Systemising Your Business - Greg Gunther ft. on Business Built Freedom Podcast
In the ever-evolving business landscape, the key to maintaining momentum often lies in a seemingly simple yet profound concept—systemising your business.
In an insightful interview with Greg Gunther, as featured on Joshua Lewis's Business Built Freedom Podcast, he sheds light on what systemising truly means in a business environment. Greg explains that it's not just about fancy tech or the right software. It's about spotting the tasks business leaders do over and over again in their organisations, which make up about 85% of our workload, and finding smarter ways to get them done.
Listen to the interview below.
Greg shares that many organisations keep their processes in their heads. He encourages us to lay them out clearly so we can get consistent, good-quality results each time. Throughout the podcast, Greg explains the following:
Understanding Systemising Your Business
Systemising your business is about more than just your tech stack or the software you use. It's about identifying the repetitive tasks that form the backbone of your operations. In fact, about 85% of what we do in business involves repetitive actions, whether it's invoicing or manufacturing a product. Systemising is the process of breaking down these tasks into clear, repeatable steps to achieve predictable results while maintaining quality.
Getting Started in Systemising your business
Start by documenting what you're already doing, even if it's not the most efficient process. This baseline provides a foundation for improvement. Embrace a culture of continuous improvement, always asking if there's a better way to accomplish tasks. Challenge the status quo, and strive to eliminate the 15-30% inefficiencies that often exist in operations.
The Importance of Documenting Processes
Effective documentation is essential. Each step should be detailed, leaving no room for ambiguity. It should be so clear that anyone unfamiliar with your business can follow the process successfully. Encourage a mindset of curiosity and improvement in your team, and make sure process documentation is a cultural norm, starting from the top.
Poor Onboarding Process = Loss of Talent
One crucial process to document is your onboarding process. Research shows that a poor onboarding experience is a common reason for employees leaving a company. A comprehensive onboarding process should extend beyond the initial weeks, covering the probationary period. It should be self-driven, with regular check-ins and room for continuous improvement.
The Systems Mindset Shift
Some employees may initially view process documentation as a threat, but it's essential to communicate the benefits. Documenting processes frees up time for innovation and exploring new interests within the company. Encourage employees to see it as an opportunity to contribute their unique skills and talents.
Testing Your Processes
A litmus test for your processes is the ability to leave your business for an extended period without disruptions. It requires having systems in place to monitor key performance indicators and detect issues early. As business owners, it's crucial to identify leading indicators that can alert you to potential problems.
Mapping the Customer Journey
Many businesses overlook understanding their customer journey. Mapping this journey helps identify critical touchpoints where customers form their perception of your business. Analyze each step in the customer's experience, focusing on areas of weakness.
The Traffic Light System
Keep your process evaluation simple by using a traffic light system. Identify critical processes that need immediate attention as "Red" items. Visualise a matrix that assesses how well you execute these processes and their importance to your business.
The Pareto Principle
Apply the 80-20 rule to your systemisation efforts. Start with the critical 20% of processes that contribute to 80% of your results. Understand that system development is an ongoing journey that requires continuous evolution and improvement. Like painting the Sydney Harbour Bridge, once you finish, it's time to go back to the start to ensure your business remains efficient and effective.
In conclusion, systemising your business is a journey toward efficiency, quality, and continuous improvement. It involves documenting processes, embracing a culture of curiosity, and constantly looking for better ways to operate. By following these principles and leveraging tools Greg shared, you can create a well-organised, adaptable business that thrives in a dynamic environment.