Why the Heck Don't More Business People Drive Their Business By the Numbers?
It never ceases to amaze me how few business people actually use numbers/data as a tool to run their business: Business IS numbers after all. The truth is that none of us do EVERYTHING that is right for us or makes sense...but not using or even referencing numbers regularly is a missed opportunity. I do know that my clients that have the best numbers (i.e. highest profitability) are on top of their numbers. The people I see that don't pay much attention to their numbers usually don't have that impressive of a bottom line.
So, which comes first: a focus on the numbers or numbers you want to focus on?
Absolutely, positively the focus on numbers...that is the driver for having numbers to be proud of. One of the best concepts I've worked with is "driving by the numbers." The concept is that you pick 3 - 4 numbers to track weekly, monthly, or ideally daily and focus on them like watching a plant grow...what we focus on expands. So, when you pick a number in your business to improve, and it is also a "driving number" (in that it will drive improvement with other numbers), you can get spectacular results fast. Example: You could watch your revenue numbers, but that alone is not necessarily a driving number. You would want to look at the numbers that would drive revenues such as: the number of meetings or proposals with potential customers, the number of inquiries by phone or website, the number of days to turnaround a project, the number of mentions in the media, etc. Each of the examples could be (depending on your business model) a number you could influence that would drive your revenues and many other areas of your business. The key here is that numbers are not just a historical measure of what you did. They can be a spectacular tool for driving your business ahead in the way you want. To read more about this, please refer to my website at www.coachkevin.com/drivebythenumbers.html
Coach Kevin Challenge
- What numbers will you begin tracking? - What 3 numbers could you track and focus on to drie your business ahead?
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