness to change, and then change again, always looking for that next little edge.

Changes are all around us, and we hear all the time that the pace of change is increasing.  New innovations occur at a faster pace than ever before.  Technology is outdated before it is outlived.  And yet many small business owners try to do things the way they’ve always done them, and then wonder why the new competitor down the street is eating their lunch in the marketplace.

Think about employing a continuous improvement mentality in your small business.  If you don’t know where to get started, look up a good business coach with a background in this area.  It is a process that I promise will make your business better, your team more engaged, your customers happier, and your checkbook larger.

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