Knowing which business systems are important for your business allows you to focus on creating processes to achieve the relevant business objective. The astute business person knows this and makes sure they are on top of their game on this.

Without the right processes, your systems will resemble Mikado, which is a fun game but not a business building strategy.

Last time I wrote about getting our business system ducks in a row. In this post, we’ll look closer at our business processes and take the first step towards creating content for our Operations Manual.

Wikipedia describes a business process or business method as

a collection of related, structured activities or tasks that produce a specific service or product (serve a particular goal) for a particular customer or customers. It may often be visualized as a flowchart of a sequence of activities with interleaving decision points or as a Process Matrix of a sequence of activities with relevance rules based on data in the process.

We’d normally think that only big businesses or those in production of goods would have business processes but the truth is, even a sole proprietor, freelancer, coach, consultant, healer or online marketer has business systems and processes. In fact, any business that interacts with a customer or supplier should have processes to ensure that they are able to deliver their goods and services efficiently.

As solopreneurs, we may not have formalized processes or very detailed ones. Yet they are processes and the best way to ensure that they meet our business needs is to formalize them and review them as our business needs change.

Documenting Your Business Processes

The documentation that you need to formalize your processes can be as simple as documenting the steps that you take to achieve the process objective or it can also be elaborated with a flow chart so you can see each step clearly.

The benefits of documenting your processes include but aren’t limited to

1. Improving the efficiency of a process and save time. Don’t we all love to reduce our rework and have consistent results?
2. Ability to delegate tasks that can be performed by others e.g VA, staff etc by reducing your training time and the delegated person’s learning curve time for that specific process
3. Providing a basis for business continuity should you fall sick and someone else has to take over the backend work. Or if we want to build value for our future exit planning (the buyer will understand that we are a serious business when he sees these documents during his Due Diligence Process)
4. Weeding out time consuming and perhaps unnecessary activities that don’t add value to you or to you ultimate customer. Which means; we improve our top line and reduce our bottom line numbers.

Sometimes the process can be a simple one or it may form part of a bigger process, like the little wheels inside the big wheel in a watch.

No matter the complexity or simplicity of the system, there are key elements to the process which when completed form the documentation for your Operations Manual.

Your business process starts with a mission objective and is completed when it achieves the business objective. Sometimes one process can lead into another or may even have another process built into it.

In its simplest form the Key Elements when designing a business process is

Policy:           The Mission or standard that the procedure must meet

Purpose:       The rationale why this procedure is required

Scope:           Areas of your business that are affected by this procedure

Responsibilities: The people who are required to perform this procedure and their exact duties

Definitions:  This becomes important if you are going to delegate the task to another person whether within your business or outsourcing it. Think of technical jargon that they need to understand.

Procedure: The steps required to take the process from cradle to grave in detail

Effectiveness Criteria: This would include your Key Performing Indices, measurement criteria and documentation of results.

References: This includes any specific standard, regulation or law for which this procedure is required. If the process is leading into another one, then that too would be noted

Forms/Records: Each version of your documentation of a process should be recorded to ensure that everyone is working with the same version and you are able to check for any changes that have been made which may need to be revisited.

You would record the document number or ID, the name of the procedure, the revision number, the names of who prepared, reviewed and approved it and the dates on which each person did their activity. You would also note down the effective date of the procedure and also details of any relevant Standard or Regulation that you are required to meet.

When this documentation is completed, you actually have a process documented for your Operations Manual!

The best way to explain this is with an example. Let’s suppose you are a coach, consultant, healer or a business that uses an opt-in to create your email list.

Your Fabulous Freebie is required for both your Marketing and Lead Generation Business Systems.

Here’s how you would document the system and process for the Lead Generation part. Once that is completed, the process would lead into your marketing process.

Client Attraction Magnet/Fab Freebie Opt-in Process

Policy:  Lead Generation must comply with the tenets of permission marketing & consent to be sent fabulous freebie

Purpose: We want to build a list of interested leads who have given us permission to email them in compliance with CANSPAM and other national regulations.

Scope: This process affects our lead generation and further marketing endeavors with interested leads to convert them further into clients for our products and services

Responsibilities: The Owner, VA and outsourced IT professional (if required).

