Everybody thinks their Business is Different and more Complicated than that of others!
In 28 years of management implementation consulting career, I was often challenged by the statement by many clients in all sectors that their business is different and more complicated than that of others and therefore their issues and challenges are complex. Actually, 2 out 5 business owners have stated the above one way or another.
I have found out that such a statement is inaccurate. No business is more complex than others.
Moreover, I have identified the following 5 main fundamental reasons that lead to business owners and managers believe that their business is complex.
- They have no clear definition of the market they serve and therefore there is no clear business purpose. That is, they consider a business as a Profit and Loss And a Balance Sheet set of accounts.
- There are no clear strategies and goals as they move forward. And if there are, they exist on paper. There is no dissemination to all nor they are aligned in the organization.
- As a result of the above there are no clear processes in place. They operate mostly on exception rather than norms.
- There is no solid reporting accountability and feedback framework.
- They have created the complexity by running the business on a day-to-day basis without well-defined strategies and aligned processes, too many exceptions and compromises. In addition, often the wrong people (lack of essential skill set) occupy critical positions.
I can build 2 identical businesses in any field and provide them the exact same resources, namely Financial, Technological, Methods, Materials. The likelihood that after a year these businesses will produce the same results is almost zero. Why? The only one of the 5 fundamental business resources that can not be copied is People.
Which brings me to the conclusion that the 4 fundamental reasons above are People driven. It’s people that turn a business is to a complex entity and of course its people that makes things easy and simple. You only need to comply with pure business rules and bring them up to date taking into consideration the prevailing conditions of the market.
You want to know more how you can make things simple but most importantly sustainable?
Download this free ebook here.
Yiannakis Mouzouris
Strategy and Performance Management
Expert / Business Consultant / Trainer
B.Sc. Mechanical Engineering
M.Sc.Engineering Management, US