Sabtu, 12 Januari 2013

Working ON your Business Instead Working IN your Business

Have you ever wondered why some businesses never seem to be able to grow, no matter how much effort the owner puts into it?

At the same time, I am sure you have also seen many examples of entrepreneurs who started small and ending up building hundreds of outlets/ offices in so many countries, returning millions of dollars in sales every year.

The difference lies in the kind of work the entrepreneur is focused on. The biggest mistake that entrepreneurs make is to focus all of their time working IN the business and not enough time working ON the business.

Working IN the business involves doing the tactical work necessary for the business to operate day to day. This work is usually the urgent stuff that must be done immediately to keep the business running. 

It involves selling the product, making the product/providing the service, delivering the service or product, administration and accounting.

On the other hand, working ON the business involves the strategic work of creating a successful business system and then replicating this system by opening up multiple branches/outlets.

The entrepreneur knows that once the business system is created, anyone can be hired to work in the system to produce the same level of service/product quality in any subsequent branch/outlet - and that is to generate profits and income.

Is it by accident that every McDonald's server will greet you with a warm smile and a "Welcome to McDonald's" everywhere in the world? 

No, it is because Ray Kroc created a system of standards where every server in every one of their 200,000 restaurants will deliver the exact same greeting.

The Lesson here is that if you don't plan to focus on the strategic work of building your business system, you will find yourself being consumed with day-to-day tactical work and that will keep your business forever small, and dependent on you.

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