Business systems are the key that unlocks everything for your organization.
But it’s not enough to just have some systems in place, to grow a sustainable business, you need to have the right systems in place.
You can’t have the right systems in place without understanding exactly what systems you need and how effective systems are created!
For many people, when they hear or think about business systems, their first thought is Technology or more specifically software.
And, while Technology may be used within a particular system, it should always come after you’ve developed your system leveraging Planning, People, and Process.
The reason why it comes last or “get’s layered in,” as I like to say, is not just because of how I break Business Systems down but because of how effective Business Systems are created.
Business systems are created through Planning and People but are made up of a series of Processes that may or may not use Technology.
Therefore you need to create systems in your business by leveraging these 4 key pillars: Planning, People, Process, and Technology.
Technology, as a standalone, was only created to automate individual tasks and as it evolved, entire processes.
I define technology as a tool that automates the execution of tasks and process to reduce errors, increase efficiency and utilization, and improve communication.
Again, taking this concept one step further, technology is a wonderful tool but you can’t possibly implement it effectively without first creating a system using planning and people to create the processes executed by said technology.
This is the reason you’ll find an average failure rate of technology adoption and implementation in the 75% range (depending on your source).
That should be a sobering statistic for any business leader.
Since we know technology alone is not the answer, how do we use business systems to unlock the potential of your organization?
There are 6 Key Business System categories you need to implement in order to drive growth and operate with excellence:
As highlighted in the video, within each of these key system categories, there are several sub-systems.
And each of those sub-systems can then be broken down into the 4 key pillars: Planning, People, Process, and Technology.
You can find additional information on the 6 Key Business System categories and sub-systems here: https://thecrysler.club/6-key-business-systems/
Action Step: If you already have one or several of these systems in place, start by digging into the planning and people aspect to better understand how you can implement process improvement initiatives on the processes within that system and then finally, evaluating the current technology or investigate new technology to automate the execution of the newly revised tasks and processes.
That’s it for today.
See you all again next week!