A Systems Approach for Building Scalable Businesses

Henry Ford Assembly Line

Everything around us is a system. The human body is a system comprising of organs. An ant colony is a system. Our Solar System is a system. A thousand solar systems, a million ant colonies, and a billion humans all share the same underlying principles of growth and organization. Without systems, there is chaos.

Why do majority of new businesses fail, yet most franchises succeed? Systems.

So, it comes as no surprise that good businesses have well defined procedures for handling sales, marketing, IT, customer service, finance, etc. Any process that may need to be repeated in the future should be systematized. Procedures are important because they can be repeated and scaled without re-inventing the wheel each time. It is the entrepeneur’s job to focus on creating and improving these procedures so that the employees may run them.

And how do you build a system? Simply document each and every process. Documented procedures save time by templating the initial hard work. Here are some simple examples for small businesses:

1. Create a template for the weekly newsletter.
2. Create a procedure for saving tax receipts and business expenses.
3. Build a CMS to update the website.
4. Create a cover letter template for all business communication.
5. Use a CRM to manage customer database.

This sort of procedural approach makes it possible to refine processes based on the success and failure associated with each sub-system. online kasino

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