Business Management – What Are The Good Traits
To start a business and have it up and running successfully, you will need to think of some realistic business management plans. With these plans and your dream in mind, you will have to work through the initial difficult stages to build up good business management strategies and the ways to achieve them. Your business-management skills may be the crux between mediocrity and success.
The first and most important step in a good business management plan is to set clear specific goals and objectives. It is easier to achieve goals or objectives that are distinctive and focused. In addition, it will take lesser time but produce better results continually. As such, design your strategies to achieve your objectives. It makes good business sense to organize the “to-dos” for each day so that there is better focus on every task.
Another important business management trait is align your own personal goals and objectives with that of the company’s and give them full focus until each task has been completed. The more time you spent on perfecting a skill, the lesser will be the time taken to complete the task.
Another purpose of setting goals and objectives is to create a way to measure performance and track accomplishments. Such goals and objectives have to be challenging but achievable. You need to be creative and innovative in order to achieve the specific goals and strategic objectives set up in the business management plans.
At the same time, create your company’s mission and vision statements and find solutions on how to implement or accomplish them. Outline the performance targets and the ways to achieve them. This is to avoid going in different directions. Define the company’s passion and the methods to excel in it. Such business management strategies will strengthen the company’s competitiveness in the industry. In addition, setting up long-term goals will determine the company’s position in ten years’ time and mark out the path to achieve them.
Some entrepreneurs may confuse activity with productivity. Most of the entrepreneurs who succeeded have the ability to identify and categorize specific activities that are extremely crucial or create an extraordinary significance that will contribute towards the overall success of the business. More time will then be allocated to ensure that these are carried out thoroughly and effectively. A successful entrepreneur also has an in-build drive that motivates them to persevere and make things happen. This is one of the most important business management traits.
Another business management characteristic is to know how to respond to industry changes and market conditions. A successful entrepreneur will learn through other people’s knowledge and efforts especially those of their clients or competitors. Capitalize on these new ideas or concepts and your business may expand with lesser efforts contributed and within a shorter period of time.
Due to continuous changes, good business management is an ongoing process to constantly evaluate strategies and monitor performance to see if there are better ways to accomplish the goals and objectives or whether improvements and adjustments need to be made. This may even lead to changing the company’s mission or vision statements.
Assisted Living Marketing Staff vs Ownership/Management?
Lots Of Responsibility, Little Authority
Some assisted living marketing directors and representatives get little support for their efforts – from management and/or staff. I really feel for them. Yes, I do realize that operations are critical. In the care business, you must provide great care. However, for a variety of reasons, the marketing personnel and plan are also vital elements in assisted living facility success.
Marketing, and its results, directly affect all the major players in assisted living – owners/management, residents/family members, staff members.
Enable the owner make a profit, and the management to meet their goals and responsibilities. Drive (and increase) the revenue that enables the residents and family members to continue to get superior services. Help the staff to keep their jobs and get paid fairly.
I feel ownership/management must give their marketing staff the freedom to make decisions and the resources to be successful. And why not? The return on investment (ROI) in assisted living is pretty good…in most cases the new revenue per move-in is more than $30,000/yr.
Management’s Point Of View
On the other side of the coin, would I just give carte blanche to a marketing director or staff member? No way. Authority does not come until a professional shows me that they have a management mindset, a marketing philosophy and a work ethic that they believe in…and I am willing to support. They must prove to me they have a strategy, plan and systems that will get a good return on their time and talent, and on my money. Put bluntly, they must sell me on their ability to make me more successful.
It seems that the road between owner/management and marketing is a two way street.
Working Together, Building Trust
Here are recommendations for developing a business culture that allows ownership/management and marketing to respect and support one another, and work as a team to increase an assisted living census.
Owner/Management
Hire a person with: The necessary marketing, organizational, communication and technical skills. An ability to continue learning and to keep up with the trends, especially the technology trends. The heart to care for seniors and to care for your business.
Then trust them and let them do their job.
Require a strategy and a plan. If your trust level is low, then you should assist the marketing staff in developing their strategy and plan. However, do not micro-manage.
Set a budget and spending guidelines. Allow a certain amount of money to be spent without approval.
Note: When a marketing director cannot spend $100 without permission, they lose credibility with their referral sources. In addition, their ability to act with confidence and at the right time is extremely limited.
Do not laden your marketing staff with serving you. It wastes their time and your money. It also creates stress that saps energy and hurts morale. Instead, support them. Ask “how can I help?” If you want a report, set it up so you can quickly grab the data and/or reports directly from the marketing database.
