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Discover why most businesses fail and how sustainable operations can drive long-term success. Learn strategies for creating value-driven, efficient, and enduring business models. Strategic Transformation & Planning Business Strategy & Planning Building Sustainable Business Models Understanding the High Failure Rates of Businesses and Unveiling Strategies to Build Sustainable, Value-Driven Models That Thrive Long-Term Published on: 12 Nov 2024 Why Businesses Fail and How to Build a Sustainable Model Business failures are alarmingly common. Despite significant revenue or seemingly strong performance, many businesses struggle to achieve lasting success. Even more troubling is the broader impact: economic instability, personal hardships for business owners, and environmental inefficiencies. In this article, we’ll explore why businesses fail and, more importantly, how to avoid common pitfalls by building sustainable, value-driven operations. The Statistics Behind Business Failure The numbers are stark: 65% of businesses do not survive beyond 10 years. 80% of companies that attempt to sell fail to do so. From this we can assume less than 1% of businesses create sufficient value to sell successfully. The failure rate is not just a personal or financial issue for business owners—it has far-reaching consequences: Personal Costs : Stress, burnout, strained relationships, and lost opportunities can leave business owners emotionally and financially depleted. Economic Ripple Effects : Small to medium-sized enterprises (SMEs) account for over 90% of businesses globally, provide more than 50% of jobs, and contribute over 25% of national income. Their failure disrupts communities and economies. Environmental Consequences : Inefficient businesses often waste resources, increase emissions, and fail to adopt sustainable practices, exacerbating global environmental challenges. Why Do Businesses Fail? Contrary to popular belief, business failure rarely stems from poor products or services. Instead, the underlying issue lies in mismanagement of operations . Most companies focus heavily on outcomes such as profit margins, revenue growth, and customer numbers. While important, these metrics are backward-looking indicators. This reactive approach is akin to: Driving a car while only looking in the rear-view mirror. Overworking farmland without replenishing the soil, leading to long-term crop failure. Ignoring maintenance on critical machinery until it breaks down. The inability to build sustainable foundations and scalable systems is often the primary cause of failure. The Key to Sustainable Success The businesses that succeed are those that shift their focus from outcomes to operations. Here’s how to build a model that fosters long-term success: Embrace Operational Excellence Effective operations are the backbone of any successful business. Streamlined workflows reduce waste, improve productivity, and enhance customer satisfaction. Operational excellence ensures the business runs smoothly, even during periods of growth or economic fluctuation. Adopt a Long-Term Perspective Businesses must move beyond short-term profit maximization and focus on creating value that endures. A sustainable strategy ensures resilience and adaptability in changing market conditions. Focus on Value, Not Just Profit While profitability is essential, it should not be the sole measure of success. A business’s true value lies in its ability to operate independently, scale efficiently, and attract potential buyers or investors. Align with Triple Bottom Line Principles Sustainable businesses balance economic growth, environmental responsibility, and social impact. This approach creates not only profitable enterprises but also ones that contribute positively to society and the planet. Monitor the Right Metrics Instead of solely tracking profit and revenue, measure operational health. Monitor key performance indicators (KPIs) related to efficiency, resource utilization, and customer satisfaction. These metrics provide actionable insights that drive improvements and prevent problems before they occur. The Broader Implications The failure of so many businesses is more than a challenge for individual owners—it is a systemic issue with economic and environmental repercussions. As SMEs form the backbone of most economies, their success is critical for job creation, income stability, and sustainable development. Building value-driven, efficient, and sustainable operations is not only a pathway to business success but also a means to address larger societal and environmental challenges. Conclusion To address the high failure rate of businesses, it’s essential to rethink traditional approaches. The focus must shift from short-term gains to sustainable growth supported by operational excellence and long-term value creation. By prioritising efficient systems and aligning with triple bottom line principles, businesses can transition from struggling to thriving. This is not just about survival—it’s about building companies that create lasting value for their owners, employees, and the broader world. With the right approach, businesses can become engines of economic growth, innovation, and sustainability, helping to shape a more resilient and regenerative future. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Discover how smart operations integrate technology, data, and people to drive value-driven growth. Learn how aligning operational excellence with strategic goals creates agility, efficiency, and sustainable impact across industries. AI-Powered Process Excellence Operational Excellence & Process Improvement Smart Operations: Unlocking the Power of Value-Driven Growth Integrating intelligent operations with technology, data, and purpose enhances efficiency, streamlines decision-making, and aligns business processes with sustainability goals, driving operational excellence, and creating sustainable, inclusive growth across organisations. Published on: 20 Nov 2025 The world is entering a new era of operations, where extraordinary challenges and opportunities are reshaping how organisations deliver and sustain value. Faced with intensifying competition, resource constraints, and growing demands for agility, businesses across sectors are embracing smart operations to optimise performance, improve decision-making, and empower their teams." Smart operations integrate technology, data, and intelligence into workflows, creating a continuous feedback loop that drives both operational excellence and value-driven growth. By aligning operational excellence with strategic goals, smart operations enable organisations to not just adapt but excel in an ever-evolving landscape. A holistic approach is essential, placing vision, mission, values, culture, and people at the core of the transformation. Smart operations provide the structure for achieving this alignment, driving value creation across every business function—from strategic planning to customer engagement—transcending traditional production-focused models. What Are Smart Operations? Smart operations mark the next evolution in organisational excellence, combining technology, data, and intelligence with a strong alignment to an organisation’s purpose, culture, and people. This approach ensures operational decisions are efficient while remaining aligned with overarching goals and values. At their core, smart operations : • Begin with people and purpose : They are driven by a clear vision and mission, grounded in core values. • Cover all aspects of the organisation : Every function—from finance and marketing to HR and logistics—operates within an interconnected ecosystem. • Integrate data and technology : By harnessing AI, automation, and connected systems, they enable seamless collaboration and informed decision-making. • Cultivate a culture of continuous improvement : Teams are empowered to innovate, adapt, and consistently deliver value. Smart operations dismantle silos between operational and business systems, connecting them through real-time data and artificial intelligence (AI). This integration allows organisations to: • Align operational insights with strategic goals, enhancing clarity and precision in decision-making. • Utilise AI analytics to identify trends, generate actionable recommendations, and optimise outcomes. • Automate routine tasks, boosting efficiency and allowing human effort to focus on high-value activities. • Empower teams with real-time insights, enabling faster, smarter decisions at every level. By unifying data across systems like finance, HR, logistics, and customer management with operational insights, organisations create a dynamic ecosystem that learns, evolves, and improves continuously. How Smart Operations Drive Value Smart operations act as the crucial bridge between an organisation’s strategic vision and day-to-day execution. By aligning IT (Information Technology) and OT (Operational Technology) with people, processes, and data, they enable seamless collaboration and value-driven growth. Here’s how smart operations contribute to organisational success: Enhancing decision-making : By integrating IT and OT systems, leaders gain real-time insights from across the organisation, enabling informed decisions that align with long-term objectives. Empowering people : Automation and data-driven tools free employees from repetitive tasks, allowing them to focus on strategic, creative, and value-adding activities. Strengthening culture : IT-OT integration fosters transparency and accountability, building trust, collaboration, and a unified operational culture. Delivering sustainable outcomes : Optimising resources across IT and OT systems reduces waste and drives sustainable, inclusive growth. Smart operations unlock the potential of connected systems by bridging the gap between traditional IT functions and OT workflows. This alignment creates a unified ecosystem that continually learns, adapts, and improves, ensuring resilience and efficiency in today’s dynamic business landscape. How ERP Enhances Smart Operations ERP systems serve as the backbone for smart operations by: Centralizing Data Management : ERP systems consolidate data from various departments, providing a single source of truth. This centralization enhances decision-making and aligns with the article's emphasis on data-driven operations. Automating Processes : By automating routine tasks, ERPs free up human resources for strategic initiatives, echoing the article's focus on empowering teams and improving efficiency. Providing Real-Time Analytics : ERP platforms offer real-time insights into operations, facilitating proactive decision-making and agility in responding to market changes. Enhancing Scalability and Flexibility : As businesses grow, ERP systems can adapt to increased complexity, supporting the article's theme of sustainable and inclusive growth. High-Performance Workflows and Smart Operations Smart operations excel when paired with high-performance workflows, which provide structure, clarity, and focus. These workflows ensure that operational processes are: • Aligned with values : Decisions and actions consistently reflect the organisation’s purpose and priorities. • Transparent and adaptable : Teams can respond swiftly to changes without compromising quality or outcomes. • Focused on impact : Resources and efforts are channelled into initiatives that deliver maximum value. For instance, a high-performance workflow for customer onboarding might seamlessly integrate marketing, sales, and support teams. By leveraging AI to personalise interactions, the process ensures efficiency and consistency while staying true to the organisation’s mission and values. How Smart Operations Work In manufacturing, smart operations begin with creating a digital thread—a connected flow of information that links all aspects of an organisation’s activities. For example, IoT sensors , business applications, and cloud platforms combine to generate real-time insights into performance metrics. In non-manufacturing sectors such as services, retail, or finance, smart operations function in a similar way, integrating data across various systems like customer relationship management (CRM) tools, enterprise resource planning (ERP) software, and digital platforms. These systems gather real-time data about customer interactions, sales, and operations. AI analyses this data, identifying patterns and opportunities that might be invisible to human observation. For instance, in retail, AI could predict customer buying patterns, enabling personalised marketing or inventory management. In services, it might streamline scheduling, optimise resource allocation, or anticipate client needs. The system autonomously adjusts processes, issues alerts, or proposes solutions, creating a continuous loop of sensing, deciding, and acting. This feedback loop is the engine of value-driven growth, enabling organisations to align operational efficiency with strategic priorities. Whether in manufacturing or services, smart operations foster agility, optimise resource usage, and drive sustainable, inclusive growth. Benefits of Smart Operations Across Industries The advantages of smart operations extend to all industries, providing a competitive edge while supporting value-driven growth. Key benefits include: • Enhanced efficiency and quality : Automation and AI reduce errors and improve consistency. • Agility and resilience : Real-time insights help organisations adapt quickly to external disruptions. • Cost optimisation : Predictive analytics streamline resource use and reduce waste. • Improved employee engagement : Teams are freed from mundane tasks, allowing them to focus on meaningful, impactful work. • Sustainability and social responsibility : Smart operations contribute to reducing environmental impacts and achieving broader organisational goals. Overcoming Challenges Adopting smart operations requires more than just technology—it necessitates cultural and organisational shifts. Common barriers include resistance to change, fragmented systems, and a misalignment between strategy and operations. To successfully navigate these challenges, organisations can take the following steps: Start with a shared vision : Engage leadership and teams to define a unified purpose that aligns with strategic objectives. Build cross-functional alignment : Break down silos and foster collaboration across departments to ensure seamless operations. Invest in people and training : Equip teams with the skills needed to leverage new technologies and adapt to evolving workflows. Choose enabling technology wisely : Adopt tools that integrate across the organisation and enhance decision-making by providing real-time insights. A strategic approach to implementing smart operations is essential to overcoming barriers such as fragmented systems, resistance to change, and legacy technologies. The steps to successful implementation include: Assess current systems : Identify gaps between operational and business processes to pinpoint areas for improvement. Invest in unifying technology : A cloud-based platform with AI capabilities is crucial for connecting and analysing data streams across departments. Cultivate a culture of collaboration : Encourage teams to embrace data-driven decision-making and a mindset of continuous improvement. The Future of Smart Operations Smart operations are not just about efficiency—they are about creating a resilient, adaptable, and people-centred organisation. By starting with vision, mission, values, and culture, businesses can build operational systems that not only address today’s challenges but also position them for long-term success. Smart operations enable organisations to achieve value-driven growth by aligning technology and workflows with purpose and culture. In this way, every decision, process, and interaction becomes a step towards a more sustainable, inclusive, and impactful future. The principles of smart operations are not confined to a single industry. From healthcare to logistics, retail to education, organisations are discovering how real-time insights and automation can revolutionise their operations. These systems empower businesses to predict challenges, seize opportunities, and maintain a sharp focus on delivering value to stakeholders. Actionable Tip : Begin by mapping your operational ecosystem—identify key touchpoints where vision, mission, and values influence workflows. Explore tools that facilitate data flow integration, such as cloud-based platforms, to streamline decision-making and empower teams with real-time insights. Smart operations are more than a technological upgrade—they are a blueprint for thriving in the age of value-driven growth. By aligning advanced systems with high-performance workflows, organisations can unlock unprecedented efficiency, adaptability, and impact. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

What is Stakeholder Capitalism? Stakeholder capitalism is about companies serving a wider group of interests beyond the narrow focus on their shareholders. Purpose & Sustainability Leadership Sustainability & ESG What is Stakeholder Capitalism? The idea of stakeholder capitalism features in The Modern Corporation and Private Property from 1932 and came to life in the 1970s, driven largely by Klaus Schwab, who founded the World Economic Forum. Published on: 27 Jul 2023 Stakeholder capitalism is about companies serving a wider group of interests beyond the narrow focus on their shareholders. The list of stakeholders includes the shareholders but also customers, staff, partners, suppliers, the planet, the community and wider society. A stakeholder business considers the environmental, social and governance (ESG) issues and corporate social responsibility (CSR) in addition to making a profit for shareholders. Stakeholder capitalism has a broader scope than shareholder capitalism alone Implementing stakeholder capitalism can be difficult as it has to be balanced with the priorities of shareholder capitalism Consistent metrics for companies to measure their efforts are needed for stakeholder capitalism to be applied successfully Momentum in the growth of stakeholder capitalism is being driven in part by increasing ESG and CSR requirements Economic models are adapting to support stakeholder capitalism objectives with advances in sustainable and circular economic activities The idea of stakeholder capitalism features in The Modern Corporation and Private Property from 1932 and came to life in the 1970s, driven largely by Klaus Schwab, who founded the World Economic Forum. In 2019, the influential Business Roundtable of top US company executives urged a move by companies away from shareholder primacy. At the start of 2015, releasing a report with former UK chancellor Ed Balls, former US treasury secretary Larry Summers wrote, “The ability of free-market democracies to deliver widely shared increases in prosperity is in question as never before.” As the saying goes, a rising tide lifts all boats. So for the first 100 years of capitalism nobody saw the damage being done. After all, more people die today of obesity than starvation. Most people became better off. However, now we see the shrinking ice caps, the inequality with bosses paid hundreds or even thousand times more than their staff and increasing pollution. The cost of economic growth has become more apparent to everybody. The best-performing companies are inclusive; they engage their employees and treat them right. In return, the staff are more motivated and the company more profitable. Countries can be run in the same way, by galvanising their population’s efforts to maximise growth and instilling a belief that things are being done in a fair, equal and inclusive way. Industrial capitalism needs an upgrade. Today, the world is dominated by services, experiences and knowledge, not industry. It needs upgrading to stakeholder capitalism . Haydn Shaughnessy wrote about this back in 2012, in Forbes , The Emergence of Social Capitalism: Adaptation or Threat? Stakeholder capitalism needs to be built with stakeholder businesses . These businesses still have profit as a primary focus, but they recognise and account for their impact on the environment, the communities within which they operate and the management of their suppliers and staff. Unlike their industrial capitalist parents, stakeholder capitalists don’t work in isolation. They work with others and factor into their costs the impact they’re having on the wider environment, the world and on other businesses. It’s a fundamental and very important difference. Yanis Varoufakis refers to it as “ democratic socialism” which works for him and his left leaning ideas and Marco Rubio’s calls it “common good capitalism” which works for his Republican right leaning tendencies. However “stakeholder capitalism” would be equally liked and disliked by both sides so making it an ideal name to run with, at least for now. As Winston Churchill once said: “The inherent vice of capitalism is the unequal sharing of blessings; the inherent virtue of socialism is the equal sharing of miseries.” Stakeholder capitalism brings together business, society and government into a single place, where the interests of all three are met equally at the same time. What is the difference between Shareholder Capitalism and Stakeholder Capitalism? Stakeholders in a company have a vested interest in it as they are affected by what it does and how it performs. In contrast to stakeholder capitalism, shareholder capitalism focuses more exclusively on achieving beneficial outcomes for companies and their shareholders through profitable growth. In the 1970s, the economist Milton Friedman was an influential voice in support of shareholder capitalism as the way forward for businesses. Traditionally, business owners are capitalists who own the means of production and pay wages to employees who work on their behalf. Flaws in capitalism concerning the exploitation of workers by factory owners were highlighted in the 19th century, in particular by Karl Marx, the German philosopher who witnessed first-hand the deprivations caused by the industrial revolution on his visits to Manchester. Social reform from the 19th century led to greater protection of employees, an important stakeholder group. Marx and Friedrich Engel’s pamphlet The Communist Manifesto viewed capitalism as a historical stage that would be followed by socialism – whether through revolution of political reforms and structural change. The threats to individuals posed by shareholder capitalism have influenced the works of many great authors, from Charles Dickens to George Orwell. Shareholder capitalism isn’t in danger of being overthrown, but it is evolving – rapidly. Source: Avenis What are the challenges of Stakeholder Capitalism? To be effective, stakeholder capitalism needs to strike the right balance with the demands of traditional shareholder capitalism. In his book Stakeholder Capitalism , Schwab highlights the list of major socio-economic issues that have to be tackled : Rising income inequality and slow wage growth Slowing growth, innovation and productivity Global debt Exploitation of natural resources that is damaging the environment The Embedding Project, which helps companies embed social and environmental factors in their decision-making, interviewed hundreds of senior leaders of global companies to identify these key stumbling blocks facing stakeholder capitalism : Not all positive contributions offset adverse impacts, for example, making carbon credits to cover carbon emissions Companies need to do more to balance all interests Meeting stakeholder expectations might not be enough in the longer term Focusing too much on stakeholders’ risks and ignoring bigger systems that are at play, for example, a well-intentioned environmental action might destabilise larger ecosystem activity. A flaw in stakeholder capitalism is that businesses trying to balance diverse priorities can cause confusion that may lead to so called garbage can organisations . Some people worry that stakeholder capitalism in the 21st century could fail for the same reasons they believe it did in the 20th century. Other challenges for businesses to face when they embrace stakeholder capitalism include: Being too vague on your goals and what success looks like Trying to do too much at the same time Not being accountable Not dealing with resistance to change from shareholders or conflicts between stakeholders Another significant challenge is cynicism in the ability of stakeholder capitalism to deliver on its promises. People can be turned off by tokenism and actions that are really no more than public relations exercises – talking the talk rather than walking the walk. Stakeholder capitalism initiatives can also be hijacked for other purposes, for example, as an excuse to cut workforce numbers. Implementing Stakeholder Capitalism Attention is being given to how best to transition to stakeholder capitalism and ensure it can be sustained. In conjunction with the likes of Deloitte, EY, KPMG and PwC, the World Economic Forum has proposed a set of common metrics that encourage consistent reporting by businesses of sustainable value creation. The aim is for these metrics to be used in corporate annual reports across all industry sectors and countries. There are 21 core metrics where information is already reported and a further 34 metrics that are less established. All metrics are aligned with four ESG priorities: governance, planet, people and prosperity. A report by the London Business School and the Investor Forum urges investors to use their influence to bridge the perceived divide between the role of shareholders and the expectations of stakeholders. The report recommends action in two key areas: A systematic approach in responding to stakeholder issues Better alignment of interests between investors and stakeholders Consultants McKinsey identifies five steps to getting stakeholder capitalism right : Know your stakeholders Understand stakeholders’ needs Define and measure how you will meet stakeholders’ needs Execute your stakeholder capitalism strategy Sustain long-term value creation for all your stakeholders WEF-IBC Measuring Stakeholder Capitalism Report How to measure Stakeholder Capitalism? As they say, “what gets measured, gets managed”, so how to measure stakeholder capitalism? A part of the answer lays with ESG; Environmental, Social and Governance criteria, and a white paper commissioned by the World Economic Forum’s International Business Council (IBC) called Measuring Stakeholder Capitalism – Towards common metrics and consistent reporting of sustainable value creation. This contains 21 core metrics and 34 expanded metrics with the goal of creating a global reporting system. The framework divides the metrics into four areas — principles of governance, planet, people, and prosperity — that serve as the foundation for ESG reporting standards. Each of these considers the 17 SDGs: Stakeholder Capitalism SDG Principles of Governance Metrics Stakeholder Capitalism SDG Principles of Governance Metrics SDG12: Responsible consumption and production, SDG16: Peace Justice and strong institutions, SDG17: Partnerships for the goals Stakeholder Capitalism SDG Planet Metrics Stakeholder Capitalism SDG Planet Metrics SDG6: Clean water and sanitation, SDG7: Affordable and clean energy, SD12: Responsible consumption and production, SDG13: Climate action, SDG14: Life below water, SDG15: Life on land Stakeholder Capitalism SDG People Metrics Stakeholder Capitalism SDG People Metrics SDG1: No Poverty, SDG3: Good health, SDG4: Quality Education, SDG5: Gender Equality, SDG10: Reduced Equalities Stakeholder Capitalism SDG Prosperity Metrics Stakeholder Capitalism SDG Prosperity Metrics SDG1: No poverty, SDG8: Descent economic growth, SDG9: Industry innovation and infrastructure, SDG10: Reduced inequalities To Wrap It Up Stakeholder capitalism is concerned not only for the shareholders but for all those who have a stake in the business – the employees, suppliers, customers, partners, society and the planet. To address the challenges of stakeholder capitalism, we must set ourselves to incorporate the ESG (environment, social and governance) principles not only with our reporting systems (or metrics) but also to embed these principles into the fabric of our businesses. We must approach this in such a way that our stakeholders have no doubt that we hold their best interests at heart. We can do this by being transparent in our governance, taking the utmost care to show how we value our people and by making firm decisions that support our environment. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

The UK is facing a business productivity crisis, one we want to fix! Find out why business productivity matters and how we can solve this problem. Data-Driven Performance & ROI Productivity & Performance Management Why Business Productivity Matters COVID-19 has had an impact on worker productivity with many businesses struggling to survive. But there has been a decline in productivity growth in the UK for decades. In fact, the pandemic has highlighted that workers are willing to adopt new strategies and innovative new ways of working. Published on: 4 Jan 2024 COVID-19 has had an impact on worker productivity with many businesses struggling to survive. But there has been a decline in productivity growth in the UK for decades. In fact, the pandemic has highlighted that workers are willing to adopt new strategies and innovative new ways of working. A report from Peldon Rose, “The Office of the Future”, found that 35% of business leaders felt that workplace productivity had improved during the pandemic. Why Productivity Matters for Business Growth and Profitability Discover why productivity is the cornerstone for businesses aiming to drive sustainable growth and long-term profitability. Productivity is one of the primary driving forces behind business success, yet, the UK has witnessed a sustained period of poor productivity growth. In fact, the UK’s level of productivity is over 20% lower than other advanced nations including France, Germany and the US. As Paul Krugman, the Nobel Prize winning economist, said “ Productivity isn’t everything, but, in the long run, it is almost everything. ”. Boost Your SME’s Effectiveness and Profit Margins Pinpointing and solving the right problems today sets the foundation for tomorrow’s growth. By increasing productivity, you enhance profitability, build resilient teams, and reclaim valuable hours. The Hidden Cost of Low Productivity Without operational excellence, your business productivity suffers, making growth slow and eventually halting progress. It’s like pedalling a bike with flat tyres – exhausting and inefficient. But with fully inflated tyres, you move faster, further, and with less effort. Low productivity is the invisible gremlin that drags your business down. Productivity Gremlins Sabotage: Competitive Advantage Team Morale and Mental Health Operational Costs These gremlins often emerge during growth phases, silently eroding efficiency until profitability is compromised. Learn from the Best: The Elon Musk Approach to Productivity How did Elon Musk disrupt industries like banking, space travel, and automotive? By embedding operational excellence into PayPal, SpaceX, Tesla, and The Boring Company. His companies outperform legacy giants through relentless focus on efficiency and innovation. Operational Excellence is Your Competitive Edge It’s no longer enough for your product or service to outshine competitors – your entire customer experience must surpass expectations. Giants like Amazon and Apple redefine service standards, shaping customer expectations across all industries. Eliminate Friction to Drive Business Growth Operational excellence involves aligning every aspect of your business to deliver a seamless, world-class experience. From sales and marketing to HR and customer service, each function must integrate to reduce friction and boost productivity. The Power of Technology and Cross-Functional Knowledge Successful businesses leverage technology to understand customer behaviour and drive personalised experiences. Teams with cross-functional expertise can swiftly identify and resolve issues, strengthening the entire value chain. Toyota: The Benchmark for Operational Excellence Toyota leads the automotive industry through the renowned Toyota Production System (TPS), a model of operational efficiency. This approach is replicated across industries seeking sustainable growth. Transformation Should Be Continuous Process reengineering and business transformation must evolve from periodic, top-down initiatives to ongoing, bottom-up practices driven by employees. Daily incremental improvements across departments fuel long-term growth and resilience. Achieve Enterprise-Wide Operational Excellence Operational excellence must span the entire organisation – from IT and finance to marketing, sales, and beyond. Integrating productivity into every facet of your business secures profitability, customer loyalty, and competitive dominance. Increasing Business Productivity has a Shared Benefit for Everyone Companies benefit from business growth and higher profit margins. Employees have a better working environment, more disposable income and improved career opportunities. And, the government benefits from higher business tax and a stronger economy. We all benefit, as the country becomes richer, the standard of living rises and generates more money to be spent on health, education and welfare. Improving Productivity is about Working Smarter, not Harder Working even harder only lowers productivity through tiredness, mistakes and rework. Low levels of productivity can quickly become a vicious circle. Underpaid, undervalued and underqualified staff have low job satisfaction and therefore, perform poorly. Bosses are then producing and selling less due to poor productivity and, as a result, invest less in their employees which further undermines productivity levels. Important Skills Needed to Improve Business Productivity It is vital that a company’s management team possess excellent communication skills , know how to lead, delegate and most importantly motivate staff. Motivated, engaged and qualified staff take control of their own workload and contribute valuable ideas to the business which, in turn, increases workplace productivity. Sensible HR decisions and ongoing training are essential as employees who are underqualified for their role lack the confidence and skills for optimal performance. Productive staff produce the same amount of work in less time which can give your business a significant advantage over your competitors. Businesses can produce larger quantities, offer a shorter lead time or invest increased time and attention on customer service, therefore clinching an all-important sale. There is a long way to go in solving the productivity puzzle in the UK but it is a vital mission to save the UK business economy. Even a modest improvement in the performance of the bottom 75% of UK companies could generate an additional £130bn each year. This productivity crisis is what inspired us to start our business productivity improvement programme. We know that improving business productivity across the UK would produce huge benefits for not just employees and businesses, but our larger society. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

