Categories
Improvement Management Manufacturing

The benefits of speed

For years, Dan Kennedy has said “Money loves speed.” He’s usually referring to making decisions and implementing things quickly, rather than falling prey to “Good is the enemy of perfect” (among other things). This is not speed for the sake of speed, however. The benefits of speed in the right circumstances, under the right conditions, are worth examining. You may find that you can’t increase speed without negatively impacting quality or safety. In those situations, I’d pull back on efforts to increase speed. Below, I discuss a few situations and opportunities that I hope will spur some ideas that will help you find places to increase the speed of your business activities.

Military time… and yours

A tank that can be refueled in one hour is more effective against an enemy than a tank that can be refueled in two hours. The same can be said for equipment not used in battle, like your lawn service’s mowers, or a delivery truck – even though defeating an “enemy” is not your goal. Similar effectiveness can be gained from a mower that can run twice as long, either because it consumes less fuel per hour, or because it has twice the fuel capacity of a similar mower.

During World War II’s Battle of Britain, British pilots who survived being shot down in morning were frequently back in another plane and in the air defending England that afternoon. German recovery crews had to travel much longer distances to recover a pilot and get them back in action. In addition, they had to have long range fighters so that pilots could fly to England, attack, and return back to Germany. These speed, distance, and equipment requirements thankfully had them at a disadvantage.

Is there anyone who hasn’t been parked at a point of sale counter, hotel front desk, or similar as an employee waited on a computer to perform some task necessary to allow us to check in, complete a purchase, etc? Some companies seem to be on a never-ending quest to improve these experiences. They know that customers want the shorter wait times in line. They’ve seen customers get frustrated and leave a store due to long lines. Meanwhile, other companies seem to ignore these counterproductive point of sale speed and usability problems, much less the long lines they can cause.

Sometimes, you have to temporarily slow down in order to speed up. A wobbly wheel will shake a car (and its passengers) to pieces, make the car less safe to drive, and prevent the car from reaching higher speeds. Taking a few minutes to stop and tighten or change the wheel costs a few minutes, but pays off in safer, faster driving. A simple example, but it begs the question: What’s wobbly, sketchy, or less than dependable at your business?

Downtime

Downtime is a speed issue as well, since you can’t get much slower than zero. Every time you eliminate or reduce downtime, there’s a corresponding increase in speed. The great thing about downtime is that much of it is preventable, whether it relates to computers, processes, or boat trailers.

Downtime hides in places you might not expect. Electricity. Disk space. Oil. Anti-freeze. Drive belts. Spare drive belts. Tools in vehicles. Flashlights in vehicles. Better warehouse lighting. Better training. Prevention has a solid ROI. Ask your team about processes, situations, and equipment that fails. Remember – injuries count too. Your people know where the dangerous places in your business are. Ask them, not only for where these things are, but also for ideas on how to address them.

Supply chain problems have a way of creating downtime as well. When you run out of raw materials due to order errors, delays, mistakes, or really – any reason, production grinds to a halt. Zero speed, particularly in a production environment, has a high cost. If you send people home because you’re out of raw materials, you not only miss out on the work getting produced, you also risk losing skilled people who probably weren’t easy to find. Most supply chain errors are preventable. Your team can help identify ways to deal with these problems, so be sure to ask if they’ve seen these issues before and have been involved in resolving them. Either way, take advantage of their experience and insight.

There is one place where speed isn’t recommended: Hiring.

Photo by toine G on Unsplash

Categories
Getting new customers Lead generation Management Small Business systems

My business is too small!

It may seem that the strategies and tactics we talk about here that are intended to improve your business might relate solely to bigger businesses. A company with lots of staff, a big office and plenty of cash can make these things happen easily, right? And these things apply only to those bigger companies, at least, that’s what you might be thinking. Thing is, that really isn’t true. If your first thought tends to be “my business is too small to do that“, give yourself a chance. Step back a bit and look deeper at what we’re trying to accomplish and let the complexity fade to the background. The key is to pan for gold: find the fundamental outcome that these discussions are about.

A small company will almost never implement things the same way a bigger one would. That doesn’t mean that the small company shouldn’t implement them. Both have the same fundamental needs, like more sales, better leads, faster delivery (or something), and so on.

For example, the discussion might be something that seems complex, like a marketing calendar or lead curation. Both of those things may seem like overkill for a small company – but neither of them are. If we drill down into what they’re trying to accomplish, I think that will become evident.

Let’s talk about what lead curation really is. Why? It’s a great example of one of these “bigger business” things can be implemented by a small, or even one person business… Even if you think “my business is too small”.

What is lead curation?

Leads come into your reach in different stages. They might be ready to buy. The late Chet Holmes said his experience showed that three percent of your market is always ready to buy. The other 97% might be researching, recently decided to investigate, may have determined that their existing solution isn’t doing what they need, and so on. Out of 100 or 100,000 leads, you will find natural groupings like this.

If someone is ready to buy, your sales team (even if the entire team is you) needs to know they’re ready so that someone can start a “ready to buy” conversation with that lead. If someone from your team (or you) have an early-in-the-process kind of conversation with them, you may lose them.

A lead who has recently started researching solutions like yours will likely be put off by a sales person who opens a “ready to buy” conversation. Someone else (or you, if there is no someone else) needs to have the kind of conversation with that lead that will help fulfill their research needs as it relates to your product. This might be the time to provide them with a comparison form (ie: buyer’s guide) that helps them make a purchase decision.

For each stage a lead is in, the conversation that the lead needs to have with your sales team (or you) is a conversation that helps them come to the conclusion that it’s time to move to the next stage. Bear in mind, they don’t necessarily think in these stages, but that doesn’t mean they don’t exist.

That is but one example of “something your business should do”. It’s a good example of something that a bigger company might have software or some sort of system to manage.

You may not have or need those things, but that doesn’t mean the process isn’t important to your success and growth.

“My business is too small for lead curation”

Based on this description of lead curation, it’s not a size thing. It’s all about having the right conversations with people based on where they are in the process of deciding to buy. The smallest company needs to do this – and in fact, the smallest companies are both awesome and horrible at this. You’ll either see them having the same conversation with every lead (horrible), or they will cater very specifically to each lead (awesome).

For a small business, figuring out how to perform lead curation and keep track of what has been done to move your leads through each stage of buying is still important. It isn’t important how the smallest of small businesses does this. It isn’t important how the bigger business does this. It isn’t important that the bigs and the smalls use the same tools or techniques.

What’s important is that it gets done.

Categories
attitude Business culture Competition Corporate America Creativity customer retention Entrepreneurs Improvement Leadership Positioning Restaurants Retail Small Business Strategy The Slight Edge

Looking up at an ugly linebacker

Competition. It isn’t good or bad, it just is.

You either are or you aren’t competitive. Thankfully, it’s something you might even be able to learn, at least somewhat.

On the other hand, it’s hard to teach the desire to drive the QB into the dirt and then stand over him. You just gotta.

Anyhow, on that theme, today’s guest post comes from a rather unusual place – a sports blog. More specifically, Dan Shanoff’s discussion about ESPN’s next entry into local sports coverage.

Filter all the sportiness out of it after reading it once and think about a similar entity entering your local market.

A big, powerful, deep pocketed player. In your market. In your town.

Whaddaya gonna do now?

Shanoff lays it out nicely for a paper. How about your business?

Are you going to wait till they arrive to take the next step? Not a good idea.