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About Us Profits People Planet Our DNA We combine exceptional project and change management discipline with an entrepreneurial spirit and engineering mindset, drawing on over 15 years of business improvement experience. Business Improvement Specialists At Rostone Operations, we go beyond cost-cutting and EBITDA optimisation to help businesses thrive. We develop smart operations that drive value-driven, inclusive, and sustainable growth through high-performance workflows. Our goal is to maximise business value, enhancing efficiency, resilience, and long-term success. Transforming Operations We lead improvement projects with cross-functional teams, applying proven methodologies to deliver measurable results. By simplifying and refining processes, we boost reliability, streamline operations, and unlock growth opportunities. Building High-Performance Systems Our philosophy is rooted in creating high-performance work systems through strong brand strategies, rigorous audits, and continuous optimisation. This ensures businesses are both sustainable and positioned for value maximisation. Optimising Processes to Maximise Business Value We specialise in identifying, mapping, and documenting key value drivers within your processes. By focusing on these value drivers, our approach delivers greater process efficiencies and promotes more effective ways of working, ultimately helping businesses maximise their value and achieve sustainable growth. Empowering Continuous Improvement Through training, coaching, and mentorship, we enable clients to adopt operational excellence and sustain ongoing improvement efforts. Aligning with Business Goals Every initiative aligns with strategic objectives, delivering measurable value and financial impact. Our focus on a staff-centric optimisation enhances customer experiences, reduces costs, and drives operational excellence. Strategic Leadership and Excellence Our expert guidance helps leadership teams develop transformational strategies and achieve long-term success. We collaborate with organisations to integrate people, planet, and profit into their operations, ensuring holistic growth. Our mission is to help businesses grow in a way that creates value for all stakeholders. With transparency, accountability, and impact at the core of our work, Rostone Operations drives positive change, one high-performance workflow at a time Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Enjoy the Freedom and Lifestyle Every Business Owner Deserves Prevent Burnout and Boost Business Value with our High-Performance Workflows—Transform Your Operations Today! Free 45-Min Consultation Strategic Wealth Creation Attract Top Talent A value-driven approach aligns with employee purpose and well-being, attracting high-performing individuals. By managing your business as a valuable asset, you unlock greater personal wealth management opportunities. Strengthen Market Position Businesses that prioritise value gain a competitive edge by driving innovation and solving key challenges. Enhance Customer Loyalty Delivering consistent value builds trust and stronger relationships, encouraging repeat business and long-term client retention. 1 Improve Net Profitability Boost your bottom line. We analyse your operations, identify inefficiencies, and implement solutions to optimise resources and maximise returns, ensuring sustainable growth. 2 Maximise Business Valuation Build a stronger, more stable business, and you'll need to spend less time running it. This boosts its value and frees up time and funds for investing in your team and local communities. 3 Lower Business Risk With more effective operations you can focus on reducing your carbon footprint and implementing sustainability plans. This lowers risks, attracts top talent and customers. Vision to Value 10X Business Improvement Programme Take the Guesswork out of Growing Your Business Discover a better way to run your business with the Vision to Value Business Improvement Programme. Operate it like you intend to sell, maximising value, unlocking growth opportunities, and achieving the freedom and lifestyle you deserve. Start with a strategic audit and build a path to sustainable success. Learn More Identify your core issues and fix them, permanently Achieve a better work-life balance with our business productivity solutions Create more consistency across your business and increased engagement across your teams Begin Your Value-Driven Business Journey Today You’ve made it this far. Sensing a need for Value-Driven growth? Discover how to kickstart your tailored Value-Driven journey with Rostone Operations by speaking with an expert today. In a 1:1 video chat, together we’ll cover: Your unique growth strategies and business goals Introduction to the Rostone Operations Value-Driven Blueprint Next steps in your Value-Driven growth journey First name* Last name* Company name* Phone* Email* Question or Comment By submitting this form, you consent to having read and understood the privacy statement and are happy to sign up to our mailing list. Request Demo

Blog How to use Workplace Personality Tests to Improve Team Productivity Personality tests boost productivity by improving communication, aligning tasks with strengths, and enhancing teamwork. 9 Jan 2025 Read More How to Create a Coaching Culture in a Small Organisation By embedding these seven steps, small organisations can create a vibrant coaching culture that fuels employee satisfaction and drives sustainable growth. 26 Dec 2024 Read More Smart Operations: Unlocking the Power of Value-Driven Growth Integrating intelligent operations with technology, data, and purpose enhances efficiency, streamlines decision-making, and aligns business processes with sustainability goals, driving operational excellence, and creating sustainable, inclusive growth across organisations. 5 Dec 2024 Read More Building Sustainable Business Models Understanding the High Failure Rates of Businesses and Unveiling Strategies to Build Sustainable, Value-Driven Models That Thrive Long-Term 12 Nov 2024 Read More Maximise Your Business Value with the Value-Driven Wealth Creation Programme Transform Your Business into a Profitable, Sustainable Asset with the Value-Driven Wealth Creation Programme. Designed to Optimise Operations, Enhance Brand Strategy, and Unlock Long-Term Growth for Ambitious Business Owners. 2 Jan 2025 Read More What is Business Improvement? What is business improvement and how can it benefit your business? Unlock growth and profitability by understanding how business productivity works. 19 Dec 2024 Read More Improving Workplace Communication Skills with DISC Personality Assessments Unlock Effective Communication Strategies with DISC Insights for a More Collaborative and Productive Workplace 28 Nov 2024 Read More What is ESG - Environmental, Social and Governance Criteria? Environmental, social, and governance, or ESG, refers to the three crucial elements when assessing a financial investment's sustainability and moral impact on a corporation or a business. 7 Nov 2024 Read More What are High Performance Work Systems (HPWS)? When your employees have a voice they are able to air their concerns and suggestions for improvements and be confident they will be listened to. 27 Dec 2024 Read More What is Ikigai and how can Ikigai Improve Your Life? You can define your Ikigai as the intersection between what you are good at, what you love, and what you value. When all three of these factors align and are congruent, you will likely have discovered your Ikigai. 12 Dec 2024 Read More What is Operational Excellence? The ultimate objective of operational excellence is to maximise operating profit by creating as much value as possible with the resources available. Learn more. 21 Nov 2024 Read More Navigating the Triple Bottom Line for Sustainable Success Master the Triple Bottom Line: A strategic guide to balancing profit, people, and planet for sustainable growth, impactful decisions, and long-term business success. 31 Oct 2024 Read More 1 2 3 4 5 1 ... 1 2 3 4 5 6 7 8 9 10 11 12 13 ... 13

Maximise Your Business Value with the Value-Driven Wealth Creation Programme Transform Your Business into a Profitable, Sustainable Asset with the Value-Driven Wealth Creation Programme. Designed to Optimise Operations, Enhance Brand Strategy, and Unlock Long-Term Growth for Ambitious Business Owners. Published on: 2 Jan 2025 Strategic Wealth Growth: Building Value Before the Exit In the world of entrepreneurship, wealth advisers traditionally engage at three key stages: Exit preparation The sale process Life after exit While this approach has its merits, it overlooks a crucial opportunity for greater impact – strategic wealth growth during the operational phase of the business . This phase, often considered as simply managing the day-to-day operations, holds untapped potential for increasing the overall value of the business long before the exit moment arrives. Building value before the exit isn't just about maximising profits in the short term. It’s about creating a sustainable, robust business that is capable of continuing its success and growth without relying heavily on the founder or owner. Through thoughtful strategies and intentional decisions made throughout the operational phase, a business can unlock significant wealth-building opportunities. This includes establishing systems, improving efficiency, enhancing brand value, and fostering leadership that ensures long-term scalability. Why Focus on Strategic Wealth Growth? The goal is to create a business that is a valuable asset — one that can either generate passive income or be sold for a considerable return, often at a higher value than businesses that focus only on exit preparation. A strategic approach to wealth growth also provides business owners with the flexibility to make informed decisions when the time comes to sell or transfer ownership. By focusing on building value before the exit, entrepreneurs can: Maximise the value of the business : Businesses that grow strategically throughout their operational phase tend to command higher valuations when it comes time to sell. Diversify wealth : Rather than relying solely on the eventual sale, business owners can take steps to ensure the business provides long-term financial benefits. Reduce risks : A business that is already strong operationally and financially is less susceptible to market shifts or internal disruptions that could undermine its value at the point of exit. Enhance legacy and succession planning : For those who intend to pass their business on to the next generation or team members, a focus on building value can ensure smoother transitions and long-term success. The process of strategic wealth growth should be built into the fabric of the business, rather than something considered just before the exit. By developing a clear vision, nurturing key relationships, and fostering continuous improvement, business owners can start increasing their wealth today – creating value that is sustainable and impactful long after the final exit occurs. Shifting Focus to Value Creation Rather than focusing solely on wealth extraction at the point of sale, the emphasis is shifting to earlier involvement, working to build wealth within the business itself . This is more than just financial planning; it’s about value-driven growth that maximises the business’s operational and strategic potential long before exit becomes a consideration. The MetaSystem Advantage By adopting a proactive approach, businesses can become not only profitable but also structured to operate independently. This concept of a MetaSystem – where the business can thrive without constant owner input – turns the company into a highly attractive, saleable asset. Key Pillars of Strategic Wealth Growth Strategic wealth growth encompasses more than just increasing profit margins. It involves streamlining workflows, embedding sustainable growth practices, and enhancing organisational efficiency. This type of approach transforms businesses into long-term wealth engines, aligning operational success with broader financial goals. Operational Optimisation – Improving processes to increase efficiency and profitability. System Independence – Building structures that allow the business to run without reliance on any single individual. Scalable Growth – Developing frameworks that support expansion without diluting quality or performance. Sustainable Value Creation – Focusing on inclusive growth that appeals to investors and buyers alike. A New Strategic Approach This early-stage focus shifts the emphasis from simply managing operations to becoming a long-term strategic initiative, strengthening the ability to enhance the overall value of the enterprise. This approach not only secures greater returns at exit but also creates a business that is resilient, adaptive, and valuable throughout its lifecycle. Strategic wealth growth is the next evolution in wealth creation – an approach that builds wealth by designing businesses that create and retain value from the inside out . The Value-Driven Wealth Creation Programme The definition of business success has evolved beyond profit margins and quarterly gains. For sophisticated business owners, the true metric of success lies in transforming their enterprises into self-sustaining, high-value assets capable of generating long-term wealth. The Value-Driven Wealth Creation Programme is designed to reposition businesses as investment-grade entities through strategic growth and operational excellence, leveraging sustainable and inclusive frameworks. This approach embeds principles of ESG (Environmental, Social, and Governance), positioning businesses to thrive in a dynamic, value-conscious marketplace. A Wealth-Centric Philosophy: Beyond Profit-Driven Models Conventional business growth models often focus narrowly on profit generation, sidelining long-term asset building. The wealth creation paradigm shifts the focus towards sustainable value by investing in operational efficiency, brand capital, and human-centric leadership. This ensures businesses become autonomous entities with scalable, transferrable value. At the heart of this shift lies the understanding that true wealth is created when businesses can operate independently of their founders. By minimising operational dependency, owners unlock the ability to monetise their businesses as assets—whether through sale, succession, or equity partnerships. Architecting Wealth: The Programme’s Structural Framework The Value-Driven Wealth Creation Programme unfolds in three carefully crafted phases, each addressing a critical component of enterprise transformation. Phase 1: Wealth Audit – Precision Diagnosis and Evaluation An exhaustive diagnostic phase, the Wealth Audit delves into the mechanics of the business, identifying core value drivers, bottlenecks, and latent potential. This process employs the 5Ts Smart Workflow Framework—Time, Talent, Traits, Trust, and Teach—to dissect operational inefficiencies and leadership gaps. Key activities include: Operational Benchmarking: Comparative analysis against industry best practices. Market Positioning Analysis: Evaluating brand equity and competitive differentiation. Risk Profiling: Identifying systemic and operational vulnerabilities. Leadership Appraisal: Gauging leadership alignment with growth trajectories. Phase 2: Wealth Strategy – Blueprinting High-Value Pathways This design phase translates audit insights into strategic, actionable growth plans. By integrating ESG imperatives and high-margin growth vectors, the programme constructs a bespoke roadmap that de-risks expansion while amplifying asset value. Strategic components include: Sustainability Integration: Embedding ESG principles to enhance brand trust and investor appeal. Owner-Independent Systems: Developing frameworks that enable business continuity without direct owner intervention. Technology and Automation Roadmaps: Leveraging digital tools to drive scalability and efficiency. Market Expansion Modelling: Identifying diversification opportunities and adjacent market penetration. Phase 3: Wealth Optimisation – Scaling and Realising Value Execution is where strategies are brought to life. The focus is on embedding high-performance workflows that yield sustained profitability, ensuring the business is positioned for capitalisation or exit. Critical optimisation tactics include: Cash Flow Engineering: Streamlining processes to unlock liquidity and enhance margin profiles. Leadership Development: Strengthening executive capability to sustain autonomous growth. Exit Readiness: Structuring the business for acquisition, IPO, or investor engagement. Continuous Improvement Cycles: Embedding iterative processes to maintain competitiveness and agility. Delivering Tangible Outcomes Upon completion, participating businesses emerge as resilient, high-value assets distinguished by: Enhanced brand equity and competitive market positioning. Operational frameworks that maximise efficiency and scalability. Reduced reliance on founders, bolstering investor confidence. Robust ESG integration, strengthening stakeholder relationships. Target Audience and Engagement Tailored for business owners eyeing strategic exits, capital raises, or succession planning, this programme is particularly suited for entrepreneurs seeking to align profitability with sustainable growth. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

How to use Workplace Personality Tests to Improve Team Productivity Personality tests boost productivity by improving communication, aligning tasks with strengths, and enhancing teamwork. Published on: 9 Jan 2025 At the heart of any productive business operations are its people. From frontline employees and cross-functional teams to executives and leadership, individuals drive the success of your organisation. However, many businesses struggle with team alignment , collaborative workflows , and effective communication , crucial factors in achieving organisational goals . Research highlights that poor collaboration and weak leadership skills often lead to workplace inefficiencies . Companies that focus on building engaged teams, fostering transparency, and strengthening leadership development can drive significant improvements in employee engagement , productivity, and overall business performance . Yet research shows many businesses struggle with the “people” element of businesses: 97% of employees and executives believe a lack of alignment within teams impacts the outcome of tasks and projects. 39% of employees believe that people in their own organization don’t collaborate enough. 86% of employees and executives cite lack of collaboration or ineffective communication for workplace failures. 99.1% of employees prefer a workplace where people identify and discuss issues truthfully and effectively, but less than 50% say their organisation achieves this. 33% of employees said a lack of open, honest communication has the most negative impact on employee morale. 63% of workers want to quit their jobs because poor communication prevented them from doing their job effectively. For managers, the picture is even bleaker, as nearly 30% of employees believe their manager lacks team building skills and only 40% of employees report feeling satisfied with their relationship with their direct superior. Perhaps even more surprisingly, 69% of managers say they’re uncomfortable communicating with their team. All these statistics go to show the importance of b uilding productive, engaged teams, with strong leadership driving them. The benefits for businesses who do manage this are significant. How Organisational Structure and Personality Types Are Related? Organisational structure and personality types influence each other in various ways. While personality types can shape organisational structures, factors like industry, goals, and external environments also impact this relationship. 1. Fit Between Personality and Structure Different structures are suited to different personality traits. In hierarchical organisations, individuals who thrive on following instructions and established procedures perform best. On the other hand, flatter, decentralised structures require employees with adaptability, initiative, and independence, aligning with traits like openness and extraversion. Matching organisational structure with the prevalent personality types can enhance overall productivity. 2. Impact on Satisfaction Organisational structure can significantly affect individual job satisfaction, depending on personality traits. For instance, employees who value structure and stability may excel in traditional, hierarchical organisations where rules and procedures are clear. In contrast, those with a preference for creativity, autonomy, and flexibility may feel stifled in such environments and thrive in decentralised setups. When personality types and organisational structures align, job satisfaction improves, leading to higher retention and workplace morale. 3. Communication and Collaboration Personality types directly influence communication and collaboration styles. Introverted individuals may feel more comfortable in smaller teams or decentralised structures that foster focused, thoughtful interaction, while extroverts often thrive in structures promoting frequent social interaction and open communication. Organisations can design structures that cater to these preferences, improving both the quality of communication and collaborative efforts, leading to better overall performance and project success. 4. Leadership Styles Leadership styles are also shaped by personality types and are closely tied to the organisational structure. Transformational leaders, who inspire and motivate, often perform well in flexible, flatter organisations where creativity and innovation are prioritised. In contrast, transactional leaders, who focus on goals and rewards, may be more effective in hierarchical structures that rely on strict adherence to procedures and rules. The right match between leadership style and organisational structure supports business goals and enhances team effectiveness. 