Magic of 846 for Rapid Business Growth

Many business owners and new entrepreneurs are facing the problems of ownership transfer, return on investment (ROI), profitability and a host of others. The question that now arises is how can these problems be solved? The answer is one that is pretty much overlooked but is effective and that is people management with what I’ll describe here as the 846 Magic Strategy.

People management is one of the challenging part of a business and succeeding in it can become the company’s competitive advantage. If an organization can have its people implement plans with effective skill and unity, they are already ahead of others because most organizations are unable to make it happen.

People management also involves an in-depth understanding of employment law, the rudiments of training and motivating employees, giving good and constructive feedback to help with business development, and personal as well as professional growth.

In every corporation or organization, there are of course work load, challenges it is going through and trying to overcome, and of course goals to reach. There are different types of people that make up a team and invariably, an organization. These people which are your employees can either make or mar the growth of your business. They are structured in a triangle.

High up at the triangle’s peak are the performers. These ones are highly driven, know and take full responsibility and help in moving the organization forward. Next down the triangle is the highly effective doers which have immense willingness to work, learn and improve. With correct guidance, this one could go on to be a future performer.

There is of course the less effective doer. He is of course, somewhat willing to work but his contributions are not making an overall effect to the organization. Often times, we might end up having a potential trouble source down the triangle. Yes, this one is not stable as he sometimes brings trouble and other times solutions to the table. The last on the triangle is the suppressive person who actively tries to destroy the organization. This one is dangerous and if undetected could pose great threat to the organization.

Now this is where the business owner needs to find effective hiring solutions to be able to effectively manage his team and get the best to ensure growth for his business. Also, he needs to be able to differentiate and know the kind of people he has on his team. This would help tremendously.

This is where the 846 strategy comes to play. I’ll give an example of a small entrepreneurship firm which has 8 employees with a pay of 10,000 dollars each. This salary of 10,000 dollars is what is erstwhile normally suited for 6 employees. So, how can one achieve better from this team? First of all, the business owner is advised to trim out the lagers and problem creators by 50%. This would be the last two on the triangle as earlier explained.

Another solution would be to do a relative grading below performance. That is, there is a trimming or laying off of those who are not performing up to expectation. Head count would give you a 50% decrease meaning we have four employees now.

So now, we have 4 employees who are performers and highly effective doers. These will give their all and yield profit for the business. How can the payroll for these ones be managed you may ask? Are we sticking to their initial salary or there is an increment? Because of the restructuring, the initial 6 people wage can now be allocated to the new team of 4. By so doing, there is increment in reward for workers.

The whole idea behind the 846 strategy is to eliminate wastage of resources, make good choices in team members and getting the best out of them while giving them good reward. This is not all though as there is also the need to cut off supervisory layers as much as possible bearing in mind how many positions the business can run with. In other words, in departments where supervisors exist and are not necessary, they can be eliminated. By so doing, many mangers will be on-board because of the high way structure. So in essence, employability and reputation work best.

In conclusion, for your business to grow rapidly, try out this 846 strategy and see what magic it carries. Maximize people resources made available to your organization while maximizing profit today.

Thank you : I do welcome your comments on this 846 Strategy. Click on my name to be connected with facebook.

J.M.Taslim Kabir , Head of Marketing , Fair Group