I had a brain dart the other day when I was asked in an interview about business consulting about what one of my own greatest skills is.
I meant to say, "business organization and implementation". What came out was "organizational organization". We shared a chuckle for a moment over my literary faux-paux then as I explained what I meant, I realized that I liked my "oops" term.
I look at succeeding in just about any business endeavor, be it for-profit or non-profit, is to successfully produce or deliver a product or service in a way that brings the most profit-value.
"Profit-value" is the term I like to use to communicate the idea that much as we want to get the most value for what we spend, we also get the most value for what we earn. Far too often, business owners focus on "profit" as only referring to monetary compensation. Looking at things from a profit-value POV let's us take other things into consideration beyond money.
What has all this to do with "organizational organization"? Because profitability is directly tied to the leadership of the business and how the business leadership organizes and executes organizational decisions.
For example, in my business, I want to get the most profit-value by having people at work doing things that achieve the goals of the business. In one case, live bee removals as a pest management service.
I profit more by hiring someone who can go out and perform live bee removals with little to no assistance from me. I can have faith that they are doing what I send them out to do in a way that best reflects my business objectives.
This is part of organizing an effective team. My team members are hired to not just do a particular job, but to do it "my" way. This means that I need to ensure my team members have the appropriate training and knowledge to do the job. They also need to have the experience, resources, effective communication and confidence to do that job without needing to have someone micromanage them. Micromanagement is unprofitable. You bleed money and resources by micromanaging.
I place people in jobs so they they can be successful. When my people are successful, they are profitable. When they are producing peak income for the least unnecessary costs, they are now improving my businesses profit-value.
People need leadership in every business. Don't confuse leadership with being managed. There is a reason middle management is considered expendable. It's because when people are capable and enabled to effectively be self managed, hiring people to micromanage is unnecessary and unprofitable.
Business leadership is hiring the people capable of doing the job they are hired for and making sure they have what they need to do the job right. They don't need motivation, people can motivate themselves.
They need adequate, fair compensation, they need to know they are trusted and valuable members of the team. They need training, opportunities to grow and expand their experience. They need access the the proper tools and materials to do the job as expected.
That's what a business leader does. They make those things happen. By making sure people can do their jobs successfully, they increase the profit-value of the business. Ultimately, a successful business leader is a facilitator.
Far too many people are business owners and even business managers, but far too few of those are effective business leaders. Seeking personal "success" before the success of the business.
Not everyone is cut out to be a business leader. One of the wisest people I know spent 30-some years in a machine shop. The man is a machine shop wizard. He knows every job, every tool, every material that gets commonly used, and many other uncommon ones as well.
He knew enough that he wanted to have his own shop and have things done in a way he thought was best. He also knew he was not a business leader type of person.
The smartest thing he did was hire a business manager that, as luck would have it, turned out to be a very effective business leader. By communicating what he wanted done, how, etc... to his manager, the manager was able to turn his dream into a very successful reality.
The machinist himself spent hi is time as the shop foreman, that's what he did best. He retired 30 years later a millionaire and sold his business to a protege he had taken a liking to over the years.
The people working in his shop still speak with unwavering loyalty and gratitude to having a great employment career there. The business still enjoys a great reputation as being the place to go for high quality and integrity.
That's profit-value. It's more than just the money a business makes. It's the reputation they create, the satisfaction of those who work there and makes it a place people want to work at.
Profit is more than money. A facilitator approach to organization can increase profit-value greatly. If you only run a business to accumulate dollars, you're missing out on a lot more to gain from.