Why Your Growth Business Needs An Operating System.
As a leader in business, Do you regularly take a step back and look at how your business operates?
The company has grown organically, with departments added sporadically, as required, each having its working method.
- Have the staff been assigned the tasks they believe they must perform, and have their responsibilities increased beyond what they can because the business demands have grown?
- Are essential decisions delayed? Do the same issues pop up repeatedly?
- Is your company becoming too complicated and overwhelming?
Does this mean that essential tasks must be completed, or is it challenging to know the situation? It’s as if you need complete control over your company.
The loss of control over your company
These types of issues typically occur in companies that are increasing. Staff members may have been promoted excessively or in positions in which they need to perform better. There are no clear guidelines, meaning everyone has their way of doing things. There could be an absence of accountability.
If this all sounds familiar, you may need to change how you manage your business and bring order into the chaos of a system for business operation.
To be clear, If I’m talking about the operating system is not referring to the latest technology or some dashboard that helps you keep track of your KPIs and data, but a comprehensive framework that will run your business.
It will create a common framework, guidelines and procedures and establish a standard set of business procedures that will facilitate the strategic growth of the company and the way the process will be implemented.
Many businesses discover that operating systems are the primary driver of performance. It can convince potential employees and investors that your business is best for them.
Multinationals like Lego, Toyota, Boeing and Audi have created the operating system of their choice; however, you can be a small, publicly traded firm to utilize one.
I realized it was crucial to discover a method to manage my business systematically and track the activities as I built and grew a multimillion-pound retail company in three countries over 14 years.
No matter how small, any company can benefit by introducing a consistent method of working that ensures things do not fall through the cracks.
A small example: a training company I met didn’t provide an ordinary booking form that laid the terms and conditions following the time clients signed up for the course. Clients cancelled within the final minute, and the company was left with a significant charge to cancel the course that the client could not pay.
They now have a standard procedure requiring them to send an ordinary booking form that clearly outlines the cancellation conditions, which means they’re protected if customers cancel their booking at the last moment.
The most essential features of operating systems
Documenting, establishing and training the procedures required to manage your business is only one of the features that all operating systems share.
Other examples are:
- Setting a clear direction to determine the direction of the company
- Regularly scheduled strategic review
- Set regular, quantifiable objectives for the team
- Regularly collecting data on your company
- In the absence of a standard method for the way you evaluate your employees
A procedure to deal with issues
There are numerous operating systems you can choose from and various ways to streamline your strategy into a two- or one-page document.
If you’re thinking of using one, it’s recommended to conduct your study, read the reviews and outcomes and decide which one is best for your company.
How do you choose the correct operating system?
Based on your experience, you should utilize multiple operating systems. It only makes your business more complicated. Choose one that is appropriate for your company and that you and your management team agree with. If you pick the right option, it can transform the way your business is run from the top to the bottom.
The one I help companies to introduce is called The Entrepreneurial Operating System (EOS), which is in use in more than 100,000 companies worldwide. It is designed to help businesses to align around a shared vision, get more momentum and create a strong team of leaders. It focuses on six essential elements of any company: vision, people, information processes, issues, and the ability to move.
Various tools and processes are introduced, later rolled out over two years with the assistance of the “implementer” like me. The benefit of EOS can be found in the way that it can be customized to meet your needs making it your method to work.
It was developed in the USA by entrepreneurial Gino Wickman, who described it in his best-selling book Traction.
The benefits of an operating system
Whichever operating system you pick, If you use it properly, it will expand your company and surpass the employees who do and manage the job.
Here are a few most important advantages:
- You’ll be able to see clearly what direction your business is heading and how you will implement the vision.
- Strategic reviews are conducted quarterly to keep the focus on the goal and execute better.
- You’ll create a team that reflects your company culture, is committed to your goals and has a clear understanding of their roles.
- In addition, accountability and reliability are enhanced, and your business will run more effectively from day to
- Transparency and improved communication across the entire organization Meetings become more efficient.
Typically, the effect on a company is better controlled, improved results, and a higher profit. One business that I was working with had a loss of the equivalent of 600,000 pounds per year. However, after operating EOS for over 20 months, it made one million pounds in profit.