Blog

You will have probably worked out by now that if you want to take a sick day or time off from your business without it shutting down, you need to have staff on hand that share your knowledge about running it – in other words, there are systems and processes in place that enable continuity no matter who is driving them.

The strength (or weakness) of these systems is also one of the key aspects of creating a business poised for a successful sale at a high valuation; it affects the degree to which your business can operate seamlessly without you.

 

Uniformity, Continuity, Consistency – Does your business have the McDonald’s factor?

Systems and processes are what enable McDonald’s to boast a $100 billion company with high school kids at the helm.

The McDonald’s system enables a uniform experience for the customer, enables high staff turnover with no loss of intelligence, and it enables people with a broader cross section of skills to be considered ‘employable’.

How easily could someone with no prior knowledge about your business come in and operate it?

If McDonald’s owned your business, how would it document and change its processes and systems to ensure consistency and allow less experienced staff to do more?

John Warrillow, author of “Built To Sell: Creating a Business That Can Thrive Without You” uses the example of Computerized Facility Integration (CFI) founded by Robert Verdun to make the same point.  CFI is a $20 million a year turnover business that helps big companies manage their investments in real estate.  The success of CFI is largely built on having standardised the typically time consuming and challenging task of relocating offices.  CFI staff are also cross-trained, so if someone leaves, another staffer can slip easily into the role and follow instructions for standardised processes, allowing minimal disruption to the business.

Could you make a clean break if your business sold tomorrow?