1 taking control, stabilizing your business and preparing for growth presented by: linda hale and...

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Taking Control, Stabilizing Your Taking Control, Stabilizing Your Business and Preparing for GrowthBusiness and Preparing for Growth

Presented by:Presented by:Linda Hale Linda Hale

andandJerry ArmstrongJerry Armstrong

Copy Right © All Rights reserved to Best Directions and Jerry Armstrong 2010

2 Best Directions, 440-985-3332, [email protected]

We can’t grow in this condition.

We don’t know what is happening in

our own office.

What do you mean by take

control?

Our company is

stable!

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• Is not about doing it all yourself or working 24/7– A tendency of Entrepreneurs– This limits growth potential

• Is not about micromanaging• Is about Enabling

Taking ControlTaking Control

Best Directions, 440-985-3332, [email protected]

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• Is establishing a good structure/framework – Creating a Solid Foundation– Standardizing– Controlling

• Is providing good communication Methods

Stabilizing Your BusinessStabilizing Your Business


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• Is about enabling yourself to delegate – Ensuring Employees and Contractors know:

• what you expect of them• how to do the tasks you expect them to

perform/complete

– Ensuring Customers receive a consistent product (s) and/or service (s)

Preparing for GrowthPreparing for Growth


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Policies

Procedures

Work Instructions

The ToolsThe Tools


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In order to communicate effectively you will need to know how we define the terms we will use.

Or shall we say, “get on the same page”?

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Getting on the same Page:


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• CIA• WASP• SOS• WIN• SAR• SOP• A&W• BA

• ITIL• ISO• AAA• DVD• FBI• UA• OH• BAR• IIBA

Do you know what the following Acronyms stand for?


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How did you do?


• CIA – Cleveland Institute of Art (7)

• WASP – Women Air force Service Pilots (15)

• SOS – Support on Site (24)• WIN – Women International

Network (10)• SAR – Student Aid Report (15)• SOP – Senior Officer Present (14)• ETA - Electronic Transfer Account

(3)• A&W – Alive & Well (11)• BA – Bad Attitude (14)

• ITIL – Information Technology Infrastructure Library (1)

• ISO – I’m So Old (9)• AAA – Anti-Aircraft Artillery (16)• DVD – Direct Vendor Delivery (4)• FBI – Food Borne Illness (11)• UA – Unmanned Aircraft (8)• OH – Oh Hell (7)• BAR – Browning Automatic Rifle

(6)• IIBA - International Indian Bar

Assoc. (3)http://acronymsearch.com/index.php

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DefinitionsDefinitions

What are Policies?

Policies:Policies are rules established by management.

All procedures and work instructions are governed by policies.


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Processes :Are ordered tasks initiated by people using, methods, tools, environment, and materials/information to convert given inputs into outputs of added value.

Procedures :Procedures define and document the major processes within an organization. Often these are called operating procedures.


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Work Instructions:Work instructions describe and document specific tasks associated with each activity and explain how each task is performed.


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Policies, Procedures and Work InstructionsPolicies, Procedures and Work Instructions


Policies

Procedures

Work Instructions

ReceivingPurchasingAccounting

Planning

Departmental Policies

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Policies, Procedures and Work InstructionsPolicies, Procedures and Work Instructions


Policies

Procedures

Work Instructions

Receiving

Purchasing

AccountingPlanning

Departmental Policies

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Examples of Topics the Entrepreneur Should AddressExamples of Topics the Entrepreneur Should Address

• Internet Communications and Social Media• Financial• Production• Sales• Business Continuity• Regulatory


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Effect on the Bottom Line and GrowthEffect on the Bottom Line and Growth

• Customer Satisfaction (Internal and External)

• Controlled Run Time• Quality• Employee Morale• Found or Missed Opportunities

SalesProcess ImprovementSoftware Planning and Selection

• Audit Results• Fines and Penalties


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Causes of Poor Procedures and Work Instructions:

• No Policies• Lack of Stakeholder Input • Not Standardized• Not Documented• Not Maintained or Updated

• Lack of Communication (before, during and after)


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How to Identify a Good Procedure or Work Instruction

• Supports the company's Values, Vision, Mission

• Adheres to Policy

• It accomplishes its objective

• Reviewed and Approved by Management

• Periodically Reviewed and Updated


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Case Study

Truck LoadingUse of Standard Work Instructions

(SWIs)


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Case StudyCase StudyTruck Loading – Use of SWIs

• Situation– New dock hand - No Work Instructions– Loading eggs on truck

• Result– Eggs break in transit– Driver calls out dock hand

• Fix– Create SWI for loading trucks


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Developing Good Procedures and Work InstructionsBest Cycle


Identify the Need

Improve Process

Stakeholder Input

Develop Work Flows

Develop and Write

Review

Disapprove

Cycle Diagram Copy Righted © All Rights reserved to Best Directions 2010

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Maintaining Good Procedures and Work Instructions


and Ensuring Continuous Improvement

Stakeholder Input

Develop Work Flows

Develop and Write Review

Communicate Train

Post

Periodic Review

Approve

Disapprove

Best Cycle

Cycle Diagram Copy Righted © All Rights reserved to Best Directions 2010

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StandardizationStandardization

Standard Operating Procedures (SOP) and Standard Work Instructions (SWI)

• What makes a procedure or work instruction standard?

– Standard process

– Reviewed and approved by management

– Written and has a standard content

– Posted where they can be referenced by all employees


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ComponentsComponents

• Policy

• Purpose

• Scope

• Definitions

• Responsibilities

• Detailed Steps

• Related Documents

SOP and SWI Standard


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Communicating / TrainingCommunicating / Training

• Employees, Vendors/Suppliers, Customers

• How do you effectively communicate

– Written

– Posted online (intranet and internet)

– Hard Copy

• Training– Hands on / Demonstrations / Computer Based


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Things to ConsiderThings to Consider

• Governance Committee/Group – Management Team

• Engage Relevant Stakeholders– SMEs– Customers (Internal and

External)– Suppliers (Internal and

External)• Independent Review

– Advantages– Specialists in Process

• Document and make available – Select your writers

• SMEs or non SMEs?• In-house or external

specialists

• Cost of Not Acting• Investment in Future

Profitability

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Return on Your InvestmentReturn on Your Investment

Your Return on Investment (ROI) is:• Continuous Improvement Tool That:

– Identifies shortcomings• Evaluate process

– Creates an environment that encourages positive input– Facilitates updating for changes in regulations, etc.– Facilitates changes needed by customers

• Mitigated Risk• Management Perceptions and Expectations• Insurance that the company’s values, mission and

vision are understood and will be carried out


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Remember!Knowledge is Power.Take Control of your

Business and its Future.


1 taking control, stabilizing your business and preparing for growth presented by: linda hale and...

Documents

growth best directions

control best directions

tools best directions

business best directions

definitions work instructions

operating procedures

definitions processes

document specific tasks