Round 1
Years ago, I was an owner of a small construction business. Put bluntly, it was terrible; I felt like I had to do virtually everything. I was on the tools for most jobs, I trained the sales staff, I did the financials, I designed the projects, I helped the sales staff when they were in over their heads, I was at the trade shows, I dealt with the vendors…I did way too much.
After losing too much money, too much hair, and breaking out into stress rashes (I actually carried Benadryl everywhere), I was driving through rural Alberta listening to an audio book “The E-Myth Revisited”. That was the day that everything changed. No wonder my business was failing, I was doing it backwards, upside-down and inside out.
When I got back to the office, I vowed I would never be on the tools again and spent the extra time setting up business systems. Within 2 weeks the company moved from being fully dependent on me to fully independent of me. Furthermore, it was finally profitable!
It’s amazing how hard things are when you’re doing them wrong.
The following year the company nearly doubled in revenue, and I took a brief vacation…that’s right, I could leave the company and it would keep producing, and I no longer carry Benadryl.
A New Hope
After leaving that company, I have since started Lybroco Rentals Inc. It is built around the principles of effective business systems. While it is by no means complete, the set up has been much easier even though it is a much harder business model to set up.
A Few Hints
Hire Somebody Else
As a business owner, what is the one thing that you can do that nobody else can (at this point)? If you are doing anything except your most profitable endeavor, you need to hire it out!
I write most of these blogs myself, because I want to get the things that only exist in my head onto paper…nobody else can do that. Somebody else however can edit them, add images, post them online and share them around the internet (I really stink at that stuff).
I still handle most fund-raising and almost all large asset purchases. I am not however required at tradeshows.
Sometimes I still sweep the shop floor…but only because it is a mental break for me, so I call that a win!
Use Video to Training
Rather than writing a “How-To” manual, simply use a video screen recorder (like OBS Studio) and make videos. If you need to train your staff on how to make a quote, simply record yourself doing it.
Why use a recorder?
For one, it is WAY faster to do. In my construction company, I made an entire training system in just one day. It was amazing! Secondly though, is that it is a better visualization for the learner. If you write in a manual “the green button at the top right of the page” and the button is later moved or changes color, it can be confusing, but in a video, those details barely matter; a video carries the principles of the training better.
Make Solid Rules
I will go into this further in a later blog, but for now: set up rules for everything:
- Who opens the door in the morning and when
- How often should your fleet be washed
- Who is responsible for training new hires
- What is the training schedule for new hires
I know it seems daunting, but trust me, it took me from failing to profitable in weeks.
Know Responsibilities
Make sure that each worker knows his/her responsibilities. Notice that you need to know them first. Are they clear? Are they written out? Have them sign a document defining them.
One of my biggest problems was the clean up at the end of the construction project. It seemed like every time, I cleaned up the mess alone and everybody else went home. I had defined it as my problem, so it was. Afterwards I defined it as somebody else’s problem, and then it was.
My Biggest Piece of Advice
Anybody who knows me, knows that I live on audio books. As a business owner, I have a single piece of advice for any small business owner: READ AND FOLLOW THE E-MYTH REVISITED.
I guess I have a second as well: Just keep learning. There are many ways to make your business better if you will learn how to do it.
Best of Luck,
Devon Lybbert, PENG.