Frank’s “To Improve” List
In my last post, I shared with you what Frank Gavrilos, MD of AC Labels believed had been some of the reasons for the success of his business. I promised to follow up with his list of what he would look to improve within his business.
Firstly, Frank mentioned the need for tougher organisational assessment. I see the need to this all too often. It can be as basic as management being too busy to focus making sure they have the right person in the right job, to positions being created to support non-performing staff. Functional ogranisational structure will provide the best long term benefits to both the business and staff. If someone is not capable of performing their role in the business, management have a duty to identify this and assist the staff member gain the necessary skills through training or personal development. If this is not possible, the tougher decision of replacing the person may be the required option.
Next, Frank mentioned education at all levels in financial discipline. This ties into the point raised last week with respect to “ruthless cash management”. I recently witnessed where, despite a manager believing he had strong financial practices in place, the lack of attention to financial detail at a supervisor level was having a major impact on profitability of his construction business.
Better leveraging of technology was the next improvement on Frank’s list. When considering this, look for opportunities to improvement production, customer service, supply chain management and any other area of the business where competitive advantage or improved productivity can be achieved through better use of technology.
And lastly, more frequent and improved communication was mentioned. I have found that businesses that deliver clear and appropriate messages on what needs to be done, why it needs to be done and prioritises actions enjoy greater levels of success and staff commitment.
I have discussed Frank’s ideas with a number of business owners over the past week. While a lot of them have applied similar techniques, few had in place such a succinct list that allowed them to share them with their management team.
Until next week
Wayne