What is business waste management? Purpose & Sustainability Leadership Sustainability & ESG What is business waste management? From overflowing landfills to toxic waste dumps, the impact of our corporate waste on our environment is far from desirable. Published on: 22 Jun 2023 With businesses generating thousands of tonnes of waste yearly, it’s no surprise that our planet is struggling to keep up. Waste created by businesses is a problem for the environment and the bottom line. Organisations that can reduce their waste can often increase profits and improve their sustainability. In a world where resources are increasingly scarce, looking for ways to reduce waste throughout a business operations is essential. What is business waste management? Waste management is essential to preserving our planet and ensuring its sustainability. With increased awareness about environmental issues, more people are becoming conscious of their waste management practices. Waste management involves collecting, transporting, processing, disposing, and monitoring waste materials. It manages all types of waste, including solid, liquid, and gaseous, and aims to minimise environmental impact while protecting public health. Effective waste management practices typically involve a combination of strategies, including waste reduction and recycling and the safe and responsible disposal of any remaining waste. This can affect the use of landfills, incineration, composting, and other techniques designed to minimise the environmental impact of waste. This has led to the development of new technologies that help reduce the waste generated and ensure it is disposed of properly. Effective business waste management support UN SDG12 , responsible production and consumption. Sustainable consumption and p r oduction is about doing more and better with less and decoupling economic growth from environmental degradation, increasing resource efficiency and promoting sustainable lifestyles. There are various methods of waste management. There are many ways to manage the waste we create , from composting to recycling. Taking care of our waste is essential to protecting our planet. 1. Source Reduction: This involves minimising waste generated by changing production, consumption, and product design patterns, for example, using reusable bags instead of single-use plastic bags. 2. Recycling: This involves the collection, separation, processing, and reuse of materials that would otherwise be thrown away, for example, recycling paper, plastic, metal, and glass. 3. Composting: involves the natural breakdown of organic waste materials, such as food and yard waste, into a nutrient-rich soil amendment that can enrich the soil. 4. Landfills: This involves the disposal of waste in a designated landfill area. Modern dumps are designed to minimise the environmental impact of waste disposal by capturing and treating leachate and landfill gas. 5. Incineration: This involves the burning of waste materials at high temperatures. The generated heat can produce electricity, and the residual ash can be safely disposed of in a landfill. 6. Hazardous waste management: This involves the safe and proper handling, storage, and disposal of hazardous waste materials, such as chemicals, batteries, and electronics. The choice of waste management method depends on factors such as the type and quantity of waste, local regulations, and available infrastructure. A combination of waste management methods should achieve the most efficient and sustainable waste management system. What is e-waste? E-waste, also known as electronic waste, is a term used to describe discarded electronic devices such as computers, televisions, mobile phones, and other electronic equipment. E-waste is generated when electronic devices are no longer needed, obsolete, or replaced by newer technology. E-waste can pose a significant environmental threat if not disposed of properly. Electronic devices contain many toxic and hazardous materials, such as lead, mercury, cadmium, and brominated flame retardants. When these materials are not disposed of properly, they can leach into the soil and water, causing pollution and posing a health risk to humans and wildlife. Therefore, recycling and adequately disposing of e-waste is vital to reduce the environmental impact of electronic devices. Many countries and organisations have implemented e-waste recycling programs to ensure that electronic devices are disposed of safely and responsibly. These programs involve collecting, processing, and recycling e-waste to recover valuable materials and minimise the environmental impact of electronic devices. Electronic waste, or e-waste, is a growing global problem due to the increasing amounts of discarded electronics . In 2023, until the end of April , 16,765,000 tons of electronic waste have been thrown out. It’s a shocking amount, and it’s getting worse as our tech addiction grows more vital. E-waste often contains valuable resources that can be recovered and reused in new products . This makes e-waste a vital issue to address to reduce environmental damage while preserving valuable resources. Examples of e-waste include: Computers and peripherals, such as monitors, keyboards, and printers Mobile phones and other handheld devices Televisions and other electronic appliances, such as refrigerators, air conditioners, and washing machines Electronic toys and games Batteries and chargers Audio and video equipment, such as DVD players and stereo systems Medical equipment, such as X-ray machines and laboratory instruments Solar panels and other renewable energy equipment Cables and wiring Electronic components, such as circuit boards and hard drives Five simple steps to dispose of domestic e-waste: Getting rid of old gadgets can be a hassle, but it’s essential to do it right. Not only do we need to prevent environmental pollution, but we also want to make sure we recycle valuable materials. 1. Donate or sell: If your electronic device is still in working condition, consider donating it to a charity or selling it to someone who can use it. 2. Recycle: Many cities have e-waste recycling programs that allow you to drop off your electronic devices at designated locations. These programs ensure that electronic devices are properly recycled and that hazardous materials are disposed of safely. 3. Manufacturer take-back programs: Many electronics manufacturers offer take-back programs that allow you to return your old devices to the manufacturer for proper disposal. 4. Find a certified e-waste recycler: Look for an accredited e-waste recycler who follows responsible recycling practices and does not export e-waste to developing countries. 5. Erase personal data : Before disposing of your electronic device, be sure to erase any data. Proper disposal of e-waste is vital to prevent environmental and health hazards. How can businesses measure waste reduction? There are several ways that companies can measure their progress in reducing waste. The first step in waste reduction is to conduct a waste audit. This involves assessing the types and amounts of waste generated by your business. It will help you identify the areas where waste can be reduced and set targets for future waste reduction. By conducting periodic audits, companies can identify trends in their e-waste generation and track progress towards their reduction goals. Track your waste reduction progress ; you can measure waste metrics such as the overall amount of waste generated, the amount of waste diverted from landfill, and the cost of waste disposal. You can use this data to set targets for reducing waste and to identify areas where improvements can be made. A waste management plan can help businesses reduce waste and track progress. A waste management plan outlines a business’s actions to reduce its waste, including setting reduction targets and identifying specific waste reduction initiatives. There are several waste management software options available that can help businesses track their waste reduction progress. These systems provide real-time data on waste generation and disposal and can help companies identify improvement areas. By measuring waste reduction , businesses can identify areas for improvement, set targets for reducing waste, and track their progress. This not only helps the environment but can also lead to cost savings and increased efficiency in operations. Businesses can track the amount of e-waste they dispose of and compare it to previous years. This can help them identify any reductions in e-waste generation. Tracking the amount of e-waste that is recycled can also help businesses understand the impact of their e-waste reduction efforts. For example, they can measure the percentage of recycled e-waste versus those sent to landfill and compare it to previous years. E-waste generates significant carbon emissions so that businesses can track the reduction in emissions associated with their e-waste reduction efforts. In addition, they can calculate the carbon emissions associated with their e-waste generation and compare it to previous years. Businesses can engage employees in their e-waste reduction efforts by encouraging them to track the e-waste they generate and recycle. They can then use this data to calculate the reduction in e-waste generated by employees. Overall, measuring an e-waste reduction requires businesses to track their e-waste generation, recycling, and carbon emissions over time. By doing so, they can identify areas where they can improve their e-waste reduction efforts and track their progress towards their goals. Businesses can benefit by reducing waste It may be tempting to discard old electronics without considering their environmental impact; businesses that do so will likely find themselves paying a hefty price. Not only is e-waste creating an enormous environmental burden on our planet, but it can also have a considerable financial cost for businesses. Disposing of old electronics is quickly becoming one of the most significant expenses associated with running a business. This can include costs such as transport and storage fees and the need to hire additional employees or contractors to manage the disposal process. In addition, businesses must also pay for the necessary certifications for proper disposal of electronic waste. All these costs add up quickly, making it increasingly important for companies to focus on. However, reducing e-waste is more than just an environmental responsibility; it is a way for businesses to increase their profits. It has been estimated that reducing e-waste can save a company up to 30% on its operational costs. To reduce e-waste, businesses must start looking for ways to reuse or repurpose their obsolete electronics. By doing so, they can use the materials already used in the device’s production and extend its lifecycle, saving time and money. For example, refurbishing an old laptop and reselling it as a second-hand model will cost less than buying a new one. In addition, this kind of strategy reduces the amount of waste created and provides an additional source of income for a small business. Businesses can also look to donate their old electronics to organisations that can use them. This can reduce the waste businesses create while providing a valuable resource for those in need. Finally, businesses should look for ways to improve their recycling and disposal processes. By increasing oversight of their e-waste disposal and investing in new technologies such as shredders or furnaces, businesses can further reduce the amount of waste they create and ensure that any remaining materials are appropriately disposed of. 5 ways to reduce waste management costs 1. Lower material costs: Reducing business waste can increase profit in several ways. First, waste reduction can lead to cost savings by minimising the resources, materials, and energy used in production, resulting in lower operational expenses. This can be achieved by implementing practices such as recycling, reducing energy consumption, and optimising production processes to eliminate inefficiencies. Reducing waste can enhance a business’s reputation and appeal to consumers who are increasingly conscious of the environmental impact of their purchasing decisions. This can result in increased sales and customer loyalty and the potential to attract new customers who prioritise sustainable products and practices. 2. Reduce disposal costs: Proper waste management can reduce disposal costs associated with waste removal and treatment, leading to cost savings and increased profits. By minimising waste in production processes, businesses can reduce the amount of waste generated, reducing the amount of waste that needs to be disposed of. This can be achieved by implementing practices such as recycling, reusing materials, and optimising production processes to eliminate inefficiencies. 3. Avoid Fines : Reducing waste can also help businesses avoid fines and penalties associated with improper waste disposal. Many authorities have strict regulations governing waste disposal, and companies that fail to comply with these regulations can face significant fines. 4. Increased efficiency : Reducing waste in business can lead to increased efficiency in several ways. First, by minimising waste in production processes, companies can optimise their use of resources, reducing the amount of materials, energy, and time needed to produce their products. This can be achieved by implementing practices such as lean manufacturing, process optimisation, and waste reduction initiatives. Another positive is improved inventory management, as businesses can better track and manage their raw material inventory levels. This can result in more efficient ordering processes, reducing the need to stockpile excess materials that may go unused. It can also lead to improved workplace safety and cleanliness. 5. Improved reputation : A company committed to sustainability and responsible waste management practices can enhance its reputation and attract environmentally conscious customers, increasing sales and profits. Businesses prioritising waste reduction and sustainability demonstrate their commitment to environmental management, which can be attractive to customers who are increasingly conscious of the impact of their purchasing decisions. This can lead to increased sales and customer loyalty and the potential to attract new customers who prioritise sustainable products and practices. Finally, reducing waste can help businesses avoid negative publicity and reputational damage associated with improper waste disposal or environmental violations. By implementing best practices in waste reduction and environmental management, companies can mitigate the risk of negative publicity and reputational damage. In conclusion, reducing e-waste is an essential environmental responsibility and a great way to increase profits for businesses. By focusing on reuse, repurposing, and better disposal methods, companies can reduce their operational costs and provide valuable resources to those in need . If businesses can effectively implement these strategies , they will be sure to see an increase in profits while positively impacting the environment. Overall, reducing waste in business can have significant positive impacts on both the bottom line and the environment. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. 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Business skills enable individuals and teams to operate effectively, the organisational structure provides the framework for how the skills are organised. High-Performance Culture & Talent Leadership & Management Development 8 Essential Business skills and closely related organisational structure. Business skills enable individuals and teams to operate effectively, the organisational structure provides the framework for how the skills are organised. Published on: 22 Jul 2021 What business skills do you think are essential to the success of your business? As consumer needs have changed and markets have become increasingly competitive, it’s never been more vital for business owners, CEOs and modern financial directors to possess a wider variety of skills to ensure their business is operating at its peak performance. This is exactly what our business improvement framework addresses; all the essential business skills necessary to run a business in the 21st century. In this article, we’ll be looking at the eight core business skills, as well as how to improve business skills to maximise your businesses’ productivity, performance and profitability. What are the Essential Business Skills? Business skills can be defined simply as all the necessary skills needed to succeed in running a business. The main business skills break down into the following core categories that relate to running a business: People Risk Quality Communications Workflow Leadership Money Beliefs Without any of these eight core aspects and the correlating business skills addressed, you’ll struggle to maintain a productive workplace that grows long-term. Twenty-first century business and social skills are discussed further as belonging to five core areas; collaboration, communication, creativity, critical thinking skills, civic and cultural skills. How are organisational structure and business skills related? Organisational structure and business skills are closely related and mutually influence each other. The organisational structure provides the framework for how work is organised, while business skills enable individuals and teams to operate effectively within that structure. The interplay between organisational structure and business skills is crucial for achieving operational efficiency, adapting to change, and fostering effective leadership and collaboration within a business. Here’s how organisational structure and business skills are connected: Alignment: Organisational structure provides the framework for how work is divided, roles and responsibilities are defined, and reporting relationships are established within a business. Business skills help individuals and teams understand and adapt to the structure, ensuring that they align their skills and expertise with the organisation’s needs. Efficiency: A well-designed organisational structure promotes efficiency by clarifying lines of authority, communication channels, and decision-making processes. Business skills, such as time management, problem-solving, and collaboration, enhance productivity within the structure by enabling employees to effectively utilise available resources and make informed decisions. Adaptability: In a dynamic business environment, organisations often need to adapt their structures to remain competitive. Business skills play a crucial role in managing these changes, as they empower individuals to be flexible, embrace new roles and responsibilities, and acquire the skills required to succeed in different organisational structures. Leadership: Organisational structure establishes reporting relationships and hierarchies, defining the roles of leaders within the organisation. Effective leadership requires a range of business skills, including strategic thinking, communication, delegation, and team management, to guide and motivate employees within the given structure. Talent management: Organisational structure influences how talent is identified, developed, and utilised within a business. Business skills are essential for hiring managers and HR professionals to identify and recruit individuals with the necessary skills and competencies that align with the structure. Additionally, business skills enable employees to enhance their career progression within the organisation by acquiring new skills that align with the evolving structure. Communication and collaboration: Organisational structure affects communication flows and collaboration patterns within a business. Business skills such as effective communication, active listening, negotiation, and teamwork enable individuals to navigate and optimise these structures, fostering collaboration, innovation, and problem-solving across different functions and levels of the organisation. Why are Business Skills Important? The importance of business skills should be apparent from the above statement, but we’ll elaborate. Your business can benefit from business skills by allowing your company to: Continuously improve your operations, product and customer experience Maintain and improve quality Better manage risks and identify opportunities Build excellent relationships with customers, suppliers and other external stakeholders Create a strong and productive company culture Motivate and inspire employees to perform to the best of their ability Innovate and create to maintain a competitive advantage Increase operational performance and profitability through better planning and management Better align business strategy across the entire business to achieve long-term business goals Improve financial management to maximise business resilience It’s worth pointing out, these are just the highlights of the potential benefits a wide array of strong business skills can have for your business. Without further adieu, let’s dive into each category and examine the essential business skills involved in each. Essential People Management Skills It is people at the heart of every business, not machines. Currently the UK is in a business productivity crisis, at an average of 17% lower productivity than other leading G7 nations like France and the USA. Much of this comes down to poor employee engagement. A Gallup survey reveals just 8% of UK employees are engaged at work. Your employees are the key to unlocking business productivity and increasing performance and profitability in turn. This is why people skills are so vital for business owners. The key people skills in business are: Management skills Leadership skills Emotional intelligence Team building skills Conflict resolution skills Networking skills Management skills alone covers a whole host of skills in itself! This includes things like delegation skills, time and resource management, decision making skills, organisational skills, collaboration and coordination skills and so many more. These are what we’d call the hard skills involved in management, but the soft skills are just as important, if not more so. Soft skills for people management include leadership skills, emotional intelligence, conflict resolution skills and team building skills. At points, they’re all intrinsically tied. Leadership skills are a vital component of management. If employees don’t feel they have a manager who can lead and direct them, engagement will decrease and the team will be aimless. A huge part of being able to lead a team stems from being able to understand them. This is where emotional intelligence comes in as a key business skill. Emotional intelligence helps us understand why people behave the way they do. This can help build better, more productive teams by understanding the intrinsic motivations that drive people. Emotional intelligence can also help in conflict resolution. Conflicts in the workplace happen. People are, after all, incredibly different. Knowing how employees will react to a certain event, workload and so on can help reduce conflicts in the first place, but having the emotional intelligence to empathise with issues and come to more agreeable resolutions is an essential business skill for any manager, team leader or business owner. All these skills above combined help create team building skills. Strong teams are the foundation of any productive workplace. But these don’t just magically appear (unless you’re very lucky!). Teams are tactically built through selective hiring, managed through excellent leadership and behaviour modelling and maintained through emotional intelligence to continuously inspire and motivate employees. Last but by no means least, the employees in your workplace aren’t the only place where your people skills are vital. You’ll also need networking skills to connect with external stakeholders, suppliers and more. Risk Management Skills Understanding risk is a vital business skill. Entrepreneurs and business owners are certainly natural risk-takers, as otherwise they would never set up a business in the first place. But to navigate risks, as well as opportunities, successfully, these risks need to be calculated, not just done for the thrill of it. Risk management involves several key skills, in main: Good understanding of data Analytical thinking Decision making skills Problem solving skills The huge swathes of data available to businesses now means business owners must have a solid foundation of data comprehension within their skillset. However, data alone does not navigate risks. Business owners must be able to take the insights revealed from data and apply analytical thinking and problem solving skills to figure out how to best utilise that data to aid decisions. Ultimately, these aid stronger decision making skills. Decisions based on data as well as firm reasoning help businesses better navigate risks and opportunities and lead to better outcomes. Quality Management Skills Quality is so often defined as “ fit for purpose ”. This idea of quality suggests that the minimum standard is the quality standard that businesses can aim for. It’s a dated idea and one of the reasons many businesses struggle with long-term growth; as they lack the vision to see beyond the current way things are. Quality should instead be thought of as a process of continuous improvement. That is, businesses should always be aiming to improve quality. Whether that be the quality of their customer experience , the quality of their service or product or the quality of their operations. Much of the research and talk around continuous improvement is thought only to apply to the manufacturing and automotive industries, for example lean six sigma. But it’s not the case. Business owners can use their skills to create a culture of continuous improvement. They can achieve this by documenting business processes to allow them to be measured, analysed and reviewed for potential improvements. This involves both data and analytical skills as well as planning skills to successfully implement developments. Communications Skills Your communications are how you connect with people, both internally and externally. Communication skills are therefore vital to running a successful business. Of course, there are communication skills that business owners (and employees!) should possess on an individual level. This includes skills like active listening , questioning skills , verbal communication skills, written communication skills, public speaking skills and interpersonal skills. These individual skills help aid the wider business skills needed for communications. These come in the form of: Marketing, advertising and sales skills Customer service skills IT skills Marketing and advertising are a business’s main form of communication with their customers. The skills needed to successfully market your business are vast. There are hard skills such as digital media skills, commercial awareness and digital analytics skills as well as softer skills like storytelling skills, creativity and more. While business owners don’t need to possess all these skills themselves, the business as a whole needs to have individuals who can offer these skills and knowledge. While sales is intrinsically linked to the marketing department, there are some unique business skills necessary. For starters, negotiation skills have to be top of the agenda for both individual sales employees, but also for those operating at a senior level. There is no one approach to negotiation that is guaranteed to work, instead negotiation skills often come down to reactivity and flexibility. Customer service is another vital aspect of businesses. It is one of the few areas where businesses stand out from competitors in a market where price points and margins have become slimmer and slimmer. The individual skills mentioned above matter here, but what matters more is ensuring everyone in your team has them to ensure an excellent customer service experience every time. Technology and communications are irrevocably interlinked in the 21st century. We use a huge range of communication tools for both internal and external communications. As such, a firm understanding of the best technologies available to aid your businesses communications is a vital business skill for long-term growth. Workflow Management Skills Workflow management services and skills focus on the day-to-day operations that keep your business running smoothly. These services involve the essential technical expertise needed to optimise processes and ensure high-performance business operations. Project management and planning is an essential business skill to ensure optimal workflow. Business owners in particular, as well as other senior leaders, are needed to be in more places than ever at any given time. Effective management of time, resources, money and employees will help operational performance. Time management is a particular trap many business owners and leaders seem to fall into. This in turn, makes delegation a key business skill. Time is our most precious resource and leaders should spend theirs on the activities that generate the most revenue, not activities that they simply feel unable to delegate. Though we’ve mentioned management skills above, it’s worth expanding on here as management skills are essential for a well-functioning workplace. Gallup research reveals that managers alone account for at least 70% of variance in employee engagement scores. As we’ve already highlighted, businesses with low employee engagement are businesses with low productivity. To improve operational performance therefore means having the right managerial skill set to ensure employees across the business are engaged daily. Leadership Management Skills Though leadership also takes many other skills which we’ve discussed throughout this article, it all starts with a business vision. When people first start their business, they have a clear vision in mind. But as months and years go by, the day to day operations tend to get in the way and the original. vision can often fall into the background. A business vision is what ties a business together. It gives employees a collective goal to work towards together and ultimately ties each department together with a clear destination. The business skills involved in creating a cohesive business vision are: Conceptualisation and creative thinking Building mission statements Identifying objectives Critical thinking Strategic planning Creating a business vision begins with creative thinking. After all, you need an idea. More importantly, you need an idea that solves a problem. Then you need to conceptualise that idea into a more coherent goal with a matching strategy. Building your mission statements is a key element of your business vision. This is your purpose for being. This is the reason your employees come to work everyday. Mission statements allow employees to see beyond the end of their desk and instead focus on the larger goals, which can motivate and inspire them. Once you have your mission statements, you can identify business objectives that will allow you to reach them. This will take a lot of critical thinking and strategic planning to create realistic, achievable goals that align with your overall business vision. Financial Management Skills Businesses need to make a profit, or at the very least break even in the first few years. To achieve this, business owners or financial directors need a range of financial skills to ensure business viability. Financial business skills include: Accounting, banking and bookkeeping Financial reporting Business intelligence An understanding of economics Cash flow management A basic understanding of economics is a valuable asset in business, particularly a more up to date understanding wherein businesses realise the value they can create externally for economies and societies. Alongside this there are a range of fundamental financial skills necessary to run a business successfully. This includes accounting and bookkeeping to ensure good money management, as well as to aid transparent financial reporting. Ultimately, it ensures businesses are running a robust financial strategy without room for error. Business intelligence combines business analytics, data and infrastructure to help businesses make better financial decisions. This could be identifying areas of the business where the most value could be created with additional funding or any number of other ways. Business owners and FDs must have a firm grasp of business intelligence data to maximise these opportunities and increase their competitive advantage. For SMEs in particular, cash flow is the most common issue faced. Around 57% of small businesses in the UK have experienced issues with cash flow. This makes sense. Cash flow is the lifeblood of a growing business. If mismanaged, the consequences are dire. Knowing how to monitor, protect, control and utilise your cash flow is an essential business skill. Core Beliefs and Values Our beliefs are our core values. They’re why we do what we do. They’re why you started a business. They’re why your employees come to work. Company cultures are the success or failure of a business and they are all based on the core values and beliefs we hold. Research backs this up: 46% of job seekers say company culture is very important when choosing to apply to a company. 91% of managers say a candidate’s alignment with company culture is equal or more important than skills and experience. 47% of active job seekers say company culture is their driving reason for looking for work. 35% of workers say they’d pass up a job offer if the company culture wasn’t the right fit. All this to say, a weak company culture is derived from a lack of shared beliefs and values. To create a successful company, everyone in the business must understand the value of the work they’re doing and how it is contributing not only to the business and the customer, but to wider society. The core values and beliefs that drive your company, only you know. But in general, companies with a strong culture share the following core values and beliefs: Passion Integrity Positivity A commitment to equality, fairness and inclusivity Flexible working practices A commitment to mental health and well-being A commitment to environmental responsibility The Core Business Skills are Intrinsically Tied As you can see, though our business improvement framework addresses all of the essential business skills necessary to run a successful business, there is much overlap between the areas. This is because to survive in the 21st century, businesses need to take a more integrated approach. Departments can no longer be siloed with little purpose, employees can no longer exist within static job descriptions and businesses can no longer run using the same management practices as the 19th and 20th century. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. 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Purpose-driven businesses motivate staff, creating more value, happier customers and much more. Find out more about being a purpose-driven business. Purpose & Sustainability Leadership Sustainability & ESG 15 Benefits Of Being A Purpose-Driven Business Businesses need to be seen as places where people look forward to going to work. They need to have a purpose beyond mere profit, becoming a place that people want to buy from and which connects emotionally with both customers and staff. Published on: 16 Feb 2023 Businesses need to be seen as places where people look forward to going to work. They need to have a purpose beyond mere profit, becoming a place that people want to buy from and which connects emotionally with both customers and staff. Being a purpose-driven business, with a purpose beyond just profit motivates and engages your staff. Recent research shows they outperformed the financial markets by 42%. The problem is that we’re coming up against inertia and the fact that as a general rule, people prefer to play it safe instead of taking risks. They don’t want to do something unless hundreds of other people have already done it. That can be a problem, especially if it holds people back from being less transactional in their approach. Transactional businesses are a thing of the past, and relational, purpose-driven businesses are the way of the future. Here are just fifteen of the main reasons why. Purpose-driven business benefits 1. Staff are more motivated When your staff connect with your purpose, and when their purpose and your purpose are the same, they’ll feel more engaged and more involved in the workplace. This boosts staff motivation across the business, to the point at which their motivation will be noticed by your customers. This brings us on to our next point. 2. Customers are happier When your customers feel like they’re part of a bigger picture, they’ll be more loyal to the business. This means that they’ll spend more money with you, they’ll be more likely to recommend you to others and they’ll be more likely to forgive your mistakes if you’re unfortunate enough to make them. 3. Improved business performance When everybody is all aligned and pointing in the same direction, they’re more likely to work better together and to find ways to solve problems more quickly. It’s like having all hands on deck and getting them to row in the same direction at the same time instead of just allowing every sailor on your ship to do whatever they feel like. 4. An improved business culture Your culture is the glue that holds your business together. It will make your business a place that people can’t wait to arrive at and where they feel more reluctant to leave at night. Everybody will have an increased sense of recognition and reward. 5. Less stress Who wants to go to work every day and feel stressed from the moment they arrive until the moment they leave? Nobody, that’s who. The best companies go out of their way to keep stress to a bare minimum, and because of that they make more money and are easier places to work in. It’s better for employees’ mental health, too. 6. Increased employee retention and lower churn rates When staff leave, it’s very damaging to businesses and service can get disrupted. In fact, replacing staff costs British businesses over £4 billion every year , and it’s easy to see why when you factor in training costs and disruption. Being a purpose-driven business can boost employee retention and help to combat this. 7. Creates value with improved relationships Developing a purposeful business goes hand-in-hand with adding value and improving your business’s relationships with customers. With purposeful businesses, value is created more easily and it’s invested in relationships that last. 8. Creates trust with improved relationships Along with adding value, becoming a more relational business will also lead to an increased amount of trust. When people feel a connection with you, your brand and your purpose , they want to buy into that as well. They’re more likely to trust you. 9. Doesn’t get commoditised quite so easily or need to fight on price When your company doesn’t have any special purpose to it, you end up competing on price because your product or service has nothing to distinguish it from those of your competitors. When you develop a purpose, your products become more than just things and your services become experiences. And when all that happens, people will be more than happy to pay a premium, which you can then reinvest in better catering to their needs. 10. Less sensitive to market conditions Purpose-led businesses are much less sensitive to market conditions. If your purpose is weak, your relationships will be, too. As the market starts to turn, and as competitors start to innovate more quickly, your sales will slide away as with lower loyalty and need, your products will be more forgettable. 11. Less vulnerable to boom and bust sales cycles In any business, sales come infits and starts. They can be great one month and terrible the next. With a less purposeful business, you’re more vulnerable to these boom and bust sales cycles. This forces you to spend more time pushing your company with marketing activity or a renewed sales drive. Otherwise, the sales come in and then quickly peter out. 12. Higher innovation Innovation doesn’t have to mean finding a new way of reaching Mars. A novel way of taking payment that’s easier and more secure, for example, is equally good. Ensuring that purpose is rooted throughout your business means that people will feel more empowered to act creatively and to take measured risks. 13. Higher staff productivity More motivated, more engaged, better organised and more focused staff will lead to higher levels of productivity. This can cut costs and boost profitability, ultimately becoming a competitive advantage for you. More productive staff will also feel more accomplished at the end of the day. 14. Stronger brand When you focus on developing and showing purpose, you create memorable experiences and develop a much stronger brand. Creating experiences and demonstrating their purpose (empowering extreme sports people and athletes) is what’s enabled Red Bull to build the global brand that they have today. 15. Creates more positives reviews People like to help people who help them. By creating a purposeful business and helping your customers to live their best lives, you’re more likely to create a general sense of positivity around your business. This means you’ll be more likely to gain followers, to earn positive reviews and to pick up business through referrals. Conclusion Now that you know just fifteen of the benefits of putting purpose first when it comes to the way you’re doing business, it’s time for you to rethink your approach to doing business. Becoming a purpose-driven business will give you the benefits we’ve talked about in this article, but there’s one other benefit that we haven’t talked about: it’s the right thing to do. