Business owners are busy people, and in their perpetual state of “busyness”, they often don't take the necessary time to carefully think about the right question to ask another party, in order to gain the correct information they need, to enhance the quality of their decisions.
Business owners are regularly faced with the need to make important decisions about matters in which they lack expertise, or sometimes even a basic understanding of the subject matter, and in these circumstances, asking weak questions, or the wrong questions, and then acting on the answers provided, can prove to be extremely costly.
Key business decisions, are often made on the run by business owners, without any more than the asking of cursory questions more aligned to reassurance than probing to ensure clear understanding and elicitation of quality information. It is decisions, made on the basis of such poor answers, that business owners often live to regret.
The right question should indicate to the other party that the issue is important in the context of a decision to be made, should inform them of the need to provide accurate and concise information, and should convey a sense of urgency in respect to the applicable decision time frames.
The right question is usually the best possible, simple question, that can be asked in the context of the overall objective that the actual decision needing to be made is aligned to in terms of supporting that objective, or successfully achieving it. The best, simple question, should lead the other party to ask themselves a range of more detailed questions, before they can provide the requested answer.
Whilst, determining the right question to ask, is a critical component in gathering information to assist in decision making, of equal importance is making sure that you are directing the right question to the right party. In other words, you need to be sure that the other party is actually qualified to provide the answer, and has the experience necessary to put the answer into a context relevant to you, and your business requirements.
Asking the right question of the right party has an additional element which needs to be taken into consideration. That element is ensuring that you ask the right question of the right party at the right time. There will be times when it is inappropriate to seek information if you want the best possible response, so the desire for instant gratification, may occasionally need to be tempered, until the timing is right.
The right question asked of the right party at the right time can be incredibly empowering for a business owner, and their business, especially if the answer elicited, provides more information than expected, and leads to a decision which is far superior to any decision that would otherwise have been taken.
How often do you give any consideration to the quality of the questions you ask others when requiring information to assist in your decision processes?
How do you determine who is the right party to ask the right question?
Can you temper your need for immediate gratification to ensure that the right question is asked of the right party at the right time?
About Me
- Daniel Watson
- Melbourne, Victoria, Australia
- Born in the mid 1950's and raised in a very small country town situated in Northern Victoria. Resident of Melbourne since 1980 and happy to stay living in one of the world's most liveable cities. You can view my professional profile at http://www.linkedin/in/danielwatson
Tuesday, December 1, 2009
Tuesday, November 24, 2009
You Can’t do Everything.
The role of a business owner gets more complex by the day, and it is little wonder that many business owners find that by spreading themselves so thinly across all of the activities they need to accomplish each day, nothing ever gets done properly, or as quickly as is optimal for their business.
Many owners fall for the trap of trying to do everything themselves to keep costs down, but in reality, the cost to the business of the inefficiencies inherent in this approach, and the lack of necessary attention to the detail in any business which inevitably results, will generally outweigh any savings expected by the business owner, in adopting this "one man band" approach.
In working with a client recently, I identified that as the business owner he was trying to perform at least 16 clearly identifiable key roles, many of which were measurably not the best use of his available time, and some were critical roles for which he was not all that well qualified, to perform.
In the best interests of the business, an owner should step back from attempting to be the jack of all trades and the master of none, and look at where specifically in the business their skill set and personality can be utilised to greatest advantage and for the greatest return, and delegate or outsource the remaining roles to others, or another entity, that can do what is required in far less time, more effectively, and at relatively lower cost, than the cost of the owners time in completing the particular role(s) themselves.
The issue of control and inability to delegate raises its ugly head time and time again when examining why, small business owners in particular, continue to beat their heads against a brick wall in trying to accomplish everything themselves, but at considerable cost to themselves, their families and their businesses.
In an earlier article, “Four Critical Business Roles”, I explored and discussed my view that it is a very rare individual who is capable of effectively performing all of the critical roles required to be performed in a SME business, and that one’s personality will to a high degree dictate the roles one can effectively perform, and which will positively contribute, to the expected outcomes for the business.
