It’s a simple question. Do you have a workforce strategy? Many businesses think they do. They focus on cost control within their workforce. They look at data such as cost per hire to focus on what they believe is a good workforce strategy. They use “Best Practices” from other businesses and see them as a one-size-fits-all solution. The focus is primarily on minimizing the cost of the workforce to maximize the value of profitability. That focus is wrong.
At its base, business is simple. You provide a service, produce a product, sell something. That’s all there is. The complicated part is doing that profitably. It isn’t rocket science but it does take knowledge. A knowledge you can’t necessarily get from a single class, workshop, or seminar, a book, or reading somebodies “Best Business Tips to Grow Your Business By” article.
Running a business profitably takes knowledge and it takes constant improvement of that knowledge. What do you need knowledge on? I call them the 10 basic pillars of business. Do these well and your business will thrive. These are:
Your business is doing good enough. You make enough money to pay your bills and provide for what your family needs. You are floating along, enjoying this reward when you learn a competitor is lowering prices. You are numb because this means they will take business away from you and now your bills may not get paid, your family and lifestyle may suffer. This is not what you went into business for. Now, what do you do? Hint; it isn’t lower your prices!
When you started your business you had a passion. You wanted to accomplish something, something that was unique and important to you. Your business was going to support you, your family. It was going to provide you with the money and status you needed to live a certain way, in a certain place. What did you do that started your business successfully and do you still have the time to do those things? Is your business providing you the monetary, emotional and physical things you hoped it would? Or, are you experiencing the pain and cost of not enough time to do what is important?