5. Organisational Culture Personality types contribute to and are shaped by an organisation’s culture, which is influenced by its structure. A hierarchical structure may create a culture of compliance, formality, and respect for authority, attracting individuals who align with these values. Meanwhile, decentralised structures may foster a culture of collaboration, creativity, and empowerment, drawing in employees who prefer autonomy and innovation. The evolving culture reinforces the structure and influences how the organisation grows and adapts. By considering the relationship between personality dynamics and organisational structure, businesses can create an environment that optimises communication, leadership, satisfaction, and overall performance. Stronger teams offer are more productive teams Research shows extremely connected teams are 21% more profitable . This is likely due to the simple fact that happy employees are more productive employees. Working in great teams with better communication, rapport, decision making and understanding is all part of this. For example, 37% of employees say working in a great team is their primary reason for staying at a company. In fact, some 54% of employees say a strong sense of community including great coworkers kept them at a company longer than was in their best interest. So building great teams and having strong leadership for those teams directly impacts your business’s bottom line. You’ll have more productive, engaged and profitable employees, who will stick around longer, reducing employee churn and recruitment costs. What are workplace personality tests and how can they help build more productive teams? There is no one way to build a great team, but workplace personality tests are a great place to start, whether this is at the point of recruitment or long after your teams have been hired. Workplace personality tests are a kind of assessment employers can use to help better understand new candidates as well as current employees. Many ( although not all! ) have roots in psychology. Much like many psychological assessments, workplace personality tests give an insight into key characteristics, behaviours and people’s intrinsic motivations that drive them to behave the way they do. The information obtained from workplace personality tests can then be used to better understand the behaviours within teams, as well as the behaviours possessed by leaders across businesses, to better communicate, motivate and engage. Different types of workplace personality tests There are many different types of workplace personality tests on offer and they’re not all made equal. Some have no research or founding in psychology, while others provide little actionable insight. All this said, we’ll look at the most common workplace personality tests including: Keirsey Temperament Sorter Disc Personality Test The Myers Briggs Type Indicator The Caliper Profile The SHL Occupational Personality Questionnaire Minnesota Multiphasic Personality Inventory Keirsey Temperament Sorter This workplace personality test is based on Ancient Greek philosopher Hippocrates’ theory. He stated that all human’s personas are made up of four temperaments: Artisan Guardian Idealist Rational This test is very similar to the Myers Briggs test, in that these four temperaments are scaled and then categorised into 16 different groups. However, one of the key differences is that the MBT focuses on how people feel and think, while Kerisey focuses more on behaviour. It’s been used widely, perhaps most notably by the US Air Force. DISC Personality Test The Disc Personality Test was created by William Moulton Marston in 1928, and later adapted by Walter Clark in 1940. It’s made up of 28 questions which measure four key areas: Dominance Influence Steadiness Conscientiousness Candidates are categorised into distinct personality types, based on their characteristics in these four areas. Those with D personality profiles tend to be confident and forceful and prioritise taking action and challenging themselves. Those with I personality profiles tend to be excellent communicators and influencers and prioritise relationships. Those with S personality profiles tend to be supportive and patient and prioritise teamwork. Finally, those with C personality profiles tend to be analytical thinkers and methodical workers. Disc workplace personality testing is particularly useful for assessing management and other leaders and is in widespread use for businesses around the world. Part of this is also down to its accessibility. Unlike many tests, it doesn’t take hours to complete and still provides an excellent insight into the behaviours that cause people to act the way they do. The Myers Briggs Type Indicator One of the most well-known personality tests, the Myers Briggs test was developed in the 1940s by mother and daughter Katherine Cook Briggs and Isabell Briggs Myers. This personality test is made up of 93 questions and categorises people into one of 16 different personality types, each with their own unique strengths and weaknesses. It’s made up of four different scales which are: Extraversion (E) – Introversion (I) Sensing (S) – Intuition (N) Thinking (T) – Feeling (F) Judging (J) – Perceiving (P) These scales are then used to dictate the different personality types including: ISTJ – The Inspector ISTP – The Crafter ISFJ – The Protector ISFP – The Artist INFJ – The Advocate INFP – The Mediator INTJ – The Architect INTP – The Thinker ESTP – The Persuader ESTJ – The Director ESFP – The Performer ESFJ – The Caregiver ENFP – The Champion ENFJ – The Giver ENTP – The Debater ENTJ – The Commander Many fortune 500 companies use this workplace personality test in their recruitment processes, despite this personality test being fairly controversial within the psychological field. The Caliper Profile This workplace personality test was invented around 50 years ago by an Australian talent management company. Since then, it’s been used by more than 65,000 businesses worldwide to assess more than 4.5 million candidates. The test has psychological roots, it’s based on the work of psychologists Raymond Cattell and Frank Warburton. The assessment is made up of 180 multiple choice questions, as well as some puzzle and problem solving tasks for certain roles. Once completed, the Caliper test then assesses four main aspects of an employee or candidates personality, including: Leadership skills Interpersonal skills Problem solving and decision making Personal organisation This information can then all be used to see whether a candidate is a good fit for a wider team. The SHL Occupational Personality Questionnaire This workplace personality test is made up of 104 that assess 32 different characteristics. These characteristics are then assessed to give employers an indication as to whether candidates possess the right characteristics for the desired role. They can also be used to identify performance issues and opportunities for current employees, as well as to identify leadership potential in existing employees. The simplicity of this test works in its favour in recruitment in particular. It allows employees to get an overview of candidate characteristics and easily compare many at once to see who might be the best fit. Minnesota Multiphasic Personality Inventory This whopper of a personality test includes 567 true or false questions. It was invented back in 1939 to analyse different personalities. This workplace personality test isn’t common by any means, but many organisations with high-risk and stress positions, like the military, use this test. That’s because due to its roots in the mental health profession it can be useful to assess the psychological stability of potential candidates. Emotional Intelligence and Leadership Emotional quotient (also known as emotional intelligence) or EQ is a person’s ability to understand, use and manage their emotions in positive ways to effectively communicate, show empathy, relieve stress, overcome challenges and defuse conflict. Why is EQ Important in Leadership? Emotionally intelligent leaders are self-aware, can effectively self-regulate and self-motivate most especially when the going gets tough. EQ leaders are able to engage with others and see staff and employees as people and not just as producers of outcomes. They come from a solid self-foundation, possess personal integrity and can inspire and motivate other people to do their best. The Top 5 Characteristics of EQ in leaders 1. Self-awareness The characteristic in leaders that show they know how they feel and recognize how their emotions can affect the people who surround them. A self-aware leader acknowledges their ego and knows their strengths and weaknesses. Their aim is to make sure that their ego and personal traits work for the benefit of the workforce and organization. 2. Self-regulation A leadership attribute that gives leaders a firm grasp and control of their emotions. A self-regulated leader stays firm, fair and calm. Other people that surround this type of leader stay reassured and motivated to take positive action because their leader does not lash out, does not compromise their work ethic and is accountable for their actions. This creates a general sense of improved wellbeing in the workplace. 3. Motivation A leadership characteristic that comes from knowing what needs to be done and why these things must be done. A motivated leader has high work standards for themselves and can work on their goals consistently. They also understand what motivates their workers and colleagues and can incentivize these so they can also give their best in their work. 4. Empathy An empathic leader can put themselves in another person’s shoes (so to speak) and can see things from their perspective. This ability can help develop people, challenge stereotypes and unfair assumptions. In difficult situations, it can help deliver critical feedback in a tactful manner as well as to be a good listener. All these lead to building a positive work atmosphere with a loyal and respectful team. 5. Social Skills The art of communication with an emotional connection. Leaders with good social skills can deliver bad news and celebrate good news in a way that makes people feel that improvement can be done by taking action on such opportunities. Having social skills can make leaders resolve conflicts in a calm, peaceful and diplomatic manner. This skill allows leaders to demonstrate that they respect the other person’s needs, hopes and fears. Emotional intelligence or EQ is vital for effective leadership. The main leadership skills associated with emotional intelligence are empathy, social skills, self-awareness, and self-regulation, as well as a wide variety of skills associated with these traits. Leaders who possess these skills are more capable of understanding other people’s unique behaviours and motivations, as well as their own. The global emotional intelligence test isn’t a workplace personality test per say, but it is a very helpful tool for businesses to assess current leadership, as well as identify staff who could make great leaders in the future. This test was developed by science journalist Daniel Goleman. It is a particularly useful tool in assessing leadership as it examines the array of skills and characteristics necessary to perform well as a leader. The test measures four main areas: Self-awareness Self-management Social awareness Relationship management Self-awareness is at the heart of emotional intelligence and is made up of three key competencies; emotional self-awareness, accurate self-assessment and self-confidence. These three characteristics enable employees to be able to understand the impact their emotions have on their behaviour, as well as identify their own strengths and weaknesses. Self-management refers to five competences; self-control, transparency, adaptability, achievement orientation and initiative. Much like the above, excellent leaders possess a strong mix of these qualities to enable them to communicate with and manage teams. Social awareness refers to the ability to empathise, but it also examines a candidates organisational awareness and service orientation. The latter are both vital leadership skills in being able to understand both business and customer needs. Finally, relationship management has seven competencies; visionary leadership, developing others, influence, change catalyst, conflict management, building bonds and teamwork and collaboration. Much like all of the above, those who possess skills and characteristics in all these areas possess a high level of emotional intelligence and make excellent leaders. The test scores candidates on a scale of one to 10 in each of these four areas. Employers can use it to assess new candidates and current employees for leadership roles to see whether they would make effective leaders. It can also be used to identify areas for current leadership to improve in. Proponents of EI testing argue that it gives a more realistic assessment of leadership skills than skill or IQ testing. What are the productivity benefits of workplace personality tests? Workplace personality tests aren’t popular for no reason. Hundreds of thousands of organisations across the world, including Fortune 500 companies, use them for one simple reason — to build better teams and identify stronger leaders. Once a test is completed, it shouldn’t just be read once and discarded. These tests can reveal the intrinsic motivators that every person has. This information can then be used to better understand how to communicate with each other, as well as resolve conflicts. Employees who have undergone workplace personality testing have a heightened sense of self awareness. They can better understand what motivates them and use this information to tackle problems differently. Workplace personality tests can also be used to better understand each other. For example, if a whole team undergoes a DISC workplace personality test, it’s highly unlikely everyone on the team would come out as a D profile. Far more likely, the team will be built up of a healthy mix of different DISC profiles. Teams can use this information to better understand each other and divvy out tasks to those most suited to them. They can also use this information to understand colleagues whose behaviour may not previously have made sense to them, as they have different intrinsic motivators. This can make conflict more productive. Using a mix of self awareness and awareness of others, they can better resolve conflicts in the workplace and create productive solutions that work for everyone. Similarly, managers can use the information obtained from workplace personality testing to lead teams better. They can understand exactly what motivates each team member and better assign enjoyable tasks to employees based on this knowledge. For training, it can also help leaders identify different ways to train to maximise engagement and outcome. Overall, all these various workplace personality test benefits have a direct impact on the bottom line, which we talked about above. You have happier, more engaged teams who can communicate better and work more productively together. For recruitment processes in particular, workplace personality tests can speed up the entire process, reducing candidates to a smaller pool who you already know have the desired characteristics and behaviours for your company culture and the job role itself. Another unique benefit for recruitment is that workplace personality tests can reduce bias. Employers can make fairer decisions using the information provided from assessments to pick the best candidate for the role, as opposed to basing it on gut feeling or personal preference. The benefits of workplace personality testing for leadership We hinted at this in the introduction already, but many businesses aren’t getting leadership quite right. They promote based on technical skills alone, as opposed to the behaviours and characteristics necessary for employees to make good leaders. This matters, because as the old trope goes, people quit their boss, not their job. Research actually backs this one up, as around 57% of workers quit due to their direct supervisor. Moreover, managers account for at least 70% of the variance in employee engagement, which as we know has a huge impact on business productivity. This goes to show how important leadership skills are for managers. If they possess a high level of emotional intelligence, there is a high chance they will make more effective leaders and lead more productive teams. Workplace personality testing can give employers these insights ahead of internal promotions to ensure they’re promoting the right people to the right areas, as opposed to focusing on technical skill and length of service alone, as neither of these are indicative of a strong leader. What are the criticisms of workplace personality tests? The workplace personality test market is crowded. There are many organisations offering a huge variety of workplace personality tests. Many have great merit, others not so much. Many are making larger claims than they should be. A workplace personality test result cannot predict all behaviour. It can certainly indicate, but it is by no means a guarantee. As well as this, some write personality testing as a whole off as pseudoscience. This is often due to the lack of analysis and research behind some tests, but is well worth noting many other tests have been studied at length and found to have been reliable. One of the main criticisms surrounding workplace personality testing is whether the insight gained is actually useful. Much of this comes down to businesses simply using a workplace personality test and not then applying what they learn from that insight. How to use workplace personality tests to help your business There is little benefit, beyond entertainment, to taking a workplace personality test, if that test is then plonked in a drawer and forgotten about. For workplace personality tests to be beneficial to your business, you need to use the insights gained and take logical actions built on those insights. There are no end of ways to do this, but we’ll cover some common practical uses of workplace personality tests for businesses. Workplace Personality Tests for Hiring and Internal Promotion You can use workplace personality tests to gain more insight into the right people to hire for your business, as well as promote the best internal candidates to the best roles to suit them. How often have you brought in a new employee with all the skills they needed, only to have a team to have endless trouble working with them? This comes down to human nature and the behaviours that drive us. Hiring for behaviours and characteristics makes far more sense than hiring for skill, because skill can be taught far more easily than a new behaviour. Workplace personality testing can be used to assess candidate behaviours and speed up the hiring and onboarding process. Tailor Communication to Each Personality Type Some employees are perfectly happy to sit back and follow someone else’s lead, while others would much rather work autonomously and only communicate when they need assistance. Understanding your own personality type, as well as others, means you can tailor communications with every team member, across a business. Your team will get the type of communication they desire and feel more valued and respected as a result of it. Design More Productive Teams Let’s take DISC personality profiles as the example here and say one of your customer service teams is made up of a mix of I and S personality profiles. They all get on incredibly well as they value relationships in the workplace and are very people focused, but they love to chat all day. You could use the information obtained from this to identify that you need a D personality in that team to give more direction and focus. Our point is, you can use workplace personality tests to construct better teams with a mix of personality types that compliment each other to increase productivity and performance. Aid Employee Development Employees want long term opportunities for learning and development opportunities from the company they work for. You can use workplace personality tests to further your employees development. Once they understand their own personality assessment, they can identify areas of both strength and weaknesses to improve on, in turn, improving their performance and opening up new opportunities for promotion across the business. Better Motivate and Engage Employees Different personality types are motivated by different factors. You can use workplace personality tests to tailor feedback and goals to different employees. For example, those with a C personality profile in DISC personality testing pride themselves on quality and accuracy, so you can tailor performance goals with this in mind. Meanwhile those with an I personality profile prioritise relationships, so regular one to one feedback will help motivate these employees more than annual performance appraisals ever could. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

What is Operational Excellence? The ultimate objective of operational excellence is to maximise operating profit by creating as much value as possible with the resources available. Learn more. Published on: 21 Nov 2024 Put simply, the objective of operational excellence is to maximise operating profit by creating as much value as possible with the resources available. This has the effect of minimising costs, raising productivity and driving increased revenues. Suffice to say, all businesses should strive for operational excellence. That’s why we’ll be answering the question, “ what is operational excellence? ” in this article, as well as looking at its benefits and strategies to improve operational excellence in your business. What is Operational Excellence? There are many different definitions of operational excellence, but we like this one best: “ Operational excellence is the execution of continuous business improvement leading to outstanding performance metrics. ” Simple and to the point. When we’re coaching small businesses and larger SMEs, operational excellence involves us creating a culture of continuous improvement which creates a more efficient company with higher levels of staff productivity, and employee engagement. Perhaps most importantly ( and often overlooked ), it refines the company’s competitive advantage and unique selling proposition ( USP ). Operational excellence enables a company to effectively implement its business strategy. Each employee is clear about how value is being created, the part they have in creating that value themselves and how to quickly fix issues when they arise which drives long-term sustainable growth. With this understanding, operational excellence is unique to each organisation. But culture, employee engagement, leadership, process management, quality management and relationship management all have a part to play. Whilst typically associated with manufacturing, all companies of any size and type should aspire to operational excellence. Operational excellence tools include lean principles and six-sigma which aim to minimise waste in time and costs, as well as maximise quality. Principles of Operational Excellence The principles of operational excellence can be summarised as: 1. Respect for Employees Operational excellence begins with recognising the value of employees. Respecting employees means empowering them to contribute their ideas, involving them in decision-making, and creating a culture where their well-being and development are prioritised. It recognises that employees are not just resources but key drivers of innovation, productivity, and improvement. Respect also involves creating a safe, inclusive work environment where everyone feels valued and motivated to perform at their best. Action Points: Employee Involvement : Establish regular forums (e.g., team meetings, suggestion schemes) where employees can contribute ideas for improvement. Consider implementing a “suggestion of the month” scheme to reward innovative ideas. Empowerment : Provide employees with the autonomy to make decisions within their roles. For example, frontline staff can have the authority to address customer issues immediately without waiting for manager approval. Development and Training : Create personalised development plans for each employee, providing opportunities for career advancement and skill enhancement through workshops, courses, or mentoring programmes. Well-being Initiatives : Introduce wellness programmes, such as mental health resources, flexible working hours, or ergonomic workplace designs to show care for employee well-being. 2. Focus on Value Streams A value stream represents the sequence of activities needed to deliver a product or service to the customer. Focusing on value streams means identifying and optimising these processes to ensure that every step adds value from the customer's perspective. It involves eliminating waste, reducing inefficiencies, and ensuring that all resources are aligned towards delivering quality and timely outcomes. The goal is to create a seamless flow from idea to delivery, ensuring customer satisfaction while maximising efficiency. Action Points: Value Stream Mapping : Conduct value stream mapping workshops to visually map out each step in the process from start to finish. Involve cross-functional teams to identify where value is added and where waste occurs. Waste Elimination : Use lean tools (e.g., 5S, Just-in-Time) to identify and eliminate waste such as excess inventory, waiting times, overproduction, or defects in processes. Customer Feedback : Regularly gather and analyse customer feedback to ensure that the value delivered matches their expectations. Adjust processes if customer needs shift. Process Improvement Teams : Create dedicated teams focused on monitoring and improving specific value streams, using metrics like lead time, throughput, and cycle time to measure success. 