What are Business Operations? Everything You Need to Consider

As businesses grow they get to a point where they need proper systems; proper business operations but what exactly are 'business operations'? In simple terms, it’s everything that keeps your business running smoothly. It’s how work gets done and decisions are made.?

‘Optimised’ Business Operations is when everything just works

The way work gets done is directly in line with achieving business goals.? All team members are walking in the same direction.? The boss isn’t having to deal with any day to day; he/she can just focus on big picture.? It feels like the business runs itself.? The staff are happy. The clients are happy.? The bank manager is happy.?

You are happy.

The key is creating the structure to run the business and empowering the teams to run the structure.

Over the years I have developed the 4 P’s to define the areas of the business that we need to fine-tune to have our business engine humming away.

The 4 P’s of Business Operations: Person, People, Process & Performance

Let’s go through each one

Person: Goals and Contribution Clarity

Where are we going and why should I come along?

Person is about how the individual contributors perceive what is happening at your business and how they fit in.? They care because it matters to them and they see why they matter to it.?

This category is very often overlooked when we think about operations but ensuring everyone understands the context in which they work ensures that they get and stay on board. If they get it, they will go get it!

You are looking to ensure:

• Everyone buys into & understands the company goals
• Everyone understands how the company makes sustainable profit & how they contribute
• Everyone feels valued & can see their future there
• Everyone takes ownership & accountability for progress

You can achieve this with:

• Job descriptions & role definitions
• Career progression & development plans
• Motivation: Objective setting, bonuses & incentive schemes
• Company messaging & systems for sharing your strategy

People: Leadership, Teamwork & Communication

Who’s driving and can co-pilots take over?

People is about ‘we’; about the team. It’s about how 1 + 1=>2.? It’s about nothing being dependent on one individual contributor and all hands pulling in the same direction.? People trust each other and trust in the leadership. A competent and evolving talent bench that can take the reins and continue to move the business forward. The right people structure is in place.

How can we make sure that everyone understands the impact they have on each other? How can we ensure that people don’t assume others can read their minds?

You are looking to ensure:

• People believe in the leadership across all levels
• People work as a team, not just a group
• Information is up to date & communication is timely & effective
• People can step in & cover for each other

You can achieve this with:

• Leadership training (for you & the team)
• Team bonding, building & training
• Communication training, leading by example, expectation setting
• Culture, company values & rewarding the right behaviours
• Process & role cross training
• Project management & communication apps
• Team structure & succession planning

Process: Reliable and Adaptive Systems

Do we have processes for an efficient & sustainable journey?

Process is about all the tools and procedures we use to get work done. It’s about using technology as an enabler to the people in the business, allowing talent to focus on adding value.? By removing waste, focusing on value added and making use of automation; you can become as efficient as possible.? It’s ensuring the business is future-proofed; that processes, workflows and structure, optimise efficiency for today and adapt to the needs of tomorrow.

Process and tech are what everyone associates with business operations. How do we pass work through the business in the most efficient and effective way?

You are looking to ensure:

• Systems enable the sustainable profit model
• Processes optimise efficiency
• Talent is focused on value add activities – everything else is automated or minimised
• Tech optimises productivity & facilitates workflows

You can achieve this with:

• Project & task management apps
• Automation
• Process optimisation: speed & quality
• Process documentation
• Standardisation
• AI & tech tools
• Organisational learning & information storage

Performance: Reporting and Data Visibility

Can we see if we are on track & make course adjustments?

Performance is about using data in the right way to enable decisions and drive profit. Performance is about visibility, clearly understanding exactly what is happening, what’s wrong, what’s right, what needs attention and what will happen next. Consistent monitoring of progress through metrics that matter, creating leadership control from a distance and confidence that warning signs will be clear and early.

Here we are thinking about using data to drive decisions and we need to ensure that ‘the people’ can easily understand what the data is telling them to take action on.

You are looking to ensure:

• Clear status of current workload, capacity & resource
• Decisions are enabled by data at the right time, in the right format
• Reporting accurately indicates both current & predicted financial performance

You can achieve this with:

• KPIs & decision metrics
• Capacity, workload and resource planning
• Training on how to use data & why it’s important
• Project tracking
• Reporting

When your Operatons Works your Business Just Works

Getting your operations set up correctly can change your business astronomically. It can mean the difference between profitability and empty bank accounts; between you working every weekend until midnight and swanning in once a week; between your staff loving their jobs and constantly rehiring new people.

Setting up your operations is what I do. If you would like some help on any aspects of your operations why not reach out for a chat or even a free fix it fast session and we’ll solve a operational niggle in 90 mins for free. Find out more here