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Discover how a CRM can help grow your business by improving customer retention, streamlining sales and marketing, and enhancing productivity. Learn key strategies to maximise your CRM for sustainable business success. AI-Powered Process Excellence Technology & Digital Innovation How to Grow Your Business with a CRM Unlock Growth with a CRM: Streamline Sales, Enhance Customer Loyalty, and Boost Business Efficiency Published on: 1 Mar 2023 A well-managed Customer Relationship Management (CRM) system is one of the most powerful tools for driving business growth. Beyond simply storing customer information, a CRM allows businesses to streamline processes, improve communication, and build long-term relationships with customers. By consolidating all customer interactions in one place, it enables businesses to better understand their customers' needs and preferences, which ultimately enhances customer satisfaction and loyalty. Not only does a CRM help retain existing customers, but it also plays a critical role in boosting sales and marketing efforts. By analysing data captured through the CRM, businesses can identify trends, segment their audience more effectively, and personalise marketing campaigns. This targeted approach leads to higher engagement rates and more successful conversions, making the CRM an indispensable tool for lead generation. Additionally, a CRM system can improve service delivery by providing customer support teams with a detailed history of customer interactions, ensuring that issues are resolved more efficiently and effectively. This level of insight empowers customer service representatives to provide a more personalised experience, which builds trust and strengthens the customer relationship. As Peter Drucker famously said, "The purpose of a business is to create and keep a customer." A CRM system helps businesses achieve this by not only retaining customers but by ensuring that every interaction – whether through sales, marketing, or customer service – is meaningful and beneficial for both the business and the customer. By implementing a CRM , businesses can optimise their operations, improve customer relationships, and maximise profitability, creating a strong foundation for sustainable growth. By automating many routine tasks, such as follow-up emails, meeting reminders, and data entry, a CRM allows businesses to free up valuable time and resources that can be invested in more strategic areas. This improved efficiency leads to increased productivity and better decision-making, as businesses are armed with real-time insights into their customers and operations. Ultimately, the true power of a CRM lies in its ability to integrate various business functions, ensuring that everyone from sales teams to customer support has a unified view of the customer journey. This alignment not only helps optimise performance but fosters a more cohesive and customer-centric business approach, ensuring that customers remain at the heart of everything the business does. Why Customer Retention Matters More Than Acquisition Acquiring new customers is 5-10 times more expensive than retaining existing ones. This significant cost disparity is often overlooked, as many businesses direct their efforts toward attracting new customers instead of optimising relationships with their current ones. The focus on acquisition can be detrimental to long-term growth, as businesses frequently fail to realise the untapped potential within their existing customer base. Customer retention is essential because it leads to higher lifetime value, repeat business, and greater overall profitability. Satisfied and loyal customers are not only more likely to make repeat purchases but are also more inclined to refer others, creating a reliable stream of organic growth. Moreover, these customers require less marketing investment, as they have already built trust in your product or service. A Customer Relationship Management (CRM) system plays a vital role in maximising customer retention by providing businesses with valuable insights into their customers’ needs, preferences, and behaviours. With this data, businesses can personalise interactions, target customers with tailored offers, and pre-emptively address concerns, which keeps customers engaged and nurtures their loyalty. By leveraging existing customer data, businesses can ensure they deliver a consistently positive experience that encourages long-term commitment. In the competitive market landscape, customer retention not only reduces the costs of marketing and acquisition but also helps establish a more stable, predictable revenue stream. Therefore, businesses should shift their focus to prioritising retention and engagement, using tools like CRM systems to strengthen their customer relationships and ultimately drive sustainable growth. Common Sales and Marketing Challenges Many businesses face significant challenges in their sales and marketing efforts, which can hinder their ability to achieve sustainable growth. These challenges often stem from inefficiencies in processes, data handling, and communication. Some of the most common obstacles include: Unstructured Sales Processes Leading to Missed Targets Without a clear, well-defined sales process, businesses risk missing key opportunities and failing to meet their targets. Sales teams may struggle with inconsistent follow-ups, disorganised tracking of prospects, and unclear next steps. This lack of structure can lead to missed sales, lost leads, and ultimately, unmet revenue goals. A CRM system helps by organising the entire sales pipeline, providing sales teams with a clear roadmap of what to do next and ensuring no opportunity falls through the cracks. Inaccurate or Misaligned Marketing Data Marketing efforts can be rendered ineffective when the data used to guide decisions is inaccurate or misaligned with customer needs. When businesses rely on fragmented, outdated, or incomplete data, they risk sending irrelevant messages, targeting the wrong audience, or misjudging the success of campaigns. A CRM system integrates data across various marketing touchpoints, ensuring that marketing teams have access to up-to-date, reliable customer insights. This allows for better segmentation, more personalised campaigns, and improved targeting strategies that resonate with customers. Poor Customer Service Damaging Reputation and Loyalty Customer service plays a critical role in maintaining a positive brand reputation and fostering long-term customer loyalty. When businesses fail to respond promptly to customer inquiries, mishandle complaints, or lack a clear follow-up process, they risk damaging their relationships with customers. This can lead to negative reviews, customer churn, and a diminished brand image. A CRM system enhances customer service by centralising customer information, making it easily accessible to service teams. This enables quicker response times, more effective issue resolution, and a more personalised customer experience that strengthens loyalty. High Sales Team Turnover Disrupting Client Relationships High turnover rates among sales staff can create instability in client relationships and disrupt the continuity of communication. When a sales representative leaves, there is often a gap in service, and clients may feel neglected or uncertain about who to turn to for assistance. This can harm the business’s ability to retain clients and maintain revenue streams. A CRM system mitigates this issue by centralising customer data, making it easily transferable to new team members. This ensures a smooth transition and continuity in client relationships, even during times of turnover. A CRM system directly addresses these challenges by centralising customer data, improving communication, and streamlining workflows. It helps create a more organised, efficient, and responsive sales and marketing operation. By providing real-time insights, automating routine tasks, and facilitating collaboration, a CRM empowers businesses to optimise their processes, deliver better customer experiences, and ultimately, improve their bottom line. Six Key Steps to Growing Your Business with a CRM Establish a Scalable Organisational Structure As your business grows, the complexity of managing customer relationships increases. A well-structured organisation ensures that roles, responsibilities, and workflows align with your CRM strategy. Define clear ownership over customer data, sales processes, and marketing efforts to prevent inefficiencies and duplication of work. By structuring teams effectively—such as assigning dedicated CRM administrators, sales pipeline managers, and customer success specialists—you create accountability and streamline operations. Additionally, consider how your CRM supports cross-functional collaboration. Departments must work together seamlessly, sharing insights and customer data in real-time. A rigid or siloed organisational structure can hinder CRM adoption and limit its benefits. Instead, encourage a culture of shared responsibility, where employees leverage CRM tools to enhance decision-making and improve customer experiences. A scalable structure also ensures your CRM remains effective as your business expands. Regularly reviewing and adjusting team roles, reporting structures, and workflows will help maintain agility and drive sustained growth. Organise and Clean Customer Data A CRM system helps businesses centralise all customer data into one system, eliminating the need for scattered spreadsheets and disconnected databases. This consolidation ensures that customer information is accurate, accessible, and easy to update. Maintaining clean data is crucial for effective decision-making. Regularly updating customer records is essential, as research shows that 70% of customer information becomes obsolete each year. Moreover, businesses must comply with data protection regulations, ensuring that personal information is handled responsibly, and that proper permissions are obtained for marketing purposes. Poor data quality can have significant financial repercussions, as it is estimated that poor data quality wastes up to 21% of marketing budgets. By keeping your data organised and up to date, you can ensure more efficient marketing campaigns, improved targeting, and enhanced customer interactions. Profile and Segment Customers The 80/20 rule, or Pareto Principle, suggests that 80% of your revenue often comes from just 20% of your customers. A CRM enables businesses to identify and focus on these high-value customers. By profiling customers based on key characteristics—such as demographics, behaviours, and purchase history—you can create more effective segmentation strategies. This allows you to tailor your marketing and sales efforts to target the most profitable customer segments. Additionally, a CRM helps businesses track customer lifetime value (CLV), which provides insight into which customers are worth investing in. Moving customers up the value chain, such as transitioning them from Bronze to Silver to Gold status, can be achieved by offering personalised experiences, exclusive offers, or loyalty rewards. This segmentation helps you maximise revenue and foster long-term customer relationships. Develop a Clear CRM Vision and Strategy A CRM system is more than just a tool—it should be a core component of your overall business vision and strategy. Before selecting and implementing a CRM , define a clear CRM vision that aligns with your long-term business goals. This vision should outline how the CRM will enhance customer relationships, improve operational efficiency, and support business growth. A well-defined CRM strategy ensures that the system is not just a repository for customer data but a driver of business success. It should integrate seamlessly with your existing Business Management System (BMS) and support key functions such as sales, marketing, customer service, and operations. Involving key stakeholders—across all relevant departments—during the planning phase ensures alignment and maximises adoption. Without a clear strategy, CRM implementation can lead to underutilisation, inefficiencies, and wasted investment. To prevent this, establish measurable objectives for the CRM, such as improving customer retention, increasing sales conversions, or enhancing data-driven decision-making. Additionally, ensure the system is flexible enough to evolve with your business, allowing for scalability and continuous improvement. By embedding CRM into your broader business strategy and maintaining a clear vision, you can create a customer-centric organisation that leverages data, automation, and workflows to drive sustainable growth. Implement a CRM System as Part of Your Business Management System When selecting a CRM system, it’s essential to ensure it functions as an integrated component of your overall Business Management System (BMS) . A CRM should not operate in isolation but work seamlessly with other critical business functions such as finance, operations, and customer support. Off-the-shelf solutions may offer broad features, but they must be aligned with your specific business strategy and operational workflows to drive real value. Involving key stakeholders—such as sales, marketing, operations, and customer service teams—during the selection and implementation process ensures the CRM is adopted successfully and meets the needs of those who rely on it daily. A poorly integrated CRM can create silos, reduce efficiency, and lead to underutilisation, confusion, and wasted investment. For long-term success, the CRM must integrate with existing systems, such as Enterprise Resource Planning (ERP), project management, and workflow automation tools. This integration enables a single source of truth, streamlines processes, and provides a 360-degree view of business performance. Additionally, the system should be flexible enough to adapt as your business scales. By embedding CRM into your Business Management System, you create a structured, data-driven approach to customer relationships, ensuring consistent processes, improved decision-making, and sustainable growth. Strengthen Customer Relationships A CRM system is more than just a database for storing customer information—it’s a powerful tool for managing relationships. By engaging with customers at the right time and in the right way, businesses can build trust and foster long-term loyalty. A CRM allows you to track every interaction with a customer, whether it’s a phone call, email, or social media engagement. This helps you maintain a complete view of each customer’s journey and personalise communication based on their needs and preferences. By understanding customer behaviour and anticipating their needs, businesses can deliver a more tailored experience that resonates with their audience. Engaging customers in meaningful ways at every touchpoint increases satisfaction, boosts loyalty, and drives repeat business, ultimately contributing to business growth. Establish Standard Operating Procedures (SOPs) for CRM A successful CRM system relies on consistency and clear processes. Establishing CRM Standard Operating Procedures (SOPs) ensures that all employees follow best practices when using the CRM, leading to better data accuracy, improved efficiency, and a more structured approach to customer relationship management. SOPs should cover key CRM functions, including data entry, customer interactions, sales pipeline management, reporting, and compliance with data protection regulations. Clearly defining these procedures helps prevent inconsistencies, reduces errors, and ensures that teams leverage the CRM effectively. Regular training and updates to SOPs are essential to keep up with evolving business needs and technological advancements. By embedding CRM processes into everyday operations, businesses can drive adoption, maintain high data quality, and maximise the CRM’s value across departments. CRM as a Traffic Light System for Relationship Management A well-implemented CRM system functions as a traffic light for managing customer relationships , providing businesses with a simple yet powerful visual approach to track and prioritise interactions. By categorising customer relationships into three distinct signals—Red, Orange, and Green—it helps businesses stay on top of their customer engagement efforts, ensuring timely actions and fostering long-term loyalty. This method helps sales, marketing, and customer service teams focus their efforts on the right customers at the right time. Here’s how each colour-coded signal works: Red: Immediate Attention Needed The "Red" signal in a CRM system indicates that a customer’s relationship requires urgent attention. This could be due to a complaint, an unresolved issue, a delayed order, or an unhappy customer at risk of churn. The red status flags these high-priority customers, enabling your team to take immediate action to resolve the situation. By identifying these customers early, businesses can prevent dissatisfaction from escalating, show the customer that their concerns are valued, and rebuild trust. Prompt follow-up at this stage can turn a potentially lost customer into a loyal one, preventing negative reviews and enhancing reputation. Orange: Upcoming Engagements Requiring Action The "Orange" signal serves as a warning or reminder of upcoming engagements that require action but are not as critical as those flagged red. These engagements might include follow-ups after a product trial, scheduled service checks, or an upcoming renewal. This phase is essential for maintaining ongoing relationships and ensuring that customers remain satisfied. By monitoring and addressing orange signals in advance, businesses can avoid situations where customers feel neglected or forgotten. It’s about staying proactive—whether it's sending a reminder for a renewal, offering additional support, or addressing an anticipated need, ensuring customers feel valued before their needs become urgent. Green: Relationships Are On Track The "Green" signal means that the relationship with a customer is strong, healthy, and progressing as planned. At this stage, customers are likely satisfied, loyal, and engaged. They may be repeat buyers, regular users, or even advocates of your brand. Green status shows that the customer’s needs are being met, and the relationship is stable. However, it’s important not to become complacent even with green-status customers. A CRM system allows businesses to track this steady engagement and continue nurturing the relationship through regular check-ins, personalised offers, or loyalty rewards. Maintaining a green status ensures that customers remain engaged and continue to generate value for your business over time. This colour-coded system within a CRM offers a visual approach that makes it easy for teams to prioritise their efforts. It helps sales teams focus on customers at risk of churn, while customer service teams can quickly identify those needing urgent support. Marketing teams can also benefit by creating targeted campaigns to nurture relationships in the orange or green zones. By leveraging these signals, businesses can maintain a balanced and proactive approach to customer relationship management, driving engagement, improving retention, and ultimately ensuring long-term success. Customer Experience: The Key to Retention Once a CRM is in place, it becomes crucial for every team member to recognise their role in delivering an exceptional customer experience. Customer experience (CX) is not just the responsibility of the customer service team; it spans across every department, from sales and marketing to product development and after-sales support. A well-integrated CRM helps align all these teams towards a common goal—ensuring that customers feel valued, understood, and engaged at every stage of their journey. Here’s how to leverage a CRM to enhance customer experience and drive retention: Listening to Customer Needs and Mapping Their Journey The first step in delivering an outstanding customer experience is truly understanding the customer’s needs. A CRM system provides a 360-degree view of each customer, capturing their preferences, past interactions, and pain points. By using this data, businesses can listen actively to what customers are saying—whether directly through feedback, surveys, or indirectly through their behaviours—and map their journey from the first point of contact to long-term support. Understanding the journey is critical in identifying opportunities for improvement and ensuring that customers receive a personalised experience. By anticipating needs at every touchpoint and responding promptly, businesses can build a relationship based on trust, demonstrating that they are attentive and committed to providing value at each stage. Tracking Interactions, Including Proposals, Presentations, and Purchases A CRM system allows businesses to track all customer interactions in one centralised platform, including proposals, presentations, and purchases. This data is invaluable as it provides context for every customer touchpoint, making it easier to tailor future interactions and offerings. For example, sales teams can review the history of proposals and presentations to understand what worked well or where improvements are needed. Marketing teams can use this data to send relevant, targeted campaigns based on past purchases or interests. By tracking these key interactions, businesses can ensure they are delivering messages and offers that are relevant, timely, and aligned with the customer’s specific needs, enhancing their overall experience. A CRM also enables better follow-ups, ensuring that nothing falls through the cracks, which helps in strengthening relationships and driving repeat business. Ensuring Seamless Customer Experiences Across Multiple Touchpoints Today’s customers interact with businesses through multiple touchpoints—whether it’s online, in person, over the phone, or via social media. A seamless experience across these touchpoints is crucial for maintaining customer satisfaction and loyalty. A CRM system ensures that all customer interactions are recorded and accessible by every team member, regardless of the channel. This means that whether a customer reaches out via email or calls the support line, the representative will have full visibility into their previous interactions, purchases, and preferences. This consistency helps eliminate the frustration that can arise when customers have to repeat their information or explain their issue multiple times. A seamless experience ensures that customers feel heard and valued at every stage of their journey, increasing their likelihood of staying loyal and returning for future business. By leveraging a CRM to map the customer journey, track key interactions, and ensure consistency across all touchpoints, businesses can create a more personalised, responsive, and positive customer experience. When customers consistently receive the right message, at the right time, in the right way, they are more likely to remain engaged, satisfied, and loyal—leading to higher retention rates and long-term business success. Proactive Customer Support and Internal Workshops In today’s competitive business environment, offering proactive customer support is essential for building lasting relationships and improving customer retention. A CRM system plays a pivotal role in enabling businesses to deliver swift, effective support by centralising customer data and streamlining communication. Combined with internal workshops aimed at evaluating and refining the customer journey, businesses can create a culture of continuous improvement and ensure customer experiences remain consistently high. Here’s a more detailed look at how proactive customer support and internal workshops work together: A CRM Provides Universal Access to Customer Data, Enabling Any Team Member to Assist Customers Promptly One of the greatest advantages of implementing a CRM is its ability to centralise customer data in one easily accessible location. By storing all customer interactions, preferences, purchase histories, and service issues in one system, any team member can instantly access the information needed to provide timely, personalised support. Whether it’s a sales representative answering an inquiry, a customer service agent resolving an issue, or a marketing professional following up on a campaign, everyone involved in the customer journey has the information necessary to engage effectively. This accessibility ensures that customers don’t experience delays or frustration due to a lack of information or poorly coordinated responses. With a CRM, businesses can create an environment where customers feel valued and their issues are addressed promptly, leading to increased satisfaction and loyalty. Internal Workshops Help Businesses Assess Their Customer Journey, Identifying Areas for Improvement While a CRM system helps businesses manage and track customer interactions, internal workshops serve as an invaluable tool for assessing and improving the overall customer journey. These workshops bring together key stakeholders from various departments—sales, marketing, customer service, and even product development—to collaboratively evaluate the customer experience. By reviewing touchpoints from the first point of contact through to long-term support, businesses can identify pain points, gaps, or opportunities for improvement. Workshops also offer a chance to assess how well the CRM system is being utilised and whether any workflows or data management practices need to be adjusted. Regularly holding these workshops ensures that the customer experience remains at the forefront of business priorities, and that any changes in customer expectations or market conditions are quickly addressed. This proactive approach to customer journey analysis allows businesses to stay agile and responsive to evolving customer needs. Assigning Champions to Drive Change Ensures Continuous Customer Experience Enhancements To maintain a focus on continuous improvement in customer experience, it’s essential to assign "champions" within the organisation who are dedicated to driving change. These champions are typically team members with a passion for customer success and an in-depth understanding of the CRM system and customer journey. They are responsible for advocating for customer-centric initiatives, gathering feedback from both customers and colleagues, and ensuring that any necessary changes are implemented across teams. Champions can also serve as the bridge between different departments, ensuring that sales, marketing, and customer service teams work collaboratively toward common goals. By having dedicated individuals driving these efforts, businesses can create a culture where customer experience enhancements are consistently prioritised, and improvements are continuously made based on insights gathered from both data and direct feedback. This approach ensures that businesses don’t just react to customer needs but actively anticipate and shape the experience over time. By combining the power of a CRM system with proactive customer support practices and a culture of continuous improvement through internal workshops, businesses can ensure that their customer relationships are not only managed effectively but are consistently nurtured. This combination of technology and human-driven initiatives drives long-term customer loyalty, enhances satisfaction, and ultimately leads to a more sustainable and successful business model. The Benefits of a Customised CRM System A well-integrated, customised CRM system offers numerous advantages that directly impact the efficiency, effectiveness, and growth of a business. Unlike off-the-shelf solutions, a customised CRM is tailored to meet the unique needs and processes of a specific organisation, providing a comprehensive, flexible tool that aligns perfectly with business objectives. Below are the key benefits a customised CRM system can deliver: Efficient Data Management: Clean, Structured, and Accessible Customer Data One of the most important benefits of a customised CRM is the ability to manage customer data efficiently. A tailored CRM allows businesses to structure customer information in a way that makes it easily accessible and actionable. Clean data—free from inconsistencies, duplicates, or outdated information—is crucial for making informed decisions and building meaningful customer relationships. With a centralised system, all customer information is stored in one place, making it easier for employees to access up-to-date contact details, transaction histories, and communication logs. This streamlined data management helps reduce time spent searching for information and ensures that decisions are based on accurate, real-time insights. Clean, structured data also helps businesses comply with data protection regulations, reducing the risk of legal and security issues. Targeted Marketing: Insight-Driven Campaigns for Better Results A customised CRM system allows businesses to segment their customer base effectively, using data-driven insights to develop more targeted marketing campaigns. By tracking customer preferences, behaviours, and previous interactions, the CRM can help marketers understand what resonates with different segments. This enables the creation of personalised, relevant campaigns that are far more likely to generate positive responses. For example, businesses can use the CRM to identify customers who are nearing their contract renewal dates or those who haven’t made a purchase in a while, tailoring campaigns to re-engage these individuals. By focusing on the most promising leads and crafting campaigns based on solid data, businesses can improve the return on investment (ROI) of their marketing efforts and build stronger relationships with their customers. Increased Sales Opportunities: Ability to Recover Lost Sales and Track Potential Leads A customised CRM system helps businesses identify new sales opportunities and recover lost sales by tracking leads through the entire sales pipeline. With detailed insights into customer behaviours, sales teams can pinpoint moments where potential sales may have stalled and take action to re-engage customers, whether through follow-up emails, calls, or special offers. Moreover, a well-structured CRM enables businesses to track prospective leads and monitor their progress, ensuring no opportunity is overlooked. With real-time visibility into where leads are in the sales process, sales teams can prioritise their efforts on high-potential prospects, increasing the likelihood of closing deals and boosting overall sales performance. Improved Collaboration: Seamless Information Sharing Across Teams A customised CRM system acts as a central hub for information, enabling seamless collaboration across teams. Whether it's sales, marketing, or customer service, every department can access the same customer data, ensuring consistency in messaging and follow-ups. This integrated approach allows for a more collaborative environment where teams can share insights, align strategies, and work towards common goals. For example, when a marketing campaign generates leads, sales teams can immediately access detailed information about those leads from the CRM, enabling them to tailor their outreach accordingly. Similarly, customer service teams can see past sales and support interactions, allowing them to provide more informed, personalised service. This cross-functional collaboration helps ensure that customers receive a cohesive experience, regardless of which team they interact with. Enhanced Productivity: Employees Work More Efficiently with Centralised Data With a customised CRM, employees spend less time searching for customer information or manually entering data into various systems. Instead, they can focus on high-value tasks, such as engaging with customers and driving business growth. The CRM system automates many routine tasks, such as data entry, follow-up reminders, and report generation, significantly enhancing productivity across teams. Additionally, a CRM system eliminates the need for redundant processes or disjointed tools, allowing businesses to streamline their operations and reduce inefficiencies. By improving workflows, businesses can ensure that their teams spend more time on activities that directly contribute to revenue and customer satisfaction, rather than getting bogged down in administrative tasks. Stronger Customer Relationships: Long-Term Connections Leading to Sustained Business Growth Ultimately, the most significant benefit of a customised CRM is its ability to build stronger, longer-lasting customer relationships. By capturing a complete history of interactions, preferences, and purchase behaviours, businesses can engage with customers in a more personalised and relevant way. Customers appreciate when they are treated as individuals, with offers and communications tailored to their specific needs and interests. A CRM system allows businesses to stay in touch with customers throughout their lifecycle, nurturing relationships with timely follow-ups, personalised offers, and proactive support. By consistently delivering value and staying connected, businesses can foster loyalty and retention, which leads to sustained growth over time. Loyal customers are more likely to make repeat purchases, refer others, and become advocates for the brand, further contributing to the business’s success. In summary, a customised CRM system offers far-reaching benefits that not only streamline internal processes but also enhance the customer experience, ultimately driving business growth. By managing customer data efficiently, enabling targeted marketing, improving sales opportunities, enhancing collaboration, boosting productivity, and strengthening customer relationships, businesses can gain a competitive edge and establish a foundation for long-term success. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Discover 30 game-changing strategies to boost time management and productivity. From task prioritisation to time-blocking, take control of your day with proven tips. Strategic Transformation & Planning Business Transformation & Change Management 30 Game-Changing Ways to Improve Your Time Management Skills Discover 30 game-changing strategies to boost time management and productivity. From task prioritisation to time-blocking, take control of your day with proven tips. Published on: 22 Feb 2024 Time management is more than just organising your tasks; it’s about creating balance and finding a rhythm that supports both your professional and personal life. With these 30 game-changing time management tips, you’ll not only feel more in control at work and home, but you'll also foster a healthier work-life balance, leading to improved mental health and physical wellbeing. The challenge with time management is that we often find ourselves managing other people’s expectations, agendas, and priorities instead of our own. It’s easy for good intentions to fade, as we revert to reacting to urgent demands rather than focusing on what truly matters. Another common obstacle is that time management can feel like just one more task to add to an already packed schedule. When we're already stretched thin, thinking about how to better manage time can feel overwhelming. Then there’s the struggle with planning and commitment. We often avoid planning too far ahead because of the unpredictability of life, and this uncertainty can derail even our best intentions. Finally, many of us plan our time around external rewards—money, success, or acquiring more—rather than what nurtures our inner selves, like meaningful conversations, relationships, and creativity. When time is only framed around external gains, it’s no wonder we fall back into old habits and reactive behaviours. As Emma Donaldson-Feilder, a chartered occupational psychologist for the NHS, wisely states, “The aim of good time management is to achieve the lifestyle balance you want.” These 30 tips will help you align your time with what truly matters, so you can break free from reactive habits and create a more fulfilling life How Are Organisational Design and Time Management Related? Organisational design and time management are deeply intertwined, influencing the overall efficiency and effectiveness of an organisation. A well-structured organisational design clarifies roles, sets priorities, streamlines communication, and supports quick decision-making, all of which contribute to better time management. On the other hand, a poorly designed structure can create confusion, inefficiencies, and time management challenges. Here’s how these two elements are interconnected: Role Clarification : Organisational design defines roles, responsibilities, and reporting structures, giving employees a clear understanding of their duties. When roles are well-defined, time is managed more effectively as employees focus on their assigned tasks, minimising ambiguity and reducing time wasted on unclear responsibilities. Prioritisation : Time management depends on setting priorities, and organisational design helps establish those priorities through hierarchies, goals, and resource allocation. This clarity allows individuals to understand the significance of their tasks, enabling them to allocate their time more effectively. Communication and Coordination : Efficient communication is essential for managing time well, and organisational design shapes how information flows. Clear lines of communication and reporting structures reduce delays and misunderstandings, ensuring tasks are completed on time and improving overall productivity. Time Allocation : Organisational design impacts how employees distribute their time across tasks. In hierarchical structures, clear reporting lines help employees focus on their primary responsibilities. In flatter or matrix structures, employees often juggle multiple roles, making time management crucial to balancing competing priorities effectively. Decision-Making : The speed and efficiency of decision-making processes directly affect time management. In centralised organisations, decisions may be delayed due to top-down authority, slowing time-sensitive tasks. In decentralised designs, faster decision-making at different levels allows for quicker responses and better time management. Flexibility and Adaptability : An adaptable organisational design is critical for managing time in a dynamic environment. Agile designs that encourage cross-functional collaboration and quick decision-making enable organisations to adjust time management strategies in response to shifting priorities or unexpected changes. The Productivity Benefits of Improving Time Management Skills Enhancing your time management skills brings a multitude of benefits that go far beyond simply getting more done. Here are some key ways in which mastering time management can transform your productivity and overall wellbeing: Better Sleep and Reduced Stress : When you have control over your time and know you’re working on the most important tasks, you’ll feel less stressed and conflicted. This sense of accomplishment and clarity reduces the anxiety that often keeps people awake at night, leading to better, deeper sleep and more energy for the next day. Improved Work-Life Balance : Effective time management helps you draw clear boundaries between work and personal life. By prioritising tasks and managing distractions, you can free up time for personal activities, hobbies, and relationships, improving both your mental health and overall wellbeing. Achieving Personal Goals : Time management allows you to focus on what matters to you , rather than constantly responding to other people’s demands. This helps you progress toward your own significant goals, whether in your career, personal development, or other areas of life. Greater Achievement of Significant Outcomes : With improved time management, you’re not just ticking off to-do lists—you’re focusing on high-impact tasks. This allows you to achieve results that are meaningful and significant by any measure, moving you closer to long-term success rather than simply completing minor tasks. Fewer Low-Priority Tasks : When you manage your time well, you’re less likely to become the go-to person for low-priority or inconvenient tasks that others want to delegate. You’ll develop the confidence to say no to tasks that don’t align with your priorities, protecting your time for what truly matters. Increased Self-Respect and Esteem : As you take control of your time, your self-respect and self-esteem will naturally grow. When others see that you’re focused, in control, and purposeful, their respect for you will also increase. You’ll be viewed as someone who knows their priorities and delivers on their commitments. New Opportunities and Organisational Skills : Good time management allows you to be more organised and proactive. This clarity opens doors to new opportunities—whether professional or personal—that you might not have had the time or energy to pursue otherwise. Being better organised makes you more agile and ready to seize opportunities as they arise. Moving Beyond SMART Goals : Advanced time management, like exponential time management, goes beyond the traditional framework of SMART goals. Instead of rigid goal-setting, it allows you to achieve inner peace by focusing on progress and balance throughout the day, reducing the pressure of constant deadlines and performance metrics. Less Wasted Time : When you’re in control of your schedule, you spend less time on distractions, procrastination, or low-value activities. This helps you to work more efficiently, leaving you with more time to focus on what truly matters, both at work and in your personal life. Freedom from the 'Busy' Trap : Many people equate being busy with being productive, but time management helps you break free from this trap. You’ll focus on outcomes rather than the amount of time spent working, helping you to be more effective and less focused on merely appearing busy. Enhanced Reputation : Consistently delivering on your promises builds a strong reputation. When you manage your time effectively, people will recognise you as someone who follows through, even when saying no is the more difficult but necessary option. Your ability to prioritise and stay focused will earn you greater respect and trust. Before diving into how to improve time management, it's essential to first understand why we want to improve it. We all manage our time in one way or another, but many do so without much planning—simply reacting to events as they unfold or following routines out of habit. In this reactive mode, life is like a sailboat adrift on the sea. You might enjoy the occasional view or survive a storm, but you’re not steering towards any particular destination, nor are you in control of what happens next. For some, this approach may be enough—no significant goals or aspirations, just going with the flow. But for most, the desire for less stress, fewer hassles, more inner peace, and a sense of accomplishment drives the need for better time management. By gaining control of our time, we can steer our lives towards a more intentional and fulfilling future. 