Business Builder Forum September 2011

Business Builder Forum14th September 2011

WelcomeRachel Girling – Meades & Company

Morning agenda

07.45 Arrival

08.00 Registration, breakfast and networking

08.20 Welcome: Paul Meades, Meades & Company

08.30 Finola McManus, Practice Perfect

09.30 Q & A

09.45 Close and networking

10.00 Stadium tour with former Watford FC player Neil Price

• Your event

• Feedback essential

• Networking

Increase your productivity and

efficiency with

OnePage™ business plans

What you will discover

•Why you should measure stuff

•What you should measure

•How you can measure it

•The benefits of a OnePage™ business plan

What you can measure you can manage.

McKinsey Maxim

BUT......

Building a better scale doesn’t change your weight.

Philip Crosby

What stuff should you measure?

•Measure results

•You must manage working capital – in particular, cash

•And you must improve profits

•But profits are a consequence

•So you must focus on sales

•And focus on costs

•But the most critical drivers are not found in

accounts

•You must identify your key underlying success drivers

In summary

•Measure key results

•Measure key sales drivers

•Measure key cost drivers

•Measure key cash drivers

•Measure key underlying success drivers

•That tie into your goals, core purpose, vision

So what key results would you

measure?

Some suggestions....

•Sales revenue

•Market share

•Cash

•Return on capital

•Profits

•Number of customers

And what

key cost and cash drivers

would you measure?

Some suggestions...

•Key cost drivers

•Overheads per head/hour/square foot

•Marketing costs per sales lead

•Product reliability

•Key cash drivers

•Debtor days

•Creditor days

•The number of times stock is turned over a year

And what

key sales driverswould you measure?

What is your sales model?

•Number of leads generated

•Number of referrals

•Enquiry conversion rates

•Repeat customers/ lost customers

Some suggestions...

And what

key underlying success driverswould you measure?

Some suggestions...

•Customer delight

•Harnessing the true potential of you and your people

•Innovation and creativity

•Investment in knowledge and other assets

•Operational effectiveness

“From worst to first: behind the scenes of Continental’s remarkable comeback”

Gordon Bethune

Continental Airlines measured…

•On-time arrival

•Lost luggage

•Customer complaints

What makes these leading is they measure success the way the customer does…

… ultimately the success of any business is a result of loyal customers who return

How can you measure that stuff?

OnePage™planA business plan that fits on a single

sheet of A4

Balanced ScorecardDeveloped by Kaplan and Norton

Based upon...

OnePage™ plan

OnePage™ plan

Our core purpose/vision

OnePage™ plan

Our core purpose/vision

Key underlying success drivers

OnePage™ plan

Our core purpose/vision

Key underlying success drivers

Key sales drivers

OnePage™ plan

Our core purpose/vision

Key underlying success drivers

Key sales drivers

Key cost & cash drivers

OnePage™ plan

Our core purpose/vision

Key underlying success drivers

Key sales drivers

Key cost & cash drivers

Key results

OnePage™ plan

Our core purpose/vision

Key underlying success drivers

Key sales drivers

Key cost & cash drivers

Key resultsLagging

Leading

•Don’t try to find hundreds of success drivers

•Don’t make them all traditional financial measures

•Consider monthly versus YTD numbers

•Consider the systems you will need for data collection

•Use Post-It notes to identify the chain of cause and effect

•Don’t feel you have to get it 100% right first time

•Set realistic targets

•Discuss results in your monthly business strategy meeting

•Share the results with the team

•Consider % measures rather than £ actuals

•And don’t forget...

the most important part are the actions

Benefits of the OnePage™ plan

•Simple and readily understandable

•Tells you how you are doing

•Helps you to identify the areas you need to work on

•Forces you to think about, record and monitor actions

•It can easily be updated on a monthly basis

Everybody in the business knows…

•Exactly what the business is trying to achieve

•How far they have got towards achieving it

•What they can do to get the business there even faster

•And so it provides a focus for discussion, effort and creativity

•And it is a brilliant tool for motivating people

What to do now......

Have you heard anything here today that you feel you may need help with?

We can help you implement these things into your business.

Do not hesitate to contact us for an initial free consultation call 01923 800444