3. Think Systemically Systemic thinking involves viewing an organisation as an interconnected system where changes in one part affect the others. In operational excellence, this means understanding the relationships between various functions, processes, and teams. By thinking systemically, organisations can avoid siloed approaches, make better decisions, and create strategies that optimise the entire organisation, not just isolated areas. It helps in anticipating unintended consequences and ensures that improvements are sustainable across the whole system. Action Points: Cross-Department Collaboration : Set up cross-functional task forces to work on projects that impact multiple departments, ensuring that each function understands how its work affects the whole system. System Mapping : Use tools like systems diagrams or causal loop diagrams to identify how changes in one area affect others. This can help in planning for unintended consequences. Integrated KPIs : Develop Key Performance Indicators (KPIs) that reflect system-wide performance rather than individual department successes to avoid local optimisation at the expense of the larger system. Holistic Decision-Making : Encourage leaders and managers to make decisions considering how those decisions will impact other parts of the organisation. Host decision-review meetings that focus on potential ripple effects. 4. Embrace Continuous Improvement Continuous improvement is the relentless pursuit of better ways of working. It’s a mindset where organisations consistently seek to enhance processes, products, and services. This principle, often associated with methodologies like Kaizen, encourages employees to regularly identify small, incremental improvements that can lead to significant gains over time. Embracing continuous improvement involves establishing a culture of learning, where feedback, experimentation, and adaptation are actively encouraged. Action Points: Kaizen Events : Organise regular Kaizen workshops where employees from all levels identify incremental improvements in their day-to-day tasks. Feedback Loops : Implement a feedback mechanism where employees, customers, and stakeholders can regularly provide feedback. Use this feedback to continuously refine products, services, and processes. Pilot Small Changes : Test small changes before full-scale implementation. For example, trial a new procedure in one department for a month, gather results, and make adjustments before rolling out company-wide. Learning Culture : Encourage employees to learn from failures by hosting ‘lessons learned’ sessions after each project or initiative. Use these lessons to refine future processes. 5. Encourage Collaboration Collaboration is key to operational excellence because it breaks down silos and leverages diverse perspectives. Encouraging collaboration means fostering a work environment where cross-functional teams work together towards common goals. It involves transparent communication, shared knowledge, and the integration of ideas across departments. When collaboration is encouraged, innovation flourishes, problem-solving becomes more effective, and a sense of shared ownership develops, leading to improved organisational outcomes. Action Points: Collaboration Tools : Introduce collaboration platforms (like Microsoft Teams, Slack, or Asana) to allow for easier communication and teamwork, especially for cross-departmental projects. Cross-Functional Teams : Create teams that include members from different departments to work on strategic initiatives or problem-solving projects, promoting diverse perspectives. Shared Goals : Ensure that departments and individuals have shared goals that align with overall organisational objectives, reducing siloed behaviour. Team-Building Activities : Organise regular team-building activities or problem-solving workshops that encourage collaboration and build trust among team members. 6. Standardise Wherever Possible Standardisation is about creating consistency and predictability in processes. By establishing standard operating procedures (SOPs) , organisations ensure that work is performed in the most efficient, reliable, and safe way. Standardisation helps reduce variability, ensures quality, and makes training easier. However, it also allows for flexibility when improvements are identified. This principle promotes efficiency while still allowing for innovation and adaptation where necessary. Action Points: Develop SOPs (Standard Operating Procedures) : Document the best-known methods for performing tasks and make them easily accessible to employees. Use SOPs for routine tasks to ensure consistency. Automate Repetitive Tasks : Wherever possible, automate routine tasks using software solutions, such as automating payroll or inventory management, to free up human capacity for higher-value work. Regular Review of Standards : Schedule periodic reviews of all standardised processes to ensure they are still effective and relevant. Update SOPs as needed based on new learnings or process improvements. Training and Onboarding : Ensure that every new employee is trained on the standard procedures from day one, creating a consistent base of knowledge and work methods across the organisation. 7. Build Your People, Suppliers, and Partners Operational excellence extends beyond the internal workforce; it involves building strong relationships with suppliers and partners as well. Building people means investing in their skills, development, and engagement. By training and developing employees, organisations enhance their capability to drive improvements. Building suppliers and partners means nurturing collaborative relationships based on mutual trust and shared goals, ensuring that everyone in the supply chain is aligned towards delivering value to the end customer. Action Points: Employee Development : Invest in continuous learning for employees through workshops, seminars, or on-the-job training. Provide leadership development programmes to groom future leaders. Supplier Partnerships : Build long-term partnerships with key suppliers by fostering open communication, trust, and mutual benefit. Share forecasts, and collaborate on innovation and improvements in the supply chain. Supplier Audits and Support : Regularly assess supplier performance, but also provide resources and support to help them meet your standards. This can involve training on your processes or joint improvement initiatives. Partner Integration : Work closely with strategic partners to align goals, share data, and jointly solve problems that can improve overall performance for both parties. These principles work together to create a culture of operational excellence, where every part of the organisation is aligned towards achieving sustained success through efficiency, collaboration, and continuous improvement. Perhaps the best-known framework for operational excellence is the Toyota Production System . Operational excellence is therefore very much about improving employee productivity. Happier staff will make for more productive staff, more loyal customers and ultimately, improved profitability. There are two aspects to improving employee productivity, that’s their personal productivity ( their time management ) and their worker productivity ( their worker efficiency ). As a business grows they take on more staff, more customers, more products or services, suppliers, partners and so on. If there is insufficient focus on continuous business improvement, eventually the issues generated stops any further growth. The Benefits of Operational Excellence There are many, many benefits for businesses who strive for operational excellence, but some of the most notable include: Improved Competitive Advantage from Better Market Alignment Operational excellence allows businesses to better align their products and services with market demands. By streamlining processes and focusing on delivering maximum value, companies can respond more quickly to changing market conditions, meet customer needs more effectively, and differentiate themselves from competitors. This agility provides a competitive edge, enabling businesses to stay ahead in a rapidly evolving marketplace. Reduced Service Costs from Streamlined Operational Processes Streamlining operational processes eliminates inefficiencies, reduces waste, and optimises resource allocation. By improving workflows, companies can lower the costs associated with delivering services, such as labour, materials, and time. This reduction in operating costs not only improves profitability but also allows businesses to reinvest savings into other areas, such as innovation or customer service, further enhancing their competitive position. Fewer Service Delivery Issues from More Standardisation and Low-Friction Customer Experience Standardisation of processes reduces variability and ensures consistency in service delivery, both internally and externally. This leads to fewer errors, less rework, and smoother interactions with customers. When operational processes are reliable and frictionless, it improves the customer experience, increases satisfaction, and reduces the number of complaints or issues, resulting in greater customer loyalty and retention. Personalised Service Delivery from a More Engaged Workforce An engaged workforce is more motivated to go above and beyond to deliver personalised and high-quality services. Operational excellence creates a work environment where employees feel empowered, valued, and aligned with the company’s goals. This heightened engagement translates into more attentive and customised service for customers, enhancing their overall experience and satisfaction. Improved Profitability from Increased Sales and Lower Operating Costs Operational excellence drives efficiency, reducing the cost of delivering products and services. Coupled with the ability to deliver higher-quality outputs, this leads to increased customer satisfaction, more repeat business, and greater sales. The combination of lower operating costs and increased revenue directly improves profitability, making the business more financially sustainable and capable of investing in growth opportunities. Improved Company Culture from Increased Employee Engagement Fostering a culture of operational excellence improves employee engagement by creating a workplace where continuous improvement, collaboration, and respect are prioritised. Employees who feel they are part of a well-functioning system that values their contributions are more satisfied, motivated, and loyal. This creates a positive company culture that attracts top talent and reduces turnover, enhancing long-term performance. Increased Company Longevity from Enhanced Adaptability and Market Relevance Operational excellence builds adaptability into the organisation by encouraging a continuous improvement mindset and systemic thinking. Businesses that can quickly adapt to market changes and customer needs are more likely to thrive over time. By consistently staying relevant and maintaining a customer-focused approach, companies enhance their chances of long-term success and sustainability. A More Engaged Leadership Team; a Prerequisite for Any Successful Change Programme Leadership engagement is critical to the success of any operational excellence initiative. When leadership is actively involved and invested in the programme, it sets the tone for the rest of the organisation. An engaged leadership team drives the vision, supports the culture, and ensures the necessary resources and commitment are in place to achieve excellence, making the organisation more agile and resilient in the face of change. Improved Internal Communications from a Shared and Motivating Vision Operational excellence promotes a clear, unified vision that is shared across the organisation. This common focus improves internal communications, ensuring that every department and individual is aligned towards the same goals. With a motivating vision in place, teams are more likely to collaborate effectively, break down silos, and work together towards achieving continuous improvement. End-to-End Business Performance Improvement from Aligned Continuous Improvement Efforts By aligning continuous improvement efforts across the entire organisation, operational excellence ensures that improvements are not limited to isolated areas but span from end to end. This holistic approach improves every aspect of the business, from production and logistics to customer service and marketing. The result is a seamless operation that consistently delivers value, improves performance, and drives sustainable growth. Sustained Business Growth from Increased Accountability for Process Improvement Operational excellence instils a sense of accountability at all levels of the organisation for identifying and implementing process improvements. This culture of ownership ensures that everyone contributes to making the business more efficient and effective. As a result, the company becomes better equipped to scale and sustain growth over the long term, driven by constant enhancements in processes and performance. The Considered Adoption of New Technologies Based Only on Results, Not Trends With a focus on operational excellence, businesses are more discerning about adopting new technologies. Instead of following trends, they implement technologies that deliver tangible results and align with their operational goals. This thoughtful approach ensures that technological investments drive real value and improve efficiency, rather than adding unnecessary complexity or cost. Recruitment of Digital Talent Who Know How to Embrace New Technologies and Its Benefits Operational excellence requires digital talent who can harness the power of new technologies to optimise processes and drive innovation. A focus on excellence helps attract top digital talent who are skilled in implementing and managing technological solutions that deliver measurable improvements. These individuals are crucial for maintaining a competitive edge in today’s technology-driven market. Increased Customer Satisfaction from a Shared Focus on Customer Delight A key principle of operational excellence is delivering maximum value to customers. By prioritising customer satisfaction across all departments, companies can create a culture focused on delighting customers. This shared focus results in consistently positive experiences for customers, leading to greater loyalty, higher retention rates, and a stronger brand reputation. Increased Sales from Word-of-Mouth Referrals Amplified by Social Media Satisfied customers become brand advocates, spreading positive word-of-mouth recommendations. In today’s digital world, these referrals are often amplified by social media, where a single positive review can reach hundreds or thousands of potential customers. Operational excellence creates a consistent level of service and quality that encourages positive feedback, driving increased sales through organic promotion and social proof. The benefits of operational excellence are far-reaching, impacting every aspect of a business from leadership and employee engagement to customer satisfaction and profitability. By embracing these principles, organisations can create a sustainable competitive advantage, improve their overall performance, and position themselves for long-term success. How to Implement Operational Excellence 1. Leadership Commitment: The First Challenge The first challenge in achieving operational excellence lies in leadership commitment . The leadership team must not only endorse the change programme but be actively involved in driving it. Operational excellence requires a shift in the way the organisation operates, and this shift must be modelled from the top down. Leaders need to champion the principles of operational excellence, make tough decisions, and be willing to invest time and resources into the programme. Without their full commitment, initiatives may lack the authority, focus, and strategic alignment needed for success. Key Considerations for Overcoming the Leadership Challenge: Clear Vision and Communication : Leadership must clearly articulate the vision of operational excellence, explaining why it is important and how it aligns with the broader business objectives. This vision should be communicated regularly and consistently across all levels of the organisation. Leading by Example : Leaders need to embody the behaviours and practices of operational excellence. If continuous improvement, respect for people, and collaboration are key values, leaders must demonstrate these daily through their actions and decisions. Accountability : Leaders should hold themselves and others accountable for progress in the operational excellence journey. This includes setting measurable goals, tracking key performance indicators (KPIs), and regularly reviewing progress. Empowering Middle Management : Leadership needs to engage middle managers, providing them with the authority and tools necessary to lead their teams through change. Middle management often plays a crucial role in bridging the gap between leadership vision and frontline execution. 2. Cultural Engagement: The Second Challenge The second challenge is creating a culture that fully engages staff with the operational excellence programme. Culture is the underlying driver of how employees behave, and achieving operational excellence requires a cultural shift towards continuous improvement, collaboration, and a focus on customer value. Without genuine buy-in from staff, the programme can fail to gain traction, resulting in resistance to change, low morale, or even active sabotage of initiatives. Key Considerations for Overcoming the Culture Challenge: Employee Involvement : Engage employees early in the change process by involving them in discussions about improvements. When employees feel they are part of the process, they are more likely to embrace change. Use workshops, suggestion schemes, and problem-solving sessions to make them feel included. Transparency and Trust : Be transparent about why changes are happening, and how they will affect the organisation and individual roles. Honest communication fosters trust and reduces fear of change. Explain how the operational excellence programme benefits employees, such as through job security, better working conditions, or opportunities for career development. Training and Support : Equip staff with the necessary skills and knowledge to succeed in an operational excellence environment. This includes training on new processes, tools, or methodologies like lean or Six Sigma. Supporting employees through change, both emotionally and practically, can help reduce resistance and ensure smoother implementation. Recognising and Celebrating Success : Recognise and reward employees who actively contribute to the success of the operational excellence programme. Celebrate small wins to create momentum and show that the programme is working. 3. Sustaining the Programme: The Third Challenge The third challenge is sustaining the operational excellence programme over the long term. Many organisations face change fatigue —a sense of weariness among employees caused by an overload of new initiatives and constant changes. Employees can become disengaged, resistant, or simply exhausted by the continual focus on improvement. Moreover, operational excellence can be sidelined if the organisation launches another major change programme without fully embedding the current one, leading to confusion, competing priorities, and a dilution of focus. Key Considerations for Overcoming the Sustainability Challenge: Pacing the Change : Operational excellence is a long-term commitment, and change should be paced accordingly. Avoid overwhelming staff with too many initiatives at once. Focus on incremental improvements and allow time for changes to be embedded before introducing new ones. Consistency and Longevity : Leadership must show that operational excellence is not a short-term initiative, but a permanent way of working. Create a long-term roadmap that outlines how the programme will evolve over time, and consistently communicate its importance. Building a Continuous Improvement Culture : Cultivate a culture where continuous improvement becomes second nature. This can be done by providing ongoing training, encouraging employee feedback, and regularly reviewing processes to find further improvements. When continuous improvement is embedded into the culture, operational excellence becomes self-sustaining. Avoiding Competing Programmes : Ensure that other strategic initiatives are aligned with the principles of operational excellence, rather than conflicting with them. Every new programme should complement and enhance the operational excellence framework rather than diverting resources and focus. Monitoring and Adaptation : Use KPIs and regular assessments to monitor the progress of the operational excellence programme. Be willing to adapt and refine the programme based on feedback and changing business conditions to keep it relevant and effective. Achieving operational excellence is not a one-off project, but a journey that requires ongoing commitment from leadership, a cultural shift among employees, and sustained effort to avoid burnout. By addressing these three challenges—leadership commitment, cultural engagement, and long-term sustainability—organisations can create a resilient framework that drives continuous improvement, enhances efficiency, and delivers lasting success. 8 Strategies to Improve Operational Excellence Operational excellence involves creating a culture of continuous improvement and optimisation across all areas of the business. While the approach to operational excellence may vary depending on your business’s current state, certain strategies have proven to be universally effective in moving towards peak operational performance. Below are eight expert-level strategies that can drive sustainable improvements in operational excellence. 1. Maximise ROI from Staff Learning and Development Merely sending employees to training courses or workshops often falls short in realising meaningful change in behaviour or performance. To truly enhance operational excellence, it is essential to focus on the application and retention of the knowledge acquired. Actionable Strategy : Implement post-training follow-ups, such as coaching, on-the-job practice, and assessments, to ensure employees not only absorb the training but apply it effectively in their daily tasks. Use knowledge retention metrics and performance-based KPIs to measure the long-term impact of training. Integrating Training into Workflow : Establish a feedback loop where employees can provide insights on the effectiveness of training and suggest improvements, allowing for a dynamic, responsive training programme. Result : This approach will transform training from a periodic activity into a continuous development cycle, ensuring higher performance and customer satisfaction. 2. Boost Sales Through Enhanced Conversion Rates and Active Engagement Operational excellence in sales is not just about increasing volumes but also optimising the sales process itself. The focus should be on maximising conversions and deepening customer interactions. Actionable Strategy : Evaluate the preparedness and involvement of your sales team by analysing call quality, follow-up rates, and conversion ratios. Implement data-driven sales training that focuses on customer needs analysis, value-based selling, and objection handling. Leveraging CRM Systems : Use CRM tools to track every interaction and measure the effectiveness of your sales force. Automate mundane tasks like follow-up reminders to ensure no leads fall through the cracks. Result : Increased sales conversions and enhanced sales team engagement, ultimately contributing to better top-line growth. 3. Reduce Unnecessary Service Calls by Enhancing Customer Service Processes Many service calls stem from preventable issues, often reflecting underlying process inefficiencies. Operational excellence in customer service requires proactive problem-solving, minimising touchpoints, and reducing repetitive inquiries. Actionable Strategy : Analyse service call data to identify common pain points. Implement root cause analysis (such as the 5 Whys or Pareto analysis) to determine what drives service calls. Improve service processes, documentation, and customer self-help tools to reduce unnecessary contacts. Automation for Efficiency : Use automation in customer service, such as chatbots or AI-driven help desks, to resolve simple issues quickly and direct complex problems to the right teams. Result : Reduced service call volumes, increased customer satisfaction, and lower service-related operational costs. 