Where the business owner’s personality is not suited to one or more of the four critical roles which need to be performed on a daily basis, then the business will be facing an uphill battle to achieve any real level of success, and the business owner will constantly frustrated with his/her inability to achieve the outcomes desired, in the time frame available.
The answer is to recognise that “one man bands” generally run out of steam long before the businesses they operate grow to a level where they can be regarded as successful, sustainable businesses that are no longer reliant on the input of just one person, and take action now to make the most effective and productive use of your time, and pay others to perform the roles for which the business is paying a higher than necessary cost for you to perform.
Why do you continue to try to do everything yourself?
Do you have an inability to let go and an aversion to delegating or outsourcing?
Do you now understand that the cost of doing everything yourself is the future level of success of your business?
Many owners fall for the trap of trying to do everything themselves to keep costs down, but in reality, the cost to the business of the inefficiencies inherent in this approach, and the lack of necessary attention to the detail in any business which inevitably results, will generally outweigh any savings expected by the business owner, in adopting this "one man band" approach.
In working with a client recently, I identified that as the business owner he was trying to perform at least 16 clearly identifiable key roles, many of which were measurably not the best use of his available time, and some were critical roles for which he was not all that well qualified, to perform.
In the best interests of the business, an owner should step back from attempting to be the jack of all trades and the master of none, and look at where specifically in the business their skill set and personality can be utilised to greatest advantage and for the greatest return, and delegate or outsource the remaining roles to others, or another entity, that can do what is required in far less time, more effectively, and at relatively lower cost, than the cost of the owners time in completing the particular role(s) themselves.
The issue of control and inability to delegate raises its ugly head time and time again when examining why, small business owners in particular, continue to beat their heads against a brick wall in trying to accomplish everything themselves, but at considerable cost to themselves, their families and their businesses.
In an earlier article, “Four Critical Business Roles”, I explored and discussed my view that it is a very rare individual who is capable of effectively performing all of the critical roles required to be performed in a SME business, and that one’s personality will to a high degree dictate the roles one can effectively perform, and which will positively contribute, to the expected outcomes for the business.
Where the business owner’s personality is not suited to one or more of the four critical roles which need to be performed on a daily basis, then the business will be facing an uphill battle to achieve any real level of success, and the business owner will constantly frustrated with his/her inability to achieve the outcomes desired, in the time frame available.
The answer is to recognise that “one man bands” generally run out of steam long before the businesses they operate grow to a level where they can be regarded as successful, sustainable businesses that are no longer reliant on the input of just one person, and take action now to make the most effective and productive use of your time, and pay others to perform the roles for which the business is paying a higher than necessary cost for you to perform.
Why do you continue to try to do everything yourself?
Do you have an inability to let go and an aversion to delegating or outsourcing?
Do you now understand that the cost of doing everything yourself is the future level of success of your business?
Wednesday, November 18, 2009
Rewards; Gold Mine or Minefield?
Rewards, to facilitate ongoing performance or to effect change in the company’s culture, are not generally used effectively, or often enough, by many otherwise astute, business owners.
Too often, consultants observe the wrong behaviours being rewarded by business owners, resulting in unintended consequences which can, and often do, derail well thought out business plans and lead to serious financial issues.
In business, rewards are generally allocated for the purposes of developing people and influencing changes in their behaviour to prepare them for alternative or higher level roles, or for effecting required organisational changes and improving overall company financial performance.
At an individual level, rewards encourage people to learn, prompt the taking of necessary steps for personal growth, facilitate the desire to make greater contributions to the company’s well being, entice the desire to lead others and leverage off their success, and flame the passion in those who aspire to top leadership roles.
At a company level, rewards encourage the development of the required company culture, promote teamwork throughout the company, shift the performance focus to the achievement of specific financial outcomes, and display how serious the company is in respect to compliance with ethical and governance norms.