In general, put yourself in the marketing staff’s place. Look through their eyes.
Marketing
Treat your responsibilities less like a job and more as an owner would. More support and freedom will come when an owner/management feels that you see their perspective, understand what they are risking (and can lose), and act in their best interest. Develop and work a strategy and a plan. To gain trust and support, you may involve owner/management in the development process. Put systems in place that make you more effective and efficient. Update when necessary and keep management “in the loop”. Remember, they are also a target market that has to be sold. Prioritize and wisely allocate your budget. Show how monies are spent (and will be spent) and what business they generated. That means a good database with a tracking and reporting system that is easy to use and does not bog you (or anyone else) down. It is my belief that management should be informed, yet not annoyed by trivial interruptions. To avoid bogging yourself down, set up a template/report in which you can easily update information they like to keep track of. You can “cc” and “forward” important e-mails. And you can even send them Google Analytics reports to show your website traffic. In general, put yourself in ownership’s and management’s place. Look through their eyes.
Choose The Same Side
A lack of respect and/or support between ownership/management and the marketing staff creates tension. Each side wastes energy on their lack of trust and looking for how the “opposition” is messing up. The result – less move-ins.
When a client has a low census, this type of dysfunction is one of the first things I look for. I know that even proven strategies and systems will fall apart when there is internal tension. It is critical that there is only one side when it comes to filling an assisted living facility. Marketing must be integrated into the business and the care culture. Respect and support must flow back and forth between ownership/management and the marketing staff. The result – more move-ins.
The Business Plan: Why, Who, What?
The importance of planning should never be overlooked. For a business to be successful and profitable the owners and managers must have a clear understanding of its customers, its strengths, its competition, and must have the foresight to plan for future expansion. Whether yours is a new business or an existing business expanding, taking the time to create an extensive business plan provides you with greater insight into your business.
An effective business plan requires you to be objective, critical and focused. The finished project is an operating tool to help manage your business and enable you to achieve greater success. The plan also serves as an effective communication tool for financing proposals.
The are four major reasons for constructing a business plan are:
o The process of putting a business plan together is important; it forces the individual constructing the report to look at the business in an objective, critical and unbiased manner.
o It helps to focus ideas and serves as a feasibility study of the business’s chances for success and growth.
o The finished report serves as an operational tool to define the company’s present status and future possibilities. It can help you manage the business and prepare you for success.
o It is a strong communication tool. It defines your purpose, competition, your management and personnel. The process of constructing the plan can be a strong reality check.
Planning is very important if a business is to survive. An objective look at a business can help identify areas of weakness and strength. You may recognize needs that have been overlooked, spot problems before they escalate, and establish the path that leads to your business goals.
The plan is only useful if you use it. Ninety percent of new businesses fail in the first two years. Failure is often attributed to a lack of planning. To enhance your success, develop and follow a comprehensive, well-constructed business plan.
Finally, your business plan provides the information needed to communicate with others. This is especially true if you are seeking financing. A thorough business plan should have the information to serve as a financial proposal and should be accepted by most lenders.
Who should write the plan?
You, the owner of the business, should write the plan, whether you are using the business plan to seek financial resources or evaluate future growth, to define a mission or give guidance for running the business. You know the most about the business; and you have the most to gain from a well-constructed and insightful plan.
Some use software to assist in the formatting process. Consultants can be hired to assist in formulating the plan, but you must always do a majority of the work. Only you can come up with the financial data, the purpose of your business, the key employees, and management styles to mention a few items. So tackle the plan yourself; if you need further help in one area, then seek the assistance of a consultant.
The Product or Service
It is important for the reader to thoroughly understand your product offering or the services you currently provide or plan on providing. However, it is important to explain this section in layman’s terms to avoid confusion. Do not overwhelm the reader with technical explanations or industry jargon that he will not be familiar with.
It is important to discuss the competitive advantage of your product or service. If entering a new market, explain why there is a need for your offering. If appropriate discuss any patents, copyrights and trademarks the company currently owns or has recently applied for and discuss any confidential and non-disclosure protection the company has secured.
Discuss any barriers that you face in bringing the product to market such as FDA approval, EPA or government regulations, etc. Other areas that should be covered in this section include:
o Is your product or service already on the market or is it still in research and development?
o If in development, what is the rollout strategy or timeline to bring the product to market?
o What makes your product or service unique? What competitive advantage does the product or service have over its competition?
o Can you price the product or service competitively and still maintain a healthy profit margin?