Imagine yourself stranded on a deserted island, trying to figure out how to escape before you run out of food and die. Without any input or advice from others, it would be difficult to make the right decisions.
Now imagine a business owner, sitting alone in his office, trying to make all the right decisions to ensure his company doesn’t die.
Overwhelmed with tough questions and no easy answers, frustrated owners delay making decisions about their future, management team, customers, equipment, marketing, profits, financials, and growth. And when they postpone decisions, they continue tolerating mediocre employees, poor results, inadequate systems, and the daily struggle to make money.
They eventually realize they cannot do it all themselves, but most owners never step off the treadmill long enough to seek help—much like someone who dismisses persistent chest pain instead of seeing a doctor.
Me, Myself, and I
The best advice will come from experienced, unbiased professionals who know your business, can offer suggestions for improvement, and are not afraid to tell you the truth.
For example, I had 150 employees and was doing $50 million in annual sales within seven years of starting my own construction company. I thought I was doing very well for a 35-year-old, and that I knew everything there was to know.
A friend suggested that a board of directors could help me take my company to the next level, so I asked five very successful businessmen to serve. At our first meeting, I proudly presented my goals, financials, and plans for the future. Then I asked for their input. One by one, they asked questions I could not answer:
- Is that all the money you make for the risk you take?
- Why are you only doing that type of work?
- Why is your employee turnover so high?
- Why do you do so much of the work yourself?
- Who’s on your management team and accountable for results?
- What’s your plan to improve profitability?
- What new customers and markets have you tried in the last year?
- Why are you afraid to delegate and let go of major decisions?
- Do you have a written strategic business plan?
My management team obviously consisted of three people—Me, Myself, and I—and I had overlooked many important strategies that would have helped me become very successful and very profitable.
I thought I had done well building a company. Their questions made me realize I still had a lot to learn.
Take time to plan your plan
My board recommended I hire a coach who specialized in helping construction business owners grow and profit. They also suggested that we write down the strategic plan before I made another dumb decision!
After getting over the shock of that board meeting, I hired a coach who helped me with my leadership style and management team. He helped improve our operational systems, standards, and procedures, and advised us on how to make more money. He also facilitated our two-day business planning retreat.
I could not have made all the changes I needed to make without the help and encouragement of an outside consultant whose mission was to make my company better.
Taking the time for a strategic business planning retreat with owners, key managers, and a facilitator will help you outline your company’s trajectory. Your strategic plan will include a vision, key success factors, goals, objectives, targets, strategy, and action plans that are clearly defined and written down.
Every small business owner has tough decisions to make. Without making time to seek sound advice, they stay stuck doing what they’ve always done. Stop postponing and take time to plan your plan!
George Hedley, CPBC, is a certified construction business coach and speaker. He helps contractors build better businesses, grow, profit, get organized, and improve estimating and field production. He is the best-selling author of “Turn your construction business into a profit-making machine!” available on Amazon. Visit HardhatBizcoach.com to schedule a free introductory coaching session, get his Hardhat Hedlines Biz-Tips e-newsletter, templates, videos, or webinars and workshops information.