4. Improve Marketing ROI with Advanced Metrics and Data Insights Operational excellence in marketing requires detailed insight into how your campaigns perform and how effectively they convert leads into sales. Optimising marketing spend starts with understanding where you get the most return on investment. Actionable Strategy : Implement advanced analytics to assess the effectiveness of different marketing channels. Use attribution modelling to determine which touchpoints have the greatest impact on lead generation and sales conversion. Data-Driven Decisions : Regularly review campaign performance and use A/B testing to continuously refine messaging, audience targeting, and channel allocation. Result : Improved marketing performance, reduced wastage, and a sharper focus on campaigns that deliver the best ROI, driving more quality leads and sales. 5. Increase Employee Engagement for Business Growth Your staff are the backbone of operational excellence, and their engagement directly affects productivity, customer service, and innovation. A disengaged workforce leads to higher turnover, lower productivity, and missed growth opportunities. Actionable Strategy : Implement employee engagement surveys to measure morale and satisfaction. Use this data to create actionable improvement plans, such as tailored career development opportunities, flexible working conditions, and a recognition and reward system. Incorporate Employee Input : Encourage employees to contribute to process improvement initiatives. When employees are part of the change process, they are more likely to feel invested in the company's success. Result : A motivated and engaged workforce that drives productivity, innovation, and business growth, while reducing costly turnover. 6. Adopt a Continuous Improvement Mindset The foundation of operational excellence is a culture of continuous improvement (CI), where every process is constantly evaluated and optimised in a business improvement programme . This mindset reduces waste, improves efficiency, and fosters innovation. Actionable Strategy : Implement Kaizen events or small, frequent improvements in day-to-day operations. Establish cross-functional teams that meet regularly to identify inefficiencies and propose solutions. Lean Methodologies : Utilise lean methodologies to eliminate waste, such as Just-In-Time (JIT) inventory, and empower employees to suggest process improvements through CI programmes. Result : A more efficient and dynamic organisation that continuously seeks out opportunities to streamline operations, reduce costs, and improve quality. 7. Plan Strategically to Minimise Risk and Increase Confidence Long-term operational excellence requires strategic foresight. Businesses that are reactive often fall behind, while those with robust planning minimise risks and capitalise on opportunities. Actionable Strategy : Develop scenario planning exercises to anticipate potential risks (e.g., supply chain disruptions, market shifts) and create contingency plans. Regularly update strategic plans based on changing conditions and internal performance data. Risk Management : Implement a risk management framework to proactively identify and mitigate potential operational risks, ensuring that you are always prepared for potential disruptions. Result : Increased operational resilience, lower risk exposure, and a more confident workforce equipped to handle future challenges. 8. Measure Business Productivity Through Data-Driven Metrics To achieve operational excellence, you must measure productivity rigorously across all levels of the organisation. Clear metrics help you identify bottlenecks and track improvements over time. Actionable Strategy : Establish productivity KPIs (e.g., output per employee, revenue per employee) and track them continuously using business intelligence tools. Use benchmarking to compare your productivity against industry standards and competitors. Integrated Performance Dashboards : Implement integrated dashboards that allow leaders to monitor key metrics in real time, driving faster decision-making and enabling rapid response to issues. Result : Improved resource allocation, streamlined operations, and an ongoing focus on optimising productivity, leading to sustained competitive advantage. By implementing these expert-level strategies, businesses can systematically improve operational efficiency, reduce costs, engage employees, and delight customers. Operational excellence is not achieved overnight, but with a clear strategy, commitment from leadership, and continuous focus on improvement, it is possible to build a culture that drives long-term success and growth. We Help Businesses Achieve Operational Excellence We can help your business learn to strive towards operational excellence every day with our business improvement programme . Our unique combination of project, people and business management will transform your business into a productivity powerhouse, putting you miles ahead of the competition. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Embracing VUCA: How Businesses Can Thrive in a Rapidly Changing World Discover how businesses can navigate volatility, uncertainty, complexity, and ambiguity (VUCA) by integrating ESG principles, sustainable innovation, and conscious capitalism for long-term succes Published on: 8 Sept 2022 The business landscape has undergone a seismic shift in recent decades. We live in an interconnected age where change is swift, constant, and unpredictable. Technological advancements, social media, smartphones, and global events such as the 2008 financial crisis, the COVID-19 pandemic, and the ongoing Ukrainian conflict have intensified uncertainty and turbulence. In this environment, people are searching for stability and predictability. The term that best encapsulates today’s business climate is VUCA – an acronym for Volatile, Uncertain, Complex, and Ambiguous. What is VUCA, and Why Does it Matter? The concept of VUCA originated at the United States Army War College after the 9/11 terrorist attacks in 2001. It was used to describe the evolving and unpredictable global security landscape. Today, VUCA is widely applied in business to understand the complexities of modern markets. Volatile – Rapid, unpredictable change with unknown durations. Uncertain – A lack of clarity about the present and future. Complex – Multiple interconnected factors contribute to chaos. Ambiguous – A lack of clear answers or obvious paths forward. Companies that embrace the principles of agility, adaptability, and innovation are better equipped to navigate this unpredictable terrain. The Fourth Industrial Revolution and Global Warming: Twin Forces Shaping the Future The Fourth Industrial Revolution, driven by automation, AI, and digitisation, is fundamentally altering industries and societies. However, this technological boom coincides with mounting environmental challenges. Industrialisation and fossil fuel consumption have significantly contributed to rising carbon emissions, driving global warming and climate change. Fossil fuels account for approximately 65% of human-generated greenhouse gases, fuelling industries, transportation, and electricity. As deforestation accelerates to make way for urban expansion and agriculture, the natural balance of carbon sinks is disrupted, intensifying the crisis. How Industrialisation Impacts Society and Mental Health Since the Industrial Revolution began in 1760, global income levels and populations have surged. However, with rapid growth has come increased stress, mental health issues, and a relentless pursuit of wealth. The desire for bigger houses, new cars, and promotions often takes precedence over personal well-being. Studies show that economic growth, measured by Gross Domestic Product (GDP), does not directly correlate with happiness. The World Happiness Report highlights that while GDP tracks tangible goods and services, it overlooks factors like mental health, community, and creativity. A balanced approach that values human experience alongside economic output is essential. Rethinking Capitalism: Building a More Inclusive and Sustainable Future Capitalism has driven innovation, alleviated poverty, and improved living standards globally. However, it has also widened inequalities and contributed to environmental degradation. To address these challenges, initiatives such as the Council for Inclusive Capitalism and Conscious Capitalism are redefining success by prioritising sustainable growth, social equity, and ethical leadership. The Role of ESG in Shaping Better Business Practices Environmental, Social, and Governance (ESG) criteria are transforming investment landscapes. Investors are increasingly screening companies based on their environmental impact, social responsibility, and governance practices. By aligning with ESG principles, businesses mitigate risks, attract ethical investors, and contribute to long-term societal benefits. Notable Examples: BP’s 2010 Gulf of Mexico Oil Spill – ESG failures cost billions and damaged reputations. Volkswagen Emissions Scandal – Governance lapses led to financial losses and public trust erosion. Creating a World Improvement Programme: The Path to Global Sustainable Development In 1992, world leaders gathered in Rio de Janeiro for the Earth Summit , resulting in Agenda 21 , a global initiative for sustainable development. Today, the 2030 Agenda for Sustainable Development outlines 17 Sustainable Development Goals (SDGs) to combat poverty, reduce inequalities, and tackle climate change. Businesses can play a vital role in achieving these goals by: Reducing carbon footprints Investing in renewable energy Promoting employee well-being and diversity Supporting local communities Organisations Leading the Way Forum for the Future – Accelerates the transition to a sustainable world by partnering with businesses and governments. Business Roundtable – Advocates policies that promote economic opportunity and job creation in the U.S. Council for Inclusive Capitalism – Drives inclusive growth and sustainable development. Conclusion: A Call for Conscious Growth and Sustainable Innovation As the world grapples with VUCA environments, the need for conscious capitalism, ESG integration, and sustainable innovation has never been greater. Businesses must shift their focus from short-term profits to long-term value, prioritising people, the planet, and prosperity for all. By embracing these principles, organisations can not only survive but thrive in an era of uncertainty, contributing to a more equitable and resilient future. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

How to Create a High Productivity Business Operating System High productivity business operating systems allow your business to be at its most productive and profitable. Learn more in our quick how to guide. Published on: 18 Jun 2020 Imagine driving a high-performance car with the wrong engine. No matter how sleek it looks, it won’t win the race. The same applies to your business. Without a high-productivity Business Operating System (BOS), you’re limiting growth, missing opportunities, and leaving profitability on the table. In this guide, discover how to fine-tune your business engine to maximise performance, profitability, and long-term success. What is a Business Operating System (BOS)? Your BOS is the backbone of your company – the framework that integrates your processes, roles, systems, and culture. It’s more than software or technology; it’s the unique way your business operates and thrives. A high-productivity BOS aligns every aspect of your business, ensuring marketing, sales, production, and service delivery function seamlessly. It’s the secret behind consistent growth, innovation, and scaling without chaos. Why Your Business Operating System Determines Success or Failure A failing BOS leads to sluggish performance, high staff turnover, and wasted resources. Conversely, a well-optimised BOS drives efficiency, motivates teams, and sharpens your competitive edge. Consider this: Toyota’s Production System (TPS) didn’t just improve manufacturing; it reshaped the entire automotive industry by focusing on lean processes and innovation. Similarly, Starbucks' BOS ensures you get the same experience, whether in London or New York, by defining clear roles, processes, and customer touchpoints. 5 Core Components of a High-Productivity BOS To build a BOS that accelerates growth, focus on these five key areas: Processes Streamlined processes reduce waste and maximise efficiency. Document workflows , eliminate redundancies, and create a framework that scales. Regularly review and optimise processes to keep pace with market changes. Example: Amazon’s fulfilment centres operate with precision because of meticulously designed processes that optimise order picking and packing. Systems Systems provide predictability and consistency. From CRM software to employee training frameworks, systems create stability and remove guesswork. Tip: Implement automation tools to standardise repetitive tasks, freeing up talent for strategic initiatives. Roles Clear roles eliminate confusion, increase accountability, and align with company objectives. Define each role to support the company mission, ensuring every employee understands their contribution to the bigger picture. Example: In Lego, defined roles and a culture of innovation empower staff to continuously improve processes and product design. Skills Skills drive performance. Identify the skills needed for each role and provide ongoing training to enhance employee capabilities. Upskilling improves productivity and ensures your team adapts to industry trends. Actionable Tip: Offer regular professional development and mentorship programmes to build a future-ready workforce. Structure Organisational structure shapes how decisions are made and ideas flow. Move away from rigid hierarchies to agile structures that empower employees and encourage innovation. Case Study: Spotify’s ‘squad’ structure enables cross-functional teams to collaborate efficiently, driving faster product development. Signs of a Low-Productivity BOS Long working hours without results High staff turnover and disengagement Missed project deadlines Lack of accountability and ownership Declining customer satisfaction If these symptoms sound familiar, your business may be operating on a low-productivity BOS that’s holding you back. Steps to Create a High-Productivity BOS Audit Your Current BOS Identify bottlenecks, inefficiencies, and areas of friction. Engage employees for feedback and analyse performance metrics. Redesign Processes and Systems Simplify complex workflows and introduce new technologies that promote efficiency and scalability. Clarify Roles and Responsibilities Eliminate overlaps and ensure every role contributes to the overall vision. Use tools like RACI matrices to clarify ownership. Invest in Talent Development Offer skill development programmes and leadership training to enhance employee capabilities. Implement Continuous Improvement Regularly revisit and refine your BOS using employee engagement surveys, customer feedback, and performance data. The Payoff of a High-Productivity BOS A robust BOS leads to increased profitability, higher employee engagement, and improved customer experiences. More importantly, it provides the foundation for sustainable growth, freeing you to scale or plan your exit strategy without stress. By investing in a high-productivity BOS, you’re not just improving operations – you’re future-proofing your business for long-term success. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

How to write a vision statement Over time there will be 100s, 1000s of decisons being made across the business, from the tiny to the big and strategic. An inspiring vision statement is essential for effective collaboration and decision making. An inspiring vision statement is essential for the long-term growth of a company. Is it going to help you sell more today? Perhaps not, but over time there will be 100s, 1000s, perhaps millions of decisions being made across the business, from the tiny to the big and strategic. So, what’s going to hold all that together? People making individual decisions, in teams, at different times and perhaps in different locations? Many of these decisions will be about the here and now, making the right decision at this very moment. But if all our decisions are short-term and uncoordinated like this, they’ll be no long-term future. The vision statement provides the essential and invisible glue between the here and now and the future for everybody in the business. Adam Smith (1723-1790), known as the ‘The Father of Capitalism’, created the economic concept of “The Invisible Hand”, which describes the unintended benefits brought about by individuals acting in their self-interest. You can think of the vision statement as analogous to that but for companies, not markets, and for the collective good, not people’s self-interest. Interestingly, people’s self-interest can also be met when there is agreement and collaboration around a vision statement. The vision statement helps to define your company’s identity and destination. It helps to define the soul of the company. Otherwise, in the words of Lewis Carroll (1832-1898): “If you don’t know where you are going, any road will get you there.” And that could be a fairly directionless option. How to write a vision statement When you start writing a vision statement, consider how you want people to feel and how the world will be a better place when your company follows its vision. Think about your products and services, how are they improving people’s lives today and what will be the affect of that in the future. So, it shouldn’t be too vague or esoteric. It should not be a tick-box exercise. If you’re writing a vision statement only because you don’t have one yet, then that’s the wrong reason. It should be written because you want to get staff on the same, motivated and inspiring page, engaged by something that’s bigger than any individual, so they come to work dreaming of making a difference, not thinking about their weekends or paying their mortgages. The vision statement needs to define a better future world; one that your company can help make a reality. If a vision statement already exists, then see how many staff actually know about it and can recite it. The shorter and more concise the better as it has to be readily understood, remembered and implemented. Writing a vision statement doesn’t have to be a challenge; it can be a helpful exercise in defining why your business is trading and its future. It’s a great exercise in thinking about something other than money and profits. It can help encapsulate your core ideals and raison d'être . It will provide your business with a specific direction and destination with a clear focus and increased coherence for improved teamwork and collaboration. In writing a vision statement consider what is unique or different about what you do, and make it as human as you can, so it connects with people’s need for a sense of purpose. It needs to inspire people to get them up on a frosty winter’s morning, with 10 feet of snow outside, and go to work. Crafting a vision statement combines ideas, creativity and deep thought. It’s best to track back to why the founder/s created the business in the first place. The original vision may have changed, but it’s a good place to start nonetheless. What original opportunity did they identify? It may be that the directors aren’t the greatest wordsmiths, so using a creative copywriter may help to tease out the words in a more succinct and engaging way. A vision statement can be produced as a video message to engage and communicate in a way that works better than framing it and putting it on an office wall or brochure. Why write a vision statement? The vision statement creates a ‘North Star’ that everybody can see and follow. So, when things get difficult and obstacles to progress appear, it will serve as an essential guidepost for updating the strategy, if that’s required, and for checking that the new or updated strategy adheres to the vision. Everybody in the organisation can ask themselves if their current actions help or hinder the realisation of that vision, or how can an action be completed in a better way that brings that vision closer. From strategy planning to picking up the phone, all actions can be guided by an overarching vision that people connect with. Many companies write a vision statement, but does anyone remember them, especially their own staff? There’s no point having a vision statement if it doesn’t become part of the culture and way of doing business. A vision statement provides a real, ideally visceral destination for a company or person. Individuals can write their own visions statements too. It creates a mental picture that everybody can understand and be motivated by. What makes a good vision statement? If the vision statement isn’t motivating to you or anybody else, then it’s worth considering why that is and changing it – or the company you work for. It defines why the company exists, so it needs to be ambitious to motivate and inspire everybody. It should create a solid mental image of what your company will do for your customers in the future. Furthermore, it can help provide guidance in defining the company’s values. The vision statement has to be more than just words and a business planning exercise, it needs to be turned into action, behaviours and attitudes. The vision statement isn’t something to be done, dusted and forgotten about as part of a strategy session. It must become something that changes people’s minds, makes them reconsider and act congruently with it. In this respect, it will underpin the company culture. So, writing the vision statement is only 20% of the work, the rest is ensuring it’s made real and realised. A vision statement needs to be idealistic, if it’s not moving humanity forward in some way, it’s probably not worth pursuing and eventually the energy will dissipate from the company, and it will lose traction. A good vision statement can drive innovation and new ideas as staff get creative in thinking of ways to help realise the vision sooner. If it’s a clear and inspiring destination, your staff will want to get there all the sooner. It should help build stronger teams as everybody has a common purpose. What's the difference between a vision and a mission statement? The vision and mission statements need to have an obvious and definable purpose and not be confused with each other. Otherwise, they will be counterproductive. Confusion in this area seems to be at nearly 100%. The vision statement is not about the company, but how the world or people’s lives will be improved because the company exists. The vision statement is the emotional half. It needs to answer the question: “How will people feel when we realise our vision?” . Safer, happier, more organised, and so on. A mission statement is about the company and how its products or services will help make the vision a reality. It has to answer the question: “What does the company have to create for the vision to become a reality?” . The mission statement is the logical half. It’s more definitive and states what will happen, when, by who and how. It’s more tangible. A vision statement is about the future, making a reality out of a dream, something that would be great to create, to exist, that will benefit mankind and the world one day, so it engages and motivates staff, managers, directors and owners alike. The vision statement is about what the company hopes to be one day in terms of the good it brings to society. It is the organisation’s North Star. The vision statement, then, is something that talks to the Society and Family/Community and Planet circles of The Awardaroo Way at a company level, but also at the employee level. Both staff and the company need to have a vision statement they align with. How to test a vision statement Try comparing your vision statement to those of your competitors or other companies. Does it look different – you don’t want it to be too generic, or ‘me too’. It needs to be idealistic, unique, and engaging. It should be grounded in the reality of your business, it must feel realistic, authentic