30 Game-Changing Time Management Productivity Tips Forget the Plans – Just Start Contrary to popular belief, you don’t always need long-term plans or goals to get going. Start by increasing your awareness of what you’re doing and why. Are you saying “yes” when a “no” or “later” would be better? Sometimes the best way to start is to take that first step. Check Your Inner Peace How are you sleeping? Are you waking up early or feeling grouchy? Time management goes beyond tasks—it impacts your well-being. Conflicted time management can lead to stress, affecting your health and relationships. Identify Long-Term Priorities Reflect on what matters most in the long run. Will you regret not pursuing meaningful relationships, or are you more focused on material goals? Define your long-term priorities to guide daily decisions. You Can’t Do It All – Prioritise You don’t need to do everything. Prioritising tasks, ideally the night before, allows for a more restful sleep and a better sense of control the next day. Reduce Reactive Work How much of your day is spent reacting instead of planning? Examine the causes of reactive work and strategise to reduce it. This allows for more structured, planned work that yields higher productivity. Write Down Long-Term Goals Clearly define your goals for the next 5-10 years and work backward to identify steps to get there. This creates a mental filter for making daily decisions, helping you say “no” to distractions. Say “No” More Often Practice saying “no” to tasks that don’t align with your long-term goals. Do this diplomatically to avoid undermining important relationships. Create a ‘Done List’ Instead of a traditional to-do list, try a “Done List.” Focus on your accomplishments to stay motivated and build momentum. Avoid Being a Busy Fool Working hard on the wrong things is a productivity trap. Focus on meaningful outcomes rather than just staying busy. Check Your Inner Peace Again Periodically check in with your sense of inner peace. If you’re feeling conflicted or stressed, revisit your time management strategies and priorities. Build Confidence Through Action If you’re avoiding a task due to a lack of confidence, start it anyway. You’ll build skills and knowledge as you go, and progress will boost your confidence. Focus on Quality Over Quantity While perfectionism can be a trap, focusing on quality will make your work more enjoyable and efficient. This prevents repeating tasks due to poor performance. Earn Your Breaks Set milestones and work toward them. When you reach those points, reward yourself with a break, making it feel deserved and refreshing. Get Fresh Air and Eat Well Take care of your body with regular breaks, fresh air, and healthy meals. Avoid pre-packaged food when possible. Nutrition and movement are essential for sustained focus. Manage Your Emails Emails can be a huge time-sucker. Set dedicated times to check them, and prioritise responses based on importance. Filter out unnecessary emails to stay focused. Stay True to Your Values As you prioritise tasks, ensure they align with your core values. Time spent with loved ones may be more valuable than climbing the career ladder. Track Your Time Spend a few days tracking where your time goes. You might be surprised to see which tasks take up the most time, helping you adjust accordingly. Don’t Stress About Deviations Plans are essential, but life often throws curveballs. If you veer off course, replan without stressing. Adaptability is key to sustainable time management. Develop Critical Thinking Skills Strengthening critical thinking will help you make better decisions and organise tasks more effectively. Use the Eisenhower Matrix The Eisenhower Matrix helps you categorise tasks based on urgency and importance, ensuring you focus on what truly matters. Focus on One Task at a Time Multitasking is less efficient than focusing on one task at a time. Concentrating fully on a single task ensures higher quality and quicker completion. Apply the Pomodoro Technique Break work into 25-minute intervals with short breaks using the Pomodoro Technique. This method is effective for maintaining focus and productivity. Build in Buffers and Breaks Schedule breaks into your day to maintain concentration and energy. Reflect on your progress during these pauses. Create a Productive Environment Your environment plays a significant role in your focus and productivity. Eliminate distractions and organise your space for optimal efficiency. Plan Ahead At the end of each day, week, or month, plan for the next. This keeps you organised and provides a sense of control. Leverage Your Most Productive Time Identify your peak productivity hours and use them for your highest-priority tasks. You’ll achieve more when you work in sync with your natural energy levels. Apply the Pareto Principle (80/20 Rule) Focus on the 20% of tasks that yield 80% of the results. This helps you maximise productivity and focus on what truly matters. Block Out the Start of Each Day Dedicate the first part of your day to personal preparation, whether it’s exercise, breakfast, or reviewing your schedule. This sets the tone for the day ahead. Delegate Where Possible Consider which tasks can be delegated to others. This frees you to focus on higher-level tasks aligned with your long-term goals. Focus on Outcomes, Not Time Shift your mindset from “hours worked” to “results achieved.” This helps you prioritise effectiveness over simply being busy. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Workplace personality tests can to improve team productivity. Organisational structure and personality types can influence each other in various ways. High-Performance Culture & Talent Human Resources & Talent Development How to use Workplace Personality Tests to Improve Team Productivity Personality tests boost productivity by improving communication, aligning tasks with strengths, and enhancing teamwork. Published on: 5 Jun 2025 At the heart of any productive business operations are its people. From frontline employees and cross-functional teams to executives and leadership, individuals drive the success of your organisation. However, many businesses struggle with team alignment , collaborative workflows , and effective communication , crucial factors in achieving organisational goals . Building an Investor-Ready Team with Personality Insights Investors consistently cite team strength and cohesion as key decision factors when evaluating businesses. Incorporating workplace personality tests—such as DiSC or the Big Five—helps leaders shape teams with aligned values, complementary traits, and effective communication. This not only boosts productivity but also signals to investors that the business is self-aware, strategically structured, and ready for scalable growth. As Dr. Martin James explains, understanding the influence of manager personality on team dynamics and role clarity is critical for building a high-performing, aligned leadership group. For a broader look at investor readiness, see What Makes a Business Investible? A Practical Checklist for Founders . Research highlights that poor collaboration and weak leadership skills often lead to workplace inefficiencies . Companies that focus on building engaged teams, fostering transparency, and strengthening leadership development can drive significant improvements in employee engagement , productivity, and overall business performance . Yet research shows many businesses struggle with the “people” element of businesses: 97% of employees and executives believe a lack of alignment within teams impacts the outcome of tasks and projects. 39% of employees believe that people in their own organization don’t collaborate enough. 86% of employees and executives cite lack of collaboration or ineffective communication for workplace failures. 99.1% of employees prefer a workplace where people identify and discuss issues truthfully and effectively, but less than 50% say their organisation achieves this. 33% of employees said a lack of open, honest communication has the most negative impact on employee morale. 63% of workers want to quit their jobs because poor communication prevented them from doing their job effectively. For managers, the picture is even bleaker, as nearly 30% of employees believe their manager lacks team building skills and only 40% of employees report feeling satisfied with their relationship with their direct superior. Perhaps even more surprisingly, 69% of managers say they’re uncomfortable communicating with their team. All these statistics go to show the importance of b uilding productive, engaged teams, with strong leadership driving them. The benefits for businesses who do manage this are significant. How Organisational Structure and Personality Types Are Related? Organisational structure and personality types influence each other in various ways. While personality types can shape organisational structures, factors like industry, goals, and external environments also impact this relationship. 1. Fit Between Personality and Structure Different structures are suited to different personality traits. In hierarchical organisations, individuals who thrive on following instructions and established procedures perform best. On the other hand, flatter, decentralised structures require employees with adaptability, initiative, and independence, aligning with traits like openness and extraversion. Matching organisational structure with the prevalent personality types can enhance overall productivity. 2. Impact on Satisfaction Organisational structure can significantly affect individual job satisfaction, depending on personality traits. For instance, employees who value structure and stability may excel in traditional, hierarchical organisations where rules and procedures are clear. In contrast, those with a preference for creativity, autonomy, and flexibility may feel stifled in such environments and thrive in decentralised setups. When personality types and organisational structures align, job satisfaction improves, leading to higher retention and workplace morale. 3. Communication and Collaboration Personality types directly influence communication and collaboration styles. Introverted individuals may feel more comfortable in smaller teams or decentralised structures that foster focused, thoughtful interaction, while extroverts often thrive in structures promoting frequent social interaction and open communication. Organisations can design structures that cater to these preferences, improving both the quality of communication and collaborative efforts, leading to better overall performance and project success. 4. Leadership Styles Leadership styles are also shaped by personality types and are closely tied to the organisational structure. Transformational leaders, who inspire and motivate, often perform well in flexible, flatter organisations where creativity and innovation are prioritised. In contrast, transactional leaders, who focus on goals and rewards, may be more effective in hierarchical structures that rely on strict adherence to procedures and rules. The right match between leadership style and organisational structure supports business goals and enhances team effectiveness. 5. Organisational Culture Personality types contribute to and are shaped by an organisation’s culture, which is influenced by its structure. A hierarchical structure may create a culture of compliance, formality, and respect for authority, attracting individuals who align with these values. Meanwhile, decentralised structures may foster a culture of collaboration, creativity, and empowerment, drawing in employees who prefer autonomy and innovation. The evolving culture reinforces the structure and influences how the organisation grows and adapts. By considering the relationship between personality dynamics and organisational structure, businesses can create an environment that optimises communication, leadership, satisfaction, and overall performance. Stronger teams offer are more productive teams Research shows extremely connected teams are 21% more profitable . This is likely due to the simple fact that happy employees are more productive employees. Working in great teams with better communication, rapport, decision making and understanding is all part of this. For example, 37% of employees say working in a great team is their primary reason for staying at a company. In fact, some 54% of employees say a strong sense of community including great coworkers kept them at a company longer than was in their best interest. So building great teams and having strong leadership for those teams directly impacts your business’s bottom line. You’ll have more productive, engaged and profitable employees, who will stick around longer, reducing employee churn and recruitment costs. What are workplace personality tests and how can they help build more productive teams? There is no one way to build a great team, but workplace personality tests are a great place to start, whether this is at the point of recruitment or long after your teams have been hired. Workplace personality tests are a kind of assessment employers can use to help better understand new candidates as well as current employees. Many ( although not all! ) have roots in psychology. Much like many psychological assessments, workplace personality tests give an insight into key characteristics, behaviours and people’s intrinsic motivations that drive them to behave the way they do. The information obtained from workplace personality tests can then be used to better understand the behaviours within teams, as well as the behaviours possessed by leaders across businesses, to better communicate, motivate and engage. Different types of workplace personality tests There are many different types of workplace personality tests on offer and they’re not all made equal. Some have no research or founding in psychology, while others provide little actionable insight. All this said, we’ll look at the most common workplace personality tests including: Keirsey Temperament Sorter Disc Personality Test The Myers Briggs Type Indicator The Caliper Profile The SHL Occupational Personality Questionnaire Minnesota Multiphasic Personality Inventory Keirsey Temperament Sorter This workplace personality test is based on Ancient Greek philosopher Hippocrates’ theory. He stated that all human’s personas are made up of four temperaments: Artisan Guardian Idealist Rational This test is very similar to the Myers Briggs test, in that these four temperaments are scaled and then categorised into 16 different groups. However, one of the key differences is that the MBT focuses on how people feel and think, while Kerisey focuses more on behaviour. It’s been used widely, perhaps most notably by the US Air Force. DISC Personality Test The Disc Personality Test was created by William Moulton Marston in 1928, and later adapted by Walter Clark in 1940. It’s made up of 28 questions which measure four key areas: Dominance Influence Steadiness Conscientiousness Candidates are categorised into distinct personality types, based on their characteristics in these four areas. Those with D personality profiles tend to be confident and forceful and prioritise taking action and challenging themselves. Those with I personality profiles tend to be excellent communicators and influencers and prioritise relationships. Those with S personality profiles tend to be supportive and patient and prioritise teamwork. Finally, those with C personality profiles tend to be analytical thinkers and methodical workers. Disc workplace personality testing is particularly useful for assessing management and other leaders and is in widespread use for businesses around the world. Part of this is also down to its accessibility. Unlike many tests, it doesn’t take hours to complete and still provides an excellent insight into the behaviours that cause people to act the way they do. The Myers Briggs Type Indicator One of the most well-known personality tests, the Myers Briggs test was developed in the 1940s by mother and daughter Katherine Cook Briggs and Isabell Briggs Myers. This personality test is made up of 93 questions and categorises people into one of 16 different personality types, each with their own unique strengths and weaknesses. It’s made up of four different scales which are: Extraversion (E) – Introversion (I) Sensing (S) – Intuition (N) Thinking (T) – Feeling (F) Judging (J) – Perceiving (P) These scales are then used to dictate the different personality types including: ISTJ – The Inspector ISTP – The Crafter ISFJ – The Protector ISFP – The Artist INFJ – The Advocate INFP – The Mediator INTJ – The Architect INTP – The Thinker ESTP – The Persuader ESTJ – The Director ESFP – The Performer ESFJ – The Caregiver ENFP – The Champion ENFJ – The Giver ENTP – The Debater ENTJ – The Commander Many fortune 500 companies use this workplace personality test in their recruitment processes, despite this personality test being fairly controversial within the psychological field. The Caliper Profile This workplace personality test was invented around 50 years ago by an Australian talent management company. Since then, it’s been used by more than 65,000 businesses worldwide to assess more than 4.5 million candidates. The test has psychological roots, it’s based on the work of psychologists Raymond Cattell and Frank Warburton. The assessment is made up of 180 multiple choice questions, as well as some puzzle and problem solving tasks for certain roles. Once completed, the Caliper test then assesses four main aspects of an employee or candidates personality, including: Leadership skills Interpersonal skills Problem solving and decision making Personal organisation This information can then all be used to see whether a candidate is a good fit for a wider team. The SHL Occupational Personality Questionnaire This workplace personality test is made up of 104 that assess 32 different characteristics. These characteristics are then assessed to give employers an indication as to whether candidates possess the right characteristics for the desired role. They can also be used to identify performance issues and opportunities for current employees, as well as to identify leadership potential in existing employees. The simplicity of this test works in its favour in recruitment in particular. It allows employees to get an overview of candidate characteristics and easily compare many at once to see who might be the best fit. Minnesota Multiphasic Personality Inventory This whopper of a personality test includes 567 true or false questions. It was invented back in 1939 to analyse different personalities. This workplace personality test isn’t common by any means, but many organisations with high-risk and stress positions, like the military, use this test. That’s because due to its roots in the mental health profession it can be useful to assess the psychological stability of potential candidates. Emotional Intelligence and Leadership Emotional quotient (also known as emotional intelligence) or EQ is a person’s ability to understand, use and manage their emotions in positive ways to effectively communicate, show empathy, relieve stress, overcome challenges and defuse conflict. Why is EQ Important in Leadership? Emotionally intelligent leaders are self-aware, can effectively self-regulate and self-motivate most especially when the going gets tough. EQ leaders are able to engage with others and see staff and employees as people and not just as producers of outcomes. They come from a solid self-foundation, possess personal integrity and can inspire and motivate other people to do their best. The Top 5 Characteristics of EQ in leaders 1. Self-awareness The characteristic in leaders that show they know how they feel and recognize how their emotions can affect the people who surround them. A self-aware leader acknowledges their ego and knows their strengths and weaknesses. Their aim is to make sure that their ego and personal traits work for the benefit of the workforce and organization. 2. Self-regulation A leadership attribute that gives leaders a firm grasp and control of their emotions. A self-regulated leader stays firm, fair and calm. Other people that surround this type of leader stay reassured and motivated to take positive action because their leader does not lash out, does not compromise their work ethic and is accountable for their actions. This creates a general sense of improved wellbeing in the workplace. 3. Motivation A leadership characteristic that comes from knowing what needs to be done and why these things must be done. A motivated leader has high work standards for themselves and can work on their goals consistently. They also understand what motivates their workers and colleagues and can incentivize these so they can also give their best in their work. 4. Empathy An empathic leader can put themselves in another person’s shoes (so to speak) and can see things from their perspective. This ability can help develop people, challenge stereotypes and unfair assumptions. In difficult situations, it can help deliver critical feedback in a tactful manner as well as to be a good listener. All these lead to building a positive work atmosphere with a loyal and respectful team. 5. Social Skills The art of communication with an emotional connection. Leaders with good social skills can deliver bad news and celebrate good news in a way that makes people feel that improvement can be done by taking action on such opportunities. Having social skills can make leaders resolve conflicts in a calm, peaceful and diplomatic manner. This skill allows leaders to demonstrate that they respect the other person’s needs, hopes and fears. Emotional intelligence or EQ is vital for effective leadership. The main leadership skills associated with emotional intelligence are empathy, social skills, self-awareness, and self-regulation, as well as a wide variety of skills associated with these traits. Leaders who possess these skills are more capable of understanding other people’s unique behaviours and motivations, as well as their own. The global emotional intelligence test isn’t a workplace personality test per say, but it is a very helpful tool for businesses to assess current leadership, as well as identify staff who could make great leaders in the future. This test was developed by science journalist Daniel Goleman. It is a particularly useful tool in assessing leadership as it examines the array of skills and characteristics necessary to perform well as a leader. The test measures four main areas: Self-awareness Self-management Social awareness Relationship management Self-awareness is at the heart of emotional intelligence and is made up of three key competencies; emotional self-awareness, accurate self-assessment and self-confidence. These three characteristics enable employees to be able to understand the impact their emotions have on their behaviour, as well as identify their own strengths and weaknesses. Self-management refers to five competences; self-control, transparency, adaptability, achievement orientation and initiative. Much like the above, excellent leaders possess a strong mix of these qualities to enable them to communicate with and manage teams. Social awareness refers to the ability to empathise, but it also examines a candidates organisational awareness and service orientation. The latter are both vital leadership skills in being able to understand both business and customer needs. Finally, relationship management has seven competencies; visionary leadership, developing others, influence, change catalyst, conflict management, building bonds and teamwork and collaboration. Much like all of the above, those who possess skills and characteristics in all these areas possess a high level of emotional intelligence and make excellent leaders. The test scores candidates on a scale of one to 10 in each of these four areas. Employers can use it to assess new candidates and current employees for leadership roles to see whether they would make effective leaders. It can also be used to identify areas for current leadership to improve in. Proponents of EI testing argue that it gives a more realistic assessment of leadership skills than skill or IQ testing. What are the productivity benefits of workplace personality tests? Workplace personality tests aren’t popular for no reason. Hundreds of thousands of organisations across the world, including Fortune 500 companies, use them for one simple reason — to build better teams and identify stronger leaders. Once a test is completed, it shouldn’t just be read once and discarded. These tests can reveal the intrinsic motivators that every person has. This information can then be used to better understand how to communicate with each other, as well as resolve conflicts. Employees who have undergone workplace personality testing have a heightened sense of self awareness. They can better understand what motivates them and use this information to tackle problems differently. Workplace personality tests can also be used to better understand each other. For example, if a whole team undergoes a DISC workplace personality test, it’s highly unlikely everyone on the team would come out as a D profile. Far more likely, the team will be built up of a healthy mix of different DISC profiles. Teams can use this information to better understand each other and divvy out tasks to those most suited to them. They can also use this information to understand colleagues whose behaviour may not previously have made sense to them, as they have different intrinsic motivators. This can make conflict more productive. Using a mix of self awareness and awareness of others, they can better resolve conflicts in the workplace and create productive solutions that work for everyone. Similarly, managers can use the information obtained from workplace personality testing to lead teams better. They can understand exactly what motivates each team member and better assign enjoyable tasks to employees based on this knowledge. For training, it can also help leaders identify different ways to train to maximise engagement and outcome. Overall, all these various workplace personality test benefits have a direct impact on the bottom line, which we talked about above. You have happier, more engaged teams who can communicate better and work more productively together. For recruitment processes in particular, workplace personality tests can speed up the entire process, reducing candidates to a smaller pool who you already know have the desired characteristics and behaviours for your company culture and the job role itself. Another unique benefit for recruitment is that workplace personality tests can reduce bias. Employers can make fairer decisions using the information provided from assessments to pick the best candidate for the role, as opposed to basing it on gut feeling or personal preference. The benefits of workplace personality testing for leadership We hinted at this in the introduction already, but many businesses aren’t getting leadership quite right. They promote based on technical skills alone, as opposed to the behaviours and characteristics necessary for employees to make good leaders. This matters, because as the old trope goes, people quit their boss, not their job. Research actually backs this one up, as around 57% of workers quit due to their direct supervisor. Moreover, managers account for at least 70% of the variance in employee engagement, which as we know has a huge impact on business productivity. This goes to show how important leadership skills are for managers. If they possess a high level of emotional intelligence, there is a high chance they will make more effective leaders and lead more productive teams. Workplace personality testing can give employers these insights ahead of internal promotions to ensure they’re promoting the right people to the right areas, as opposed to focusing on technical skill and length of service alone, as neither of these are indicative of a strong leader. What are the criticisms of workplace personality tests? The workplace personality test market is crowded. There are many organisations offering a huge variety of workplace personality tests. Many have great merit, others not so much. Many are making larger claims than they should be. A workplace personality test result cannot predict all behaviour. It can certainly indicate, but it is by no means a guarantee. As well as this, some write personality testing as a whole off as pseudoscience. This is often due to the lack of analysis and research behind some tests, but is well worth noting many other tests have been studied at length and found to have been reliable. One of the main criticisms surrounding workplace personality testing is whether the insight gained is actually useful. Much of this comes down to businesses simply using a workplace personality test and not then applying what they learn from that insight. How to use workplace personality tests to help your business There is little benefit, beyond entertainment, to taking a workplace personality test, if that test is then plonked in a drawer and forgotten about. For workplace personality tests to be beneficial to your business, you need to use the insights gained and take logical actions built on those insights. There are no end of ways to do this, but we’ll cover some common practical uses of workplace personality tests for businesses. Workplace Personality Tests for Hiring and Internal Promotion You can use workplace personality tests to gain more insight into the right people to hire for your business, as well as promote the best internal candidates to the best roles to suit them. How often have you brought in a new employee with all the skills they needed, only to have a team to have endless trouble working with them? This comes down to human nature and the behaviours that drive us. Hiring for behaviours and characteristics makes far more sense than hiring for skill, because skill can be taught far more easily than a new behaviour. Workplace personality testing can be used to assess candidate behaviours and speed up the hiring and onboarding process. Tailor Communication to Each Personality Type Some employees are perfectly happy to sit back and follow someone else’s lead, while others would much rather work autonomously and only communicate when they need assistance. Understanding your own personality type, as well as others, means you can tailor communications with every team member, across a business. Your team will get the type of communication they desire and feel more valued and respected as a result of it. Design More Productive Teams Let’s take DISC personality profiles as the example here and say one of your customer service teams is made up of a mix of I and S personality profiles. They all get on incredibly well as they value relationships in the workplace and are very people focused, but they love to chat all day. You could use the information obtained from this to identify that you need a D personality in that team to give more direction and focus. Our point is, you can use workplace personality tests to construct better teams with a mix of personality types that compliment each other to increase productivity and performance. Aid Employee Development Employees want long term opportunities for learning and development opportunities from the company they work for. You can use workplace personality tests to further your employees development. Once they understand their own personality assessment, they can identify areas of both strength and weaknesses to improve on, in turn, improving their performance and opening up new opportunities for promotion across the business. Better Motivate and Engage Employees Different personality types are motivated by different factors. You can use workplace personality tests to tailor feedback and goals to different employees. For example, those with a C personality profile in DISC personality testing pride themselves on quality and accuracy, so you can tailor performance goals with this in mind. Meanwhile those with an I personality profile prioritise relationships, so regular one to one feedback will help motivate these employees more than annual performance appraisals ever could. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Customer-centricity helps businesses outshine the competition. Learn more about the benefits of customer-centricity and how your business can do the same. Data-Driven Performance & ROI Customer Experience & Service Excellence 4 Benefits Of Being a Customer Centric Business Companies have always created value for their customers but those with more than a simple customer focus have created real and long-lasting business value. Published on: 13 Dec 2018 Companies have always created value for their customers but those with more than a simple customer focus have created real and long-lasting business value. Today customer-centricity means much more than before, referring to business and digital transformation, customer engagement and customer experience management. However this is more than just people, process and technology, it’s about the culture of the company, how the company sees itself, its employees, partners and suppliers within a bigger, rapidly changing picture driven by the “connectedness” of everything and everyone. What does a high-performance company culture look like? How CRM Enhances a Customer-Centric Business Being a customer-centric business means more than just good service—it requires deep understanding, proactive engagement, and streamlined processes to consistently meet customer expectations. A Customer Relationship Management (CRM) system plays a vital role in making customer-centricity a reality. 1. Personalisation at Scale Customers expect personalised experiences, but without structured data, it’s difficult to track individual preferences. CRM systems centralise customer data, allowing businesses to tailor interactions, recommend relevant products or services, and anticipate needs—ensuring each customer feels valued. 2. Strengthening Customer Loyalty Through Proactive Engagement A key benefit of being customer-centric is improved loyalty. CRM enables businesses to track past interactions, identify loyal customers, and automate personalised follow-ups, such as thank-you emails, exclusive offers, or service reminders. This proactive engagement fosters deeper relationships and repeat business. 3. Streamlining Customer Support and Service Customer-centric businesses must respond quickly and effectively to customer concerns. CRM ensures that all customer interactions—emails, calls, chats, and social media messages—are logged and accessible in one place. This prevents customers from having to repeat themselves and allows teams to provide seamless, informed support. 4. Data-Driven Decision Making for a Competitive Edge A customer-centric business thrives on understanding evolving customer needs. CRM provides real-time insights and analytics, helping businesses make informed decisions about service improvements, marketing strategies, and product development—ensuring they stay ahead of competitors. Customer-Centricity + CRM = Sustainable Growth A business that prioritises its customers will naturally outperform competitors, but without CRM, customer-centricity can become inconsistent and difficult to scale. By integrating CRM into a customer-first strategy , businesses ensure every interaction builds trust, improves service, and drives long-term success. Corporate social media and a customer centric culture Social media has created a knowledgeable and powerful customer-base so companies must improve their customer understanding to create an unrivaled customer experience that maintains and extends their competitive advantage. Using social data to create a more personalised customer interaction will be at the heart of customer centric service, moving from a product-centric to a customer centric business. The future of corporate social media is customer centricity, becoming more customer centric is key. Social media has changed the way customers behave. Achieving a deeper customer understanding from social data is important in implementing a customer centric model. A customer-centric culture will improve customer satisfaction levels leading to increased referrals, customer lifetime value and more positive reviews. Customer centricity is built on an employee centric culture To be a customer centric business you need to be employee centric first. Establishing ways to engage your workforce, bringing their day to day experiences of delivering value to your customers into your decision making processes will help to create the right customer service focus. You need the most engaged, loyal, and customer-centered employees like that of Disney, Virgin and Zappos. The customer centric business sees suppliers, partners and employees as customers too interacting and dealing with the company as they do. The internal customer is also key. For an exceptional customer experience to be delivered externally, employees need to show the same dedication to internal customer service too. They need to feel valued by each other, supported by the organisation and with a shared vision of success, including with the senior management team. This high performance corporate culture needs to be aligned with the business strategy. So while a highly engaged and motivated workforce is essential for achieving the strategic objectives and goals if it’s not properly aligned you’ll pulled in the wrong direction. For example if the goal was to sell more to existing clients or deliver your services at a lower cost than your rivals. The adjustment from product, job or work focus to a customer behaviour focus may take some time so to mitigate the impact of that, employees need to be on-board with the change, feel a part of it, rather than have it imposed on them. If they do not feel engaged, they will not feel any ownership. This, then, requires the senior team, management to set a corporate goal of engaging with the workforce, motivating them and creating the high-performance company culture they desire. Managing customer centric innovation requires a focus on delivering market leading customer satisfaction, from reviewing the current product or service definition to the teams behind delivering an extended customer lifetime value. Benefits of Customer-Centricity Establish cost saving opportunities. By delivering your products and services more efficiently you can identify hidden cost saving opportunities. Delivering your product or service right first time, in the minimum time frame, makes your company more productive. Identify opportunities for growth In getting closer to your customers and your market you’ll discover new ways to sell or promote your services, new niches you could target to raise revenues. Evolve a differentiated service and a unique competitive advantage Your company will have its own way of doing business, you may not know just what your customers like about the way you work, the way you deliver your value. What makes you unique to your customers, why did they buy from you? If you don’t know or your customers don’t recognise it themselves, then being customer centric will help you develop and promote your unique competitive advantage. Build a productive company culture A focus on customer service will create a more rewarding company to work for, a more rewarding company culture. It is hard to find a top performing company that does not have its employees’ well being, training, support and involvement as an important focus of their operations. By becoming customer-centric, you become more empathetic. You can use customer empathy to better understand your customers and deliver better customer experiences. Ultimately, allowing your business to get ahead of the competition by doing so. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