Definitions:  Insert definitions of Freebie, Optin, CANSPAM, autoresponder etc

Procedure: The steps required to take the process from cradle to grave in detail

1. Create Freebie
2. Create List in autoresponder (MailChimp, AWeber, Constant Contact etc)
3. Ensure all information required under CANSPAM and National Regulations are complied with.
4. Customize optin sequence for freebie in autoresponder
5. Upload Freebie in autoresponder or on a separate page on your website
6. Create Landing Page on Website
7. Enter copy on Page
8. Put code for Freebie on Landing Page
9. Publish Page
10. Test the sequence to see if it works
11. Tweak if required
12. Start promoting like there’s no tomorrow

Effectiveness Criteria: Number of opt-ins, number of bounces and number of unsubscribes after downloading freebie.

References: 1. CANSPAM Regulations, Email Service Provider Requirements, Leads into the Email Marketing process.

Forms/Records: This is version 1.0 created on September 1, 2016 and is effective from September 4, 2016

Having created the documentation for our operations manual, we now need to test each part of the procedure and confirm that it works. For the purposes of our example, let us take step 10 above and assume that we are testing the sequence on Mailchimp.

Our known sequence of how the lead will behave and how our system will respond is as follows:

1. Opt-in via Website Landing page using sign up form
2. Redirected to Thank You Page with message that you are required to confirm opt-in to meet CANSPAM Regulations and we have permission to send the freebie plus any other information based email in future.
3. Opt-in Confirmation Email Email sent to subscriber Inbox asking for confirmation
4. Customer clicks confirmation – redirected to a Thank you page either on Mailchimp or on our website
5. Either the freebie is on the Thank You Page and he can download it or customer is sent another email with link to freebie
6. A Final Thank You Email with details is also sent (optional)
7. Customer is added to a specific list
8. Customer Ignores – no sign up and end of process

If all works well, you have added a potential interested lead to your email list and that person enters your email marketing process. Worst case scenario, they either don’t complete the process or decide to opt out after grabbing fabulous freebie.

A point to note is that testing is important if for some reason the process couldn’t be completed, in which case you need to tweak it.

Vatsala’s Note: Want to test it with me? Have a shot at downloading my Fabulous Freebie http://karmicallycoaching.com/50-attributes-successful-business-person/

Or by clicking this image:

Documenting everything is good but isn’t it a sore on the eyes? That’s why creating a visual of the process; with a flow chart adds to your business process and operations manual.

In the diagram below, I’ve described the same email sequence which simplifies the process.

Clearly, having a process documented allows you to use your time efficiently so you have more time for other important tasks. It allows you to delegate tasks too so you have time to play the real game of Mikado after office hours.

Tell me, how do you keep track of your business processes?

You need to get this 1 thing sorted out first

Making the leap from employee to business owner, whether you call yourself an entrepreneur, solopreneur, coach or consultant is a big life change.

In How to follow your bliss with business success, I wrote about 3 elements for a successful business road map. I suggested trying out my Business Readiness Self- Assessment that looks at 50 attributes you need to have in place to be a successful business person, a must take for any professional who is planning a shift to check if their mindset is ready for it.

Let’s explore an important starting point which involves your WHY with a question that even professionals who’ve made the leap often find hard to answer. It’s a question for which I don’t get a clear answer when I ask consults about their planned business or when they ask me to tell them why they failed.

Do you know your True WHY for being in business?

We all have our own unique WHY and yes, making lots of money is always there but if you dig deeper, there is a more precious WHY, the one that is aligned with your core values.

This 1 thing is important because it’s going to determine how you handle all the other things that go into building a successful business. It’s that motivator that will keep you going when you realize that running a business requires work and commitment and not as easy as it felt from the outside. It is what will drive you when you feel like quitting.

So, dear reader, whether you are planning to go into business, or are already in business, what’s your WHY?

• You may have been a star employee, an acknowledged subject matter expertise in your domain and the clients loved you. You may have felt it was more profitable to fly solo and do all the creative things you wanted to but couldn’t because of the job constraints.
• You may have decided that the corporate world was suffocating you and wanted to switch tracks before ‘it was too late’.
• You may have been made redundant and knowing that in the state of the economy, job prospects were bleak and decided to try to make good of a secret dream you’d been nurturing because you had ‘nothing to lose and everything to gain’.
• You got tired of the corporate rat race and frog in the wells and ventured out looking for something better.
• Maybe you retired but weren’t ready for it and wanted to keep yourself busy or needed to continue working because your pension wasn’t enough or you needed more money.
• Maybe you took maternity leave to raise your children but when it was time to return to work, your age, skills or experience wasn’t in your favor or maybe you felt that you didn’t like the environment or wanted more family time.