and achievable, but challenging nonetheless. Who is the vision statement for? The primary audience for the vision statement is your staff. It has to inspire and motivate them, be something that binds them together as a team. It’s also useful as an external communications tool, but only by way of helping to communicate your identity and purpose. It’s not a marketing tool per se , that’s not its purpose. But it can certainly help guide marketing messages and the external perception of the company. What are the benefits of having a vision statement? Staff will be more engaged and if they are more engaged they will be more productive, so your bottom line will improve. It’s a good tool for recruitment to help ensure you attract the right staff that share your ideals and goals, your vision. What have the new hires done in their past that aligns with your vision? It helps to define and update your strategy. It helps people with their time management. It helps to define the company values. Who creates the vision statement? It should be created by the owners and directors and then shared with managers and staff for feedback. The vision needs to be congruent with the directors' and owners' aspirations and values for the company and the reason they’ve invested in the business and the risks they are taking. However, you can’t create a vision by a committee. It has to communicate a clear point of difference or purpose that should be understood by the directors. If this isn’t the case, then the lack of clarity and focus at the top will spell trouble ahead. If you write a vision statement by committee, you’ll end up with an uninspiring compromise that motivates nobody and may even do more harm than good. The vision has to come from the top down as ultimately it is senior leadership who will be making the strategic decisions, so they need to own the vision and share it with everybody else for feedback. Everybody needs to be in alignment with the vision. Before signing off on your vision statement, sharing it with everybody and getting feedback will help you understand if it requires changing while keeping it aligned with the directors’ and owners’ goals and aspirations for the company. How to use a vision statement It needs to become a part of the company culture and not just put in a picture frame and left on a wall. As we have said, it can be used as a communications tool for staff and managers to help guide strategic planning decisions. Your staff have to be bought into the vision statement and feel that it forms a part of their own goals and aspirations. It is the antidote to the relentless focus many companies have on making short-term profits. Companies should ask themselves does this short-term strategy help us realise the vision statement’s long-term vision or undermine it? A vision statement is one of many business documents that help to define the company’s purpose and so it needs to align with other business documents, such as the mission statement, strategy and core values. It is an important document and so is the process of writing it as it helps to define the culture of the company. It doesn’t have to be set in stone, but changing it should only be done when necessary, as it represents something that everybody in the company buys into and believes in. Nine qualities of a good vision statement A vision statement has to contain the following: Be concise, inspiring and easily remembered. Be something that everybody can relate to that will help guide decision-making every day Be a significant reason people will want to join your company in the first place. Be specific to your company, your goals and aspirations, something unique that defines your brand Inspire employees and engage new customers to want to take a closer look at your company, although marketing is not its primary purpose. It mustn't feel too remote and unobtainable, otherwise it won’t be motivating or too easy to accomplish, as it won't inspire anybody. It should fit with your company values It should be something intriguing, novel and engaging that gets people to think, ah yes, I like that idea, I can connect with that Relate to your market, so it connects with them; kids, men, women, businesses, students, again, even though its primary purpose isn't marketing. What to consider when writing a vision statement If you’re writing a vision statement for a start-up, it may be the first thing you do. But if the company is already trading, and you’ve joined as the new managing director, you may need to consider what is already in place. In this case, you may want to ask staff what they think the vision is. See if there is agreement and then how well that fits with your own ideas of what a vision statement should be. In this case, it will be important to take everybody along with you. However, a vision statement shouldn’t be watered down to increase agreement. It must define the aspirations of the top team. Otherwise, there will be no point in writing it, as it is the top team that defines the culture of the company, and agreement between the vision, values and culture will be key to the long-term success of the company. For an existing company, you can consider: 1) What is the company’s current mission statement? 2) What are the company’s core values? 3) What is the company’s culture? 4) What are the company’s strategic goals? Why do vision statements sometimes fail to engage? If your business is very reactive and constantly in firefighting, operational and survival mode, just getting through the next three months or year may be the only priority, as you focus on survival. Nobody will be interested in the vision statement. If the culture is not conducive to long-term growth, if communication is poor, trust is low, and it’s a toxic place to work, then nobody will be looking at the vision. They’ll be more interested in their next mortgage payment or job opportunity. Perhaps your company is not driven by a big-picture strategy, and some might say that's OK as in this Forbes article, but that's not OK. It may work in the short term, but not the long term. Vision statement examples IKEA : "To create a better everyday life for the many people." Tesla : "To accelerate the world's transition to sustainable energy." TED : "Spread ideas." Disney: "To make people happy." Microsoft: “To help people throughout the world realise their full potential.” Nike : “To bring inspiration and innovation to every athlete in the world.” Oxfam : “A just world without poverty.” Google : "To organise the world's information and make it universally accessible and useful." Tesla : “To accelerate the world’s transition to sustainable energy.” Uber : “We ignite opportunity by setting the world in motion.” LinkedIn: "Create economic opportunity for every member of the global workforce.” For comparison, example mission statements: “Uber is evolving the way the world moves. By seamlessly connecting riders to drivers through our apps, we make cities more accessible, opening up more possibilities for riders and more business for drivers.” “Our goal when we created Tesla a decade ago was the same as it is today: to accelerate the advent of sustainable transport by bringing compelling mass market electric cars to market as soon as possible.” "Swarovski adds sparkle to everyday life with high-quality products and services that exceed our customers’ desires. We inspire our colleagues with innovation and reward their achievements while striving to expand our market leadership." Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

How to Write an Effective Standard Operating Procedure (SOP) for Operational Consistency and Compliance Master the art of crafting SOPs that enhance clarity, safety, and efficiency, ensuring that every process is followed accurately and meets compliance standards. Writing a Standard Operating Procedure (SOP) is more than just listing steps in a process. It requires careful attention to clarity, precision, and usability. An effective SOP ensures that all personnel can understand, follow, and replicate the documented procedures, which in turn improves consistency, quality, and compliance across the organisation. We will discuss how to write an SOP that is both comprehensive and user-friendly, using expert techniques to maximise its effectiveness. 1. Use Clear and Concise Language The language you use in an SOP is critical to its success. SOPs must be written in a way that eliminates any possibility of misinterpretation. Clarity and Simplicity Plain English : Always aim to write the SOP in plain English to ensure that it is accessible to all users, regardless of their education or experience. Avoid jargon or overly technical language unless it’s necessary and well-defined in the SOP. For example, instead of saying "Calibrate the machine to ensure optimal performance," specify, "Set the machine to 150 RPM using the calibration knob." Active Voice : Use the active voice for clarity and directness. This makes instructions more straightforward and easier to follow. For instance, “Connect the power cable” is clearer than “The power cable should be connected.” Imperative Verbs : SOPs should be action-oriented , using verbs like “perform,” “check,” “inspect,” “validate,” and “record.” These words make instructions clear and actionable. For example: "Record the temperature reading every hour" or "Inspect the equipment for signs of wear." Avoid Ambiguity Specificity : Avoid vague terms like “often,” “sometimes,” or “as needed.” Instead, be precise: “Check the oil level every 6 hours” is more actionable than “Check the oil regularly.” Measurements and Quantities : Always include exact measurements, tolerances, or timeframes. For example, “Add 200 ml of water” is better than “Add some water.” By using clear, simple, and precise language, you make the SOP accessible to all employees, minimising the risk of errors due to misinterpretation. 2. Structure the SOP for Readability The way an SOP is structured can significantly impact its usability. A well-organised SOP is easy to read, navigate, and follow, ensuring that the process can be performed consistently every time. Standardised Format Consistency Across SOPs : Use a standardised format across all SOPs in the organisation to ensure uniformity. This makes it easier for employees to follow any SOP because they will be familiar with the structure, regardless of the specific procedure. Clear Headings and Subheadings : Break the SOP into clear sections with headings such as Purpose , Scope , Responsibilities , Step-by-Step Instructions , and References . Use numbered headings and subheadings (e.g., 1.0, 1.1) to make navigation easy. Use Bullet Points and Numbered Lists Sequential Steps : Use numbered lists for step-by-step instructions. This ensures that users follow the correct order and don’t skip steps. For example: Turn off the machine using the main power switch. Remove the safety panel. Check the oil level using the dipstick. Bullet Points for Additional Information : Use bullet points for additional details that are important but not part of the sequence, such as notes on safety precautions or tools required. Short Paragraphs Paragraph Length : Keep paragraphs short and concise, especially in sections that describe the process background or scope. Long paragraphs can overwhelm the reader and obscure important points. A well-structured SOP is easier to read and follow, making it more likely that employees will adhere to the procedure correctly. 3. Step-by-Step Clarity The step-by-step instructions are the heart of the SOP. These instructions must be written in a logical order and with sufficient detail to ensure they are easy to follow. Break Down Complex Steps Sub-Steps : If a task is complicated, break it down into smaller, manageable sub-steps. For instance, if one step in a manufacturing SOP involves setting up a machine, you might break this down into smaller sub-steps such as: “1.1 Open the machine’s control panel.” “1.2 Set the temperature to 75°C using the digital keypad.” “1.3 Lock the panel to secure the settings.” Include Conditional Statements "If-Then" Scenarios : For processes that might involve decision-making or variable conditions, use conditional instructions like “if-then” statements. For example: “If the machine temperature exceeds 80°C, shut down the machine immediately and notify the supervisor.” “If the pressure gauge reading falls below 50 psi, proceed to Step 8 for recalibration.” This method ensures that employees know exactly what to do in any situation, reducing the risk of errors or accidents. Cross-Referencing Reference Other SOPs or Documents : If certain steps require employees to refer to another SOP or document, include a reference to that document within the step. For instance: “Refer to SOP-1002 for detailed calibration procedures.” Clear and actionable step-by-step instructions ensure that the task can be performed correctly every time, regardless of who is following the SOP. 4. Use Visual Aids Visual aids such as diagrams, flowcharts, and screenshots can significantly enhance understanding, especially for complex tasks or processes. Flowcharts Simplifying Complex Processes : Use flowcharts to map out multi-step processes, particularly those with decision points or conditional branches. A flowchart helps users visualise the entire process and see how different steps connect. This is especially useful in fields like IT , manufacturing , or logistics , where processes often involve multiple steps or decision trees. Diagrams and Schematics Technical Processes : For highly technical or equipment-based tasks, schematics or engineering diagrams can show how components fit together. For example, a diagram of a machine’s internal workings could help technicians better understand how to disassemble and reassemble parts. Screenshots and Images : In software-related SOPs, include screenshots that show what users should see at each stage of a process. Label important buttons or fields with annotations to guide the user. Tables and Charts Organising Data : Use tables or charts to summarise information or provide reference data. For example, if different parts of the process require different machine settings based on the product being manufactured, a table that lists products and their required settings is invaluable. Visual aids reduce cognitive load by giving users a clear reference and helping them understand the instructions more quickly and accurately. 5. Involving Stakeholders and Subject Matter Experts (SMEs) One of the most common mistakes when writing an SOP is failing to involve the people who actually perform the tasks being documented. Subject Matter Experts (SMEs) and end users are essential to ensuring the SOP is practical, accurate, and effective. Engage SMEs in Drafting Real-World Insights : SMEs have the technical knowledge and hands-on experience to provide invaluable input on the process. By involving them in the writing process, you can ensure that the SOP captures critical details that might otherwise be missed. For example, an SME in a manufacturing facility might point out machine settings or error codes that need to be documented in the SOP. Validation : After drafting the SOP, have the SME review it to ensure all steps are correct and achievable. This step is critical in preventing issues later when employees attempt to follow the procedure. Collect User Feedback Practical Testing : Once the SOP is written, allow the actual users of the procedure to test it. Their feedback will help identify any unclear instructions or practical issues that might arise. For instance, a technician may note that a tool listed as "required" isn’t actually necessary, or a step might be missing a key detail. By involving both SMEs and the end users in the development and review process, you ensure that the SOP is both technically accurate and user-friendly. 6. Test and Revise The first draft of an SOP is rarely perfect. Once written, the SOP should go through a testing and revision phase to ensure that it works as intended. Pilot Testing Field Testing : Test the SOP in real-world conditions with a small group of users. This could be done in a controlled environment where supervisors or process owners observe the users following the steps. Look for potential issues like ambiguous instructions, unnecessary steps, or missing tools and resources. Adjustments Based on Feedback : After testing, gather feedback from the users to identify any parts of the SOP that need clarification or revision. For example, a step that reads "Install the filter" might need more specific detail, such as "Install the filter by aligning the blue arrow with the intake valve.” Continuous Improvement Regular Revisions : An SOP should be a living document that evolves with changes in technology, processes, or regulations. Schedule regular reviews of the SOP to ensure it remains current and effective. This could be annually or bi-annually, depending on how frequently the process or regulations change. Testing and revising ensures that the SOP is accurate, effective, and ready to be implemented across the organisation. 7. Incorporate Compliance and Safety Measures For SOPs that govern processes involving regulatory requirements, health, safety, or environmental impact, it's essential to include compliance and safety measures. This ensures that the procedure not only achieves operational efficiency but also adheres to legal obligations and protects the wellbeing of employees and the environment. Regulatory Compliance Legal Requirements : Many industries are governed by stringent regulations, such as OSHA (Occupational Safety and Health Administration), ISO standards , GMP (Good Manufacturing Practices), and other local or international laws. Your SOP should clearly reference these regulations and ensure that each step complies with them. For example, an SOP in the pharmaceutical industry may need to detail how processes comply with FDA guidelines, or an SOP in financial services might need to meet SOX (Sarbanes-Oxley) requirements. Documentation and Reporting : If the process involves mandatory documentation or reporting (such as inspections, audits, or logs), specify how and when these reports should be completed. For instance, "Document all maintenance activities in the equipment log and submit monthly reports to the Compliance Officer." Health and Safety Guidelines PPE (Personal Protective Equipment) : Include clear instructions on what PPE is required for each task, such as gloves, helmets, goggles, or respiratory equipment. For example: "Before operating the machine, ensure you are wearing heat-resistant gloves and protective eyewear." Hazard Warnings : If the process involves exposure to chemicals, high temperatures, or other hazards, include detailed warnings and precautions. Use Hazard Communication Standards (HCS) symbols or other visual cues, such as warning icons or bold text, to draw attention to safety-critical information. For example: "Caution: Hot surfaces. Allow the machine to cool for 30 minutes before removing parts." Emergency Procedures : Provide clear steps to follow in case of an emergency, such as a fire, chemical spill, or equipment malfunction. For example: "In the event of a chemical spill, immediately use the emergency shower and notify the Safety Officer." Environmental Protection Waste Disposal : If the process generates hazardous waste or other by-products, include instructions for proper disposal according to environmental regulations. For instance, "Dispose of used solvents in the designated hazardous waste container as per ISO 14001 guidelines." Energy and Resource Efficiency : For processes that can impact energy consumption or resource use, such as manufacturing or data centre operations, include steps to minimise environmental impact. For example, "Switch off non-essential equipment after use to conserve energy." By integrating compliance and safety measures directly into the SOP, you ensure that employees are not only performing the process correctly but also safeguarding their health and maintaining adherence to regulatory standards. This reduces the risk of accidents, penalties, and legal issues while promoting a culture of safety and responsibility within the organisation. Conclusion Writing an effective SOP involves more than just documenting a process—it’s about creating a clear, actionable, and accessible guide that ensures consistency, safety, and compliance across all operations. By following best practices for clear language, structure, stakeholder involvement, and compliance integration, you can create SOPs that not only streamline processes but also support operational excellence, legal adherence, and employee wellbeing. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

What Does a Finance Director Do? Often thought of as a bean counter, in reality, the role of a modern finance director is much bigger as they help drive business performance and growth. Published on: 15 Jul 2021 Finance directors are a key strategic player for businesses, driving business growth and performance through data-led decisions. Though of course the unique needs of the role will vary by industry and business, we’ll be looking at the key FD responsibilities to answer the question, “what does a finance director do? ” What are the Finance Director’s Roles and Responsibilities? Broadly speaking, the new finance director role includes the following: Finance, legal and administration compliance Overall responsibility for the finance department Managing relations with external investors Leading financial reporting Developing and implementing the company’s financial strategy Overall responsibility for all taxation Oversight on operations, HR, IT departments Acting as a trusted business partner and key strategic advisor to the CEO and wider board of directors Developing and implementing a robust financial control framework Helping drive business growth and performance We’ll look at all these responsibilities in more depth. Finance, Legal and Administration Compliance In an increasingly globalised world, businesses face a range of regulations and laws they must comply with to avoid fines and worse. The finance director ensures the business is aware of and complies with any regulatory requirements. With a larger team, this may be delegated to others within the wider finance team, but the FD is the person ultimately responsible for all financial and legal compliance. Overall Responsibility for the Finance Department For SMEs, your finance department may consist of just one FD. But in larger international companies, finance departments are huge and may span across several offices. It is the responsibility of the FD to coordinate all finance teams. How this looks in each business will look very different, for some it could be as simple as delegating and overseeing tasks like monthly reporting and payroll, while for others it could include ensuring the alignment and coordination of many financial departments with overall business strategy. Managing Relations with External Investors Businesses may have many external investors, whether that be the bank or private investors. The financial director is responsible for ensuring these investors are up to date with the financial health of the company, as well as managing payouts to these investors. For example, for some companies it will involve sending out quarterly communications to investors, while for others more developed relationships with regular contact is the norm. Leading Financial Reporting Whether it’s monthly, quarterly or annually, every business has financial reporting needs. The financial director is responsible for developing, implementing and overseeing the financial reporting process for the business. This includes all aspects of reporting such as income statements, cash flow reports, balance sheets as well as budgeting and forecasting. How can a Finance Director Drive Growth? Download Guide Developing and Implementing the Financial Strategy The finance director is responsible for developing and implementing the financial strategy. For some businesses, this means it is the FDs responsibility to develop a plan that outlines how a business will finance operations that allows them to meet business growth goals. In other businesses, the FD takes more of a strategic lead in developing a financial strategy with more innovation through their unique insight into areas of the business where improvements could be made . Overall Responsibility for all Taxation The financial director may not deal with the nitty gritty paperwork of taxation, but they have the ultimate responsibility for ensuring the company meets their taxation requirements. They may be the lead contact for HMRC and ensure the business is providing accurate reporting of finances. Oversight on Operations, HR and IT Departments How much the financial director is involved with various other departments throughout the business will depend on the unique structure of that business. In general, the more involved a financial director is with each department, the better they can strategise that department’s performance. As a minimum, finance directors tend to be involved with the financial aspects of business operations. This ensures they’re aware of the costs involved in any processes, so they can advise on areas for improvement. For other businesses, it’s common for the finance director to have a strong relationship and communications with the HR lead. This allows the business to best strategise human resource management finance needs to allow them to recruit, retain and engage the best talent and teams. IT departments are often more involved with the finance officer than other departments due to their funding needs. For example, IT departments tend to need financing for systems and outsourcing. The finance director can work closely with the IT leadership to ensure the business is using the most efficient and cost effective systems, aligned with wider business goals. Acting as a Trusted Business Partner and Key Strategic Advisor One of the most important responsibilities of the finance director is to advise, and often strategise, with the CEO and wider board of directors. This includes attending and contributing to board meetings and advising on strategic decision making. As above, how this looks for each business will vary. Many financial directors serve the purpose of informing the board of directors of the financial viability of business strategies. While others take a more active role in researching, developing and implementing new revenue streams alongside the CEO or board of directors. Developing and Implementing a Robust Financial Control Framework The finance director is responsible for developing a robust fiduciary framework in order to minimise risk throughout the company. These procedures and policies allow businesses to monitor and control the allocation of financial resources to maximise business resilience and operational efficiency. Driving Business Growth and Performance Ultimately, through the above responsibilities, the finance director is largely responsible for driving business growth and performance. Their analytical skills combined with a deep understanding of the company’s finances allow them to develop financial strategies that align with business growth goals. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