What is business improvement and how can it benefit your business? Unlock growth and profitability by understanding how business productivity works. AI-Powered Process Excellence Operational Excellence & Process Improvement What is Business Improvement? What is business improvement and how can it benefit your business? Unlock growth and profitability by understanding how business productivity works. Published on: 15 May 2025 If I asked you, “ what is business improvement? ”, what would your answer be? Perhaps you’d say something vague about improving business performance, increasing ROI or talk about upgrading to the latest technologies. So, which is it? The truth is, it’s all of them. What is Business Improvement? Business improvement is an all-encompassing term, which is probably why it’s so difficult to define. In the vaguest sense, it could be described as the process of a business moving from one state to another. Improvement itself is a trickier thing to define. Every business would like to improve their sales, their market share, their return on investment and so on. But this is usually done through smaller, departmental actions, like a marketing campaign. It could fall under the realm of business improvement, but it’s missing the big picture. To understand it, we’ll look at the broad categories that business improvement services generally fall into. Types of Business Improvement We’ll start with the business improvement type we’ve already mentioned – marketing. Marketing This type of business improvement is mainly focused on increasing revenue. Whether that be through increasing market share, promotions, improving customer experience or any other common marketing strategies. Business Process Improvement Business process improvement looks to optimise operational processes to make them more efficient. Every business has their own unique processes, so there’s no end of examples of process improvement. A common one would be to automate manual activities where possible to free up staff to dedicate their time elsewhere. Much of process improvement is the traditional approach to business improvement. It can still be helpful to businesses in modern times, but it lacks a broader perspective of your business. Quality Improvement Quality improvement does what it says on the tin. It’s about improving the quality of aspects of your business. This could be improving the product or service you offer to be more competitive, but it could equally be about improving the quality of internal aspects of the business like practices or processes. Management Improvement You might have guessed it, but management improvement focuses on improving the management level of a business. This could be with something as simple as leadership training. But it could also be changing the levels of responsibility, like transferring more internal control over to management. Capital Improvement Capital improvement revolves around investing more into the business. Examples of capital improvement could be physically expanding offices to hire more staff or through the acquisition of another company. It refers to investment into the company to improve the business. Information Technology This type of improvement looks at changing or updating the technology your business is currently using. Common examples of this would include upgrading cybersecurity software to ensure the protection of client data or changing internal systems to improve internal productivity. Company Culture Improvement Also known as organisational culture improvement, this type of business improvement looks at improving company culture. Every business has a company culture, whether they’re actively aware of it or not. It has a huge impact on employees well-being, as well as a knock on effect on employee productivity when company culture is lacking. Company culture changes usually revolve around changing the organisational structure of businesses. Most often, to remove hierarchical structures within businesses. The Role of a Business Improvement System A Business Improvement System (BIS) serves as the backbone for driving consistent, measurable, and sustainable improvements across an organisation. It’s not just a set of tools—it’s a structured framework that integrates strategies, workflows, and key behaviours to achieve operational excellence. What Is a System? At its core, a system is a structured set of interconnected components that work together to achieve a specific goal or purpose. These components can include people, processes, tools, and technologies, all functioning cohesively to produce consistent and predictable outcomes. A system operates through defined inputs, processes, and outputs, guided by a set of rules or principles. Effective systems exhibit: Interconnectivity : Each part works in harmony with others. Purpose-Driven Design : Focused on achieving a specific objective. Consistency : Ensuring repeatable, predictable results. Feedback Loops : Mechanisms for monitoring and improving. Scalability : The ability to grow without losing efficiency. In the context of business improvement, a system ensures that progress is not left to chance but is driven by deliberate, repeatable actions. Key Components of a Business Improvement System Clear Objectives Every improvement initiative begins with a clear understanding of what success looks like. A Business Improvement System helps businesses define these objectives and ensures they are tied to key performance indicators (KPIs). Audit and Analysis A robust BIS includes regular audits to identify inefficiencies, bottlenecks, or outdated processes. This step is crucial to make informed decisions based on data, not assumptions. Workflow Optimisation Workflows are the lifeline of any business, and a BIS focuses on designing high-performance workflows that eliminate waste, streamline operations, and reduce friction across departments. Employee Engagement and Behaviours A BIS emphasises the importance of behaviours that drive success. Engaged employees who understand their roles within the system are essential to sustaining improvements over time. Measurement and Feedback Loops Without consistent measurement, progress cannot be tracked. A BIS incorporates regular feedback loops to evaluate the effectiveness of improvements and adjust as needed. Adaptability Markets, industries, and technologies evolve. A BIS is designed to be flexible, allowing businesses to adapt quickly without losing momentum or focus. Why Businesses Need a BIS In a world where competition is fierce and customer expectations are higher than ever, a BIS helps businesses take the guesswork out of improvement. By transforming abstract goals into actionable strategies, it aligns every team, tool, and task toward measurable results. Ultimately, a Business Improvement System isn’t just about fixing what’s broken; it’s about unlocking the full potential of a business—building stronger margins, happier teams, and a more sustainable future. Implementing Business Improvement All the different types of business improvement we mentioned above come together to create a more comprehensive perspective of business improvement. Often at times, businesses become too focused on the bottom line, forgetting entirely about internal processes or staff. For example, a business may be thriving in respect to marketing, but has a high-staff turn over, suggesting the company culture is lacking. To truly improve businesses long-term and permanently, you need a holistic approach which tackles all angles of business improvement. Which is where we come in. Business improvement is our speciality. We live and breathe it. We believe that traditional approaches to business improvement, that are concerned only with the bottom line, lack the humanistic perspective needed to create long-term change. It goes without saying, all companies would like to increase their revenue. But achieving that needs to be a longer term business improvement strategy than a sales promotion. We take a holistic approach to business improvement, looking at your unique strengths and challenges to come up with a long-term business improvement plan that will increase your productivity and profitability. More than that, we’ll change your way of thinking so business productivity remains at the forefront of your mind, for good. Benefits Realisation: Measuring Impact The final step in any business improvement process is benefits realisation —the critical phase where organisations assess whether the improvements made have delivered the intended results. This involves the systematic tracking and evaluation of Key Performance Indicators (KPIs) and other relevant metrics to determine whether the changes implemented in workflows, systems, and processes have translated into measurable, tangible benefits. Benefits realisation ensures that business improvements are not just theoretical but lead to actual, quantifiable outcomes that drive long-term value. The Role of Benefits Realisation Benefits realisation is about more than just confirming that a project or initiative has been completed; it’s about understanding the real impact of those changes on the business. While many businesses focus on improving processes or launching new strategies, the true value of any improvement initiative lies in its ability to produce measurable results . Whether the goal is increased efficiency, reduced costs, enhanced customer satisfaction, or improved employee engagement, the ultimate objective is to confirm that the changes are creating value that aligns with the organisation’s strategic goals. Effective benefits realisation requires a systematic, data-driven approach to measure and analyse the impact of improvements. It helps ensure that businesses can track their progress towards their objectives and make informed decisions about future investments in process improvements. This is a crucial step in ensuring that business improvement efforts are sustainable and that the return on investment (ROI) is clearly understood. Why Benefits Realisation Matters Validates the Effectiveness of Changes : After spending time and resources on business improvement initiatives, it’s essential to validate whether those efforts have had the desired effect. By measuring the outcomes of improvements, businesses can confirm whether their investments have resulted in the intended benefits. If the changes haven’t produced the expected outcomes, this phase provides critical insights into what went wrong, enabling businesses to adjust their strategies accordingly. Justifies Investment : Business improvement often involves significant time, money, and resources. Whether implementing new technology, overhauling workflows, or training employees, these changes require a measurable return on investment. Benefits realisation helps businesses confirm that their investments have delivered real value and can be justified to stakeholders. By tracking KPIs such as cost savings, revenue growth, or time savings, businesses can demonstrate that the improvement initiatives have paid off. Provides Insights for Continuous Improvement : Benefits realisation is not only about measuring success; it’s also about learning from the results. By analysing the data, organisations can uncover areas for further improvement. If certain benefits have not been fully realised, businesses can make adjustments or refine their strategies. This iterative process supports continuous improvement and helps businesses stay agile, adapting to new challenges and opportunities. Aligns Business Strategy with Operational Performance : For business improvement efforts to be truly effective, they must align with the organisation’s broader strategy. Benefits realisation helps ensure that the changes made to workflows, systems, or processes are driving the business closer to its strategic goals. By evaluating the impact on key objectives—whether those are profitability, customer experience, employee satisfaction, or market share—organisations can confirm that their operations are fully aligned with their strategic vision. Ensures Accountability and Focus : Tracking KPIs and other performance metrics ensures that all stakeholders remain focused on the goals of the improvement initiatives. It provides a basis for accountability , helping to ensure that teams are committed to achieving the desired outcomes. Moreover, it helps leaders make data-driven decisions about resource allocation, project priorities, and future improvements. The Process of Benefits Realisation Setting Clear, Measurable Goals : Before embarking on any business improvement initiative, it’s crucial to establish clear, measurable goals. These goals should align with the broader business strategy and provide a tangible target for the improvement efforts. Whether the goal is to reduce operational costs by a certain percentage, improve customer satisfaction scores, or reduce cycle time, setting specific KPIs enables businesses to track progress and measure success. Defining KPIs and Metrics : KPIs are the key indicators that will be used to measure the success of the business improvement initiatives. These could include metrics such as cost reduction , increased productivity , quality improvement , customer satisfaction , or employee engagement . The right KPIs depend on the nature of the business and the specific goals of the improvement project. In a manufacturing context, for example, KPIs might focus on reduction in material waste , reduced production time , or improvements in product quality . Tracking Progress : With goals and KPIs in place, it’s time to track the progress of the improvement efforts. This involves collecting data at regular intervals and comparing it against baseline measurements to assess whether improvements are occurring. Data analytics tools can help businesses gather real-time data and track progress more effectively, allowing for quicker adjustments and more accurate assessments. Evaluating Results : After sufficient data has been collected, the next step is to evaluate the results. This involves comparing actual performance against the predefined goals and KPIs. If the improvements are on track, it’s important to recognise and celebrate these achievements, which can help reinforce a culture of continuous improvement. However, if the results fall short, businesses must analyse the reasons why and make necessary adjustments to the strategy. Feedback and Adjustment : Benefits realisation is an ongoing process that requires constant evaluation and feedback. If certain objectives have not been fully achieved, businesses should review the processes and identify areas for further improvement. The feedback gathered from employees, customers, or stakeholders can provide valuable insights for refining workflows, systems, or strategies to ensure that future improvement initiatives yield even greater benefits. Benefits realisation is a vital step in any business improvement journey, ensuring that the changes made lead to tangible results that align with organisational goals. By setting clear objectives, defining KPIs, tracking progress, and evaluating outcomes, businesses can confirm that their efforts have resulted in measurable value . This process not only validates the success of improvement initiatives but also provides valuable insights that can drive continuous improvement and better strategic decision-making in the future. Ultimately, benefits realisation helps organisations confirm that their business improvement initiatives are not only worth the investment but are also driving long-term success. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. 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Discover what truly makes a business investable. This practical checklist covers the key areas investors look for — from team and traction to financials and legal readiness. Strategic Transformation & Planning Business Strategy & Planning What Makes a Business Investable? A Practical Checklist for Founders Build a business that attracts investment, scales with confidence, and stands up to due diligence. Published on: 22 May 2025 If you're aiming to attract investment, sell your company, or simply build a business that grows beyond you, the question isn't just "Is this a good idea?" but "Is this an investable business?" Investors are not just looking for great products or smart founders — they’re looking for signs of a scalable, structured, and secure opportunity . That means your business needs to demonstrate not just potential, but readiness. In this article, we break down what makes a business truly investable across seven core areas: Team, Market, Traction, Product & Operations, Financials, Legal & Governance, and Strategy . Note: While every item on the checklist matters, investors often prioritise different areas depending on where you are in your journey. Early-stage investors look hard at your team and market; growth-stage investors want proof of traction and scalability; and buyers or late-stage investors focus on financials, legal clarity, and exit readiness. The 9 Essential Pillars of an Investable Business Section Title Description 1. Team: The Foundation of Being Investable Discusses the importance of a strong leadership team with complementary skills, founder-market fit, organizational design, and a clearly defined culture and set of values. 2. Market: The Size and Shape of the Opportunity Covers the need for a clearly defined and sizable market opportunity, deep understanding of the customer, competitive advantage, and evidence of market validation. 3. Traction: Proof You're Winning, Not Just Building Emphasizes the significance of tangible market traction, strong customer metrics, a resonating value proposition, and avoiding vanity metrics. 4. Product & Operations: Building to Scale, Not Just to Survive Highlights the necessity of a scalable business model and technology stack, repeatable workflows, clear product-market fit, and avoiding operational chaos. 5. Financials: The Truth Behind the Business Focuses on the importance of financial projections grounded in reality, clean historical financial statements, clear understanding and management of cash flow, and avoiding poor financial hygiene. 6. Legal & Governance: Build It Like It's Going to Be Sold Discusses the need for a clean and simple cap table, IP protection, legal compliance, a clear exit plan, and avoiding loose agreements or hidden liabilities. 7. Strategy & Tools: Show You Know Where You're Going — and How You'll Get There Covers the development of a strategic growth plan with defined milestones, regular tracking of KPIs, a professional pitch deck, and avoiding reactive leadership. 8. Business Plan: Articulating a Clear Vision Emphasizes the role of a well-crafted business plan in demonstrating market understanding, financial projections, and a clear value proposition. 9. Funding Strategy: Aligning Capital with Growth Discusses the importance of choosing the right type of funding, understanding capital requirements, and aligning funding strategy with business goals. 1. Team: The Foundation of an Investor Ready Business Investors may be drawn to your product or market, but they invest in people . Why? Because great businesses are built — and broken — by the quality, alignment, and resilience of their leadership teams. A strong team signals that your business is not only capable of executing today but also of navigating the inevitable challenges ahead. It’s about chemistry, competence, and the capacity to scale. A study from Stanford highlights that the abilities of a founder and management team are the most critical factors driving investment decisions. Investors prioritise the team's competence over the idea or passion presented. An article in Forbes underscores that seasoned investors often invest in people rather than just ideas. The rationale is that intelligent, competent, and driven founders are more likely to navigate challenges and steer the business toward success. An article from Entrepreneur Magazine emphasises that startup success depends less on the idea and more on assembling a strong, strategically aligned early team capable of executing, adapting, and scaling the business. Here’s what that looks like in practice: Strong Leadership Team with Complementary Skills Investors want to see a leadership team that covers key business functions: operations, product, marketing, finance, and strategy. That doesn’t mean hiring for every role upfront, but it does mean building around your own gaps and avoiding a team of clones. Diverse expertise and clear role ownership are signs of maturity — and a safeguard against burnout or bottlenecks. 💡 Ask yourself: Can your team run the business without you doing everything? Founder-Market Fit and Domain Knowledge It’s not enough to be passionate. You must show that you understand the problem you’re solving better than anyone else — ideally through lived experience, industry background, or insider knowledge. This gives investors confidence that you’re building from insight, not assumption. 💡 You are your business's first credibility test. Show why you are the person to lead this mission. Organisational Design That Supports Growth Even at early stages, the way you structure your team matters. Are roles clearly defined? Are you building a company that scales with people — or stalls without them? Investors look for evidence that your team can grow with the business, not become a constraint. 💡 A scalable structure doesn’t mean hiring big — it means thinking smart about how work gets done and decisions are made. A Clearly Defined Culture and Set of Values Culture isn’t about ping-pong tables or company slogans. It’s about the behaviours, expectations, and mindset that shape how your team shows up and solves problems. Investors want to know: Will this team stay aligned under pressure? Do they attract and retain great people? 💡 Write down your values. Then prove them in how you hire, communicate, and make decisions. Investor Red Flag: Over-Reliance on the Founder If the founder is the business — the chief salesperson, operator, strategist, and technician — investors get nervous. It suggests the company isn’t scalable yet. Even solo founders can signal readiness by surrounding themselves with trusted advisors, partners, and systems. Bottom line: A high-performing team doesn’t just increase your chances of success — it dramatically reduces investor risk. If your people are your greatest asset, make sure your business shows it. 2. Market: The Size and Shape of the Opportunity A great team can solve a lot of problems — but if they’re building in the wrong market, even the best execution won’t deliver returns. That’s why savvy investors look closely at where you’re playing, not just how well you play. A truly investable business operates in a market with enough size, momentum, and unmet need to justify growth — and ideally, dominance. You need to show that your business is targeting a clear, expanding opportunity and that you understand it better than most. A sizable market not only offers growth potential but also reduces the risk associated with investing in a startup. A larger addressable market typically translates to a more diverse customer base , which can help mitigate the impact of market fluctuations or changes in consumer preferences. This diversification enhances the startup's resilience and longevity, factors that are highly valued by investors. Market validation is the process of confirming that there is a genuine customer need for your product or service. It is crucial for securing investment, refining your business model, and increasing your chances of long-term success. Without it, startups risk wasting time and resources on a product that the market does not need. Accurately evaluating market size is essential for businesses as it determines investor interest, strategic planning, and long-term profitability. A Clearly Defined and Sizable Market Opportunity One of the most common red flags investors see? A vague or inflated market size. Claiming to play in a “$500 billion global market” without specifying your niche only signals that you haven’t done the homework. You need to define: The total addressable market (TAM) The serviceable available market (SAM) The beachhead you’re actually targeting first (SOM) 💡 Real insight lives in the specifics , not in grand generalisations. Deep Understanding of the Customer and Their Pain Points The strongest indicator of market readiness isn’t in spreadsheets — it’s in how well you know your customer. Can you clearly articulate their top pain points? Do you understand the triggers that make them buy? Have you spoken to them, sold to them, lost deals to them? Your market story should reflect: Real conversations with real users or buyers A clear buyer persona or customer archetype An understanding of existing solutions they’re using (and why they’re not enough) 💡 A deep understanding of the customer is often what separates “ideas” from investable businesses. Competitive Advantage or Clear Differentiation You don’t need to be the only one in the market — but you do need to explain why you're the best positioned to win. What’s your edge? It could be technology, cost structure, brand, network effects, speed, or focus on an underserved niche. Key questions to address: Why can’t someone else do this faster or cheaper? Why now — and why you? 💡 Investors don’t just want to know how you’ll compete. They want to know how you’ll dominate. Evidence of Market Validation Market validation is the difference between “We think this is a good idea” and “People are already paying us for this.” It’s proof that someone, somewhere, cares enough to buy, subscribe, pilot, or invest in what you’re offering. Examples of real validation: Paying customers or LOIs (letters of intent) Beta users or usage growth Strategic partnerships or industry endorsements Waiting lists or unusually high engagement 💡 Investors want to see you’ve stepped outside the building — and the market has responded. Investor Red Flag: Vague or Generic Positioning If your messaging could apply to hundreds of other companies, you likely haven’t nailed your market fit. Similarly, if you can’t clearly define who you’re targeting — or why they’d switch from existing solutions — investors will hesitate. Bottom line: Investors are looking for traction in a growing market, not just a clever idea. Show that you understand the landscape, have a clear position in it, and can ride a real wave — not just swim in a sea of competitors. Watch out for: Markets that are either too crowded or too vague 3. Traction: Proof You’re Winning, Not Just Building Ideas are everywhere — execution is what matters. Investors are flooded with promising concepts, but they only lean in when a business shows signs that it’s already working . That’s what traction is: real-world proof that your product or service is gaining momentum with real customers. Traction isn’t just about growth. It’s about sustainable, repeatable engagement and value delivery — early signs that your business model works and is ready to scale. Traction is one of the most critical elements investors look for when evaluating startups — it’s the difference between a promising idea and a business that’s actually working. As Naval Ravikant, founder of AngelList, explains, traction is “quantitative evidence of market demand” — proof that your product or service resonates with customers in a real, measurable way ( Founder Institute ). This could include revenue, user growth, retention metrics, or strategic customer wins. What matters is showing that the market is not just interested, but actively engaging. According to Blumberg Capital , traction gives investors confidence that your business can scale and execute effectively. Metrics such as Monthly Recurring Revenue (MRR), Customer Acquisition Cost (CAC), Lifetime Value (LTV), and churn rates help paint a clear picture of financial health and product-market fit — as also highlighted by WomenTech Network . A strong LTV-to-CAC ratio (ideally around 3:1), for instance, indicates sustainable growth potential, while rising MRR and low churn suggest high customer satisfaction and retention ( Finro Financial Consulting ). As Startups.com puts it, traction is what truly differentiates your business from a sea of ideas — it’s what turns vision into investable reality. Tangible Market Traction This is the headline investors are looking for. Whether it’s revenue, user growth, customer testimonials, case studies, or successful pilots — you need to show that the market has responded to what you’ve built. Types of traction that matter: Monthly or annual recurring revenue (MRR/ARR) Active users and usage patterns Retention and renewal rates Enterprise or strategic customer wins Case studies or proof-of-concept trials 💡 The goal isn’t just to show you’ve launched — it’s to show you’re gaining real momentum. Strong Customer Metrics: CAC, LTV, Churn, Retention Unit economics are critical for assessing the viability of your business. Investors want to see that you can acquire customers affordably and retain them profitably over time. Key metrics include: CAC (Customer Acquisition Cost): What you spend to acquire each new customer LTV (Lifetime Value): How much revenue or margin each customer generates Churn: How often customers leave or stop paying Retention: How long customers stick with you, and how engaged they stay If these numbers are healthy and improving, it’s a clear signal that you’re not just attracting attention — you’re delivering value and creating loyalty. 💡 A business with great CAC/LTV ratios and low churn can scale more confidently — and more attractively to investors. A Value Proposition That Resonates You’re solving a real problem. But how do you know your customers agree? True traction means your value proposition is connecting with your target audience in a measurable way. Signs your value prop is working: Customers repeat your messaging back to you They refer others They're willing to pay, even without discounts Engagement increases without nudging 💡 If you have to explain your value too hard, it’s probably not strong enough yet. Traction often reflects how clearly your solution fits the market. Investor Red Flag: Vanity Metrics Metrics like downloads, likes, press mentions, or “total users” can look impressive — but if they don’t connect to revenue, retention, or real engagement, they raise questions. Investors ask: Are these users active ? Are they paying — or on free trials? Is this growth driven by a strategy or just noise? 💡 Vanity metrics make you feel good. Traction metrics build investor confidence. 4. Product & Operations: Building to Scale, Not Just to Survive A business isn’t investable just because it works today — it’s investable because it’s built to work at scale . That means the product delivers consistent value, the operations are systemised, and the business model can grow without imploding under its own weight. Scalability is a major signal to investors that a business can grow revenue without ballooning costs. A scalable model — supported by a tech stack that enables automation, integration, and flexibility — allows for sustainable growth. As CTO Magazine explains, the right stack ensures your infrastructure won’t crumble as demand increases, making your operations more resilient and attractive to investors. Investors also look for operational maturity. According to Brex , documented workflows and SOPs signal that your business can function without constant founder involvement. It reduces risk, improves efficiency, and shows you're not just surviving — you're building for scale. Investors want to see more than a functioning offer. They want to know: Can this business scale efficiently, without breaking or depending on the founder at every step? A Scalable Business Model and Technology Stack Scalability isn’t just about growth — it’s about how you grow. An investable business has a model that can expand revenue faster than it increases cost and complexity. Key signals of scalability: Revenue increases without a linear increase in team size or delivery hours Tech systems support automation, integration, and future growth Pricing and packaging are designed to support different customer segments 💡 Investors ask: “If demand doubled tomorrow, what breaks — and what grows?” Repeatable, Documented Workflows and Processes Chaos kills scale. Investors look for evidence that your day-to-day operations are not reliant on tribal knowledge or heroic effort. Instead, they want to see repeatable, teachable systems that anyone on the team can follow. Strong operations include: Standard operating procedures (SOPs) for critical tasks Onboarding processes for customers and staff Delivery methods that balance quality and efficiency Documentation that reduces key-person dependency 💡 The more your business runs on systems (not people), the more it looks like an asset — and not just a job with a logo. Clear Product-Market Fit — or a Credible Path to It If your customers consistently use your product, recommend it to others, and renew or repurchase without much effort, you're on the right track. That’s product-market fit. But even if you’re not quite there, investors will back you if you’ve got evidence of traction and a clear path forward . Signals of fit: High engagement, low churn Organic referrals or waitlists Customers describing your product as a “must-have,” not just “nice to have” 💡 Can you answer this honestly: “Would my customers be disappointed if we disappeared tomorrow?” Investor Red Flag: Operational Chaos or Key-Person Dependency If the business grinds to a halt when one person is away — or if decisions constantly bottleneck at the founder — it’s a red flag. Likewise, if processes are inconsistent or undocumented, growth will only amplify the chaos. Common symptoms: You’re hiring to fix overwhelm, not drive strategy No one can explain “how things are done” the same way Quality and customer experience vary wildly from one delivery to the next 💡 Great operations don’t slow creativity — they enable it at scale. Bottom line: A scalable product and systemised operations are what transform a promising startup into a real, investable business. Investors want to see that your house is in order — and ready to grow without burning down. 5. Financials: The Truth Behind the Business When it comes to investment, financials are more than just numbers — they’re a mirror of how well a business is run . Investors don’t expect you to be a financial wizard, but they do expect you to understand your numbers, manage your cash, and forecast responsibly . Investors rely heavily on a business’s financials to assess its operational discipline and long-term growth potential. Key metrics like revenue growth, gross margins, and unit economics — particularly customer acquisition cost (CAC) and customer lifetime value (LTV) — help signal whether the business can scale sustainably, as detailed by NetSuite . Financial forecasts must also be grounded in reality, tied to historic performance and market-driven assumptions. Optimus Business Plans notes that overly optimistic projections are a red flag, while realistic, well-defended models build investor confidence. In more established companies, investors closely watch burn rate, runway, and recurring revenue growth as signs of financial maturity and strategic clarity — as highlighted by Finro Financial Consulting . Together, these insights reinforce that well-managed, transparent financials don’t just support valuation — they build trust. Strong financials are a sign of operational discipline, commercial awareness, and a business that’s built to last. Whether you’re raising capital or preparing to sell, your numbers tell the story — make sure it’s one that builds confidence. Investors aren’t just betting on an idea—they’re evaluating whether the business is financially viable and built to grow. That’s why a clear grasp of your financial metrics is a non-negotiable requirement when seeking investment. At a minimum, investors want to see consistent revenue growth , healthy gross margins , and evidence of profitability or a path toward it . But that’s just the start. They’ll also be looking at: EBITDA (earnings before interest, taxes, depreciation, and amortisation): This helps them compare performance across companies. Cash flow : They want to see how well you manage the money coming in and going out. Customer acquisition cost (CAC) and customer lifetime value (CLTV) : These figures show the efficiency and sustainability of your growth engine. Burn rate and runway : If you’re pre-profit, how long can you survive on current cash reserves? What makes a business investable isn’t just that these numbers look good on paper—it’s that you, as the founder or leadership team, understand them deeply, can speak to the story behind them, and can show how you’re improving them quarter by quarter. Financial Projections Grounded in Reality, Not Just Optimism Investors don’t mind ambition — in fact, they expect it. But projections built on sand (or wishful thinking) are a red flag. You need to show that your forecasts are tied to real assumptions: market size, conversion rates, historical performance, and capacity. Strong projections show: Growth tied to actual funnel performance Cost assumptions aligned with hiring, delivery, and operations Sensitivity analysis (what happens if growth is slower or costs increase?) 💡 Ask yourself: “Could I defend these projections in front of a boardroom of sceptics?” If not, revise them. Clean Historical Financial Statements Past performance may not guarantee future results, but it does provide credibility . Investors want to see that your records are accurate, up to date, and tell a consistent story. This includes: P&L statements Balance sheets Cash flow statements Records that match what's been said in decks and meetings 💡 Sloppy books or vague answers create uncertainty. Clean numbers build trust. Clear Understanding and Management of Cash Flow Cash flow isn’t just about survival — it’s a strategic lever. Investors look for businesses that understand the rhythm of their cash: when it comes in, when it goes out, and how to manage it with confidence. This includes: Knowing your burn rate and runway Having a plan to manage shortfalls Showing how revenue and expenses are timed Aligning investment asks to cash flow needs — not just growth goals 💡 Cash flow clarity tells investors you’re not just chasing growth — you’re building a financially sustainable business. Investor Red Flag: Poor Financial Hygiene or Unexplained Cash Burn Here’s what makes investors nervous: Expenses that don’t align with growth Unclear or shifting explanations for financial decisions No visibility into profitability (or path to it) “We’ll figure it out later” attitudes around money These suggest either a lack of control, a lack of understanding, or both. 💡 You don’t need to be a CFO — but you do need to know where every pound is going, and why. Bottom line: Investors can forgive imperfect numbers — but not unknowns. Solid financials don’t just make you look professional — they make you investable. They prove you’re running a business, not just chasing a dream. 