Business Review: A Guide for Business Owners

As business owners, we often find ourselves caught in the whirlwind of day-to-day operations, striving to meet deadlines, manage employees, and satisfy customers. However, it's equally important to step back periodically, reflect on our progress, and proactively decide the course for the future.

In a previous article, I discussed the importance of realigning your business with the life you envision. You can read it here: https://www.dhirubhai.net/posts/susanamarambio_growth-business-strategy-activity-7227199382020919296-1p-H?utm_source=share&utm_medium=member_desktop

In this week's article, I explore key questions to guide your reflection and planning process for your business:

• What are the primary challenges and opportunities your business faces?
• What are your business's core strengths and weaknesses?
• What are your long-term goals and objectives?
• What resources and investments are required to achieve these goals?
• What do you aim to achieve by the year's end?

Reflecting on these questions will provide a clearer understanding of the actions needed in the next four months.

The business landscape is full of opportunities and challenges. It’s crucial to embrace opportunities that align with your goals and ignite your passion for your work. You can achieve this, by conducting a thorough business review. However, this is not a task you need to take on your own. Find a mentor, business advisor or simply reach out to us, in just two hours, and with no financial commitment, we can help you.

Following a business review session, you will have a much clearer understanding of your current position and the necessary steps to achieve your future objectives.

Our business review typically includes:

• Understanding Your Business: We will take the time to fully understand your business, its unique challenges, and its goals.
• Identifying Key Issues: Together, we will identify the core issues that are holding your business back.

Key Areas to Consider During a Business Review

Different organisations approach business reviews differently; we use the Business Pyramid, a visual tool that illustrates the strategic and operational elements of a business.

Most owners begin their business journey focused on a product or service (the base of the pyramid) and finding customers through methods like word-of-mouth, websites, or social media. These sales and marketing tactics help establish the business. However, as the business grows, owners must also manage financial aspects like expenses and wages, as unchecked costs can erode profits.

At this stage, it becomes crucial for the owner to take control of all business aspects, as depicted in the Business Pyramid. Failing to do so may result in the business dictating the owner's actions and decisions rather than the other way around.

Because most owners start as "technicians," their focus is usually on day-to-day operational elements (red areas), often leaving little time for strategic growth planning (green areas).

We will closely examine 11 key areas of your business, including:

Strategic Areas (Green):

• Personal Vision
• Business Vision
• Strategy
• Goals and Objectives
• Structure and Technology
• Performance Metrics

Without proper focus on these strategic elements, businesses often become bogged down in daily operations, which hinders their growth potential. The owner may struggle to clearly articulate the business's direction, the objectives that need to be achieved, and the team's role in achieving them. As a result, the owner may find themselves constantly firefighting, reacting to immediate issues, rather than proactively steering the business towards long-term growth and success.

Operational Areas (Red):

This is the day-to-day running of the business that occupies most, if not all, of the owner's time. Our unique "Business Diagnostic" can uncover strategies to increase the owner's income, especially if the business has been operational for an extended period.

Key operational areas include:

• Products and Services
• Sales and Marketing
• Finance and Expenses
• People
• Systems
• Processes

Armed with this information, you will be able to take decisive actions:

1. Set SMART Goals: Define Specific, Measurable, Achievable, Relevant, and Time-bound goals to guide your business towards success.
2. Develop an Action Plan: Outline a detailed plan with clear deadlines and responsible individuals for each task.
3. Monitor Progress: Regularly review your progress to make necessary adjustments and stay on track.

To find out more about our effective business review session, you can book your free discovery call here .

Reflecting on the past, assessing the present, and planning for the future are essential practices for any business owner. By asking the right questions, conducting a thorough business review, and implementing strategic changes, you can position your business for long-term success.