Is Your Business Running Like a Formula 1 Team?

On our ?Field of Business? your last line of defence are your GEM’s (Growth Essential Measurements), we call them GEM’s for two reasons; 1) So many people are scared to death of KPI’s and 2) these are the numbers essential to your business growth.

First of all let?s discuss what GEM’s are, these are the numbers that tell you how you and your business are performing at any time.

To give you a sporting analogy, in Formula 1 the goal is to win the race, but the teams track lots of information about the performance of the car and the driver, e.g. fuel consumption, engine outputs, how the driver corners, tyre usage, plus a whole lot more. Each statistic they measure has a minimal acceptable value so that they know whether they are under or over performing.

Can you do this with your business?

In your business what are the important numbers you should be tracking?

Do you know your conversion rate from lead to sale?

And therefore how many leads you need to get a new customer?

How many future customers are in your pipeline?

How much profit do you make from each job?

What is your hourly rate when you measure the actual time you spend on a job?

And do you measure your time on a weekly and monthly basis?

These are just a few examples of where you should be measuring and tracking the performance of your business.

I am very aware that every business has its nuances and differences, but there is no excuse to not measure your performance.

One of the real beauties of tracking and measuring your performance is that often when you focus on something it improves naturally. If it doesn?t improve, though, you have the information you need to review and make conscious improvements. When you are monitoring and tracking your numbers and your performance you take control of your business. This gives you the ability to make decisions based on facts, not on a finger in the air.

Good luck improving your business;

If I can be of any help please do not hesitate to ask, we are more than happy to take you through our ’12 Point Business Review’ at no cost. Just call Brian on 10933 270918 or email brian@mpgrowth.co.uk.