Rewards can take many forms, some which are familiar to most business owners, and many which may not be so familiar for one reason or another. Common rewards include;
a) a simple thank you
b) quiet words of encouragement
c) transfer to chosen area or location
d) promotion to a new position
e) better shift or roster allocation
f) paid day(s) off
g) preferred holiday dates
h) tickets to special events
i) discounts on company products/services
j) cash bonuses
k) trips at company expense
l) company shares or options
m) company expense account
n) child care/education allowances
o) company car
Used well, and with careful attention to ensuring that any reward offered is actually rewarding the right behaviour(s) to deliver the specific outcome the business wishes to achieve, rewards can turn any business into a veritable gold mine.
Used unwisely, not nearly often enough, or only in favoured parts of the business, rewards can create a minefield for the unsuspecting business owner. Whilst it is beyond the scope of this article to provide the level of guidance needed to step a business owner through the minefield that reward systems can become, the following tips may prevent a little pain;
a) ensure that you reward only behaviours that clearly support and reinforce company culture,
b) ensure that rewards to encourage high performance in all areas of the business are spread throughout all operational and support areas,
c) ensure that everyone, without exception, receives a reward of some kind when key elements of the business strategy are delivered on time and on budget,
d) ensure that evidenced behaviour supporting required cultural change is immediately rewarded and crucially,
e) ensure that any reward offered, especially at an individual level, is of a value to the recipient equal to, or exceeding, the cost of the reward to the company.
How well do you understand how rewards motivate or demotivate?
Do you use appropriate rewards to encourage peak performance and staff retention?
When did you last reward yourself?
If you enjoyed this post, please consider leaving a comment below or subscribing to the RSS feed to have future articles delivered to your feed reader.
Too often, consultants observe the wrong behaviours being rewarded by business owners, resulting in unintended consequences which can, and often do, derail well thought out business plans and lead to serious financial issues.
In business, rewards are generally allocated for the purposes of developing people and influencing changes in their behaviour to prepare them for alternative or higher level roles, or for effecting required organisational changes and improving overall company financial performance.
At an individual level, rewards encourage people to learn, prompt the taking of necessary steps for personal growth, facilitate the desire to make greater contributions to the company’s well being, entice the desire to lead others and leverage off their success, and flame the passion in those who aspire to top leadership roles.
At a company level, rewards encourage the development of the required company culture, promote teamwork throughout the company, shift the performance focus to the achievement of specific financial outcomes, and display how serious the company is in respect to compliance with ethical and governance norms.
Rewards can take many forms, some which are familiar to most business owners, and many which may not be so familiar for one reason or another. Common rewards include;
a) a simple thank you
b) quiet words of encouragement
c) transfer to chosen area or location
d) promotion to a new position
e) better shift or roster allocation
f) paid day(s) off
g) preferred holiday dates
h) tickets to special events
i) discounts on company products/services
j) cash bonuses
k) trips at company expense
l) company shares or options
m) company expense account
n) child care/education allowances
o) company car
Used well, and with careful attention to ensuring that any reward offered is actually rewarding the right behaviour(s) to deliver the specific outcome the business wishes to achieve, rewards can turn any business into a veritable gold mine.
Used unwisely, not nearly often enough, or only in favoured parts of the business, rewards can create a minefield for the unsuspecting business owner. Whilst it is beyond the scope of this article to provide the level of guidance needed to step a business owner through the minefield that reward systems can become, the following tips may prevent a little pain;
a) ensure that you reward only behaviours that clearly support and reinforce company culture,
b) ensure that rewards to encourage high performance in all areas of the business are spread throughout all operational and support areas,
c) ensure that everyone, without exception, receives a reward of some kind when key elements of the business strategy are delivered on time and on budget,
d) ensure that evidenced behaviour supporting required cultural change is immediately rewarded and crucially,
e) ensure that any reward offered, especially at an individual level, is of a value to the recipient equal to, or exceeding, the cost of the reward to the company.
How well do you understand how rewards motivate or demotivate?
Do you use appropriate rewards to encourage peak performance and staff retention?
When did you last reward yourself?
If you enjoyed this post, please consider leaving a comment below or subscribing to the RSS feed to have future articles delivered to your feed reader.
Subscribe to:
Posts (Atom)