The Importance of Environmental Sustainability Strategies for Business Environmental sustainability strategies are vital for business. They meet stakeholder expectations, ensure regulatory compliance, reduce costs through resource efficiency, foster innovation and competitiveness, secure long-term viability, enhance supply chain resilience, boost reputation and loyalty, and open doors to new markets and investments. Sustainability is not just an option; it's a necessity for modern enterprises. Environmental sustainability has become a paramount concern in recent years, as the world grapples with the far-reaching consequences of climate change, resource depletion, and biodiversity loss. In this context, the role of businesses in promoting and implementing environmental sustainability strategies has gained significant attention. Companies are increasingly recognising that environmental sustainability is not just a moral obligation but also a critical component of their long-term viability and success. This article explores the importance of environmental sustainability strategies for business, delving into the reasons behind this shift in corporate mindset and the tangible benefits that sustainability efforts bring. Meeting Stakeholder Expectations Today's stakeholders, including customers, investors, and employees, expect businesses to demonstrate a commitment to environmental sustainability. Consumers are increasingly conscious of the environmental impact of their purchasing decisions, and they favour products and services from companies that take sustainability seriously. Investors recognise the financial risks associated with unsustainable practices and are seeking out environmentally responsible businesses as attractive investment opportunities. Moreover, employees are more likely to be engaged and motivated when they work for a company that aligns with their personal values and demonstrates a commitment to sustainability. Therefore, businesses that invest in environmental sustainability strategies can enhance their brand image, attract and retain customers, investors, and talent, and build stronger relationships with their stakeholders. Regulatory Compliance and Risk Mitigation Governments and regulatory bodies worldwide are imposing stricter environmental regulations and standards. Failing to comply with these regulations can lead to legal penalties, reputational damage, and operational disruptions. By proactively adopting environmental sustainability practices, businesses can not only ensure compliance but also reduce the risk of regulatory changes negatively impacting their operations. This risk mitigation is particularly important as environmental issues become more prominent on the global agenda, and companies that are not prepared may face substantial financial and operational challenges. Resource Efficiency and Cost Savings Sustainability strategies often involve optimising resource use, reducing waste, and improving energy efficiency. These initiatives lead to tangible cost savings for businesses. For example, a company that invests in energy-efficient technologies can reduce its energy consumption and lower energy bills. Similarly, businesses that reduce waste in their production processes can decrease disposal costs and increase the efficiency of their supply chains. In the long term, these cost savings can significantly improve a company's bottom line and competitiveness, making sustainability a prudent financial decision. Innovation and Competitive Advantage Environmental sustainability can drive innovation within an organisation. Businesses that seek sustainable solutions often discover new technologies, processes, and products that can give them a competitive advantage. For example, the automotive industry's shift towards electric vehicles is not only driven by environmental concerns but also presents a significant business opportunity for companies that can innovate in this space. Furthermore, consumers are increasingly looking for sustainable options, and businesses that can offer such products or services stand to gain a distinct competitive edge in the market. Long-term Viability Sustainability strategies are vital for ensuring a company's long-term viability. As natural resources become scarcer and environmental pressures mount, businesses that rely on unsustainable practices may find themselves at a disadvantage. Adopting sustainability strategies now can help companies adapt to changing market conditions and consumer preferences, reducing the risk of becoming obsolete in the future. By integrating sustainability into their core business models, companies can position themselves for long-term success and resilience in a rapidly changing world. Improved Supply Chain Resilience Global supply chains have become increasingly vulnerable to disruptions due to factors such as climate change, geopolitical tensions, and health crises. Companies that rely on vast, complex supply chains are exposed to various risks. Implementing environmental sustainability strategies can enhance supply chain resilience by reducing reliance on vulnerable resources, diversifying sources, and minimising exposure to volatile environmental conditions. This resilience can help businesses weather supply chain disruptions more effectively and ensure the continuity of their operations. Enhanced Reputation and Customer Loyalty A strong commitment to environmental sustainability can enhance a company's reputation and foster customer loyalty. Customers are more likely to support businesses that demonstrate a clear commitment to environmental responsibility. They not only feel good about their purchases but also become more loyal to brands that share their values. This loyalty can translate into repeat business, positive word-of-mouth marketing, and increased customer lifetime value. In the age of social media and online reviews, a positive reputation for sustainability can be a powerful asset. Access to New Markets and Investment Opportunities Businesses that embrace environmental sustainability strategies may gain access to new markets and investment opportunities. For example, by aligning with sustainable practices, companies can tap into the growing green and ethical consumer markets. Moreover, there is a burgeoning interest in sustainable investment options, and businesses that are well-positioned in this regard can attract capital from environmentally conscious investors. These new market and investment opportunities can open up revenue streams and growth potential for businesses. In conclusion, the importance of environmental sustainability strategies for business cannot be overstated. Companies that fail to recognise and act on this imperative risk losing competitive advantages, facing legal and regulatory challenges, and experiencing reputational damage. On the other hand, those who proactively embrace sustainability stand to gain numerous benefits, from cost savings and innovation to enhanced stakeholder relationships and long-term viability. As the world continues to grapple with environmental challenges, businesses have a pivotal role to play in the transition towards a more sustainable future. Therefore, integrating sustainability into business strategies is not just a choice; it is a necessity for the success and survival of modern enterprises in an ever-changing and environmentally conscious world. 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How Finance Can Help Create an Integrated Business Planning Framework An integrated business planning framework presents a great opportunity to develop the function of finance to drive business performance and productivity. Published on: 21 Dec 2023 The finance function is evolving, fast. Where finance used to focus on traditional activities such as account management and act in an advisory role to the C-suite, the finance function of the future will be focused on driving business performance by leading strategic planning through data-led decisions. Rethinking finance means rethinking the way businesses plan. Integrated business planning presents a significant opportunity to develop the role of finance to meet future business needs. It offers a framework for finance to use that matches their new purpose of creating value adding activities for businesses. Finance Function is Developing Naturally Across Industries Research shows that finance function, particularly the role of the finance leader , is developing across industries. An average of five functions other than finance now report into the CFO. Further research reveals that four in ten CFOs say they spent more time over the course of a year focusing on activities that weren’t traditional finance activities. The survey revealed that these non-finance activities were predominantly strategic leadership, organisational transformation, performance management, capital allocation and big data and analytics. This shift in finance function makes perfect sense. Businesses face an increasingly challenging economic landscape alongside increasingly competitive markets. Finance is perfectly placed within the business to harness data, operational knowledge and analytical thinking to drive business performance. What is an Integrated Business Planning Framework? Integrated business planning (IBP) is an alternative approach to business planning. Traditional business planning often silos different business activities. Marketing has their strategy, HR has theirs, IT has theirs and so on. What this means for businesses is that the larger strategic goals are often disjointed from departmental strategies and activities may not align well with larger business goals. This results in poor business performance and business productivity for many companies. Instead, an integrated business planning framework seeks to align strategic business planning with operations and finance. It looks to create one single, cohesive business plan for everyone in the company. It achieves this by: Being one process of continuous improvement Having both short and long term strategic planning Using advanced data analytics that are shared across the business Cross-functional collaboration and communication between all departments C-suite adoption and sponsorship Finance Has a Key Role to Play in an Integrated Business Framework So, where does finance fit into an integrated business framework? IBP can be a driving element in developing the function of finance. As discussed above, finance has increasingly been tasked with more and more responsibilities outside traditional finance activities, with many more departments reporting into them. As finance begins to play a more strategic role in businesses, an integrated business planning framework gives finance a methodology to use to align these different responsibilities successfully, resulting in better outcomes for the business. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Small Business Coaching for Holiday Parks and Resorts Drive your business growth with improved business productivity and profitability by using our unique business improvement programme for holiday parks and resorts. Holiday Parks and Resorts Business Improvement Programme Our business improvement programme can help your holiday park and resort grow and scale up. We give you the edge over your competitors by perfecting what you do. Running a trustworthy and professional business is vital in running a successful holiday park and resort. You deliver high-quality holiday park and resort experiences and you're experts in recommending the right products for your customers. All these interactions with your customers are the key to your success, so you can maintain a great reputation for new customers, as well as a great customer retention rate. This is why our holiday park and resort business improvement programme puts a strong focus on strengthening your customer interactions through operational excellence. This ensures that every one of your customers has an outstanding experience with your business, every time. Sales and Service Training for Holiday Parks and Resorts Sales and service training for Holiday Parks and Resorts improves phone communication , ensuring friendly and efficient interactions with guests. This enhances customer satisfaction, increases booking rates, and fosters a positive reputation. Clear information about amenities, activities, and reservations promotes guest loyalty and referrals, driving business growth and success in the hospitality industry. Operational Excellence for Holiday Parks and Resorts Whatever the size of your business, you need skill, great customer service and operational excellence to achieve long-term business growth and profitability. If you're missing any of these key ingredients, your business will struggle to thrive long-term. Our focus is in helping you to create a growing, highly profitable Holiday Park and Resort. There are two distinct parts to achieving that, business development , the part we look at, and the development of the technical skills . Our holiday park and resort business productivity plan helps you set clear goals. We help you develop your technical skills through various qualifications. We’ll bring consistency to your brand and business so you deliver outstanding service, every time. What Our Holiday Parks and Resorts Business Training Delivers: Increased market share Increased profitability Better working culture Improved employee engagement Improved efficiency Enhanced customer relationships Get in Touch Tell us about a challenge or question you have. First name* Last name* Company name Email* Submit

5 Ways to Address a Battery Minerals Shortage The scarcity of battery minerals is brought about by the increase in demand for electric cars (EVs), clean energy technology, and other renewable energy storage. As companies aim to become NET Positive , a scarcity of battery minerals is brought about by the increase in demand for electric cars (EVs), clean energy technology, and other renewable energy storage. Cobalt, lithium, and nickel are a few of these minerals, and they are crucial elements of the batteries that power electric vehicles and other clean energy technologies. The minerals are in short supply internationally, and there is concern that this shortfall could disrupt the supply chain sector, resulting in geopolitical unrest and higher pricing for various goods. Since raw materials are the main determinant of cost for batteries, the battery mineral shortage poses greater risks for the automotive industry. Automakers must invest in those materials if they want to maintain margin control and competitiveness. However, due to a lack of mining/acquisitions expertise, it is challenging for automakers to buy the metals directly. Five options for resolving battery minerals shortages: Investing in deep sea mining as alternative sources of battery materials, but this has its own environmental challenges. Creating new battery technologies that use less of these materials or substitute abundant minerals in their place. Car manufacturing companies to increase staff numbers and staff offices with experts in metals sourcing and recycling. The global supply chain requires more collaboration and coordination between nations and businesses. This will enhance transparency and traceability while encouraging ethical mining. Recycling batteries. Recycled lithium battery cells are a good source of nickel, lithium, and cobalt. For instance, Volkswagen is "sounding out the market" and negotiating with other prospective partners about different raw materials. This requires 21st century leadership skills . A key technique for coping with a rise in raw material costs is price hedging for products. Since 2018, almost $265.5 billion has been spent on the production of electric vehicles. However, only $40 billion, according to Battery Materials Review , were spent on raw materials. The shortage of battery minerals presents a significant challenge for the clean energy sector, but it also offers an opportunity for innovation and collaboration to create a more regenerative economics. Previous Next Unlock Healthy Business Growth Discover strategies to enhance profitability, cultivate a greener and more sustainable business model, and elevate overall well-being. GET STARTED

How to Implement Effective Call Ownership to Improve Your Customer Service Learn how to implement effective call ownership in your business to improve your customer service and ultimately increase profitability for your business. Published on: 25 Apr 2024 What do you think customers value the most in customer service experiences? Good phone manners? Empathy? Active listening skills? All these matter, but the research suggests the primary driver of outstanding customer service experiences is ownership. On the other end of the scale, the same study states that the primary driver of negative customer service experiences is a lack of willingness or ability to take ownership. That’s why we’re talking call ownership today. We’ll be covering: What is call ownership? Why is call ownership important? How to create a culture of ownership in your business How do you take ownership of a call What is Call Ownership? Let’s look at a typical negative customer service experience. A customer has a minor issue with a product. They can’t find the answer they need on your site, so they call you. Employee A takes the call but they’re not sure of the answer, so they say they’ll chase it up and get back to them. They email the relevant department later that day, but they’re on holiday the following day for a week. Employee B covers their work. The relevant department has emailed them back after a couple of days but Employee B doesn’t know who the information is for. The customer has called back and spoken to Employee C in the meantime, who also didn’t know the answer. They offer to contact the relevant department again, but the customer is frustrated and asks to escalate it to management as what was a minor issue is now a complaint. You can see how frustrating the experience would have been for the customer. All they wanted was a quick and simple resolution. Although all the employees involved had great phone skills , they were lacking in one key ingredient — call ownership. Had any of the employees taken ownership of the call, the customer’s issue would have been resolved much faster and left them with a better overall customer experience . As you can see from the example, call ownership can be defined simply as: “Call advisors taking ownership of customer queries and issues so they can be resolved more promptly and deliver a better customer experience.” Why is Call Ownership Important? Our example above should make it simple why call ownership is so vital for any business where customers can contact them via the phone. Without call ownership, you’ll be delivering a poor customer service experience — and we’ve written all about the cost of bad customer service previously. Many businesses forget just how vital the phone is as a communication channel for their business in an increasingly digitized world. The reality is, studies show the phone remains the second most common method of communication, following email in first place. The same study looked at the expected benefits customers associate with using different channels of communication. The phone was associated with the following benefits more than any other communication channel: Friendliness and approachability Ease of communication A good customer experience Ability to easily register a complaint Having a complaint resolved quickly Quick answers to complex questions Getting detailed/expert answers As you can see, almost all of these benefits revolve around responsiveness, which is a key factor within call ownership. Businesses who empower their employees to be able to meet these expectations and take ownership of calls will deliver better customer service experiences. This is vital as customer service is key to business growth. Here’s some quick statistics to drive home this point: 72% of customers expect businesses to understand their needs and be treated as unique individuals. 66% of customers will switch brands if they feel they’re not being treated as an individual. 73% of customers stay loyal to brands thanks to friendly customer service advisors. 77% of customers will tell others about a positive brand experience. 67% of customers will pay more for a better customer service experience. 