You need to get clear on your Why because this is the basic raison d’etre for your quitting a cushy job with a guaranteed paycheck and lifestyle for something that will take time to germinate into a full-fledged source of income. You’ll most probably make losses in the first year or so and your income will vary from month to month. Would you be able to hold onto your dream?

Knowing your Why will help you make all the decisions that you need to make as a business owner

It’s the cornerstone when you are planning your vision and mission statement and formulating the core message of your business to use for your marketing.

It will help you to make all of the decisions you will be making as a business owner which you would document in your business plan – the road map in which you decide on how you’ll be spending your energy, time and money in your business.

Your WHY is what will help you stand out above the noise and determine your USP (which is another area that I will touch upon in a later post).

So take the time in the beginning to decide what that one, true thing is for you.

What if you can’t find your WHY?

Then I suggest you take time out and reflect. Here are a few prompts to help you figure it out. If you are already in business, these prompts will act as a good refresher to determine if you’ve outgrown your original WHY or if its time to rebrand to reflect the new You.

It doesn’t have to be a full notebook or thousands of words. It could be 1 word or 2-3 sentences. What is more important is that you are able to define it.

Do you already know your WHY? What’s challenging you in figuring out the answer to this question?

Do share in the comments box below.

PS: If you’d like to know a little bit more about me, you can check out my story here and see if you can pick up on my WHY.

PPS: Need more help in working out your Business Success RoadMap? Please click the preceding link and find out more.

Many of my readers may not be aware of the fact that before starting my coaching business 4 years ago, for more than a quarter of a century, I worked globally in the financial services sector and trail blazed a path for fellow lady professionals in the field of audit and finance.

2016 will see my return to business and finance coaching – a continuation of my journey to follow my bliss with business success. This is the first of a series of blog posts where I will share my knowledge and experience to help fellow professionals make a successful transition and offer my services for the same.

The journey to self-expression begins with resolve to succeed

When I first started off on my second solopreneur journey in 2008, I was determined that this time, I would not be lured back into a job even if the offer was, to paraphrase the great Don Corleone  in The Godfather,  ‘make them an offer they cannot resist’.

I had tried being a solopreneur before and did well with my assignments. I even played elephant polo in the jungles of Nepal and thus, am entitled to actually add the title WEPA (World Elephant Polo Associate) behind my name. Then one of my contractual assignments transformed into an employment contract. It worked out splendidly at the time but now, I wanted to taste real freedom (with money of course) and experience my Ikigai.

Determination and resolve have been key to making this second journey work out for me  and as I continue on the Home Run to end 2015 shouting my word for the year Success, my business is transforming and I’ll be showing other careerists who want to be business people, how to do the same.

The journey to entrepreneurship is not an easy one

All the wonderful quotes on Facebook, LinkedIn, Pinterest and other social media sites can tell you about following your bliss, sweet spots, Ikigai, Ideal Client, Ideal Market, Target Market, LinkedIn Social Selling Index, B2B, B2C, websites, Content Marketing, Networking et cetera et cetera till the cows come home.

What they don’t tell you is that the journey is not easy unless you have your own unique Roadmap to Success.

Not the one that you found via Google or on someone’s website and did a copy paste or found a couple of them, liked them and imitated them because they sounded good. We are talking about the Roadmap that you have created that is meant for you and the business that you want to create to justify your desire to be different, to make a difference and earn some good money in the process.

The blog posts and business coaches who do mention this find their message blind sighted. There is a good reason why we do this. Why till the soil when El Dorado beckons? I ask, Why Not?

My guest blogger Roslyn Tanner shared 5 job loss truths and suggested that being made redundant is a time when we should explore what we really want to do. If you read her recommendation carefully, Roslyn advises to take some time to explore if this is viable for you to start now.

That piece of advice is solid gold and if you read the comments for that blog post, you will notice that there are lots of successful entrepreneurs who left comments about their own foray into being their own boss. They created their own Roadmap.

What should you include in your Business Roadmap?

Different businesses have different Roadmap requirements but there are some areas that are common to all of them. A bit of planning can get you started in the right direction. Here are 3 points to consider while creating your business Roadmap.

Do you have a viable concept, service or product?

Viable means that whatever you decide to sell, be it a product or service will earn you money and once you hit your stride, generate a steady income. Starving Artist is a romantic concept but in real life, can be quite a blow to your self-esteem and confidence if you have to borrow money or get your home loan foreclosed.