6. Legal & Governance: Build It Like It’s Going to Be Sold No matter how exciting the product or how fast you're growing, a lack of legal clarity or poor governance can kill a deal in seconds . Investors want assurance that your business is not only compliant and protected, but also structured in a way that makes future exits — and returns — achievable. Investors closely scrutinise a company’s legal and governance foundations, as these are often deal-makers — or deal-breakers. A clean and simple cap table is essential for transparency, avoiding future disputes and delays; as SeedLegals and Global Shares explain, messy ownership structures can immediately raise red flags. Equally important is protecting your intellectual property. Without trademarks, patents, or clear IP assignments, you're building value on shaky ground. As noted by WIPO and Wilson Gunn , strong IP protection reassures investors and strengthens your commercial position. Compliance matters too. From employee contracts and tax registrations to data protection and valid supplier agreements, cutting legal corners won’t impress potential investors. Guides from ADP and Global People Strategist highlight how robust compliance signals business maturity. Finally, a credible exit plan is a must. Clean and Simple Cap Table Your capitalisation table (cap table) should clearly show who owns what — and how much. Messy cap tables with unissued shares, forgotten convertible notes, or overly diluted founders send warning signals to investors. A clean cap table includes: Clearly documented equity allocations (founders, employees, early investors) Any convertible notes or SAFEs accounted for properly No ambiguous promises of equity or unexecuted agreements 💡 If your cap table raises more questions than answers, you're not investment-ready. IP Protection (Trademarks, Patents, Agreements) If your business relies on intellectual property — whether that's a brand, process, software, or content — it must be legally protected. Otherwise, you’re building value on assets you don’t truly own. Important protections include: Trademark registrations (especially for your brand name and logo) Patent filings (if relevant) Clear assignment of IP rights from founders, employees, and freelancers Confidentiality and non-compete agreements where appropriate 💡 If you’re not protecting your IP, someone else might — and that’s a risk no investor wants. Legal Compliance: Employment, Taxes, Data, and Contracts You don’t need a full-time legal department, but your business must operate inside the law. That means having the right foundations in place to protect your customers, your employees, and your business. Key compliance areas include: Properly drafted employee contracts and policies Tax registrations, VAT handling, and up-to-date filings GDPR/data protection compliance if you collect or handle user data Valid contracts with suppliers, partners, and customers 💡 A business that cuts legal corners may grow fast — but won’t get far with investors. A Clear Exit Plan or Strategic Options You don’t need to have the whole journey mapped out, but investors want to know: Where is this going? Whether it’s a trade sale, acquisition, IPO, or succession plan — you need to show you’re building something that’s exit-capable . Signals of exit readiness include: Market awareness of who might acquire you and why Structuring decisions that don’t block future M&A Thinking long-term about leadership transitions or liquidity events 💡 You don’t need a timeline, but you do need a vision for the endgame. Investor Red Flag: Loose Agreements, Equity Disputes, or Hidden Liabilities Nothing undermines investor confidence like discovering: Verbal equity promises that were never documented Co-founders or ex-employees who still technically own IP or shares Lawsuits or regulatory issues waiting in the wings Surprise debts or financial obligations not disclosed upfront 💡 If you wouldn’t be happy handing over your contracts and cap table in a dataroom tomorrow, it’s time to clean up. Bottom line: Legal and governance structures aren’t just a formality — they’re a foundation. If you want to build something that lasts or sells, you need to start acting like it from day one. The more investable your legal setup, the smoother every future conversation will be. 7. Strategy & Tools: Show You Know Where You're Going — and How You'll Get There A business without a strategy might grow, but it won’t scale — and it certainly won’t inspire investor confidence. Strategy isn’t just about big plans; it’s about prioritisation, direction, and focus . Combined with the right tools and data, it helps you steer the business with intention, not reaction. Investors seek businesses that demonstrate not only ambition but also a clear, actionable strategy for growth. A well-defined growth plan, complete with specific milestones, signals intentional leadership and a commitment to achieving set objectives. Resources like LeanPlan and LivePlan emphasize the importance of setting and tracking milestones to convert strategic plans into actionable steps. Equally important is the consistent monitoring of Key Performance Indicators (KPIs). KPIs provide measurable insights into a company's performance, guiding decision-making and highlighting areas for improvement. As noted by Doeren Mayhew , effectively tracking KPIs enables businesses to assess progress toward goals and make informed adjustments. Investopedia further elaborates on the role of KPIs in evaluating both financial and operational achievements. Moreover, a compelling pitch deck remains a vital tool for communicating a company's vision and strategy to potential investors. According to the British Business Bank , an effective pitch deck should succinctly present the product, market opportunity, team, financial needs, and exit strategy, all supported by evidence and insights. This not only showcases the business's potential but also instills confidence in its leadership and direction. Investors look for founders who can balance vision with structure — people who can dream big, but also make smart, measurable decisions along the way. A Strategic Growth Plan with Defined Milestones You don’t need a 100-page business plan — but you do need a roadmap. Investors want to see that you know what’s next, why it matters, and how you’ll measure progress. This includes: Key objectives for the next 6, 12, and 24 months Revenue and customer acquisition targets Product or geographic expansion plans Resource planning (e.g. key hires, partnerships, capital needs) 💡 A great plan doesn’t guarantee success, but it does show you’re leading on purpose — not just reacting to the market. Regular Tracking of KPIs and Decision-Making Driven by Data Gut instinct is valuable — but scalable businesses are built on data . Investors want to see that you’re tracking the right metrics and using them to drive your decisions. It’s a sign of maturity and accountability. Examples of KPIs that matter: Revenue and margin trends Sales conversion rates Customer acquisition cost (CAC) Lifetime value (LTV) Churn, retention, and engagement 💡 You don’t need to track everything , just the metrics that actually move your business forward. Know your levers — and measure them relentlessly. A Professional, Persuasive Pitch Deck Even if you’re not raising right now, a strong pitch deck is a sign you can communicate clearly — to investors, to partners, and to your own team. It shows you understand your business at both the narrative and data level. Your deck should: Tell a compelling story: problem, solution, traction, and vision Highlight your team, product, market, and business model Be visually clean, well-structured, and free of fluff Spark interest and follow-up, not try to answer every question 💡 The best decks are built from clarity — not hype. Investor Red Flag: Reactive Leadership or Lack of Long-Term Direction Investors quickly lose confidence in businesses that: Change direction frequently with no clear reason Can’t articulate what success looks like in 6–12 months Struggle to answer basic questions about metrics or next steps Are over-reliant on instinct rather than insight 💡 You don’t need to have all the answers. But you do need to know the questions that matter — and how you’re tracking them. Bottom line: Strategy and tools aren’t just for internal use — they’re signals of leadership. When investors see clear thinking, structured plans, and disciplined execution, they see a business — not just a product. And that’s what gets funded. 8. Business Plan: Articulating a Clear Vision A well-crafted business plan is more than just a document—it’s the narrative investors use to judge the credibility, maturity, and growth potential of your business. It shows you understand your market, know your numbers, and have a plan to win. A strong business plan is essential for any business seeking investment. It should clearly outline your objectives, market positioning, and financial strategy. As GOV.UK advises, your plan needs to show how your business will succeed, covering strategy, sales, and financial forecasts. It's not about length — it's about clarity and focus. Investors also expect well-grounded financial projections. Bracey’s Accountants note that realistic forecasts for revenue, expenses, and cash flow show your grasp of the business’s future. Alongside this, Pegasus Funding highlights that solid market analysis builds credibility — proving you understand your customers and competition. And as British Business Bank explains, regularly updating your plan ensures it stays aligned with your growth goals. Investors don’t just want ambition — they want evidence you know how to deliver it. At its core, your business plan needs to answer the fundamental investor questions: What problem are you solving, and for whom? How are you uniquely positioned to solve it better than anyone else? What is your go-to-market strategy, and how will you attract and retain customers? What are your projected revenues, costs, and margins—and how will these evolve over time? It should include a clear value proposition , market analysis , competitive landscape , and growth strategy . But most importantly, it should be concise, coherent, and realistic. A business plan that’s either too optimistic or full of vague buzzwords quickly erodes confidence. A great business plan doesn’t just describe the business—it shows how the pieces fit together to create momentum. It gives investors a blueprint for how their capital will help you scale, and how they’ll get a return. Without it, even the best ideas often remain just that—ideas. 9. Funding Strategy: Aligning Capital with Growth Not all funding is created equal. One of the biggest mistakes founders make is chasing capital without first deciding what type of funding best aligns with their business goals and stage of growth. A strong funding strategy aligns the right type of capital with your business’s specific growth stage and goals. As the British Business Bank outlines, understanding the full range of finance options—like loans, grants, venture capital, angel investment, or crowdfunding—is essential before seeking investment. Each option comes with trade-offs in terms of equity, control, repayment, and strategic input. For example, the Growth Guarantee Scheme provides government-backed loans up to £2 million for businesses looking to scale, while equity finance may suit those aiming for rapid expansion in exchange for a share in ownership. Additionally, grant funding offers non-repayable support for targeted initiatives. Investors want to see not just how much funding you’re seeking, but why it’s needed, how it will be used, and what return it can deliver. A clear, intentional capital strategy signals maturity and builds investor confidence. Before approaching investors, founders should understand: What kind of funding is most appropriate? (Bootstrapping, angel investment, venture capital, grants, loans, crowdfunding?) How much do we need—and why? What will the capital be used for—and how will it accelerate our roadmap? What are we willing to trade for that capital? (Equity, control, reporting obligations, strategic direction) Investors want to back founders who are deliberate and informed about their capital strategy . That means knowing the pros and cons of each funding option, understanding how it impacts dilution and control, and showing a clear plan for how funds will be deployed to create measurable outcomes. A strong funding strategy reassures investors that you're not just chasing money—you’re building a capital-efficient business that knows how to grow without burning through resources unnecessarily. It’s about alignment: matching the right kind of capital to the right growth goals at the right time. Final Thought: Readiness Drives Value Being investable isn’t just about impressing investors — it’s about building a business that’s built to last, grow, and eventually thrive without you at the centre . Whether you’re looking for investment, planning an eventual exit, or simply trying to build something that creates freedom and wealth, the same principles apply. Readiness equals value . Not just perceived value — real, tangible business value that others are willing to bet on, buy into, or build with. An investable business is: Systemised , so it doesn’t rely on key people to function Validated , so its market fit is proven and not theoretical Governed , so it’s legally sound, protected, and structured to scale Measured , so performance can be tracked, adjusted, and improved Vision-led , so growth is intentional, not accidental This checklist isn’t just a fundraising tool — it’s a blueprint for resilience . It reveals where your business is strong, where it might be vulnerable, and where to focus next to unlock the next level of growth. You don’t need to be perfect. But you do need to be intentional. So whether you’re preparing to pitch, considering a sale, or just want to sleep better at night knowing your business is investable, come back to this list. It reflects not just what investors look for — but what great businesses are made of . Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

HCM can help companies to improve all kinds of HR processes and functions, such as onboarding, training and development. Learn more about HCM in our guide. High-Performance Culture & Talent Human Resources & Talent Development How Can Human Capital Management Help Increase Productivity? Human Capital Management (HCM) is about maximising your return on people by investing in them just as seriously as you would in technology or property. Published on: 10 Dec 2020 In these fast-moving times, it’s rare for people to work for the same company until retirement. With a robust human capital management strategy, you can provide experiences that motivate people to stay loyal and productive. Your people are your competitive advantage, so make their time with you as hassle-free, engaging and seamless as it should be. Replacing an employee in an SME costs an average of six to nine months salary . So what can businesses do to keep highly skilled employees from leaving and therefore retain their value? What is Human Capital Management? Human Capital Management (HCM) is about maximising your return on people by investing in them just as seriously as you would in technology or property. It sums up the approaches used by businesses to recruit and retain talent, manage employees effectively, provide them with skills and learning opportunities, and motivate and develop them. HCM can help companies to improve all kinds of human resources processes and functions such as onboarding, training and development, payroll, compensation and performance management. For example, investment bank Goldman Sachs delivers a raft of programmes throughout people’s careers ranging from benefits and wellness to talent assessment. In Oracle’s definition , HCM refers not only to strategy but also IT applications and software that firms use to implement it. These include cloud-based HCM systems for the primary HR functions such as payroll, benefits, compliance, managing talent, planning and managing the workforce, as well as delivering services such as help desks and employee self-service (ESS). How can Human Capital Management Help Increase Productivity? HRM defines the management of people by the business or HR team using traditional tools and processes. HCM makes the tools and processes more effective and turns them into opportunities. You could say HCM solutions are like HRM but on steroids. The 3 Primary Functions of HCM Acquiring Talent As part of the talent acquisition process, HCM can make recruitment more straightforward and engaging for your candidates. It begins with sourcing and screening people, checking CVs, matching their skills with the business’s needs, scheduling interviews, and carrying out background checks aided by an applicant tracking system (ATS) that stores the data and tracks their progress throughout. The last step is ‘onboarding’, bringing them into the company, orientating them and getting them started. Managing Talent Human resources professionals now have to juggle a wide variety of talent, from contractors to part-time workers and full-time staff working different hours. Talent management includes time and attendance, payroll, performance management, and cultural development aspects such as rewards and recognition programmes and grievance procedures. Developing Talent By developing and optimising your talent, HCM can make a significant impact on your business. As Emily He writes in HRO Today , learning programmes should not be one-size-fits-all but tailored and refined to meet different employee needs and the various generations represented within your business. The Benefits of a Robust HCM Strategy When businesses do HCM correctly, it helps HR teams to be proactive and: Attract the right staff Onboard them effectively Nurture and retain talent Optimise people management Drive engagement Manage performance Adjust rapidly to change Design high performance work systems ( HPWS ) Increase business productivity Let’s take some of the challenges facing SMEs now. With the right HCM strategy in place, you can more easily manage flexible working trends. For example, using tools such as video and messaging to onboard new people as homeworking and blended or hybrid working steadily increases. You can adjust your strategy to take into account changing demographics and generations’ working styles. For example, you might introduce a variety of more meaningful reward and recognition schemes to appeal to millennials and baby boomers. Increasing Workplace Productivity If you genuinely believe employees to be at the core of your business, you can’t pay lip service to HCM. You must put human resources at the centre of your business and HCM strategy. Using HR to its maximum potential is essential if you want to introduce an HCM strategy that makes your employees more engaged and productive. Your HR manager can measure how productive your employees are by setting their objectives and targets, measuring them against them and by making sure they are completing tasks effectively. If they’re working to their full potential, your revenue will increase. One strategy that SMEs find useful is to manage people more profitably using ‘profit-based’ assessment. You look at how much money your sales people are making for every pound of their salaries. They’ll be able to improve motivation through bonuses, rewards schemes and other incentives and provide them with learning opportunities that also keep them engaged. Out With the Old HR is often one of the last aspects of running a business that SMEs consider or, if they do, the function is underused. Too many small-to-medium businesses see HR as a cost that companies must minimise, not something to develop and leverage. In contrast, SMEs see HCM as an advantage characterised as big-company corporate. Not so. SMEs can also use HR and HCM to look at how effectively and efficiently staff are being recruited and managed. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Unlock the 7 essential insights for strategic scaling. Learn how to grow your business with purpose, operational efficiency, and a scalable team—without losing what makes you great. Strategic Transformation & Planning Business Strategy & Planning Strategic Scaling: 7 Essential Insights for Growing a Purpose-Driven, Scalable Business Scale your business the smart way—combine values, strategy, and systems to grow sustainably and build something that lasts. Published on: 2 Jan 2025 Strategic scaling isn’t just about getting bigger—it’s about breaking through the barriers that stop most businesses from growing at all. As companies scale, they face predictable challenges: time gets stretched, consistency breaks down, complexity increases, the brand becomes diluted, and agility starts to fade. These are the five business scaling walls —and overcoming them is what separates businesses that stall from those that scale sustainably. Whether you're expanding your team, entering new markets, or formalising your operations, understanding these five walls—and knowing how to break through each—ensures your growth is not just fast, but smart, resilient, and built to last. Here are seven essential insights to guide your journey through the 5 business scaling walls. 1. Purpose and Values-Led Strategic Scaling Anchor growth in purpose-driven goals. Scaling isn’t just a numbers game—it’s a values game. When your growth is rooted in a clear purpose, every part of your business—from operations to brand to hiring—moves in the same direction. Purpose provides the long-term vision that keeps your team aligned and your decisions consistent, even as complexity increases. Lead with transparency, inclusion, and equity. Strategic scaling puts people at the centre. Inclusive leadership builds trust, attracts top talent, and strengthens culture. Being transparent about your goals and values not only improves decision-making but also creates a consistent foundation during periods of change. Empower a diverse team to drive innovation and impact. Diversity fuels resilience and creativity. By building an empowered, representative team, you create space for fresh ideas, better decisions, and broader impact—both commercially and socially. Protect and activate your core values as you grow. Growth can test your culture. To preserve what makes your business unique, embed your values into workflows, decisions, and leadership behaviours. When your values scale with you, your culture becomes a competitive advantage—not a casualty of growth. 2. Strategic Planning for Sustainable Scaling Create a clear, grounded growth plan. Every successful scaling effort starts with a plan that reflects not just ambition, but reality. Factor in your internal capabilities, team bandwidth, operational readiness, and the true pace you can sustain. Growth without structure quickly collapses under its own weight. Use roadmaps to guide action and align teams. A strategic roadmap breaks ambitious goals into clear, prioritised steps. It helps your team stay aligned, focused, and accountable—especially as the business grows and decisions become more layered and complex. Keep your strategy agile and evolving. Markets shift, teams evolve, and lessons emerge. Your scaling plan must remain a living document—something that adapts as you learn, not something fixed in stone. Flexibility is key to navigating the inevitable complexity that comes with scale. Bridge the gap between now and next. Scaling isn’t about hoping for growth—it’s about building a bridge to it. That means identifying the systems, skills, structures, and processes needed to take you from your current state to your future vision. Base strategy on insight, not instinct. Thorough market research and competitive analysis give you a strategic edge. Data-driven planning helps avoid costly missteps and ensures your strategy is grounded in opportunity, not assumption. 3. Operational Efficiency for Strategic Scaling Standardise and document core processes. As your business scales, informal knowledge and improvised methods quickly become liabilities. Documenting workflows ensures consistency across teams, reduces errors, and makes onboarding and delegation faster and more reliable. Automate where possible to reduce friction and free up time. Manual tasks create bottlenecks and increase the risk of error. Automation streamlines operations, boosts accuracy, and allows your team to focus on high-impact work—essential for scaling without piling on complexity. Invest in scalable systems that evolve with your business. Your tech stack should support growth, not slow it down. Choose tools and platforms—like CRM, accounting, and project management systems—that can scale alongside your operations and adapt as needs change. Understand your scaling assumptions and test them early. Every growth plan relies on assumptions—about demand, capacity, customer behaviour, and team performance. Mapping out these dependencies and pressure-testing them helps you avoid costly surprises and strengthens operational resilience. Build infrastructure that reduces chaos, not adds to it. Scaling adds moving parts. Without structure, complexity can spiral. Operational efficiency isn’t about perfection—it’s about building a system that delivers consistent results as the business grows and changes. 4. Building the Right Team for Strategic Scaling Strengthen your leadership to unlock scalable growth. Your business can’t outgrow its leadership. As operations expand and decisions become more complex, a capable leadership team becomes essential. Invest in leaders who not only manage complexity but also align teams, communicate vision, and create stability through change. Develop internal talent through training and support. Strategic scaling isn’t just about hiring externally—it’s about elevating from within. Investing in learning and development prepares your team for increased responsibility, fosters loyalty, and creates a strong internal pipeline of future leaders. Empower people with the clarity, tools, and autonomy to lead. High-performance teams thrive when they’re trusted. Provide clear goals, the right systems, and decision-making authority to allow your team to take initiative confidently. When people are empowered, capacity multiplies—and you move beyond the time limitations of founder-driven growth. Delegate with purpose—not distance. Effective delegation isn’t about stepping back—it’s about stepping aside with structure. Establish clear roles, outcomes, and feedback loops. When team members understand expectations and feel ownership, they can deliver at scale without constant oversight. Scale leadership, not just labour. Adding more people won’t solve growth challenges if leadership remains centralised. Building a team capable of thinking, solving, and leading at every level turns your organisation into one that scales with speed, stability, and strength. 5. Customer-Centred Strategic Scaling Keep customer experience at the heart of your growth. As your business scales, it’s easy to focus on internal targets and operational challenges—but your customers must remain the priority. Growth should enhance the customer experience, not dilute it. Protecting what your customers already love is essential for long-term brand loyalty. Build a scalable marketing and sales engine. Your ability to attract and convert new customers needs to grow alongside your operations. Strategic, data-informed marketing ensures that demand stays strong while targeting the right audiences with the right message—without losing the personality and promise that made your brand successful in the first place. Use feedback to evolve with your customers. What your customers need today may not be what they need tomorrow. Regularly gathering feedback and tracking customer behaviour helps you adapt your offerings, fine-tune messaging, and stay relevant—even as your business becomes more complex. Safeguard quality and consistency across all touchpoints. Rapid expansion can lead to shortcuts, inconsistencies, and brand drift. Strategic scaling includes building in quality controls, training systems, and brand standards that ensure every customer touchpoint delivers on your promise—no matter how fast you grow or how many hands are involved. Strengthen your brand by staying customer-obsessed. Your brand isn’t just your visuals—it’s the experience people associate with your business. A customer-centred approach to scaling ensures that your reputation strengthens, not weakens, as you expand. 6. Financial Readiness for Strategic Scaling Forecast cash flow to stay ahead of growing costs. Scaling isn’t just operational—it’s financial. As you grow, so do your expenses—new hires, upgraded systems, expanded infrastructure. Robust cash flow forecasting allows you to anticipate these costs, avoid surprises, and make confident, timely decisions. Align your budget with strategic priorities. Your budget should reflect where the business is going, not just where it’s been. Strategic scaling requires intentional investment—allocating funds to growth-driving initiatives while managing risk. Every line in the budget should map back to a measurable business goal. Choose the right funding model for your growth journey. Whether it’s equity, debt, grants, or crowdfunding, funding should fit your business model, risk profile, and long-term vision. Strategic scaling means choosing partners and financial structures that support flexibility, not limit it—and that protect your ability to adapt as conditions change. Understand the real cost of capital. All funding comes with strings. Know what you’re committing to—whether it’s interest rates, repayment schedules, equity dilution, or investor expectations. Clarity on your financial obligations is key to maintaining control and agility as you scale. Build financial resilience alongside growth. Fast growth can outpace financial discipline. Embedding strong forecasting, budgeting, and risk management practices ensures your business remains agile—able to pivot when needed, seize new opportunities, and weather inevitable challenges. 7. Monitoring and Adapting During Strategic Scaling Use KPIs to keep growth measurable and focused. What gets measured gets managed. Identify a clear set of key performance indicators that align with your scaling objectives—whether that’s improving customer retention, increasing gross margin, or accelerating team delivery. These metrics act as your compass, helping you stay on course as complexity increases. Stay agile and responsive to real-world conditions. No matter how well you plan, scaling is rarely linear. New challenges will emerge, and unexpected variables will test your model. Strategic scaling means being prepared to adjust—not out of panic, but from a place of clarity and confidence. Validate your strategy with external insights. Your internal perspective is valuable, but it can also be limited. Regularly benchmark your scaling strategy against industry data, expert input, and advisor feedback. Outside perspectives help reveal blind spots and strengthen your decision-making. Reassess assumptions before they become liabilities. Many growth strategies fail not because they were wrong—but because they were never updated. Revisit your key assumptions regularly: customer behaviour, cost structures, delivery capacity, and competitive advantage. Challenge what you think you know, and adjust early. Make iteration part of your rhythm. Strategic scaling is not a one-off plan—it’s a process of constant learning and adaptation. Build feedback loops, conduct regular reviews, and create space to reflect. This discipline ensures your business stays aligned, competitive, and agile as it scales. Final Thought: Strategic Scaling Is Built, Not Rushed Scaling isn’t about speed—it’s about structure. True strategic scaling means aligning your purpose, people, systems, and capital to create a business that’s not only bigger, but better. It’s about navigating the five business scaling walls —time, consistency, complexity, brand, and agility—with clarity and intention. This is how businesses move from good to great: not by chasing growth blindly, but by building it deliberately—step by step, decision by decision, with sustainability and long-term value at the core. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Customer service isn't an unsolved mystery. Follow our five golden rules of customer service to deliver a great customer experience every time. Data-Driven Performance & ROI Customer Experience & Service Excellence The 5 Golden Rules Of Great Customer Service Are you doing everything you can to help your customers? What else could you be doing? With the summer break looming it’s time for hotels and activities companies to start reviewing whether they are doing everything they can to attract new customers. Published on: 2 Apr 2015 With the summer break looming it’s time for hotels and activities companies to start reviewing whether they are doing everything they can to attract new customers. Elsewhere, at about the same time, retail businesses start thinking about how to make the most of footfall during the summer months. The tourist season is a short one and many businesses are heavily dependent on having a good season to keep their business afloat. However, have you ever had a call that goes like this? “Hello, Complacency Hotel, how can I help you?” “Hello, I would like to check your availability for the 29th February please” “What sort of room are you looking for?” “errr…” “Double, Single, Standard Double, Executive Double or Suite” “Just double thank you” “We have no doubles available for the 29th February” “Oh, ok. Thank you, bye” And the reservation is lost and the booking gets snapped up by Proactive Park Hotel down the road. Following the five golden rules of giving a great customer service experience could have not only saved that particular booking but could have resulted in repeat custom, and maybe even a booking for an executive double or even a suite, increasing that customer’s spend from maybe £300 to several thousand pounds over the course of a few years…and then there’s all the people they might have told about their wonderful stay… The 5 golden rules of customer service 1) Keep it professional Ensure your staff are not distracted by personal conversations or text messages. Limit mobile phones not needed for business purposes to the staff room and personal calls to a minimum. As a consumer there’s nothing more irritating than the till operator or call handler chatting to their sister/friend/boyfriend or even colleague whilst you stand there waiting to be helped. 2) Convey a consistent brand persona Train your customer service teams to project a consistent professional and efficient image. This will increase confidence within your customers and enhance the customer experience.a. Pay attention to how staff answer the phone b. Identify the information they need and ensure that you know where they can get it.c. Review your systems. An ineffective IVR will get rid of your customers faster than you can say ‘can I help you’. 3) Solve issues or concerns quickly. People are usually quite understanding about mistakes and problems occurring but incompetence in the resolution is a lot less forgivable. Find out how they would like the situation to be remedied and deliver it if you can (and if it’s reasonable). If you can’t then see consider how else you can remove any inconvenience that the customer has encountered as a result of the issue. 4) Know your products and services and get your teams trained in closing sales. Better knowledge of products and services means more than just additional money in your coffers. It also means more ways that your staff can help your customers. 5) Treat your customers like individuals. They have interests and personalities, questions and concerns. Addressing them as people and engaging them in conversation can go a long way towards building rapport and getting that sale as well as improving their experience of your business. You can achieve this through learning customer empathy. By this we mean, using techniques to understand the needs and feelings of your customers so you can treat them as the authentic individuals they are. These rules can be applied to any business, not just hotels and restaurants. By obeying the five golden rules of customer service you will find your conversions increase and your reputation improves overnight. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

7 ways to improve happiness at work to improve health, increase creativity and productivity. High-Performance Culture & Talent Organisational Culture & Performance 7 Ways to Improve Happiness at Work A happy workplace is associated with improved health, increased creativity, and productivity. Work environments with happy workers are more harmonious and positive. Moreover, such people put in more effort beyond their job descriptions and are more committed to their work. Published on: 25 Aug 2022 The latest ‘Work Happiness Score’ study from Indeed found that only one-third of UK workers are generally satisfied with their jobs. Almost one in four survey respondents said that being unhappy at work makes them unable to find enjoyment in other areas of their lives. What are the happiest and unhappiest job sectors? Workers in education are most likely to be happy, followed by those in aerospace and defense. Property workers are the unhappiest, followed by those in management and consulting and those in the automotive industry. A fifth of workers are unhappy at work, and one in 10 (11%) start feeling unhappy less than six months into a new job. Considering these stats , it’s no wonder people feel overworked, stressed, and unhappy. You’ll spend 30 to 50 hours at work each week, so why not make it enjoyable? We’ll be discussing seven ways to improve happiness at work! What are the benefits of building a happy workplace? A happy workplace is associated with improved health, increased creativity, and productivity. Work environments with happy workers are more harmonious and positive. Moreover, such people put in more effort beyond their job descriptions and are more committed to their work. The following are ten benefits of happiness at work for both employers and employees: A higher level of productivity Enhanced creativity A better quality of life and improved health Workplace stress is reduced Motivated A higher level of satisfaction at work Reduction in turnover A higher rate of retention Workplace accidents are reduced Cost-savings in health care How important is it to build a happy workplace? Employees’ happiness is critical in determining their productivity and satisfaction at work. Furthermore, it enhances a company’s image and helps it retain its employees for a long time. The importance of happiness at work cannot be overstated. Despite this, the concept of happiness at work has only gained prominence in the last few decades. Prior to that, employers focused primarily on their businesses, trade relations, and profits. In recent years, researchers have begun realizing the importance of employee happiness , and employers are also starting to pay attention. Many institutions now offer courses on “happiness.” Some of these courses, such as “The Science of Happiness” by EdX, teach people how to be happy at work and in their daily lives. Thus, we need to ask why we don’t correlate happiness with work. As a part of our culture, we have been taught that we must support ourselves financially and be responsible members of society. The vast majority of people go to work out of obligation, not because they are happy to do so. The workplace is rarely seen as a place where people seek happiness. Instead, we perceive them as places where we exchange skills and time for money to support ourselves. Generally, humans strive for happiness in their personal lives by maintaining relationships or achieving their wants and dreams. However, happiness can also be achieved at work. As opposed to popular belief, work does not have to be boring or unfulfilling. 