BCSG, LLC

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How to Create Powerful Systems

Jan 16, 2012

Business fall prey to a very common misconception in regards to systemization: the idea that a system is just a document that tells people how to do things, and in what order to do them.

It is a great first step to understand the need for systems in a business, but what most people forget is that they already have systems in place. What they mean when they say they need systems is, “I need to create documents for my systems.” At BCSG, we call those documents action plans. Some call them procedures or processes. But an action plan and a system are really two different concepts.

There is an unhealthy relationship that most business owners have with the systems in their business. Most business owners tend to incorrectly think that getting their systems documented is the ultimate goal, rather than the means to reach a goal.

Good System or Bad System

Let’s define the word system.

A system is a repeated course of action, a way of doing things that brings about a result.

Think of how many things you do on a daily basis.
You brush your teeth.You take the same route to work.You open your email and scan for the emails that you really need to read.

Systems

Here is the kicker. There are intentional systems and unintentional systems. Good systems and bad ones.

Here is an example of an intentional system: You go out to meet with your prospect. You greet your prospect and you begin to ask them questions about their situation and their needs. You are gathering information that will enable you to make them an proposal. You have been doing this for years. The routine is automatic. It is all in your head. You have crafted it in order to get the exact result that you want.

You have created an intentional system. It just happens reside in your head. We would say you should write that one down!

An unintentional system, on the other hand, can be detrimental to your business!

I’ll give you an example.

A prospect comes to your business and says, “I’m looking for a video camera,” and your salesperson, referring to his sales training, commences to tell your prospect everything they ought to know in order to make an informed decision. After a few minutes, your prospect finds an opening and says: “Thanks. I’m just going to keep on looking.”

It would be so easy to blame it on the economy, or a clueless salesperson. But really, you have a system. It wasn’t intentional, but you’re getting a result, a bad one. You actually have a system that is keeping people from buying your product! The system is that your salesperson has no idea how to stay focused and truly serve people's needs. He does it every time. Maybe all of your salespeople do this. Maybe they learned it from you.

You may have no idea how it got there. But it’s a system nonetheless.

So what? Are we trying to put your business under a microscope and reveal how flawed it may be?

Yes! That is part of what we do.

The Real Power of a System!

You need to understand that systems are all around you. And they have the power to breathe life into your business or to cripple it.

You need to shift your mindset from thinking that a system is merely “a list of steps” to believing it is a way to harness the unfathomable potential that exists within your business.

“Systems run the business, and people run the systems.”

When I read this quote for the first time, I marveled at its brilliance. I laughed aloud at the fact that I had never seen this concept stated in such simple words. I drew a little diagram on the side of the page to illustrate it. But I misunderstood its intention.

You see, I took it to mean, “Systems run the business, and people serve the systems.”

But that’s not the idea at all! It says that people run the systems! They’re in charge of the systems. People periodically evaluate and innovate the systems when necessary. They use the systems as a way to run a business, not to abdicate authority.

People are the power behind the systems. The systems are their levers, not their replacements!

Your business has enormous potential because you and your people have enormous potential!

And when your people have the freedom to find the most effective way to complete their job or task, not only will they take pride in their work, they will never stop making the systems better.

Now, you may disagree. Maybe you don’t see your people taking that kind of initiative.

Fair enough. But have you told them what the result of their position is? Do they know what their larger purpose in your company is? Or do they think that their job description is to follow a bunch of steps on a page? Do they have any reason whatsoever to be inspired?

How might the salesperson in the example above have changed his approach if he knew the result of his sales pitch was to keep the prospect engaged in conversation, not just tell them about the features of a product?

When your people understand that the systems they follow are really a means to an end and that they are expected and empowered to reach that end result, that is when they feel their value to your company. That is when they will start thinking differently about their job. That is when they start looking for ways to go above and beyond the call of duty. That is when they start creating systems that serve them, systems that serve as an expression of their potential.

Isn’t that what you really want? Systems and people that produce great results.

Here are some simple tips that can help you and your staff make systems work for you.

  1. Begin tomorrow with this phrase stuck in your head: “Everything that I see in my business is actually a system.”
  2. Identify a good system in your business. Something that you or someone else does that gets the result you want. If it’s not yet documented, then document it!
  3. Find one hidden, unintentional system in your business, even if it’s small, and examine why it is yielding undesirable results. Think about how it could be changed to get the correct result.
  4. Observe your staff as they do their work. If you see someone following a system, but not getting the desired result, remind them that they have the freedom to change the system in order to get the best possible result! Then make sure they capture those changes so the results can be repeated.

If you try to fit your business into the systems you’ve created, your business will shrink to stay within the box you have built for it. But when systems are used to support the vision and the passion of you and your people, then your company can be built greater than you ever thought possible.

Steven J. Beaman is the founder&principal owner of BCSG, LLC, a general business consultancy and coaching organization whose primary focus is independent professionals and small businesses. Steven helps businesses to determine the constraints that are causing them to become stagnant or unproductive. He also assists start-up businesses to determine the roadblocks or obstacles that they may not have perceived. He also guides organizations through the start-up process, rapid business growth, or a turnaround situation. He does this using his wealth of management experience gathered during his over 35 year career of managing a variety of business functions in both small and medium businesses. He has expertise in numerous types of businesses (for profit and non-profit).

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