Make sure your plan puts your wealth of knowledge, experience and expertise to good use that enables you to bring in money. Make sure that there is a demand for what your business will offer. In other words, is there a market for what your business will sell?

I remember during the time I was doing my IFRS accounting consulting in India, I knew that there was a window for business implementation service and my roadmap included the fact that I would be making another switch after 2-3 years.

Training was also in demand which was more copy paste from accounting standards including the examples of application. Businesses offering certification and training mushroomed overnight and I used to get feelers to do training and provide content because the key to success was to be able to show how to implement it.

That was one of my key differentiators that I provided that along with the hands on work of preparing for convergence and stayed away from collaborations which would have meant working for someone else instead of for me who wanted to sell training on a bulk basis with little care if the trainer would be able to give the required attention to the participant.  They talked about affordability and doing ‘good work’, i.e. pro bono or pittance fee while I dreamed of a premium focused training and high knowledge retention rates.

I knew what I wanted and did it. Others didn’t, and when the Ministry of Corporate Affairs put the convergence of these accounting standards with the existing Indian accounting standards on hold, I wasn’t really affected because I was already exiting the service at a time when people in the profession with far less experience were setting up businesses for that service and competing with companies that were offering training and certification even if the trainer was just teaching from slides created from the accounting standards with no real implementation guidance.

Guess what? They are all back in jobs – sadder and wiser, now working to make their employers successful but that is what they had to do when their savings started to deplete. Had they thought of the next consideration, they might have realized that their timing and market knowledge was off the mark. Way off the mark.

Can you hold your own in the market?

In other words, have you checked out the competition? Is there something unique about your product or service that buyers will want to buy from you instead of another equally good vendor?

Anyone can set up a website and hire a good copywriter to create alluring words. You can go to market and make great presentations too. But what is your key differentiator? Other than saying that we are good at what we do?

My Unique Selling Proposition (USP) in my consulting days was that I facilitated knowledge transfer to the finance staff and worked with them to make sure that when my contract finished, the client was self-sufficient in that area.

What about you? What’s your differentiator? Your USP? What can you offer that the next business in your area cannot? Do you have the bandwidth to pitch for business or will you go looking for collaborators after you have made an impressive bid and won it but are clueless on how you will deliver? Having you figured out your pricing strategy?

At that point in time, ‘following your bliss and doing something you like’ won’t help. What will help is researching the marketplace, your competitors and identifying your place under the sun while making money.

While you are doing your research, enroll the help of your family and trusted friends as a sounding board for your business idea. Their perspective will help you to see the things that you can get blind sighted to in the enthusiasm that you are going to show your boss and corporate foes how things are done.

I do it all the time (consult my sounding board, that is) and often have to rework my ideas in the light of new knowledge to make them viable and so do many of my professional colleagues.

While we are still on the subject of research, if you are married and/or have children, now is a good time to talk to your spouse and get some idea buy-in. Your decision is going to affect their lifestyle and without their support, you might have a very tough time.

What about the Money, Honey?

Setting up a business, even if it is from your guest bedroom or garage is going to require start-up investment costs and adequate reserve funds to cover running costs until you start getting the cash to flow in and break even. You will also have financial obligations on the personal front.

I don’t want to frighten you but many businesses run on a deficit in the first few years and any income that comes in is ploughed back into the business to cover the costs that the business is incurring to stay afloat.

You need to get your finances sorted out to cover this. This includes working out your seed capital requirements, a financial plan for the first 12 months of your business, finding investors, having a buffer for your living expenses (at least cover 6 months), insurance, mortgage (if you have one) and perhaps even a contingency fund.

And then the secret sauce for business success

I’ve only covered 3 aspects that you need to look into while planning to jump from that energy sucking job into being an entrepreneur. But there is more to it than that. It is what I like to call the Secret Sauce for Success – being ready for becoming a business person.

I’ve created a Business Readiness Self-Assessment Tool that can help you determine if being in business is the right thing for you and what other steps you need to take to get ready.

Just click the link below the image to see what this self-assessment tool is all about. You will learn a lot about yourself and your state of readiness.

I want to learn more!

Conclusion

Nobody likes failure, especially failing to achieve your dream of being a successful business person. If that is what makes your heart sing, then you owe it to yourself to plan well and move forward from a place of confidence making informed decisions.

Are you ready to become a business person? Have you got all your ducks in a row? Tell me more in the comments box below.