7 ways to improve happiness at work When you feel good and happy at work, peace of mind and a work-life balance can be achieved. It has been shown that people who are happy at work are more productive and perform better overall. The following are seven steps employers can take to foster positive emotions at work: Embrace Employees’ Strengths The importance of reminding workers of their strengths and how they contribute to a project’s success cannot be overstated. It is recommended that this happens on a regular basis, especially during feedback sessions. Continually expand their responsibilities and duties to match their strengths, so they feel like they are making progress. Although weaknesses need to be addressed, they should be viewed as opportunities to acquire future skills. Those who are happy utilize their strengths in all areas of their lives. Find a creative way to incorporate your employees’ strengths into their day if their work doesn’t naturally draw upon those strengths. Consider adding a small plant to the break room or common space if appreciation of beauty is one of their top strengths. According to studies, people who work in offices with windows report greater work satisfaction than those in offices without windows. Building Relationships At Work Healthy relationships are a major indicator of happiness, so encourage your employees to connect with their coworkers. This also boosts their mood. It isn’t necessary for employees to socialize with them outside of work (although having a work friend contributes to greater job satisfaction), but simply engaging in a water cooler conversation can create a friendly atmosphere. Create a workplace culture where employees are willing to eat lunch with their colleagues rather than at their desks alone. According to a German study, people who eat lunch alone are more likely to suffer from stress than those who have social lunches away from their desks. You might see a significant rise in employee productivity if you cultivate relationships as a virtue. A Reward And Praise System If your employees have achieved outstanding results, you might want to consider giving them a raise. Sometimes employees rewrite their job descriptions to highlight just how much more they do now than when they were first hired. When determining what is fair, this should be considered, along with the cost of replacing that person with someone with the same skills and experience. Pay raises should be applied without gender bias and err on the side of generosity. Ultimately, what matters is the happiness of your employees, who will find fulfillment, job satisfaction, and inspiration in their work. Remember, a happy employee is a productive employee. Work satisfaction is highly correlated with being appreciated. You can build trust, loyalty, and commitment among your employees by recognizing them regularly for their efforts. Everyone is more productive, creative, and well-adjusted when appreciated, so let’s start with you. Gandhi once said, “Be the change you wish to see in the world.” Work-Life Balance An effective method of ensuring that employees are satisfied at work and won’t leave for greener pastures is by ensuring that this balance is achieved. Besides fair pay raises, here are the top four things you can do to help: Rewards and incentives Perks and benefits Initiatives for career advancement and training Maintaining a work-life balance Getting your employees to appreciate the fact that there isn’t a perfect ‘work-life balance’ is one of the easiest ways to foster work-life balance . Identifying what works best for them and their daily schedule is the first step. Strive for a realistic schedule, not a perfect one. Depending on the day, they might be more focused on work one day and their hobbies the next. It takes time to achieve balance, not just one day. Ensure that your employees are concerned about their physical, emotional, and mental health. Find Meaning Work is viewed differently by each employee. If they perceive it to be boring and meaningless, it will feel that way. It is possible, however, that they can find greater satisfaction and gratification from their efforts if they reframe their work as a service or a way to improve the world. For instance, a custodian at a high school may see their work as tedious and insignificant, or they may see it as helping students and educators stay healthy and safe in a growing environment. Your job as a boss is to foster a culture that promotes creativity, openness, and a platform for everyone to express ideas and criticism freely. Encourage Workers To Be More Creative How closely linked is creativity to happiness? It is important to create a creative environment that enhances both of them. This is what Teresa Amabile, a Harvard researcher, discovered. What can you do to cultivate a creative environment? The following are some tips: Ensure that participants are involved in problem-solving and decision-making. Minimize the number of meetings. Don’t let your ideas dominate. Make sure that your employees’ goals are in line with those of your company. Organize Wellness Challenges And Programs There are numerous benefits for employers and employees regarding wellness programs and challenges. Employee engagement and employee health can both be improved through these programs. Your workplace can significantly benefit from wellness initiatives such as step challenges, fitness challenges, and bike-to-work schemes. This can have a significant impact on company culture and employee satisfaction. The office is more fun when you work with friends. This helps you and your colleagues feel like you’re all on the same page. Your team will be able to connect on a more personal level with their coworkers if there are ongoing fun events at regular interval. In order to get people mingling, your best bet is to organize offsites. But, you can also arrange Happy Hour once a month or half-day Fridays in the summer. Beach days with the team are magical in the summer! Becoming a supportive manager Using Robert Half Management Resources ‘ four tips, managers can help employees achieve a healthier work-life balance. Understand what motivates your employees. Every individual has different goals regarding work-life balance. Ask each employee their objectives, and then decide how you can help. Some employees may benefit from working remotely a couple of days per week, while others may prefer to work differently daily. Flexibility and open-mindedness are important. Lead by example. Those around you follow your lead. Whenever you send emails or work long hours on weekends, your staff thinks that is what is expected of them. Employees should be informed of their options. Most employers highlight work-life balance initiatives to prospective job candidates, but they don’t communicate those initiatives to current employees. Keep your employees informed about their options regularly. Discuss parental leave options with soon-to-be parents as well. Keep up with the latest developments. Staying on top of emerging trends in work-life balance is crucial. An employee’s current work environment may not be a good fit a year from now. Provide in-demand benefits and keep your work-life balance initiatives fresh. Also, consider implementing a work-life balance program. Flexible workplaces = happy workplaces Flexible work schedules are often cited as an explanation for those who achieve a successful balance between their work and personal lives. Research has shown that employers have been allowing workers more flexibility with their schedules and work locations in the past seven years. Ken Matos, lead researcher and senior director of employment research and practice at Families and Work Institute, explained that employers continue to struggle with fewer resources for benefits that incur a direct cost. The company has prioritized providing employees with a broader range of benefits to suit their individual needs and improve their general well-being. Employers can benefit from flexibility in the long run. The Society for Human Resource Management’s president and CEO, Hank Jackson, has said that employers must provide flexible work options to remain competitive and attract and retain top talent. As Chancey pointed out, work-life balance means different things to different people due to our different life commitments. Choosing a balanced lifestyle is a very personal choice in our always-on world. Only you can decide what works for you. Conclusion: Most of us spend a large part of our waking hours at work; shouldn’t that time be enjoyable and fulfilling? Create a happy workplace by building trust, incentivizing wellness, and appreciating employees. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Productive quality refers to the idea of using quality standards to boost your business productivity. Learn about how can do the same for your business. AI-Powered Process Excellence Quality & Standards Management Productive Quality: How Improving Quality Standards Boosts Business Productivity Improving your quality standards comes with a whole heap of benefits, but often overlooked is the boost to your business productivity. Learn more in our helpful guide. Published on: 14 Oct 2021 In a productive learning organisation quality is built-in. Creating a high-quality product or service is inherent in the productive organisation because it is the organisation itself that is the focus of the quality standards, not just its products and services. Nature doesn’t have quality standards. Nature is continuously evolving, adapting and learning how to survive and thrive. For many businesses, they miss out on this vital element in their business operations . They stick to the status quo on products or services, as opposed to continually improving through a focus on quality standards. Productive quality then refers to the idea of using quality standards to actively boost business productivity. How Can Improving Quality Standards Boost Business Productivity? The commonly used definition of quality is perhaps much of the problem in the way we run our businesses today. We see “quality” as “fitness for purpose”. It suggests a minimum level of quality is sufficient and that it can be measured and that somebody needs to measure it. Tesla are a great example of how we should be looking at quality standards. While creating their self-driving car, Musk said they were very close and were “working on the long tail of problems”. This is not an absolute “fitness for purpose” quality standard that everybody is focused on. They are continuously evolving and improving. It’s what sets their products ahead of the rest. Once they met their first requirements, they continued to exceed them. The product is ever-evolving to the Tesla Semi, Tesla Truck and so on. This makes the company an excellent example of a productive organisation where quality is a journey, not a goal or a minimum standard. Automotive isn’t the only industry that can reap the rewards of productive quality standards by any means. In a manufacturing setting, components need to conform to specification otherwise they won’t fit together and work as intended. In a service organisation, a problem needs a solution, if it doesn’t address the problem, it fails. Operational excellence doesn’t come from focusing on quality standards seen in the traditional sense. It comes from continuously looking for ways to improve the ways things get done. ISO 9001 ISO 9001 is a quality management system with over a million organisations being certified across the world. There are seven principles within ISO 9001 , each of which is integral to the philosophy of the productive organisation. Relating these seven principles to the productive organisation, they are: A customer focus Recognising the importance of meeting the ever-evolving needs of the customer. Strong leadership Providing a clear vision and environment within which continuous improvement can take place. Engagement of people Seeking alignment between the business and its staff. Process improvement Recognising that well defined and implemented processes creates consistency and the best use of time. Continuous improvement Realising that business growth is a journey, not a destination Evidence-based decision making Big data, clear information and regular feedback are the keys to effective decision making Relationship management Suppliers, partners, customers, staff, all relationship are key to sustained and profitable growth. Using quality standards in this manner creates a more efficient, productive business that better understands customer needs with more engaged employees. Risks are reduced and customer satisfaction increases. Communications are improved and costs are reduced. Everybody in the business has a much better understanding of how the business works and how to improve it. Ultimately, it allows for a more productive business that stays ahead of the competition with increased innovation creating new opportunities. Other Benefits of Improved Quality There are many other benefits to improved quality standards, all intrinsically linked to business productivity. These include: Improved brand authority Increased brand awareness Increased word of mouth marketing Higher demand Lower costs from less waste or returns Fewer customer complaints Potentially higher selling prices Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Learn how to develop leadership skills for the 21st century so you can help your employees and business become more productive and profitable. High-Performance Culture & Talent Leadership & Management Development How to Develop Leadership Skills for the 21st Century Good leadership has always been a crucial factor in business success. However, today’s rapidly changing business climate and increasingly digitalised workplace create new challenges for leaders in the 21st century. Published on: 6 Oct 2022 As we seek to engage our team, boost business productivity and foster innovation we must re-consider the traditional leadership model. This article examines how leadership is changing, what kind of leadership model is needed for success in today’s climate and the vital leadership skills required for the 21st century. How is leadership changing in the 21st century? Traditional leadership has always favoured a ‘top down’ style of management. underpinned by hierarchy. Leaders make the decisions in the boardroom and employees simply perform the tasks assigned to them. This rigidity risks stifling innovation and creativity in the organisation and employees can feel like cogs in a machine. It isolates employees from one another based on hierarchy, hinders collaboration and engagement across the organisation, and can quickly result in a toxic company culture. We have witnessed unprecedented, fast-paced changes during the 21st century that have profoundly impacted the way we live and work. Technological advancements in areas such as AI, automation, remote tools and big data have and will continue to reshape the business landscape. Leaders of today must learn to navigate the Fourth Industrial Revolution and be ready to embrace the challenges ahead. A survey by Deloitte found that 80% of respondents felt that 21st-century leadership has unique and new requirements that are important or very important to their organisation’s success. Inclusion, diversity, culture and social responsibility were not important factors for business leaders to consider 50 years ago. However, shifts in values have placed more emphasis on enjoying our work and benefiting people and the planet above salary. Therefore, these values must be at the forefront of leadership in the 21st century. Hierarchical leadership has been scrutinised for some time but the Fourth Industrial Revolution and the Covid-19 pandemic have accelerated the need for a new style of leadership. In March 2020, many leaders had to quickly devise strategies to manage their teams remotely whilst encouraging engagement and collaboration from outside of the traditional workplace. What kind of leadership skills are needed for the 21st century? It is time to invert the traditional hierarchy pyramid and recognise that our employees are central to business success. Leaders should be creating people-centric organisation. Employees who are in direct contact with your customers and product have hugely valuable insight into what your organisation needs to do to improve. Employees should be at the top of the business, involved in making key decisions and management should be there to provide overarching support and guidance. What are the top skills needed for leadership success today? Create a shared vision for your organisation Ensure your corporate vision, values and goals are clearly defined and shared regularly with everyone in the organisation. Staff who understand how their contributions fit into the bigger picture are more likely to feel engaged with the organisation and workplace productivity will increase as a result. Hire the right people for the right roles It goes without saying that candidates need the skills required to complete their job. However, the importance of shared values and a positive outlook are often overlooked. Make sure your values and behaviours are clear during the recruitment process and evaluate how candidates exhibit these qualities. A diverse team, each with their own skills and positive energy, can combine to create the perfect organisation. Set realistic goals for your team It’s great to have ambitious goals to work towards but it is the leader’s responsibility to break these down into smaller, attainable goals. It is unfair to expect a team to perform the impossible and reprimand them when they fail. Confidence will begin to waver and no one will want to take on future challenges, knowing they might fail. Foster honest and open communication Communication is key to being a good leader. Everyone should be able to talk to you, ask questions, solve problems and clarify expectations regularly. It is time to do away with the arduous appraisal process and be there for your employees continuously. Hold regular feedback sessions as well as fostering an open-door policy. Talk to your team straight, tell them the good, the bad and the ugly. Complete honesty and transparency builds trust. Your team know that you will inform them of upcoming challenges and this will prevent toxic gossip and miscommunication. Recognise the importance of collaboration in the workplace Collaboration is key to innovation and engagement. Leaders must encourage collaboration and ensure everyone has the time and tools needed. The challenges of remote working during Covid-19 have changed traditional collaboration methods but now, more than ever, teams must come together to problem solve and innovate. Create a ‘talk and listen’ culture and provide plenty of opportunities for participation and team brainstorming. Listen to your employees and welcome feedback As important as it is to talk, it is even more important to listen. Your employees are on the front line, they speak or interact with your customers regularly. They see first-hand what does and doesn’t work. Listen to what they have to say and help to change processes that aren’t working well. Be an emotionally intelligent leader Emotionally Intelligent leaders understand their own and others emotions and show empathy and compassion. Address your employees’ needs, encourage wellbeing, eliminate stress and show understanding during difficult periods in their lives. Team members who feel supported and appreciated will be happier in the workplace and want to work even harder. Compassion increases loyalty, engagement, trust and workplace productivity. Empower your team Empower your staff by involving them in the decision making and giving them control over their own work. It shows trust and loyalty and, as a result, employees will feel they are a valuable asset to the team. They are much more likely to work hard when they feel their contributions have a positive impact. Track without micromanaging. Whilst it can be tempting to continually watch to ensure work is being done, find more positive ways to check in on the process. Micromanaging can demoralise employees and create mistrust. Build a positive company culture There are many benefits to having a positive company culture and leaders play a vital role in creating, evolving and managing culture. A positive company culture attracts better talent, increases employee retention, improves your reputation, creates happy and healthier staff and increases workplace productivity. There have been considerable shifts in attitudes towards work in recent years. Younger staff tend to value happiness at work and contributions to the planet and its people above salary. Show resilience to change and setbacks Resilient leaders are able to adapt well to change, see setbacks as temporary and motivate others through challenging periods. The Covid-19 pandemic has created a period of unprecedented uncertainty and profoundly changed the way businesses operate. Resilient leaders have maintained a positive attitude throughout, looking for ways to adapt and improve during these stressful and unpredictable times. Setbacks or missed goals must be seen as learning opportunities or temporary hurdles, rather than failures. Reward and celebrate success in the workplace We all seek approval and praise when we work hard. A thank you or a small token of appreciation goes a long way. A good leader should consistently recognise and reward employee achievements. Staff will be happier and feel valued for their contributions which in turn creates loyalty, improves engagement and boosts workplace productivity. Embrace diversity in the workplace Leaders should educate themselves about diversity and inclusion and should not see it as a mundane HR exercise. A successful organisation needs to be made up of people who bring different skills and experience to the team. Research has shown that both gender and ethnic diversity in the workplace has a direct correlation with improved profitability. Be flexible The coronavirus pandemic has taught us valuable lessons about the need to offer flexibility to our staff. Many employees previously struggled with flexibility for childcare, faced long commutes and were stuck within the confines of the 9-5 workday. Flexible working opportunities allow for a better work/life balance, decreases stress and prevent employee burnout. Continuously coach your staff to improve performance Leaders should coach employees and guide them rather than command and control. Ask questions to understand what areas need improvement, encourage in-house experts to share knowledge and teach one another and offer training and refresher courses where required. Lead by example A leader’s role is to motivate and inspire those around them to achieve goals. You must be a role model and show your staff the way by practising what you preach. Telling your team to do one thing and doing the complete opposite yourself is going to cause resentment and mistrust. Get involved, communicate openly, deliver on your promises, accept responsibility for your mistakes and your team will return the favour. Summary Due to the fast-paced technological advances of the Fourth Industrial Revolution and the ongoing challenges of the coronavirus pandemic, the role of the leader within the workplace is changing dramatically. The skills needed to be a successful leader in the 21st century look different to those needed 50 years ago. Leaders must now communicate openly, listen to their employees, foster a healthy culture and understand and empathise with their staff. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

A Business Impact Analysis (BIA) is a systematic procedure for assessing the possible implications of a disruption to essential business operations. Strategic Transformation & Planning Business Transformation & Change Management What is a Business Impact Analysis (BIA)? A business impact analysis (BIA) is a systematic procedure for assessing the possible implications of a disruption to essential business operations due to a catastrophe, accident, or emergency. Published on: 12 Jan 2023 The business continuity plan of an organisation must include a BIA. It has an investigative component to find any threats and vulnerabilities and a planning component to create risk-reduction plans. The result is a business impact analysis report that details the potential risks unique to the enterprise under study. Before the internet, social media, and artificial intelligence, a company could prepare a five-year business plan, develop a strategy, and then put the plan into practice. Similarly, a Business Impact Analysis might be developed to find future business continuity threats. The study might then be evaluated, risk mitigation measures developed, and then put on hold until the day a significant occurrence might necessitate their implementation. Today, controlling business disruption is business as usual, and having a disaster radar on round-the-clock is a tool every organisation needs. A firm will be thrown off track by all minor disturbances, not just one major one. By assessing possible business weaknesses, business gets a much more complete picture of their business risks and opportunities for improved business performance and how best to allocate resources today and in the event of an unforeseen and potentially catastrophic event. Awareness of the internal and external factors impacting business growth today and tomorrow improve business decision-making. Business disruption comes in many forms, whether due to competition, technology, the economy or regulation, amongst many other possibilities. Businesses seldom die from a single disruption but more commonly from mini troubles that may go unseen or unknown. When a larger, more obvious disorder occurs, this can bring the end, but it was probably not the real underlying cause of the failure. According to systemic leadership, a disruption in one area of the organisation will impact all other areas. These disruptions exist quantitatively and qualitatively and may impact the environment, employees, the larger community, and society. What Is Business Analysis? The business analysis uses IT systems, staff development, procedures, and business systems to pinpoint business problems, create solutions, and address them. Software development, process enhancements, organisational change, company transformation, and policy revisions may all be involved. The business analysis aims to reduce risk and increase the value of any change program for its constituents. They will consider all stakeholders as part of a stakeholder capitalism program when doing a business analysis that covers Environmental, Social, and Governance (ESG) factors and their effects on growth and profitability. This may include the rules and regulations about ESG compliance. ESG factors are becoming more and more significant to investors, employees, and customers. To maintain or boost individual and corporate productivity, they will work to maximise flow for the organisation, teams, departments, and personnel. Business analysis is determining and outlining the demands of an organisation’s operations and suggesting solutions to meet those needs. A business analyst’s job is to serve as a liaison between the technical team and the business stakeholders, ensuring that the created resolution satisfies their needs. A business analyst can offer insights that can guide decision-making and assist an organisation in achieving its objectives. They also considers the impact on stakeholders by collecting and analysing data and comments from stakeholders. Furthermore, business analysis can assist in locating new opportunities, places for improvement, and prospective growth areas and generate solutions that may result in business success, cost savings, increased revenue, and, therefore, benefits for shareholders. Overall, business analysis is essential to guarantee the long-term success of the company by bringing stakeholders’ interests and the company’s goals into alignment. Business Continuity Planning (BCP) The IT department of a corporation frequently develops a business continuity plan to reduce the risks of an unforeseen incident, like a flood or fire. It’s a proactive procedure that finds the company’s flaws and crisis-related vulnerabilities. Its purpose is to help avoid unplanned downtime and recover from it. It will go over the processes and systems that must be kept up in a crisis, like a server failure, a pandemic, or a natural disaster. The BCP must be maintained and regularly updated as it contains key information essential to the organisation’s successful operational performance. It should be tested to find any flaws so that they can be fixed and procedures updated. Its purpose: · To hasten a company’s ability to recover from an unplanned, major business incident. · Understanding potential threats to ongoing business performance and determining the necessary responses in the case of an unforeseen and unscheduled business event are made easier for a company, its directors, and senior personnel using this tool. This helps minimise any negative effects on the business’s finances and retain consumers. · Any unplanned business event will be lessened by a BCP, which will also help to maintain the company’s financial viability. · It will contain important policy details, contact information for key employees and other stakeholders, and crucial procedures to help implement any business recovery quickly and successfully. · Any single points of failure, current risk mitigation techniques, and the expertise required to recover from an incident will all be identified. BS 25999 and ISO 22301 BS 25999 and ISO 22301 are international standards for business continuity management (BCM). BCM is organising, creating, and upholding policies and procedures that businesses can utilise to lessen the effects of disruptions and go on during an emergency or catastrophe. A British standard for BCM called BS 25999 was initially released in 2007. It offers recommendations for businesses on how to set up and maintain a BCM system, including how to do risk analyses, create business continuity plans, and run tests to see how well they work. ISO 22301 eventually took the place of BS 25999. A global standard for BCM called ISO 22301 was originally released in 2012. Although it is based on BS 25999, additional international BCM standards are also included. Similar to BS 25999, ISO 22301 offers instructions for businesses on how to set up and manage a BCM system. This includes how to carry out risk analyses, create business continuity plans, and carry out exercises to evaluate the viability of those plans. It offers a more thorough approach, though, and is used everywhere. The BCM systems of organisations can be developed and implemented using the frameworks provided by BS 25999 and ISO 22301. They can also be used to verify the efficacy of a BCM system. Organisations that have earned certification following one of these standards have proven that they have implemented the best BCM practices. That shows they are better equipped to manage interruptions and carry on with business in the case of an incident or crisis. Why Complete a BIA? It might not seem vital to spend the time and use up important resources on a BIA right now. Maybe you believe you already have one, but when was it finished? If your company hasn’t changed significantly, you might believe it isn’t necessary, not business-critical, or not a top priority. You might think that an audit is the only use for it. So, these are a few justifications for finishing a business impact report: · It provides a chance to examine business processes, their interrelationships, and the IT systems utilised in those processes. · You’ll be able to identify any flaws, such as the lack of data backup or the need for a few key employees who are the only ones with the necessary system knowledge. · You may see how various departments and groups interact and how that might be enhanced. You can learn how things are done. Work frequently follows the path of least resistance, but is this always the optimal course of action or is it simply how people perceive things to be done? · Plans for important IT and catastrophe recovery are examined to see if they can improve. Compliance with regulations is verified and validated. · It may be possible to eliminate fees for things that are no longer used, such as applications, insurance, and licenses. · The organisation’s pulse is measured to see whether there is a potential danger to the resilience of the business, and critical processes, functions, roles, and departments are identified. · You leave with a much better comprehension of the business risks and prospects for increased business success. Everyone has the chance to learn more about the company they work for. Additionally, individuals appreciate when management is interested in them, their role, and the dangers involved. Negative Results Of Business Disruptions Brand and Reputational Damage It can harm an organisation’s reputation, which can cause customers, partners, and other stakeholders to lose faith in and credibility with it. This may result in a decline in sales and difficult-to-repair brand damage. Reduced or Delayed Cashflow It can result in a decrease in revenue and an increase in expenses, which can hurt an organisation’s cash flow. This may make it challenging for a firm to fulfil its financial commitments, such as paying its employees and expenses, and may result in financial trouble. Lost Sales and Income Because clients would not be able to acquire goods or services or could decide to work with a rival, business disruptions can result in a loss of sales and income. This can majorly affect an organisation’s financial performance, which can be catastrophic for small enterprises. Increased Expenses and Overheads Costs associated with repairs and recovery activities are only two examples of how business disruptions can raise expenses. This may hurt an organisation’s cash flow and profitability and make it more challenging to bounce back from the trouble. Fines and Contractual Breaches If a company cannot fulfil its commitments under contracts or laws, business disruptions may result in fines and penalties. This has the potential to be expensive and harm an organisation’s reputation. Bad feelings and impact on the business culture and operating environment can also affect relationships with suppliers and other stakeholders, staff morale, and productivity. An organisation may find it difficult to bounce back from the interruption, which may negatively affect the operating environment and corporate culture. Structural Business Impact Disruptions Include 1. Natural catastrophes can cause damage to structures, rendering them unusable. 2. Failure of IT systems, manufacturing machinery, or transportation vehicles can cause operations to be disrupted. 3. Issues with the supplier: Delivery, quality, or availability issues for goods or services might cause operations to be disrupted. 4. Power outages can cause activities to be disrupted by making it difficult or impossible to use equipment and systems that depend on energy. 5. Data loss: Operations can be hampered by the loss of crucial data, including financial, customer, or inventory information. 6. Absenteeism among employees: Excessive absenteeism can cause operations to suffer, making it challenging to finish tasks and projects. Impacts That May Affect The Business Strategy Competitor action By altering the competitive environment and influencing consumer demand for a company’s goods or services, competitor activity, such as new product launches or pricing changes, can impact a company’s strategy. Failure in marketing A business’s strategy may be impacted by a marketing failure, such as an unsuccessful advertising campaign, which lowers the demand for the company’s goods or services. Product or service failure A product or service failure, such as a recall or a technical problem, can impact a company’s strategy by decreasing consumer satisfaction and faith in the company. Declining working culture A company’s strategy may be impacted by a deterioration in the working culture within the firm since it may lower staff morale and productivity, which may result in a drop in the calibre of goods and services. Declining working environment Employee dissatisfaction and productivity can be negatively impacted by a reduced working environment, such as inadequate facilities or equipment, which can affect a company’s strategy. Increased workload and stress levels Increasing staff productivity, motivation, and contentment can hurt a company’s strategy. New directors or managers with different values Changes in organisational direction brought about by hiring new directors or managers with different values can impact a company’s strategy, which can lower productivity by confusing and unsettling staff. Typical Phases Of A Business Impact Analysis Define And Agree To The Objectives And Scope Of The BIA This stage is essential for making sure the BIA is concentrated on the business areas that are most important to the organisation and that the analysis’s findings will be beneficial to it. Senior management agrees on the objectives and scope of the BIA Preparation Of Team This step entails selecting the people and organisations in charge of carrying out the study and ensuring they have the abilities, information, and resources required to do so successfully. Additionally, it’s crucial to make sure the team members are properly trained and equipped, including with the tools and information they need to conduct the BIA. Collect Relevant Data And Information The BIA lead or team gathers the needed data from the necessary staff members, systems, and outside sources. To ensure accountability, make sure senior leaders are participating. Consider listing the following information for each process under review: process name, process purpose, process inputs and outputs, process timings, participants, pertinent data, IT systems, and effects or contributions to the business on the legal, financial, reputational, and operational levels. Information Review And Analysis To determine the potential effects of disruptions on the business, this stage entails gathering, analysing, and evaluating data on the organisation and its crucial operations. The information is then examined to ascertain how various disruptions might impact the firm and its operations. In addition to evaluating potential threats to the organisation’s reputation, brand, and long-term viability, this can also include determining the possible effects of interruptions on revenue, costs, and other financial measurements. The team will also assess how various organisational components are interconnected and dependent on one another and how disturbances in one business area may impact other areas. Business Report Creation Create the BIA report with the team, evaluate it with the contributors, and distribute it to the appropriate senior leaders. This step entails writing information that includes suggestions for addressing identified risks and vulnerabilities and summarising the BIA’s findings. An executive summary, an explanation of the BIA methodology, a list of essential business operations and possible effects, a risk assessment, and a recovery plan might all be included in the report. Recommendations Review The team will consider various potential remedies throughout the recommendations assessment to address the noted risks and consequences. Examples of these solutions include implementing new practices, guidelines, or processes, acquiring new tools etc. The team will assess each solution’s viability, cost, and advantages while considering the organisation’s resources. Ongoing Review And BIA Maintenance The BIA should be periodically reviewed and updated to ensure that the data and suggestions are still valid and pertinent. This can be done regularly, such as once a year, or in reaction to adjustments made to the organisation’s activities, including the introduction of new goods or services, modifications made to the regulatory landscape, or adjustments made to the organisation’s risk profile. Critical Success Factors For A BIA · Senior management support: For a BIA to be successful, senior management must be committed and supportive. They must recognise its significance and be prepared to offer the resources and assistance required. · Clear objectives and scope: To ensure that the BIA is focused and pertinent to the organisation’s BCM program, it is crucial to identify its goals and scope explicitly. · Skilled and experienced team: A BIA needs a group of knowledgeable, experienced persons with the skills and information required to carry out the analysis successfully. · Accurate and relevant data: For the BIA process, accurate and pertinent data is crucial. Without it, the analysis will probably be flawed, and the suggestions might not work. · Communication and stakeholder engagement: To get information and input from key stakeholders, including employees, clients, and suppliers, effective communication and stakeholder engagement are crucial. · Maintenance and Regular review: A BIA should be reviewed and updated regularly to ensure the data and suggestions it provides are still accurate and useful. · Implementation and testing: This is essential to ensuring that the organisation is ready to respond to and recover from disruptions. Disaster Recovery Planning Once the BIA is finished, an emergency response plan can be developed. Time must be spent on disaster recovery planning once the processes, procedures, systems, and data are essential for the business’s continued operation after an otherwise terrible occurrence has been identified. For instance, it is important first to comprehend how a flood or fire would likely affect clients, employees, revenue, partners, and suppliers. A disaster recovery plan can be made to restore or safeguard crucial infrastructure, applications, and data after a significant outage to save downtime. Determining recovery time goals and recovery point objectives(RPO) is a crucial component of the disaster recovery plan. Recovery time targets describe how long it should take to resume regular business operations and the associated costs and effects on the company. Furthermore, recovery point objectives discuss the potential loss of data and its impact on the company. BIA and Risk assessment Both the Business Impact Analysis (BIA) and the Risk Assessment processes are crucial in identifying and assessing potential effects on a business. They do, however, have some glaring parallels and divergences. Similarities · Identification and evaluation of potential effects on an organisation are made using BIA and risk assessment. · It is necessary to identify crucial business functions and their connections for BIA and risk assessments. · Evaluating potential effects and likelihood of occurrence is a component of both BIA and risk assessment. · Plans for mitigation and recovery are created using both BIA and risk assessment. Differences between the BIA and Risk assessment · Risk Assessment focuses on determining the likelihood and potential severity of a disruption, while BIA focuses on assessing the impact of an upset on the company. · While Risk Assessment focuses on locating potential sources of disruptions and the possibility that they will occur, BIA concentrates on finding essential business operations and their interdependence. · BIA determines the impact of disorders on the company, while Risk Assessment assesses the likelihood and potential severity of disruptions. · While Risk Assessment is used to discover and assess potential risks and vulnerabilities in the company, BIA is used to create mitigation and recovery plans to deal with the effects of disruptions. Common Challenges With Business Analysis Impact The process of doing a business impact analysis (BIA) can be difficult and complex, and there are many problems that firms frequently run into. These difficulties include: Difficulty identifying critical functions Finding the tasks that are essential to the ongoing running of the business is one of the major problems of a BIA. This can be challenging since different departments or functions within an organisation may have different viewpoints on what constitutes a critical function. Assessing a function’s criticality might be an arbitrary procedure. Lack of data Lack of data and knowledge is another frequent issue. It can be challenging to analyse the possible effects of disruptions on the business effectively and to make well-informed decisions about mitigating those consequences without precise and pertinent data. Limited alignment with organisational goals Activities related to business analysis could not necessarily align with the organisation’s broader aims and objectives, which would have an unreasonable impact. Difficulty in communicating the impact Business analysts could have trouble explaining to stakeholders how their actions would affect them, which could result in a lack of understanding and support. Limited collaboration and communication Business analysts could not have the requisite stakeholder collaboration and communication skills, which would restrict their impact. Limited knowledge and abilities Business analysts may lack the information and skills needed to conduct business analysis operations efficiently, which will have little impact. Limited time Business analysts might only have a short amount of time to accomplish business analysis tasks, which could affect the deliverables’ accuracy and thoroughness. Conclusion BIA can assist firms in creating efficient mitigation and recovery plans that lessen the effects of disruptions and help preserve operational continuity by recognising potential risks and vulnerabilities. As a result, businesses can lower their environmental impact and increase the sustainability of their operations. This enhances people’s lives by maintaining access to basic services, and secure the world’s future by minimising disruptions’ effects on the global economy and society. The entire health of the earth and society can be improved by organisations becoming more resilient, sustainable, and proactive in managing risks with the aid of BIA. