The Problem With Most Businesses!

The fundamental problem with most businesses is that they are often started or purchased by people who are good at what they do. Unfortunately being good at your profession is not enough to build a highly successful business. However, with the right business know how and support business owners can dramatically boost their business performance and achieve a more energetic and passionate state of mind.

Most business owners develop their technical (professional) skills via formal learning and/or practical training. However, many of these courses and training sessions do not adequately equip business owners with the knowledge, skills and tools they need in the business world. Not surprisingly, therefore, many business owners often lack the business acumen and entrepreneurial abilities to cultivate a thriving business. Often times the necessary skills are hard-won through first-hand trials, which can be both stressful and costly for the business owner.

In his book, The E-Myth, Michael Gerber comments on the three forms of work required to build a highly successful business: (1) Entrepreneurial; (2) Managerial and (3) Technical.

Typically business owners spend a great deal of time and effort working as technicians in their profession (e.g. an accountant or lawyer) and applying their technical abilities. In most cases there is little focus on entrepreneurial and managerial work. Thus the core problem is revealed – rarely will it be possible to build a booming business whilst you are absorbed in technician mode and concerned solely with your profession day in and day out.

In the business world an entrepreneur will not be concerned with the technical aspects of your profession, but rather the associated opportunity for enterprise. Likewise, a manager will not be concerned with the practice of your profession, but rather the effective and efficient operation of the business. Thus it is only the technician whom is concerned with the practice of the profession.

As most business owners are concerned with the technical aspects of their profession many fall victim to working IN the business rather than also working ON it. This occurs because they do not really understand the profound price they’re paying by failing to perform the three forms of work - the work of the entrepreneur, the manager and the technician.

Once this is understood, segregated and managed correctly – a fundamental shift occurs within the business and the operating efficiency is greatly enhanced and this frees-up the resources necessary to develop strategic opportunities upon which a successful business can grow. The point here is not to stop practising your profession, but to be aware of the opportunities to build an enterprise and a business, rather than just working in your business.

A business that depends upon the technician is not a true business at all. It is a business in which you work and trying to break the daily grind can be difficult. To really change you must look objectively at the way your business operates. Are you a technician? If so – what changes are you going to make so that you can improve the way you work?

It can be a challenging road to creating the lifestyle you want through your business, therefore don’t be afraid to ask for help so that you can make the necessary changes to the way you operate and thus reap the benefits.

Based on the book The E-Myth. Written by Andrew Lawson of BEST PRACTICE CONSULTING a business improvement coaching and consulting group.

Visit www.bestpracticeconsulting.com.au or telephone Andrew on 0400 221 136.