Monthly Archives: April 2015

4 Things You Ought To Stop Doing If You’re A Business Owner

April, 2015

4 Things You Ought Not To Do If You're A Business OwnerNo one person has the correct algorithm for running a successful and profitable company. Environmental factors, internal factors and resources all play their role in the drama that is running a business. A lot of successful companies however, seem to have found the correct recipe in terms of what works best for them and within their market. They understand their competition, and they understand their people. It is about understanding exactly what it is that your business stands for. What is your purpose?

Our job is to help you find ways to better your business processes. Cue keywords here: effectiveness and efficiency. These words set my heart a flutter. Don’t they yours? Well, they should. These two things at the heart and soul of any business process. They make up the foundation of your business operations.

Here are 4 things you ought to stop doing if you’re hoping to remain both effective and efficient within your business.

1. Stop discouraging time off

When employees wish to take a holiday, or even just want to take a few days to themselves – don’t take this as a slight against the business or against you. Employees need to feel comfortable in approaching you about matters such as this, or, cue the beginnings of festering resentment. By establishing a lenient and fair policy regarding time off, employees will feel much happier in approaching this topic and the likelihood of them abusing this will be relatively non-existent, and it shows them that you are invested in their emotional wellbeing.

They should never be made to feel guilty for the workload having to be shifted around, or if you’re too short staffed to grant them leave. If you’re rostering correctly and have an adequate pool of staff – the task of leave management is in fact one of the least onerous of them all.

2. Stop micromanaging your employees

Micromanaging your employees simply implies you have no trust in them, and have very little faith in their abilities. Overshadowing their every move doesn’t give them room to grow as an employee and in their job role. Not only does this increase the likelihood of mistakes having you watch their every move, but it lessens the possibility of them ever having the chance to set up to bigger responsibilities.

By stepping back and allowing them to do their jobs without you interfering enables them to find their way and establish exactly what it is they can bring to this role, and where they want to be within the business going forward. No one likes a business owner or manager that becomes too hands on and has to have a finger in every pie, ever second of the day. Sit back and trust the people you hired to do the job. Chances are they’ll grow and learn much quicker, and subsequently end up asking for more responsibility later on.

3. Don’t mistake confidence for competence 

Ensure that you have trained your staff adequately. When potential employees are going through the interview process, although they may display a high level of competence in life and the industry you’re in – appearances can be deceiving. Many can bluff their way through this. Whether or not you believe they have the experience and qualities necessary for the job, every venue and establishment is different. If you didn’t have a point of difference well then you wouldn’t be that good would you? You’d just be the exact same as your competition. I don’t know about you  but, boring! Every staff member needs to be trained  the way that is individual to your venue.

As a business owner you would have established what is is you wish to be your point of difference in comparison to your competition. In today’s age, it’s the actual set employees that make up a tremendous amount of the difference from one venue to another. Front line staff members are the ones that deal directly with the customers during each transaction. Therefore they must be equipped with the knowledge, the resources and the skills if they are to fulfil their roles to the highest of standards, and to the performance levels that you require.

4. Don’t always focus on the future and new ideas

It’s important to always keep your mind on the big picture, where you’re going, how you’re going to get there, and so on and so forth. However, if you solely focus only on these ideas, you’re not actually taking into account the systems and processes that may or may not be working that are getting you to that finish point. A business is made up of different processes. It takes discipline, planning and attention to detail. Some processes work, and others don’t. It’s the monitoring and changing of these processes along the way that allows you to keep pace with changes in the market, fluctuations in your environment and changes in competition.

By consistently monitoring and adapting your business processes, you’re giving yourself the best possible opportunity to reach that future goal quicker. You can imagine that with incorrect, incohesive and undisciplined processes – the chances of you reaching that end goal are bound to look slim, dull and unattainable. Systems and processes are the beating heart of your business. Without them, you’d sink.

Being the owner of a business isn’t meant to be easy. But there are things that can be done to make the journey a little easier and more enjoyable. Hey, who in their right mind doesn’t enjoy a good profit from time to time? It’s all about making decisions and creating actions that support the businesses operational processes.

Why You Should Care About Preparation

April, 2015

Why you should care about preparation

All of us have had to deal with the concept of ‘preparation’ from the moment we could walk. Whilst the responsibility we had back then was comparatively small relative to todays age, they were still things that in a young child’s mind were rather significant. Things such as making our beds, turning the lights off, hanging up our clothes, helping out with the dishes. These were all primary responsibilities when we were younger.

This turned into getting ready for school on time, attending all of our classes, getting our first jobs and then moving out of the family home. We continue to mindlessly prepare ourselves for these tasks every day – but to us they seem so insignificant compared to running a business, making a good wage, putting a roof over our heads and feeding our families.

Irrespective of the size of the task; the principle remains the same. Better preparation makes for better execution of the task. To ‘prepare’ is typically defined as ‘”make (someone) ready or able to do or deal with something.”

To ready yourself.

To make sure you’re able and ready to deal with something.

I think it’s pretty safe to say that many of us at some time in our lives have felt unprepared for something. However, there are a handful of people that perform really well when they are unprepared. These people work well under pressure. But for the majority of us, that just isn’t the case.

