We’ve had some excellent blog posts on nutrition and healthier eating. Have any of you business owners out there resolved to create a healthier business in 2013?
I am a firm believer in the notion that the only way to change something is to set your
intention on that change. A very good friend introduced the idea of “intentions” vs. “resolutions” to me several years ago. To me, the word intention has more oomph to it. It requires more action by the individual. That action goes beyond the promise to make a change, but a setting of one’s mind to focus, to put the intention at the forefront of one’s mind.
Have you had the experience when you’ve decided to buy a new car and suddenly it seems as if that make and model are everywhere you look? Intention is like that. Once you’ve decided on what car you will buy, you become aware and notice that vehicle in parking lots, on the road, virtually everywhere you look.
Does the concept of intention translate to the business environment? Yes it does! If you become intent on being profitable, you will look at your business objectively, possibly read articles or attend seminars on making a small business profitable, look at how other local businesses attract customers. These steps lead to process, purchase or marketing plan changes. You get the idea.
Many of the bakeries in our franchise system are quite healthy. The bakery owners are growing sales and reducing costs and have time for family and personal interests. This group of owners is paying attention to their bottom line. They are focused on what is driving their business, i.e.: what does the customer want, and they have a good handle on their financial statements. It is no surprise to them when a profit and loss statement has an increase in cost of goods or labor in a given month. They know higher expenses are due to product mix, sales increases, rising costs or operational decisions made.
There are other franchises in the system that could be healthier. Some owners don’t prepare or review their financial statements on a monthly basis and they feel like they are “always in the bakery.” They know what their sales are, but not their expenses. Without a monthly look at their financial picture, they do not know if they are making or losing money, and cannot make adjustments quickly to correct a negative business practice. A glance at a monthly benchmark, would tell them if they are doing better or worse than the previous month and would allow them to see trends that will help them plan for the future.
Reviewing the financial statements is just the first step. Owners of big and small businesses need to use their financial statements to measure their business and make decisions based on their financial results. It’s more important to have good financial data in a small business because there is less room to make errors.
If you are hoping 2013 will bring greater success to your business, you may want to focus your intention on that success. If you feel like you are successful, what one thing can you focus on to improve your business without losing sight of the things you have done to create that success?
If your business is not as successful as you’d like, what will you do to improve its performance this year? If you need ideas, we recently blogged about why some Great Harvest bakeries fail. The lessons we’ve learned over many years can be helpful to other small businesses. We know that the following areas need to be managed to create a strong bakery or retail food business: sales, labor expenses, ingredient costs, debt, working capital, and personal spending habits. Any of these areas would be a great place to focus your intention.
Cheers to a New Year, healthier businesses and your success! Keep me posted in the comments below on your intentions.
Photos courtesy of :
freedigitalphotos.net “Focus on Success” by Danilo Rizzuti and “Goals Puzzle Showing Aspiration Targets” by Stuart Miles
