Here’s a question from a client that addresses the issue of not having clear-cut systems in place when it comes to employees:
“I am coming to a sobering realization. I am not communicating well with my assistant and that is causing a lot of my problems with her. She is telling me, “If I would just tell her what she needs to do, she would do it” and of course, I see the areas that I did not train her well. Can you assist me in addressing this?”
Yes! You need to set up and implement systems in your business. The written descriptions or map of clear, easy to follow work practices are vitally important for a company. That is why it is imperative to have clear, concise “job descriptions and roles” written out for your employees (current and future ones) and if you need to train them they MUST have clear, easy to follow training guidelines, manuals and/or videos that they can use and follow in order to do what it is that you want them to do.
Moving forward, here’s what you’ll need to do to rectify your current situation:
Think about the EXACT steps that it takes to do the tasks you want your employee to do and map these out for them.
- Create short videos (they can be 2, 5 or 10 minutes in duration) of the tasks you wish them to perform taking your employee through all the action steps of what he/she is to do
- Write them out for them in flow charts or a worksheet. Create 1 video and 1 flow chart/worksheet per overall task you want your employee to complete.
Systems are MANDATORY for being able to replicate what you do, it stops you being a bottleneck in your business, frees up your time and maps out the most effective and efficient system of work flow for completing tasks. They also allow you to create intellectual property that you can use for future training, for when you wish to license out your proprietary business practices as a revenue stream and can be used as part of your exit strategy.
In the above example what the client did not take into account was the cost of not having a system in place re: her employees. By having an assistant that she constantly needed to supervise and go over her work, she lost countless of valuable hours that she could be using to generate new clients for her business. Additionally, by not training new employees in how to replicate what you do, you cut down instead of leverage your time and availability to grow your revenue.
This oversight was costing the above client approximately $5,000 per month in lost revenue for time wasted with constantly supervising her assistant. Furthermore if she had brought on just 2 additional employees and had them replicate what she was doing she would have added an additional $20,000 per month in revenue. That’s a total of $25,000 per month or $300,000 per year in lost revenue. And that is just for starters!
What’s happening in your business? Are there some areas that you don’t have systems in place and what is that costing you in your time and lost revenue every month?