We need to be prepared for anything that may come our way so that whatever happens, our business and our resources are safe. If you prepare for the worst, whatever comes your way will be a walk in the park for you. Because let’s be honest , hiccups and hurdles along the way slow down our business. We lose our momentum, our money, and our intensity within the market.

Ensure you make plans for whatever situation may be thrown at you. Because that’s what makes for a successful business. One that can handle whatever may be thrown at them.

How Successful Businesses Avoid Common Pitfalls

April, 2015

How successful businesses avoid common pitfalls

Success should never be looked at as something that is beyond your reach. Regardless of circumstance or resource. With the correct dose of motivation, drive and business knowledge, success is achievable.

There are many lessons we can learn from the business gods. Those that have created their path to success, and are sitting back basking in their rewards.

The hurdles we face whilst we find our feet in the ever growing competitive marketplace have all been experienced by those before us, and will be experienced by those after us. But, we must learn from how those hurdles were dealt with by our predecessors so that when they are thrown our way, we are prepared.

  • Successful businesses don’t concentrate exclusively on their sales figures
  • Successful businesses make plans
  • Successful businesses hire the right people
  • Successful businesses deal with internal strife promptly and correctly
  • Successful businesses know their competition
  • Successful businesses understand growth within their market
  • Successful businesses don’t let emotions get in the way
  • Successful businesses remember their taxes!
  • Successful businesses understand the importance of capital and utilising all your available resources. 

So, ready to start your journey to success? Step out onto that steep road and ready yourselves.

For more information on business success check out some similar blog posts here.

How to improve your roster in 3 easy steps

April, 2015

How to improve your roster in 3 easy steps It’s not until you experience the worst financial upturn that you begin to ask yourselves what you could have done differently.

Until you fully understand the impact and role that rostering plays within the financial game, I’m going to take a stab in the dark and say you’re probably cutting yourself short in the profit department.

Rostering for a long time has been considered the responsibility of the front line manager, or an on-site coordinator. There are so many things wrong this preconception. Especially if you’re a business owner that is attempting to control multi site locations or franchises. Rostering is a key component in being able to effectively run the financial department of your hospitality business. Getting it wrong is just far too costly – and why would you want to risk it?

There are 3 easy steps you can take to improve your current roster

1. Get the right mix of employees – From your most experienced to least experienced employees. Try to strike the right balance of talents and personalities where you can spend a reasonable amount of money and still have a productive and satisfying outcome on the shop floor.

2. Integrate with leading technology – Paper became almost extinct after the invention of the internet and the cloud. Not only are you being a great samaritan by looking after the environment and saving paper, storing information electronically allows for quick access, the elimination of human error, and the ability to instantly access and analyse financial data. This enables you to make much more accurate and justified forecasts and decisions.

c0cadf220526864498aa434b3d93ee803. Discipline and planning – No successful person ever got to where they are without putting in the hard work. Effort needs to be put towards your rostering if you’re expecting to see changes financially. Planning gives you the ability to trim back the fat, or the “excess” when it isn’t needed, from where you may have been spending money in the past. The best business people forecast, and they make accurate decisions based on the research and discipline they apply to their management efforts. Same goes for rostering. You want a better understanding of where you can you can shift unnecessary rostered hours around in order to prevent them from cutting into your profit ever again.

What your turnover reveals about your hospitality business

April, 2015

What does your turnover reveal about your hospitality business?The hospitality sector is one of the most competitive industries in the world. Some businesses have greater financial backing, greater resources and more effective marketing – however, this sets the stage for an arena of new and exciting trends for the customer.

How much money you make is irrelevant if you aren’t comparing it to the size, locality and purpose of your business. You transpose your turnover against the environmental factors and resources that make up your business. Then, it becomes apparent what your turnover is really reflecting.

Your location

How you maximise and use the proximity of your location with respect to other places and buildings around you helps to shed some light on whether you’re making full use of your location’s potential. There’s an opportunity if you’re close to or surrounded by businesses similar to yours, that all venues can feed off each other: when ones busy, the other can pick up the overflow and vice versa. Maybe you’re situated within a business precinct where the amount of foot traffic is high, meaning people pop into your establishment based on your proximity to their place of work. On the other hand, it may not be buildings that work in your favour – but parks, arenas or sports fields. Your physical environment can help you maximise your profits by generating foot traffic past your place of business.

The size of your business
What does your turnover revel about your hospitality business?

Whether your business is big or small, you need to be spending money relevant to the size of your resources, and subsequently adjusting your desired turnover figures to an attainable goal. Don’t be caught over spending on wages and your variable costs. Keep stock and inventory levels to an appropriate amount. Doing this will help to ensure that your turnover figures aren’t going to be spent on costs that have been miscalculated due to lack of preparation and discipline in keeping these relative to the size of your business.

Your employee management

This is where our area of expertise comes in. Employee costs are quite simple – and too often we see people getting them wrong. It’s quite simple. Get these right and you allow yourself the freedom of not cutting into your turnover each week. Any sensible business owner or director wants to reap as many rewards as possible. Why sabotage them?  Employee costs are the easiest and most manageable of all your business budgets. Keep these tight and never again cut into your hard earned profit…..ever.

 So, what does your turnover reveal about your hospitality business? 

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