The New Year is here. Your New Year’s Resolutions are gone. The inventory has been counted. The mail carrier is complaining about all the catalogs weighing down his bag. You’re trying to make sense of what just happened in 2016. (Or just trying to forget what happened in 2016.) 2017 is here whether you’re ready or not.
The only real question you need to answer right now is…
How will you measure 2017?
Will it be by growth in top line sales or bottom line profits? Will it be by management of cash flow or expenses? Will it be by the number of days you actually take off? Will it be by the number of human resource headaches you have (or don’t have)? Will it be by “likes” and “shares” and “comments” on social media?
You get to choose. You have to choose. You have to decide where to put your limited energies and resources. If the bottom line is good, you work on cash flow. If the money is good all around, you work on HR. If the staff isn’t giving you any hassles, you work on PR and social media. If all of them need a hand, decide which one is most critical (hint: cash flow) and go there.
PICK A PROBLEM, SET A GOAL
The key is to determine what you want to measure and – most importantly – how you’re going to measure it. It is that second part that gives you the map to guide your decisions for the year.
Most businesses fail to set specific goals. They set vague ones like “grow profit”. Then they forget all about those goals the very next morning as the day-to-day running of the business takes hold. But if you say “grow profit by $5,000” then you know you need to increase sales, decrease expenses, and/or increase profit margin. If you say, “grow profit by $5,000 through better control of expenses” you have an even clearer path.
The more specific your goal, the easier to plot the course. The more you make it known and talked about with your team, the more accountable you (and they) will be. The more you reward the team for reaching the milestones you set throughout the year, the more they will help you.
Roy H. Williams said it best, “What gets measured and rewarded, improves.”
The more specific you make your goal, the easier it is to draw a map that will get you there.
PS Once you’ve set your destination, do yourself a favor. Print it out and paste your goal somewhere in the back office area where you will see it daily. Tell your staff the goal and ask for their input on how to get there. Talk about your goal in every single meeting. Research new ways to reach your goal. Set up milestones to measure your progress. Hold yourself accountable to your goal. Reward yourself and your staff as you reach each milestone along the way.
PPS Not sure how to set your goals or need help with your map? Send me an email. As always, I’ll do whatever I can to help.