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Often overlooked and underrated, HR is an incredible tool for your business. Find out how HR can add value to businesses and why it's so important. High-Performance Culture & Talent Human Resources & Talent Development How HR Can Add Value to Your Business The success of any business relies heavily on its people, so you’d expect HR to be high on the agenda but unfortunately, it’s often overlooked and underrated. Published on: 16 Oct 2025 The success of any business relies heavily on its people, so you’d expect HR to be high on the agenda but unfortunately, it’s often overlooked and underrated. Many businesses, large and small, view HR as a costly overhead that they can afford to minimise. The Coronavirus Pandemic has hit the business industry hard and with many companies struggling to stay afloat, it is natural to look at deprioritising spend in certain departments. However, HR should be the last department you turn to as, now more than ever, you need a motivated and productive workforce who are engaged and willing to respond to business changes. Is HR Really Necessary? The short answer is yes! You’d be forgiven for thinking that HR is an outdated department in the modern workplace. After all, the term ‘Human Resources’ isn’t exactly very trendy, new or exciting. Being considered a ‘resource’ is in fact, not very human at all. Innovative, new terms have begun cropping up in recent years including Talent Management, People Experience and Employee Engagement which more accurately describe the role it plays today. To understand the value of HR, we must first consider what happens when there is little or no HR in a company. Poor recruitment and employee engagement are toxic to a business. One bad apple, who does not fit the company culture, can create a less functional team. Inappropriate comments are shared, walls go up and ultimately, information and ideas stop flowing. Additionally, when employees don’t feel supported, are working long hours, feel under-skilled and undervalued then their motivation falters and workplace productivity takes a massive hit. HR should be at the top of any organisation helping to build company culture, protect its values and ensure everybody is focused on the vision with a vision statement . HR is not a ‘nice to have’, it is a ‘must have’ if you want your business to succeed. How HR Adds Value to Businesses Recruitment and retention Recruitment and retention are still at the core of HR. Every business needs experienced staff with the right qualities to succeed in the team. The HR department are responsible for ensuring the right candidates are selected who will be an asset to both the team and the overall company vision. A good reputation as an employer attracts talented applicants, who in turn look after your business and customers So, your HR team has secured great staff, does that mean you no longer need them? Hiring the right people is just the first step in the process, your company must now look to retaining them. A report conducted by Breathe HR in 2020 found 1 in 5 (21%) of British workers have quit a job due to poor workplace culture. It is also the duty of HR to monitor staff conduct and ensure any unacceptable or disruptive behaviours are dealt with appropriately and efficiently to avoid damaging company culture. Training & development Even the most skilled staff will require some form of training or development during their time with a business. Employees who develop and learn new skills benefit from increased confidence, improved career opportunities and tend to engage more with the business. A good training and development programme decreases employee turnover, creates a more positive working environment and increases productivity. The same report by Breathe HR found that 30% of workers cited a lack of progression as a cause of unhappiness at work. Staff satisfaction & workplace culture Underestimating the importance of employee satisfaction when it comes to business success is a huge mistake. As Victoria Usher , Founder & CEO of GingerMay points out ‘happy employees make happy clients.’. People are starting to value their lifestyle as much as their salary. The younger generation, in particular, seek a better work/life balance than previous generations. HR plays a key role in creating, defining and implementing company culture. Steps to improve company culture might include an employee wellbeing programme , flexible working opportunities, a chance to feedback and engage as well as a nice working environment and social events. Less emphasis needs to be put on yearly appraisals which cause stress and have little benefit, and more focus put on regular, positive feedback and celebration of achievements. 2020 has proved that supporting our staff and responding flexibly to their personal needs has a huge role to play in business success. Our employees suddenly had to adapt to a completely new way of working with added life stresses such as a lack of work space or childcare needs. Increased productivity Productivity i s one of the primary driving forces behind business success, yet, the UK has witnessed a sustained period of poor productivity growth for many years now. HR has an integral role to play in supporting and improving productivity . Staff who are happy at work pay more attention to their role, whether that’s being more attentive to a customer’s needs or producing products faster to a higher standard. Hiring the right staff, offering training, improving workplace culture and supporting staff all result in an increase of productivity. Company Growth & Vision You have a business and perhaps you have a plan, but does everyone in the company understand how their role contributes to the end goal? HR needs to be at the top of the organisation protecting company values and communicating and ensuring the company vision is clear. In summary, there are many ways HR can add value to your business from good recruitment to employee satisfaction. Now, more than ever, HR is not a luxury but an essential component of any successful business. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Many businesses aren't meeting the demands of the modern consumer. Learn more about the 21st century customer and how your business can keep up. Data-Driven Performance & ROI Customer Experience & Service Excellence The 21st Century Customer: Who Is The Modern Consumer? Many businesses aren't meeting the demands of the modern consumer. Learn more about the 21st century customer and how your business can keep up with trends. Published on: 9 Feb 2023 Whatever the century, industry or retailer, one question remains constant: What do customers want? And perhaps even more pressingly — how can we provide it? It should come as no surprise to any business owner that what customers want and what many retailers are offering often doesn’t match up. But why is that the case? Much of this comes down to businesses failing to understand how consumer needs have changed and developed as the Fourth Industrial Revolution presses on. The 21st century customer has drastically different needs than those who preceded them. We’ll be covering everything you need to know about the modern consumer in this article including: The modern consumer dilemma The 21st century customer statistics Why understanding consumer behaviour matters How businesses can meet 21st century customer needs The Modern Consumer Dilemma Even when we’ve enjoyed the healthiest of economies worldwide – prior to the pandemic and following the economic fallout of the 2008 financial crash – many retailers haven’t felt the benefits of a healthy economy in terms of profitability. This is important because it tells us that it isn’t as simple as ‘shoppers aren’t shopping’. The reality is, as we’ve moved further into the digital revolution, discounts have obliterated margins. Even Amazon’s obsession with free shipping isn’t profitable. Other retailers have had to eat into their own margins to compete. To make the problem even more complicated, consumers are less loyal. While price points remain a factor for the 21st century customer, this isn’t their only consideration. After all, anyone can deliver a service or product for rock bottom price nowadays. It’s no longer impressive. In fact, sometimes slashing prices to the bare minimum is a warning sign to consumers that the product or service lacks quality. What instead drives modern consumer behaviour is an omnichannel experience. For most businesses that are thriving, there is a deep understanding ( and matching strategy ) revolving around the messaging and platform used for each stage of the customer journey which lets them deliver a modern customer experience. For example, a survey of American businesses showed that only 40% of them were selling on social media. While for some this may be a deliberate decision to suit the unique needs of their target audience, for many all it represents is another missed opportunity to meet the desires of the 21st century customer. Not just this, but many businesses who are using social media use it solely to upsell. They don’t tell a brand story, they don’t interact and engage. They’re a faceless machine, focused on profit only. This is despite modern consumer research showing these techniques don’t convince buyers. This is just one example of not meeting modern consumer needs. So just who is the 21st century consumer and what do they want? The 21st Century Customer: The Data Gen Y and Z makeup £264 billion of spending power in the US alone. In fact, Gen Z already represents 40% of global consumers. While consumer behaviour has drastically changed across generations, it’s these generations who have led the charge in the consumer behaviour transformation that businesses are contending with. So let’s look at what the data says about each of them to understand them better. Gen Z Consumer Behaviour Gen Z are the first truly native digital generation. They don’t know a life before the internet, social networking and smartphones. What all this has led to is consumer empowerment. This generation is hypercognitive and comfortable cross-referencing many sources of information, both online and offline. Research suggests this generational shift may be more of an influence on consumer behaviour than socioeconomic differences. McKinsey research on Gen Z revealed core behaviours that drive consumer characteristics and behaviours within this generation, but they all revolve around honesty and authenticity. These core behaviours lead to three implications for companies hoping to win big with Gen Z: Consumption is an access rather than a possession Consumption is an expression of individual identity Consumption is a matter of ethical concern. The first implication revolves around access as a form of consumption. By this we mean the emerging – and booming markets – like video streaming services, entertainment subscriptions, car ride services and more. Things that were once products are now services – for example Uber and Twitch subscriptions. Companies that understand and adapt to this consumer change will win over Gen Z. Though the concept of consumerism as a form of expression isn’t a new concept by any means, this means something different again for Gen Z. They’re eager for a more personalised experience and product, as well as happy to pay a premium for something that best meshes with their ethics. For some brands this can be as simple as embracing causes and doing their part for wider society. But for others, it will involve entirely changing their sales and marketing strategies. For example, this same study revealed a whopping 48% of Gen Z prefer brands that don’t classify items as male or female. So for fashion retailers, this generation will be groundbreaking. The final implication is perhaps the one that Gen Z is most famed for. They care. Consumption isn’t as simple as the lowest price or quickest delivery ( though both these still hold some weight ). Gen Z consumers are increasingly educated on brands and expect brands to align with causes they agree with. Not only this, but brands that remain silent are considered implicit. What all this means for businesses is that they must re-evaluate their relationship with the consumer. Businesses need to practice what they preach when it comes to marketing and ethics. Those who succeed will see Gen Z as an opportunity, not a challenge. Millennial Consumer Behaviour For millennials, the implications follow similar lines. But due to the diversity of the generation it is less clear cut. A clear trend is that the consumer is becoming more educated across all ethnicities. This education allows for more knowledgeable consumers, who are more conscious of the implications of their purchases ( although the cost of the same education that allows this enhanced insight, eats into discretionary spending! ). At the same time, key life cycle milestones are changing for millennials and this impacts consumer behaviour too. Less consumers in this generation are buying homes and more of them are waiting longer to buy homes. Similarly, marriage rates have fallen considerably for this generation across ethnicities. Research suggests the largest consumer change for millennials isn’t in customer characteristics – though they share more in common with Gen Z than with the silent generation – but in the customer experience. Millennial consumers, and indeed all consumers, expect and use a cohesive omnichannel experience. By this we mean, they use a variety of channels; websites, social media, different devices, word of mouth and more before reaching a purchasing decision. Even when it comes to the buying decision, they may opt to buy in-store after doing all their research online, or even vice versa. All this choice means businesses need to deliver the right message and experience at the right time of the customer journey to convert millennial consumers into customers. Meeting Modern Consumer Needs While Gen Z may have once seemed like a far off challenge for businesses, the same could have been said for millennials. They now make up a huge percentage of the global purchasing power and this will only continue to increase with time. Consider this fact with decreasing customer loyalty levels and an increased importance on customer service levels and you’re left with businesses who no longer match the demands of a huge amount of consumers. To meet the needs of these consumers, businesses must offer: Personalisation wherever possible Balance of automation and human Cross-platform mobility Multiple touch points Self-service Meaningful experiences Empathy Personalisation Mass production is no longer the desire. Consumers want products in the exact style, colour and specifications they desire. Companies need to offer products and services in as many possible combinations to meet these expectations. Human Contact Automation is a driving force of the Fourth Industrial Revolution and it’s great news for businesses. It’s slowly allowing employees to spend more time on creative tasks instead of mundane ones. But the companies who resonate best with the modern consumer strike the balance between automation and human perfectly. The need for the human touch is still prevalent. All this to say, when consumers want to speak to a person, let them. You can’t automate every process and modern consumers don’t want you to. Cross-Platform Mobility You should be accessible anytime, anywhere, from any device. So if your website still isn’t working on mobile or loading slowly, fix it. This lack of responsiveness and mobility will lose you potential customers. Multiple Touch Points Consumers have different contact preferences. One may prefer live chat while others prefer phone while others prefer social media. You should be available on as many as possible. Not only this, but you should be as responsive across all of them. Contacting you should be as convenient as possible. Self-Service Processes with your business should be easy. Whether that’s cancelling a subscription, changing an address or placing an order, they should all be easy for your customer to complete without need for intervention from you. When you have this aspect of your customer experience optimised, the need to contact you lowers generally. Meaningful Experiences Today’s consumer, especially Gen Z, wants to have a meaningful relationship with your business. What you sell isn’t your whole story, or at least, it shouldn’t be. Modern consumers want to know you do good so they can feel good from buying from you. Companies with a great brand story to tell such as Ben and Jerry’s do well precisely because of this emotional connection with consumers. Empathy Customer empathy is a staple of outstanding 21st century customer service. Without it, you’ll struggle to create positive, customer-centric experiences. If you lack any of the vital ingredients above, you’ll struggle to engage and sell to the 21st century customer. Keep Up with Consumer Behaviour Trends Consumer behaviour has always been a developing story, but now more than ever companies need to keep up with modern consumer trends. It isn’t enough to offer the lowest price anymore. Companies need to offer personalised, human, omnichannel experiences that reach customers on an emotional level to connect with the 21st century customer. It’s no easy feat, but those that do will be rewarded with greater customer engagement, increased profitability and increased customer loyalty. You can learn more about how your business can meet modern consumer needs in our complete guide to phone skills . Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Discover how to create a thriving coaching culture in your small organisation. Learn actionable steps to empower teams, boost engagement, and drive sustainable growth. High-Performance Culture & Talent Organisational Culture & Performance How to Create a Coaching Culture in a Small Organisation By embedding these seven steps, small organisations can create a vibrant coaching culture that fuels employee satisfaction and drives sustainable growth. Published on: 26 Dec 2024 In today’s fast-paced business environment, small organisations are under constant pressure to adapt, innovate, and grow. One of the most effective ways to stay ahead is by fostering a coaching culture. But what does this mean, and why is it important? Let’s break it down into seven actionable steps. 1. Understand the Value of a Coaching Culture A coaching culture is more than just a leadership style—it’s a mindset shift that permeates every level of the organisation. It’s about creating an environment where employees feel supported, valued, and empowered to develop their skills continuously. In small organisations, fostering a coaching culture can bridge gaps in expertise, cultivate emerging leaders, and enhance collaboration. Unlike traditional training programmes that occur periodically, coaching cultures encourage ongoing learning and personal development in real-time, making growth a daily practice. A coaching culture directly impacts employee engagement, productivity, and retention. When employees experience consistent feedback and development opportunities, they are more likely to stay committed to the organisation’s mission. Additionally, it creates a ripple effect of problem-solving and innovation, as employees feel more confident in their abilities and more invested in the company’s success. Why It’s Essential: Builds adaptable, solution-oriented teams ready to tackle new challenges. Increases employee morale and loyalty by demonstrating a commitment to personal growth. Enhances overall productivity by fostering a mindset of continuous improvement. 2. Gain Leadership Buy-In Leadership is the cornerstone of any successful cultural shift, and creating a coaching culture is no exception. For coaching to become embedded within the organisational fabric, leaders must embody coaching behaviours consistently. This involves shifting from a directive management style to one that prioritises guidance, empowerment, and support. Leaders need to embrace vulnerability by acknowledging their growth areas and actively participating in coaching initiatives. To secure leadership buy-in, highlight the long-term benefits, such as increased employee performance, higher engagement, and reduced turnover. Provide case studies from similar organisations that demonstrate measurable success. Encourage leaders to undergo coaching themselves, as this hands-on experience often translates into a deeper understanding of the benefits. Action Tip: Host leadership workshops focused on coaching techniques. Encourage leaders to set personal coaching goals and track their progress publicly within the organisation to inspire others. 3. Develop Internal Coaches While external coaching can be valuable, small organisations benefit from cultivating internal coaching talent. Internal coaches understand the unique dynamics, goals, and challenges of the business, allowing them to provide more tailored and relevant support. By developing coaching skills within the existing team, the organisation creates a sustainable, scalable model for continuous growth. Identify high-potential employees with strong emotional intelligence, communication skills, and a passion for helping others. Offer formal training sessions, mentoring opportunities, and access to coaching certifications. Internal coaches not only guide their peers but also reinforce the coaching culture by modelling coaching behaviours consistently. Practical Step: Start with a pilot programme involving a small group of internal coaches. Provide ongoing feedback and encourage them to share their experiences, gradually expanding the programme across departments. 4. Foster a Feedback-Driven Environment Feedback is the heartbeat of a thriving coaching culture. It creates a continuous loop of learning and improvement, allowing employees to refine their skills, align their goals, and contribute more effectively. In a coaching culture, feedback is not reserved for annual reviews—it becomes part of daily interactions. Promote a feedback-rich environment by training employees to give and receive constructive feedback. Encourage managers to initiate regular one-on-one meetings that focus on growth and development rather than just performance metrics. Implement 360-degree feedback tools that allow employees to gather insights from peers, subordinates, and supervisors. How to Implement: Establish a “feedback first” policy where employees are encouraged to seek feedback at every project milestone. Create anonymous feedback channels to ensure that everyone feels comfortable participating. 5. Incorporate Coaching into Daily Workflows Embedding coaching into daily workflows ensures that it becomes a natural, habitual part of the organisational culture. Small organisations, often constrained by limited time and resources, can integrate coaching moments into routine operations without disrupting productivity. This might involve incorporating short coaching check-ins during team meetings, using project debriefs as opportunities for reflection, or pairing team members for peer coaching. Micro-coaching—short, targeted coaching sessions—can address immediate challenges, promote learning, and reinforce key skills. By making coaching part of daily workflows, employees experience its benefits consistently, reinforcing the value of continuous development. Simple Idea: Integrate a “coaching question of the week” into team discussions. Encourage employees to reflect on it and apply the insights to their tasks. 6. Create Safe Spaces for Experimentation A coaching culture thrives in environments where employees feel safe to experiment, innovate, and take calculated risks without fear of failure. Psychological safety—the belief that one can express ideas and make mistakes without retribution—is critical to this process. By fostering an atmosphere of trust and openness, organisations unlock higher levels of creativity and engagement. Leaders can create safe spaces by normalising failure as part of the learning process. Encourage employees to share lessons learned from unsuccessful projects and celebrate these insights. Reinforce the idea that growth stems from experience, even when the outcomes are not ideal. Best Practice: Launch a “fail forward” initiative where teams present unsuccessful projects and discuss what they learned. Reward participation with recognition and small incentives. 7. Track Progress and Celebrate Growth Sustaining a coaching culture requires measuring progress and celebrating milestones. Tracking personal and professional development not only reinforces the importance of coaching but also provides tangible proof of growth. This boosts morale, encourages participation, and keeps momentum high. Develop personalised growth plans for employees that align with their career aspirations and organisational objectives. Use key performance indicators (KPIs) such as skill development, project success rates, and employee engagement metrics to assess progress. Quick Win: Create a “Coaching Spotlight” feature in company newsletters where employees share their coaching journey. Highlighting individual growth stories serves as inspiration and reinforces the value of coaching. Building for the Future By embedding these seven steps, small organisations can create a vibrant coaching culture that fuels employee satisfaction and drives sustainable growth. A coaching atmosphere doesn’t just benefit individuals—it enhances the entire organisation, leading to stronger performance and long-term success. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Discover essential strategies for business process improvement and creating effective workflows. Learn how to identify bottlenecks, set clear goals, and foster a culture of continuous improvement to enhance your business operations. AI-Powered Process Excellence Operational Excellence & Process Improvement The Ultimate Guide to Business Process Improvement and Effective Workflows Unlock the Secrets to Streamlining Operations and Maximising Productivity: Explore proven techniques for identifying bottlenecks, setting actionable goals, and implementing continuous improvement practices that lead to enhanced efficiency and sustainable business success. Published on: 3 Jul 2025 In today's fast-paced business landscape, the ability to streamline operations is essential for success. As companies strive to maximise efficiency, business process improvement and effective workflows have emerged as critical components in driving organisational performance. This guide delves into the strategies and techniques that can help you enhance your processes and create efficient workflows, ensuring your business remains competitive and adaptable. Understanding Business Process Improvement Business Process improvement refers to the systematic approach of identifying, analysing, and enhancing existing business processes to achieve more efficient results. The goal is to eliminate inefficiencies, reduce waste, and improve overall quality. Techniques such as Lean, Six Sigma, and Kaizen are widely used to implement continuous improvement within organisations. By embracing a business improvement programme , businesses can achieve greater agility, responsiveness, and customer satisfaction. It’s not just about making changes but about fostering a culture of ongoing evaluation and enhancement. The Importance of Efficient Workflows Efficient workflows are the backbone of any successful organisation. A well-designed workflow enables employees to complete tasks with minimal friction, reducing delays and errors. When workflows are optimised, teams can work more collaboratively, communicate effectively, and ultimately deliver better results. Workflow management tools can facilitate the design and monitoring of workflows, ensuring that processes run smoothly. By prioritising workflow efficiency, businesses can enhance productivity, reduce costs, and improve customer satisfaction. Key Steps to Achieve Business Process Improvement and Effective Workflows 1. Identify Pain Points The first step in business process improvement is to identify bottlenecks and challenges within your current workflows with a workflow audit. Conducting a thorough analysis can reveal areas where inefficiencies exist. Engage your team in discussions to gather insights on obstacles they encounter, and use this feedback to inform your improvement efforts. 2. Map Your Processes Visualising your workflows through process mapping can help clarify how tasks are completed and where improvements can be made. Use flowcharts or diagrams to illustrate each step in the process, making it easier to identify redundancies or unnecessary steps. 3. Set Clear Goals Establishing clear, measurable goals is essential for successful business process improvement. Implement the SMART criteria—Specific, Measurable, Achievable, Relevant, and Time-bound—to define what success looks like. This approach ensures that everyone is aligned and accountable for achieving these objectives. 4. Implement Changes Once you’ve identified areas for improvement and set goals, it’s time to implement changes. Communicate the changes clearly to your team, and provide any necessary training or resources to facilitate a smooth transition. Monitor the implementation process closely to address any issues that may arise. 5. Monitor and Measure Success To determine the effectiveness of your business process improvements, it’s crucial to monitor and measure success. Establish key performance indicators (KPIs) that align with your goals and regularly review performance data. This ongoing evaluation will help you identify further areas for improvement. 6. Foster a Culture of Continuous Improvement Encouraging a culture of continuous improvement within your organisation can lead to ongoing enhancements in processes and workflows. Empower your employees to share ideas and suggestions for improvement, and recognise their contributions to foster engagement and innovation. 7. Leverage Technology Utilising technology can significantly enhance your business process improvement efforts. Workflow automation tools can streamline repetitive tasks, allowing employees to focus on higher-value activities. Explore software solutions that fit your organisation’s needs to drive efficiency and effectiveness. Conclusion: The Path to Sustainable Success In an ever-evolving business environment, the need for business process improvement and efficient workflows cannot be overstated. By following the steps outlined in this guide, organisations can not only enhance their operational efficiency but also create a sustainable foundation for long-term success. Embrace the journey of continuous improvement and watch your business thrive in the face of new challenges. By prioritising business process improvement and effective workflows, your organisation can achieve operational excellence, foster innovation, and maintain a competitive advantage in today’s market. Start implementing these strategies today and unlock your business's full potential. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More

Learn how to create an effective company sustainability programme with this comprehensive guide. From setting the foundation and building the framework to implementing operational changes and engaging with the community, this post covers all the essential steps to drive sustainability in your organisation. Purpose & Sustainability Leadership Sustainability & ESG How to Create a Company Sustainability Programme Discover how to establish a robust sustainability programme for your company, ensuring environmental responsibility, economic efficiency, and social equity for long-term success. Published on: 8 Aug 2024 In today’s world, sustainability is not just a buzzword; it's a vital practice that companies must adopt to thrive. A robust sustainability programme can enhance a company’s reputation, improve operational efficiency, and ensure long-term viability. But how do you create a sustainability programme that is both effective and genuine? Here's a comprehensive guide to help you get started. 1. Understanding Sustainability What is Sustainability? Sustainability involves meeting our own needs without compromising the ability of future generations to meet theirs. In a corporate context, this means operating in a way that is environmentally responsible, socially equitable, and economically viable. Why is Sustainability Important? Environmental Responsibility : Reducing the environmental impact helps protect the planet. Economic Efficiency : Sustainable practices often lead to cost savings through energy efficiency, waste reduction, and improved resource management. Social Equity : Fair labour practices and community engagement foster goodwill and long-term relationships. 2. Setting the Foundation Assess Your Current Position Before you can implement a sustainability programme, you need to understand where your company currently stands. Conduct a sustainability audit to identify: Energy consumption Waste generation Water usage Carbon footprint Supply chain sustainability Define Your Goals Set clear, measurable goals that align with your company’s values and mission. Goals could include: Reducing greenhouse gas emissions by a certain percentage Achieving zero waste to landfill Sourcing 100% renewable energy Enhancing community engagement 3. Building the Framework Form a Sustainability Committee Create a dedicated team responsible for driving the sustainability agenda. This team should include representatives from various departments to ensure a holistic approach. Develop a Sustainability Policy Draft a policy that outlines your company’s commitment to sustainability. This policy should: State your sustainability goals and objectives Detail the strategies to achieve these goals Provide guidelines for employees and stakeholders Secure Leadership Support Ensure that the top management is on board with the sustainability initiatives. Their support is crucial for allocating resources and driving the programme company-wide. 4. Implementing the Programme Employee Engagement Involve employees at all levels. Educate them about sustainability and how they can contribute. This can be done through: Training sessions Workshops Regular communications and updates Operational Changes Implement changes in your operations to reduce environmental impact. This could involve: Upgrading to energy-efficient lighting and equipment Implementing recycling programmes Reducing water usage through conservation practices Encouraging remote work to reduce commuting emissions Sustainable Procurement Work with suppliers to ensure that the materials and products you use are sourced sustainably. This includes: Selecting suppliers who have their own sustainability programmes Prioritising products that are eco-friendly and have minimal packaging Engaging in fair trade practices Innovation and Technology Invest in technologies that promote sustainability. This could include: Renewable energy sources like solar or wind Energy management systems Advanced recycling and waste management technologies 5. Monitoring and Reporting Track Progress Regularly monitor your sustainability metrics to track progress against your goals. Use key performance indicators (KPIs) such as: Energy consumption Waste generation and recycling rates Water usage Emission levels Transparent Reporting Share your progress with stakeholders through regular sustainability reports. Transparency is key to building trust and demonstrating your commitment. Reports should include: Achievements and milestones Challenges faced Future plans and targets Continuous Improvement Sustainability is an ongoing journey. Continuously seek ways to improve by: Staying updated on new technologies and best practices Gathering feedback from employees and stakeholders Reviewing and updating your goals and strategies 6. Community and Industry Engagement Community Involvement Engage with the community to foster goodwill and support local sustainability initiatives. This could involve: Volunteering for local environmental projects Partnering with local organisations for sustainability events Supporting education and awareness programmes Industry Collaboration Collaborate with other companies and industry groups to share knowledge and promote sustainability. This can be done through: Joining sustainability-focused industry associations Participating in industry conferences and workshops Sharing best practices and innovations Conclusion Creating a company sustainability programme is a significant step towards a better future. It requires commitment, collaboration, and a willingness to innovate. By assessing your current position, setting clear goals, engaging employees, making operational changes, monitoring progress, and engaging with the community, your company can build a sustainability programme that not only benefits the environment but also drives business success. Remember, sustainability is a continuous journey, and every step taken makes a difference. Start today, and lead your company towards a sustainable future. Previous Next The Operations First Manifesto Get instant access to The Operations First Manifesto and discover why great companies build different. No fluff. No generic advice. Just the uncomfortable truth about what's holding your business back—and the clear path to fixing it. Learn More