To keep pace in a competitive world your business must be efficient. “Sooner or later, any company not operating efficiently will be out of business” says Laurie McCabe of AMI-Partners. For small businesses, efficiency is even more important because their resources are limited compared to large global companies, McCabe adds.
Efficiency is crucial to your success as a small business because it can help reduce unnecessary costs, improve customer satisfaction and can keep your business ahead of the competition. There are many ways to make your business more efficient:
Analyse how you’re acquiring customers
Whether its foot or web traffic, knowing where they are coming from is very important. Set up a consistent process for reporting on your traffic at least twice a week. Your employees can ask at every point of purchase if it is their first visit to the store and how they heard about them. For online traffic using Google Analytics will provide you a indepth insight on your traffic. This will allow you to see the best traffic channels that are leading customers to your website.
Keep in mind your employees happiness and well-being
For most small business owners this is a main priority. The happier your employees are at work the more efficient they will be, try and make your company culture like a family rather than a group of workers.
Make it easier for your team to work together
If your employees are not on the same page with strategies and objectives then your business won’t be efficient. Make sure your teams are all on the same level and have the right knowledge. Communication is a huge factor in success of small businesses.
Ensuring all documents are the same at all levels can ensure your business is efficient as possible. Sloppy paperwork can lead to wasted time and costs. Having standardised paperwork from the beginning can be valuable for both look and layout but will save you and employees time.
Is outsourcing the best option
Wasted time is a huge problem for efficiency, it is important to understand where your time is best spent and on what tasks. Outsourcing some business functions can create cost saving opportunities by creating more time for business owners.
Ensuring that your technology is tuned up can be a significant improvement for efficiency and your small business’ productivity. Moving some business functions to a cloud or web-based system can help reduce the amount of time or money spent buying, upgrading and maintaining other software.
There are a few pointers and questions to ask yourself to make sure you are making the most of your small business:
•Do you have a structure in place to see your return on investment?
•What is everyone trying to achieve here?
•What is/isn’t working?
•Have you got key performance indicators (KPIs) in place?
•Can you take advantage of financial opportunities for your business?
•Have you ever evaluated the efficiency of your business?
•Is there any skill gaps? How will you fill that gap?
Understanding and knowing your employees expertise and skills so when it comes to delegating work the tasks are in the best person’s hands. By putting all these factors in place you can ensure your efficency is improving and will allow your small business to be successful.