Parents have rules for a reason and my daughter Isabel seemed to learn that the hard way.
Jumping up and down on the couch with her friend Ciara, after she had been told not to, resulted in a trip to the hospital.
Not only was she bleeding, but, at the age of three, she lost four of her baby teeth when her face hit the coffee table. I rushed her down to the hospital where Isabel got her mouth stitched up and I got questioned about how my child really lost her teeth.
Going to the hospital was a valuable lesson. Isabel didn't jump on the couch after that and my expectations were that she would abide by the rules more often because she wouldn't want to face such consequences again.
In business too, we have rules, expectations and consequences. Though we tend to call the rules "systems."
I was speaking with an employer recently who told me that he asked one of his employees for a report and gave her a deadline.
The report was delivered by the deadline but was substandard and did not meet the expectations of the job. Realizing that she was unable to perform her duties to the required standards, he was forced to have consequences.
He made some changes to her job description which were a relief to both him and the employee.
Implementing systems in any business are the way that owners and managers set parameters on how, when and why things get done in certain ways. These parameters and systems are really the rules that the business works by. A system is the way of doing things.
People rebel against rules but a system is the way we do things so that the results are consistent.
Finding areas of your business to implement systems can reduce your stress levels significantly.
If, for example, you found that there were less injuries, less waste, or less energy used when you do a procedure in a certain way, you would want all your staff to do that each and every time. Creating a system, documenting that system and training your employees to implement the system can ensure that each and every time that procedure is done that you use less energy, have less waste and less risk of injury. This in turn reduces your stress level.
So how do we know where you need to implement systems?
Well one great way is to ask your employees. As owners we often think we know how to do everything the best way, but if you have been smart and hired people that are better than you, your employees can often come up with ideas for systems that will save you time, energy and money.
The questions need to be asked on a regular basis: "What could we do that would make this place run better?" "What is the most challenging part of your job and how could we make it easier?" "How do you think we could save energy, prevent injuries, or reduce our waste?"
A system is just the rules about how things are to be done in a certain situation, so something as simple as turning off all the lights at night to save energy can be added to our system.
You probably have a system for closing up the business at the end of the day. Adding turning off all the lights to the closing duties and documenting how that is done (system), making someone responsible for that (expectation) and discussing the consequences (a reprimand for wasting energy), is all that simple system needs.
But the reality is that as a result, that simple system might save you a couple of hundred dollars a year. If you were the owner of an operation with a really tight cash flow, a couple of hundred dollars a year might let you sleep better one night a year. If you are sleep deprived because you are stressed, you would probably pay a couple of hundred dollars for a great sleep.
Now that was a very small minor example of why we need systems, but the truth of the matter is that when we implement systems and get our employees to follow those systems, we can have significant changes in the operation that can really impact our bottom line.
Just as families need rules and systems so the kids don't knock out their teeth and end up in the hospital, rules or systems, when followed in business, can be huge steps towards reducing the risk of injuries as well as reducing costs.
What systems could you implement in your business that would reduce your risk, energy consumption or waste?
What systems could you implement that would streamline your operations and increase sales and profitability and ultimately reduce your stress?
Dave Fuller, MBA is the author of the book Profit Yourself Healthy. Dave works with business owners to implement systems and reduce stress. If you would like Dave to help you, email [email protected].