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Why Every SME Leader Needs a Business Operating System

Dec 09, 2024
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"Systems run the business, and people run the systems."  Michael Gerber 

Operating a small or medium-sized enterprise without a structured Business Operating System (BOS) is akin to navigating a ship without a map or compass.  

A BOS offers clarity, consistency, and alignment throughout your organization, ensuring that everyone understands their objectives, roles, and how their contributions drive success.  

Without a BOS, leaders may face confusion, inefficiency, and missed opportunities. 

When business leaders lack a structured Business Operating System (BOS): 

  • Teams struggle to prioritize tasks, resulting in wasted resources. 

  • Communication becomes fragmented, leading to misunderstandings. 

  • Inconsistent processes and unclear direction impede growth. 

  • Leaders may find themselves engaging in activities that should be the responsibility of others. 

Our Performance Alignment Map (PAM) is a versatile business operating model that enables your business to harmonize all functions, processes, and interfaces according to your operational practices. 

 

Small Changes to Make with a Business Operating System 

  1. Clarify Your Strategic Intent and Aspirations 

Outline your long-term goals and the impact you wish to have in your personal life, business, and community. 

  1. Apply Strategic Thinking and Planning 

Craft and share an inspiring vision that outlines our purpose and highlights our key strategic priorities. Let’s energize our team with clarity and direction! 

  1. Be Customer Centric 

Apply a holistic approach that profoundly understands your customer’s needs, preferences, and values. 

  1. Document Key Operational Processes 

Involve your team in mapping out core business processes and creating simple guides for team members. Encourage continuous improvement for all processes. 

  1. Ensure Functional Areas Support Business Priorities  

Simplify and organize your administration systems; leverage the engagement of employee skills and capabilities; update your marketing plan to support customer-centricity; manage the financials to maximize return and minimize risk. 

  1. Implement Regular Reviews 

Schedule regular check-ins to track progress and results and address challenges. Ensure your business is sustainable and positively impacts your wealth and well-being. 

  1. Leverage Your Leadership Practices 

Lift your leadership skills and practices to enable business improvements through more engaged people and an innovative culture.   

 

The Big Impacts of a Business Operating System

  • Clarifies the direction in which the business is heading 
  • Provides a foundation for business improvement planning 
  • Guides activities and focuses efforts 
  • Facilitates relationship-building with stakeholders 
  • Enhances engagement and productivity among employees 
  • Streamlines business processes 
  • Tracks the progress of financial and other performance metrics 
  • Supports documentation and auditing for compliance.

 

"Success doesn’t happen by chance; it happens by design."  Jim Rohn 

 

Find out more about the e-book ‘7 Strategies for a Healthier Business’ and access to the accompanying videos here. This includes an overview of the Performance Alignment Map (PAM) Business Operating System. 

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