Are You Consistently Winning the Game and Optimizing Profitability?
The vision and purpose or mission will be unique to your enterprise. However, profitable growth is common to all enterprises. Some authorities call profit the oxygen your business needs to be viable and to achieve the mission.
In the last article, I presented a closer look at Steps 4, 5, 6, and 7 of the Roadmap. Those steps take you on the journey through Mastering Your Outer Game. That Stage is designed to take your enterprise from unproductive, inconsistent performing, dysfunctional teams to fully engaged teams of top talent.
Step 7 begins the third and final stage of the Roadmap which can transform your teams from Distracted to Fulfilled. Fully implementing all the systems in Stage Three can position you to achieve time freedom and financial fulfillment which may include your exit strategy or succession plan.
The Profit Zone Process
Step Eighth is the centerpiece of Stage Three of the Road and focuses on implementing the Profit Zone Process that can assure a relentless, precise and intense mindset held by the staff to make and keep money for the enterprise.
What If . . .
Every person in the company knew how their job impacts the bottom line.
Research shows that when employees understand the role they play in helping a company to make a profit, a company is more successful.
The Profit Zone Value Proposition
• If employees understand the value they bring to a company, they will be more engaged.
• If employees are fully engaged they are more productive.
• A company with fully engaged, highly productive employees will make more money.
The Profit Zone Process Goes Beyond Improving Profits and Reduce Costs
Imagine If Everyone Understood . . .
• The primary objectives of any business
• The 9 activities that impact a company’s ability to be profitable
• How well each team is doing in addressing the issues surrounding those 9 activities
• How every job directly and/or indirectly impacts the company’s bottom line
• The areas of focus and specific action steps a team needs to address over the next 6 months for sustainable profitable growth
The Three-Step Profit SequenceIn a People-Centered, Growth-Smart, Profit-Driven, Knowledge-Based Enterprise . . .
Every activity must reside within one of the three steps. Image the three steps as concentric circles with the Profit Zone in the center (See the diagram above).
Step One: The people who are actually making it happen. They are directly maintaining and improving one or more of the nine activities of the Profit Zone.
Step Two: The people who support the people in Step One.
Step Three: The people who support the processes of maintaining and improving one or more of the nine activities of the Profit Zone.
The Nine Activities of the Profit Zone
#1. Revenue Generation: Understanding how the company generates revenue
#2. Strategy and Tactics: Understanding the focus of the company.
#3. Gross and Net Profit Margins: The knowledge shared throughout the company on how you make and keep money
#4. Cash Flow: The relationship between when money comes in and when it goes out
#5. Cost Structures: Knowing the cost of goods helps you calculate how to make money.
#6. Customer Satisfaction: Exceptional customer service starts with exceptional employees.
#7. Staff Voltage: The energy in the workplace that reflects the enthusiasm and intensity of focus expressed by the employees.
#8. Product/Service Quality: A significant influence on your margins.
#9. Innovation: A mindset of consistent improvement throughout the company that goes beyond current product design and service delivery.
The Profit Accelerator Roadmap is a Three-Stage process with Nine Steps.
Stage Two, Mastering Your Inner Game, establishes the infrastructure and can transform your enterprise from unproductive, inconsistent performing, dysfunctional teams to fully engaged teams of top talent.
Stage Three, Consistently Winning the Game begins with Step Seven: Leadership Effectiveness. This step optimizes the capacity of leaders at all levels so they can fully execute the strategy to Transform Vision Into Reality.
Step Eight includes implementation of the Profit Zone Process that can assure the development of a relentless, precise, and intense mindset by all employees to make and keep money for the enterprise.
Take Action and Assess the Effectiveness of Your Enterprise
Click on the following link to get immediate access to the brief, 10-item online Checklist: Assessing the Effectiveness of Your Enterprise.
Then you will receive an email with a link to my online calendar to schedule a strategy call with me,’
We will debrief the checklist together to discover the one or two steps to can take right now to accelerate your progress to sustainable profitable growth.