50% of customers increase purchasing with a brand after a positive experience. What all this means is putting a focus on delivering a great customer experience by prioritising call ownership can increase your customer retention rate, customer loyalty, customer lifetime value, as well as improve your word-of-mouth marketing. It’s not just your customers who benefit either. Your employees do too. Companies that invest in customer experience see employee engagement rates increase by around 20% on average. Engaged employees are more likely to deliver better service, with 87% of employees who are happy with their jobs saying they’re willing to work extremely hard for customers. All this to say, call ownership is vital for businesses. But it isn’t implemented at an individual level. It all starts with a culture of ownership. How to Create a Culture of Call Ownership in Your Business Call ownership is everyone’s responsibility. After all, a burned out, stressed out employee is far less likely to want to take ownership over a customer’s query than an engaged, empowered employee. That’s why call ownership needs to start with the leaders of the business. Once these foundations are in place, you can implement the changes that allow and encourage individual employees to take ownership of calls. You can implement a culture of ownership in your business by: Changing the hierarchy mindset A safe environment Training and resources on your services or products Excellent internal communications We’ll look at each briefly. Change the Hierarchy Mindset Many businesses are still stuck in the command-and-control management hierarchy. But it doesn’t work. There’s a reason the market leading companies are the market leaders and it’s because they’re leaving this dated mindset behind and instead becoming learning organisations . These organisations are bottom-up organisational structures where communications and ideas can flow freely. For call ownership, this means customer-facing staff are truly valued. Their opinions are heard and their suggestions on important changes that could benefit the customer service experience are implemented. You can see how this organisational structure can help engage employees and ultimately encourage them to take ownership of problems as they know they are valued and supported within the company. A Safe Environment Closely linked to the above, employees will be reluctant to take ownership of a problem if they feel like there’s likely to be negative consequences for it. You need to create an environment wherein if an employee takes a risk, they’re not worried about it. They know they have the support they need. Training and Resources In our example earlier on, we said the employee didn’t know the answer. How easily could the issue have been avoided had they already known the answer to the customer’s query! This is why it’s so important to invest in training for your employees. Your employees should be trained and have regular refresher training in your products or services, as well as customer service skills training. This allows them to be the experts of your brand so when queries do crop up, they’re confident and happy to take ownership of them. Alongside this training, your employees should also have clear, easily accessible resources so they can quickly find answers to less common queries. Knowledge shouldn’t be ring-fenced by particular departments, but shared among all. Excellent Internal Communications Many customer service staff are held back by a lack of effective internal communications. They don’t have the latest information they need to deliver the best service to your customers. Improving your internal communications allows important information to flow freely throughout your business so anyone who might need it has it quickly. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Building Sustainable Business Models Understanding the High Failure Rates of Businesses and Unveiling Strategies to Build Sustainable, Value-Driven Models That Thrive Long-Term Published on: 12 Nov 2024 Why Businesses Fail and How to Build a Sustainable Model Business failures are alarmingly common. Despite significant revenue or seemingly strong performance, many businesses struggle to achieve lasting success. Even more troubling is the broader impact: economic instability, personal hardships for business owners, and environmental inefficiencies. In this article, we’ll explore why businesses fail and, more importantly, how to avoid common pitfalls by building sustainable, value-driven operations. The Statistics Behind Business Failure The numbers are stark: 65% of businesses do not survive beyond 10 years. 80% of companies that attempt to sell fail to do so. From this we can assume less than 1% of businesses create sufficient value to sell successfully. The failure rate is not just a personal or financial issue for business owners—it has far-reaching consequences: Personal Costs : Stress, burnout, strained relationships, and lost opportunities can leave business owners emotionally and financially depleted. Economic Ripple Effects : Small to medium-sized enterprises (SMEs) account for over 90% of businesses globally, provide more than 50% of jobs, and contribute over 25% of national income. Their failure disrupts communities and economies. Environmental Consequences : Inefficient businesses often waste resources, increase emissions, and fail to adopt sustainable practices, exacerbating global environmental challenges. Why Do Businesses Fail? Contrary to popular belief, business failure rarely stems from poor products or services. Instead, the underlying issue lies in mismanagement of operations . Most companies focus heavily on outcomes such as profit margins, revenue growth, and customer numbers. While important, these metrics are backward-looking indicators. This reactive approach is akin to: Driving a car while only looking in the rear-view mirror. Overworking farmland without replenishing the soil, leading to long-term crop failure. Ignoring maintenance on critical machinery until it breaks down. The inability to build sustainable foundations and scalable systems is often the primary cause of failure. The Key to Sustainable Success The businesses that succeed are those that shift their focus from outcomes to operations. Here’s how to build a model that fosters long-term success: Embrace Operational Excellence Effective operations are the backbone of any successful business. Streamlined workflows reduce waste, improve productivity, and enhance customer satisfaction. Operational excellence ensures the business runs smoothly, even during periods of growth or economic fluctuation. Adopt a Long-Term Perspective Businesses must move beyond short-term profit maximization and focus on creating value that endures. A sustainable strategy ensures resilience and adaptability in changing market conditions. Focus on Value, Not Just Profit While profitability is essential, it should not be the sole measure of success. A business’s true value lies in its ability to operate independently, scale efficiently, and attract potential buyers or investors. Align with Triple Bottom Line Principles Sustainable businesses balance economic growth, environmental responsibility, and social impact. This approach creates not only profitable enterprises but also ones that contribute positively to society and the planet. Monitor the Right Metrics Instead of solely tracking profit and revenue, measure operational health. Monitor key performance indicators (KPIs) related to efficiency, resource utilization, and customer satisfaction. These metrics provide actionable insights that drive improvements and prevent problems before they occur. The Broader Implications The failure of so many businesses is more than a challenge for individual owners—it is a systemic issue with economic and environmental repercussions. As SMEs form the backbone of most economies, their success is critical for job creation, income stability, and sustainable development. Building value-driven, efficient, and sustainable operations is not only a pathway to business success but also a means to address larger societal and environmental challenges. Conclusion To address the high failure rate of businesses, it’s essential to rethink traditional approaches. The focus must shift from short-term gains to sustainable growth supported by operational excellence and long-term value creation. By prioritising efficient systems and aligning with triple bottom line principles, businesses can transition from struggling to thriving. This is not just about survival—it’s about building companies that create lasting value for their owners, employees, and the broader world. With the right approach, businesses can become engines of economic growth, innovation, and sustainability, helping to shape a more resilient and regenerative future. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

A Better World Is a More Efficient World: Aligning Efficiency with the Triple Bottom Line How Business Efficiency Can Drive Sustainable Growth, Create Social Responsibility, and Minimise Environmental Impact by Aligning Operations with the Triple Bottom Line Approach to Profit, People, and Planet. Published on: 5 Sept 2024 In an increasingly resource-constrained world, efficiency is not merely a business buzzword but a pathway to a more sustainable future. A better world is, indeed, a more efficient one. Efficiency does not solely benefit the financial bottom line; it improves the lives of people and reduces environmental strain. This broader perspective aligns seamlessly with the triple bottom line (TBL) framework , which encompasses people (social responsibility), planet (environmental sustainability), and profit (economic viability). In a truly efficient world, all three pillars thrive. Economic Efficiency: Profit through Optimisation The most traditional aspect of efficiency is economic, where businesses streamline operations to reduce costs and increase profits. This is essential in staying competitive, particularly in sectors with thin margins. Automating routine tasks, for example, can significantly boost productivity, freeing employees from repetitive labour to focus on creative and high-value tasks. As noted in Rostone Opex ’s small business improvement guide , task management software such as Trello and Asana reduces communication inefficiencies, making teams more productive. But economic efficiency doesn’t stop at automation or optimising workflows. It is also about long-term sustainability. Efficiency allows businesses to weather financial storms better, ensuring their survival and growth. It’s important to remember that the cost savings from being efficient don’t just increase profits; they can be reinvested into the business to create a cycle of continuous improvement. Social Efficiency: Enhancing Lives through Smart Operations While profit is essential, businesses are increasingly held accountable for their social impact, the “people” aspect of the triple bottom line. Efficiency in this context means improving the lives of employees, customers, and communities. A well-run business creates better work environments, provides valuable products or services, and supports the broader social fabric. For example, clear communication channels within organisations foster trust and collaboration. As we note, promoting honest employee feedback can uncover hidden bottlenecks and lead to more innovative solutions. When efficiency improves workflow, it not only enhances productivity but also employee wellbeing. Moreover, happy employees are productive employees, which further strengthens the company’s social contribution. Efficient businesses are well-positioned to support local communities. They can offer better wages, provide valuable services, and ensure job security. These companies are vital to the local economy and contribute to social stability. Environmental Efficiency: A Win for the Planet Perhaps the most urgent aspect of the triple bottom line today is the planet. Environmental sustainability is increasingly demanded by consumers, particularly younger generations. The challenge for businesses is how to reduce their environmental impact while remaining economically viable. Fortunately, efficiency offers a solution. Many companies are already integrating sustainability into their operations, whether by adopting renewable energy sources, reducing waste, or optimising resource use. These actions benefit the planet and also provide financial rewards by lowering operating costs. For instance, energy-efficient manufacturing processes reduce resource consumption, contributing to both environmental goals and the business’s bottom line. By investing in greener technologies, businesses can stay ahead of regulations and consumer expectations, creating long-term resilience. The growing demand for ethical consumption, particularly from Gen Z and Millennials, reinforces the need for businesses to be environmentally conscious. Research shows that younger consumers are increasingly aware of the ethical and environmental implications of their purchases. Businesses that align with these values, and act efficiently to reduce their environmental footprint, are far more likely to succeed in the coming decades. Efficiency: The Key to Balancing Profit, People, and Planet Efficiency, when implemented thoughtfully, acts as the glue that holds the triple bottom line together. It’s not just about cutting costs or automating tasks; it’s about optimising every aspect of the business to create value for shareholders, employees, and the planet. A more efficient world is a world where resources—whether human, environmental, or financial—are used responsibly and sustainably. In the context of TBL, efficiency allows companies to meet their financial goals while uplifting people and protecting the planet. In the long run, businesses that operate efficiently are more resilient, more innovative, and better prepared to face the challenges of a resource-scarce future. This holistic approach to efficiency is the only path forward for businesses that want to be both profitable and responsible in today’s world. By integrating efficiency into every level of operations, businesses contribute to creating a world that benefits everyone—a world where economic, social, and environmental sustainability can coexist in harmony. 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The Ultimate Guide to Workflow Audits for Business Leaders Maximise performance, eliminate inefficiencies, and unlock hidden growth opportunities with effective workflow audits. Published on: 17 Oct 2024 Imagine navigating a labyrinth where each twist and turn represents a critical business process. Now, picture having a map that not only guides you through but also reveals hidden shortcuts and obstacles you might have missed. This is what a workflow audit offers—a powerful tool that serves as the cornerstone of high-performance workflows . Yet, despite their immense potential, workflow audits remain underutilised, even by the most seasoned leaders. Whether you’re aiming to cut costs, scale operations, or fine-tune performance, embarking on a workflow audit can illuminate hidden opportunities that drive sustainable growth. Unlocking Efficiency: A Guide to Workflow Audits We’ll explore the intricacies of workflow audits, focusing on their significance, common pitfalls, best practices, and how they can enhance your Standard Operating Procedures (SOPs) . Get ready to transform your operations and unlock the full potential of your business! Understanding Workflow Audits Workflow audits systematically evaluate business processes to identify inefficiencies, redundancies, and areas for improvement. This involves examining every step in a process to understand its contribution to the overall workflow. High-performance workflows not only streamline operations but also enhance productivity and employee satisfaction. By conducting a thorough workflow audit, organisations can gain insights into how workflows impact operational efficiency and alignment with strategic objectives. This alignment is crucial, as it ensures that each process contributes meaningfully to the business's broader goals. Business Improvement Process The first step in any business improvement process is to gain a comprehensive understanding of where your organisation stands. This is where workflow auditing comes into play. Workflow auditing involves a thorough evaluation of existing processes, focusing on how tasks are performed, identifying inefficiencies, and pinpointing any bottlenecks that hinder performance. This critical phase serves as the foundation for all future improvements, as it provides the data-driven insights needed to make informed, strategic decisions. Understanding the Need for Workflow Auditing At its core, workflow auditing aims to evaluate how work flows through an organisation. It looks at both formal and informal processes—those outlined in your standard operating procedures and those that have emerged organically over time. The goal is to ensure that workflows are optimally designed and are consistently delivering value in a manner that supports the broader business objectives. Without a clear understanding of your starting point, any improvements implemented are likely to be reactive rather than proactive. Instead of addressing the root causes of inefficiencies, reactive improvements often focus on surface-level symptoms, which fail to deliver long-term results. By conducting a comprehensive audit, you’re not just addressing the immediate problems but positioning your business for sustained success. The Process of Auditing Workflows Workflow auditing involves several key steps, each designed to uncover critical insights about how tasks and activities are executed within an organisation: Mapping Processes : The first step in a workflow audit is to map out each process in detail. This means visually representing how work flows from one task to another, from one team to the next. Tools like flowcharts or process maps can help identify the start and endpoints of workflows, as well as the various touchpoints where issues may arise. Process mapping also includes understanding the roles and responsibilities of the teams involved in each stage, ensuring that the flow of work is clearly understood across the organisation. Data Collection and Analysis : Data is essential to understanding how processes perform. Auditing workflows requires gathering both quantitative data (such as time taken to complete tasks, error rates, and resource usage) and qualitative data (such as employee feedback and customer satisfaction). Collecting data provides a clear picture of inefficiencies, bottlenecks, and areas where improvement is needed. Tools like time-tracking software, process performance metrics, and employee surveys can provide the necessary insights into the current state of workflows. Identifying Inefficiencies and Bottlenecks : A key part of workflow auditing is identifying inefficiencies —tasks that take longer than necessary, involve unnecessary steps, or waste valuable resources. These inefficiencies can manifest in a variety of ways, such as slow response times, duplicated efforts, or unnecessary complexity in the process. Bottlenecks, which occur when a particular part of the workflow slows down the entire process, are also a common issue. These can arise due to insufficient resources, poor coordination, or a lack of standardisation. Identifying these pain points is critical to determining where changes are needed. Root Cause Analysis : Often, surface-level inefficiencies mask deeper, systemic problems. Root cause analysis is a method used to drill down into the underlying reasons for inefficiencies and bottlenecks. For example, a business might identify a bottleneck in the inventory restocking process, but the root cause might be poor inventory tracking systems or outdated software. By identifying the root causes, organisations can focus on making strategic, sustainable changes rather than applying quick fixes that don’t address the true issues. Why Workflow Auditing Matters Conducting a thorough workflow audit is crucial for several reasons. Primarily, it helps identify opportunities for process improvement , allowing businesses to streamline operations and eliminate waste. By uncovering inefficiencies, organisations can make better decisions about where to allocate resources and how to improve service delivery, whether that’s by reducing cycle times, improving customer experiences, or minimising overhead costs. Moreover, workflow auditing helps create a data-driven foundation for decision-making. With clear insights into how processes are functioning, businesses can avoid making assumptions or acting based on incomplete information. Instead, improvements are grounded in evidence, ensuring that changes will have a meaningful and measurable impact. Practical Example: Retail Inventory Management Consider the example of a retailer who conducts a workflow audit to assess their inventory management system. During the audit, they may discover that manual inventory tracking is causing significant delays in restocking. The root cause might be the lack of an integrated system that connects inventory levels with ordering, which leads to missed restocking opportunities and extended wait times for customers. By identifying this issue through the audit, the retailer can take targeted actions to implement automated inventory tracking, thus improving stock availability and reducing downtime. This is a perfect example of how workflow auditing helps businesses avoid wasting time on ineffective solutions and instead focus on addressing specific pain points that affect both operational efficiency and customer satisfaction. Key Questions to Address During a workflow audit, it’s essential to address several critical questions to ensure a thorough evaluation. These include: What are the key performance metrics that define success for this workflow? Where are the bottlenecks or delays occurring, and what causes them? How does the current workflow align with the organisation's strategic goals? What resources, including time and personnel, are necessary to execute the workflow effectively? What are the best practices in the industry that we can adopt to enhance performance? By answering these questions, you can uncover valuable insights that guide decision-making and improve operational efficiency. Common Pitfalls in Workflow Audits Even the most diligent audits can fall prey to common pitfalls. Here are some areas to watch out for: Lack of Stakeholder Engagement: Failing to involve key stakeholders can lead to incomplete information and missed opportunities for improvement. Engaging team members at every level ensures that you capture insights from those who are directly involved in the processes. Change Resistance: Employees may resist changes proposed after an audit, undermining the effectiveness of new processes. It’s vital to communicate the benefits of the changes clearly and involve employees in the implementation process. Neglecting Documentation: Without proper documentation of workflows and SOPs, it becomes challenging to implement and sustain improvements. Ensuring that all processes are well-documented allows for greater clarity and consistency across the organisation. To mitigate these pitfalls, ensure that communication is clear, involve employees in the audit process, and establish comprehensive documentation practices that include updated SOPs. Best Practices for Conducting a Workflow Audit To maximise the effectiveness of your workflow audit, consider these best practices: Define Clear Objectives: Identify the specific goals you want to achieve with the audit, such as improving efficiency, reducing costs, or enhancing customer satisfaction. Clear objectives will guide your audit and ensure you remain focused. Involve Key Stakeholders: Engage team members from various departments to gain diverse perspectives and insights. Including cross-functional teams helps to highlight potential issues and uncover innovative solutions. Use Visual Tools: Employ flowcharts or process maps to visualise workflows , making it easier to spot inefficiencies. Visual representation aids in understanding complex processes and facilitates discussions around improvements. Establish Actionable Recommendations: Ensure that the findings from the audit lead to clear, actionable steps that can be implemented immediately. Recommendations should be specific, measurable, and time-bound to facilitate accountability. Review and Revise SOPs: Update your SOPs to reflect any changes made as a result of the audit, ensuring that everyone is aligned with the new processes. Regularly revisiting and revising SOPs keeps your organisation agile and responsive to change. Tools and Technologies for Effective Audits Leverage advanced tools and technologies to enhance your workflow audit process: Workflow Management Software: Tools like Asana, Trello, or Monday.com can help you visualise workflows and track progress, making it easier to manage tasks and deadlines. Data Analytics Platforms: Use analytics tools to collect and analyse performance metrics, enabling data-driven decision-making. Insights derived from data can guide process improvements and strategic planning. Collaboration Tools: Platforms like Slack or Microsoft Teams facilitate communication among team members, fostering collaboration during the audit. Effective communication tools ensure that everyone remains informed and engaged throughout the process. The Human Element A successful workflow audit hinges not just on processes but also on people. Engaging stakeholders throughout the audit process is crucial. Encourage open communication and solicit feedback to ensure everyone feels valued and heard. Consider conducting interviews or workshops to gather qualitative insights from team members. When employees understand the purpose and benefits of the audit, they are more likely to embrace the changes that follow, contributing to a culture of continuous improvement. Conclusion Workflow audits are not merely checklists; they are strategic tools that can significantly impact business growth and operational efficiency. By embracing the principles of high-performance workflows and integrating robust SOPs, organisations can unlock hidden potential and drive sustainable success. Remember, the journey towards operational excellence begins with understanding your workflows—so take the leap and discover what lies ahead! Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. 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ESG for Finance Directors: What You Need to Know Finance directors can strategically plan and measure ESG targets to create value for the business and do better for people and the planet. Learn more. Published on: 16 Nov 2023 Consumers, investors and employees increasingly want companies to be more socially and environmentally responsible. Why is this an issue for finance directors and CFOs? Because ESG is undeniably a financial matter. Done right, environmental, social and governance performance can reduce costs and create value. Done wrong, it can cost sales, investments and soon even raise costs like insurance rates. This means ESG should be at the forefront of every finance director’s mind, which is precisely what we’re looking at in this article. What is ESG and why is it important? ESG stands for environmental, social and governance. This criteria is used by a range of external stakeholders to assess the good a company does, whether that be for its staff, the wider community or the planet. We’ll look at each section a little more in depth. Environmental criteria could include things like a company’s energy use, water use, waste, pollution or even treatment of animals in some instances. Social criteria looks at the company’s business relationships. This could be to examine the suppliers it uses to ensure they meet the ethical standards they proclaim to value. It could also be whether the company donates to local community non-profits or allows employees volunteer days. Social criteria also applies to how the business treats its employees, so this would include working conditions, diversity, equal pay and so forth. Governance criteria looks at how ethically a company is run. This includes the relationships between a company’s board, shareholders and stakeholders. For example, if a company had a conflict of interest apparent for a board member, this would be an ethical issue and poor governance. Broadly, governance refers to how a company decides to run things and how it may affect others. Many companies, particularly larger companies, are doing their best to improve these criteria and their standards in order to attract more customers and more investors. The facts speak for themselves here: 92% of consumers are more likely to trust a company that supports social or environmental issues. 88% of consumers are more likely to be loyal to a company that supports social or environmental issues. 58% of employees consider a company’s social and environmental commitments when deciding where to work. 68% of investors have integrated ESG into their decision making. This shift in focus towards companies with strong ESG criteria is representative of a wider shift in the purpose of business. While the purpose of business was once thought of to be to make a profit for shareholders, the owners, with little regard to anything else. Over more recent years, the purpose of a successful business is more than that. They cannot only serve the top dogs, but must also serve their employees, communities, suppliers and the planet. What are ESG principles? You may think ESG (Environmental, Social and Governance) principles are only for investors and big business, but they’re not. Small companies have investors even if it’s just the owner and staff that need to feel they have a sense of purpose too. The world has witnessed three previous major industrial revolutions which have harnessed emerging technology to change the way we live and work. The First Industrial Revolution used steam and water to mechanise industry. The second witnessed the invention of electricity and mass production. And, the third was the age of computers and information. And that includes business. Business is often seen as corrupt or evil, its only interest being itself, its profits, its shareholders, not so much its customers and employees. But that is changing fast too. We’re all too connected now for anything to exist for itself. Environmental Principles Looking after the planet upon which your business operates. For most of us, no all of us, that is still earth. The days of our world being seen as an unlimited resource for us to plunder are over. Where does your energy come from, or the resources you use to serve your customers? Is the planet being sdepleted every day you are in business? Economy-Wide Material Flow Accounting and Analysis (EW-MFA). Increasing Global GDP (Gross Domestic Product) increases global material use, production, transportation and disposal that becomes unsustainable without impacting on the natural world, climate systems and biodiversity. So it’s necessary to harmonise national economic and environmental goals . The measurement and analysis of raw material use on the national level is called Economy-Wide Material Flow Accounting and Analysis ( EW-MFA ). Domestic UK Resource Extraction 2019 Source: materialflows.net Whilst reducing or replacing the energy we use to limit global warming is important, this is only an indirect contributor to global warming. If we use and make less and reuse more of what we have, less energy is needed and fewer resources are extracted from the ground in the first place. This would include fossil fuels but also the resources to make the products or deliver the services. A circular economy where products are made to be recycled can help to reduce resource consumption. What is the Circular Economy (CE)? In the circular economy products are designed to use the minimum amount of toxic and natural resources during production, transportation, usage and disposal. In doing so maximum utility is given to re-use, recycling, repair and refurbishment so that the most efficient use of the original material is achieved and minimal environmental damage is created. Ideally the original material would be used an infinite number of times, but the energy required and the associated environmental impact needs to be considered. With a clean energy source this becomes more practical. This replaces the linear economy using the Take-Make-Dispose approach, as opposed to the Make-Use-Return of the circular economy. Phillips, as an example, creates “productive loops ” to maintain the value of their products, parts and materials while minimising waste and the extraction of natural resources. New circular business models would include products being used as a service, not owned, then returned to the manufacture for re-use, recycling or refurbishment, or appropriate disposal, the costs of this being part of original purchase price. Social Principles The social principles are all to do with you how you treat your staff, your customers, partners and suppliers, anybody who comes into contact with your business. Think of all the things you think you should be doing or would like to do, and you’ve about got it – paying people on time, recognition, training, coaching, personal development, equal opportunities, being fair and equitable with everyone, this can all help with employee engagement. Governance Principles The governance principles are all about the management structure, in the main those of the directors, owners and shareholders. It is also about the business’ transparency and ethics. It points towards creating a positive culture with the correct values and fair compensation. So all this makes perfect sense, there’s not much you can disagree with there. These things aren’t generally considered as they don’t help to improve the bottom line when a business is run like a machine when it is very transactional. These things will start impacting your bottom line when they become essential to your customers, employees and suppliers. How do companies benefit from ESG principles? When Marks and Spencer implemented “Plan A” for their customers to have a positive impact on wellbeing, communities and the planet they saved $200M annually. Coca-Cola created a competitive advantage when it reduced the amount of water used with its sustainability approach. All companies of any size can benefit from thinking about how they can operate more efficiently. Working more efficiently increases productivity and profitability, which becomes a competitive advantage. Your company’s purpose, values and beliefs should be reflected in all that you do. Just considering ESG principles in your decision making is enough to get started. If your staff follow suit, then you’re on your way, nothing will develop a positive working culture better than a shared sense of purpose. How investors are integrating ESG principles Investors will consider these aspects of your business too. They’ll want to see you can make a profit while addressing these ideas, especially when your investors are thinking long term. There is not a single way of integrating ESG into your business. Zurich looks at ESG Integration with training, providing information, reviewing processes and the active involvement of the owners. Is Corporate Social Responsibility (CSR) the same as Environmental, Social and Governance (ESG)? People are sometimes confused as to the difference between CSR and ESG as the two encompass the same topics. But the fundamental difference between CSR and ESG is the perspective from which it was taken. CSR is more about the activities that businesses must do to build relations with stakeholders, while ESG is taken from an investor’s point of view by taking into consideration non-financial factors as well as financial factors in investment decisions. Source: SK hynix Newsroom Sometimes, though, in some businesses’ implementation of CSR, the term greenwashing has come into existence. Greenwashing means that companies mislead people into thinking that they are environmentally conscious but in reality they are not making any efforts to be sustainable. The triple bottom line Today companies should aim to adopt triple bottom line business growth, so not just growth in profitability but also in the value created for people, society and the planet. Both people and the planet are essential inputs for business success, so long term business growth requires that these valuable business resources be both cared for and developed to create stronger long term, sustainable business growth. So the triple bottom line measures business profitability, people performance and the sustainability of the planet. ESG is important for external stakeholders Once upon a time, investors only cared about revenue, profits, costs and so forth. But it is no longer the case. For some investors, it is simply a matter of ethics. But for many more, it is because companies with a robust ESG framework are a better investment than companies who fail to address pressing issues like diversity and emissions. Insurance companies are facing an increase in climate-related claims. As such, rates and premiums are increasingly linked to environmental performance and carbon targets . In a similar vein, it’s also believed that soon financing rates may be directly linked to ESG performance as part of the appraisal process. For example, Asian bank DBS , converted Swire Pacific’s existing five-year revolving credit facility into a sustainability linked loan. Swire Pacific can then reduce the interest rate payable by meeting ESG goals in areas like energy consumption and diversity. As it is the responsibility of the CFO or FD to deal with these external stakeholders, this means ESG is no longer a concern for PR and marketing. This is great news for businesses. Without the financial guidance of the FD, ESG implementations and frameworks may lack results. If they are thought of merely as a PR exercise to keep the general public at bay, chances are they will bring less value to the business. Whereas if ESG frameworks are tracked and measured, with results quantified and analysed, they can not only please external stakeholders and consumers, but create value for businesses. How can ESG create value? We’ve mentioned investors already, but this is just the beginning of how a strong ESG framework can create value. ESG goes some way in driving consumer preference. Research shows one in three customers buy from brands they perceive to be doing good for the environment, with further research suggesting that many consumers would also be willing to pay more for environmentally friendly products. A solid ESG proposition can also help companies expand into new markets. Governing authorities are more likely to approve and aid sustainable and socially responsible businesses, while businesses can use it as means to attract new consumers within the new market. A great example of this comes in the form of Neste. Originally an oil company, the business has moved onto sustainable practices and generates two thirds of profits from renewable fuels. As we mentioned above, when implemented with purpose and thought, ESG can also reduce costs by combating operating expenses. Research also shows a significant correlation between resource efficiency and financial performance, with companies who had taken their sustainability strategies the furthest performing the best in this study. Increase employee engagement with ESG goals For employees, an ESG framework can attract great talent, as well as enhance employee engagement and business productivity through creating a larger sense of purpose. A study of top employers, measured by employee satisfaction and attractiveness to talent, have significantly higher ESG scores than other employers. This pattern is evident across environmental performance and more specific social and governance issues. As Millennials and Gen Z slowly become the majority of the global workforce, ESG will become a more pressing issue for employers. By 2029, these generations will make up 72% of the global workforce. Both these generations, particularly Gen Z, place a far greater importance on environmental and social concerns than predecessors do and will expect employers to act accordingly. Finally, a strong external-value proposition can ease regulatory pressure, reducing the risk of adverse government action and actually gaining government support. Many businesses are trying to keep up with new governmental policies, while businesses that stay ahead of this curve actively reduce risk. Overall, ESG can pay off in a huge number of ways. But it must be tracked, measured and analysed, which is where the strategic skills of the finance director or CFO come in. ESG metrics and reporting for FDs ESG metrics are not mandatory in financial reporting across industries yet, but with another climate summit on the agenda and a goal of net zero carbon emissions by 2050, it is only a matter of time. Many forward-thinking companies are increasingly including ESG reporting within their annual report or in the form of a separate sustainability report. As it isn’t mandatory, one of the main struggles for finance leaders currently is to define a reporting process standard. What this translates to is that a third of finance directors aren’t yet aware of their ESG reporting obligations. But the CFO or FD has the unique skills necessary to successfully strategise to drive business performance and report on ESG targets. When it comes to best practices, Michael Stanton , CFO of Diligent states: “There’s a huge opportunity for CFOs to be ESG leaders… it’s all about ensuring the company has the requisite infrastructure in place, the proper framework, top-to-bottom understanding, and the necessary systematic reporting and accountability so they can objectively measure, longitudinally, where it’s starting, where it’s heading, and what its gaps are.” Investing in the correct technologies to give the most accurate data for the strategic planning of KPIs is a huge part of this. Companies need robust financial systems to gather ESG data, just as they have for collecting operational and financial data. The NYU Stern Center for Sustainable Business has developed a Return on Sustainability Investment (ROSI) in an attempt to aid companies through this process. This five step process looks at: Identifying the current sustainability strategies Identifying related changes in operational or management practices Determining the resulting benefits Quantifying said benefits Calculating the financial value Solutions like this and others are likely to become more commonplace as ESG frameworks increase in use. The UK in particular is seeking to set itself apart from the rest of Europe as a sustainable investment reporting leader. UK ministers made a stand back in November by refusing to align with the EU’s Sustainable Finance Disclosure Regulation ( SFDR ). This is because the SFDR, while a step in the right direction, does not force disclosure of sustainability reports from companies. Businesses can choose not to comply without direct penalties. Instead, the UK announced it would become the first country in the world to fully mandate climate disclosures for both businesses and financial institutions. Experts believe this strict approach will spark a race to the top on ESG reporting regulations. The good news from this is that sustainable reporting is likely to become far more standardised across the board. Investors have long complained that reports have been “greenwashed” to paint an unrealistically positive image. But as ESG reporting becomes increasingly mainstream, investors, financial institutions and the public are likely to demand more accurate and transparent information. There are voluntary reporting frameworks currently in place. For example, the G20’s Task Force on Climate-Related Financial Disclosures. James Alexander , chief executive of the UK Sustainable Investment and Finance Association ( UKSIF ) said: “We want the UK government to enhance sustainability disclosures, with strong taxonomies that drive us in the direction of net zero and that ensure leaders in ESG reporting can differentiate easily from those who are doing less. That will make us the world leader.” Of course, another issue rears its head for businesses that function in various international markets. To save lost time and resources, these businesses need a global standard of ESG reporting to avoid confusion. The ‘Big Four’ accounting firms ( Deloitte, PwC, Ernst and Young and KPMG ) have launched their own international ESG metrics to attempt to align existing reporting standards. This was launched in partnership with the World Economic Forum ( WEF ). Since the launch of these metrics last year, more than 60 of the world’s largest corporations have committed to using them, including Dell and Mastercard. They’re based on four pillars of governance, planet, people and prosperity. What can finance directors do now? As you can see from the above, the lack of standardisation makes ESG planning and reporting a tricky thing to say the least. This said, it is always worth making ESG a priority and using a process of continuous improvement to improve your reporting standards. Finance directors can use one of the many global metrics mentioned above to begin tracking and measuring their ESG criteria. For those with the time or resources, it may even be worth reporting against multiple ESG frameworks if ESG is of a high importance to your investors. Research what metrics your competition is using to benchmark where your reporting standard needs to be as a minimum. A balanced ESG criteria sets both short-term and long-term goals, so both of these are worth considering in your strategy. Short-term goals can show the company is committed to making the changes necessary, while long-term goals show the forward-thinking necessary to realistically hit net zero by 2050. Your ESG targets should be embedded into your company story. They’re something to be proud of after all, something that sets the company apart as a thought leader. It represents a commitment to create value through more sustainable and ethical practices, as well as do better for the environment and society in the process. The future of ESG for finance directors It’s clear the financial directors role has developed beyond finance function alone. A robust ESG framework is yet another way FDs can innovate and create value for businesses. Here they can be a key player in transforming businesses into profitable places that do better for people and the planet. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

8 Effective Leadership Behaviours to Improve Business Performance Learn how to identify and develop effective leadership behaviours to improve your business productivity, performance and profitability in this quick guide. Published on: 9 Nov 2023 More than 77% of businesses state they have leadership gaps. This should come as no surprise considering more than 10,000 baby boomers are retiring every day and 69% of millennials believe there is a lack of leadership development opportunities in their workplace. Despite 88% of employers stating it’s crucial to develop leaders at all levels, many businesses seem to struggle in actually executing this development, resulting in lacklustre management lacking the leadership behaviours necessary to drive high performing teams. Businesses need to focus more on leadership behaviours Leadership behaviours are fundamental to success both for starting a company and growing one. As the old saying goes, employees quit their boss, not their job. The reality is low employee retention is just one of the numerous issues poor leadership behaviours cause. Gallup research shows that managers are the biggest factor affecting employee engagement, accounting for around 70% of the variance in employee engagement, both negatively and positively. When we consider employee engagement is the driving force behind business productivity and performance , this statistic is of critical importance. Poor leadership costs businesses. The same research shows companies fail to pick managers with the right talent for the job a staggering 82% of the time. Much of this comes down to the reasons employees are promoted into positions of leadership currently. The traditional approach is to look at length of service or who has the most developed technical skills in their current role. But length of service and business skills often don’t translate into the makings of a great manager. For example, a highly skilled web developer – though undoubtedly a key player within an organisation – doesn’t automatically possess the leadership behaviours necessary to drive business performance. Research suggests around one in ten people possess the leadership behaviours necessary to achieve excellence. These 10% can naturally engage both customers and employees, creating a culture of high productivity and performance within their team. The same research reveals that a further two in ten people have some of the leadership behaviours necessary and have the potential to achieve excellence with the right leadership development strategy in place. Nonetheless, we know from the research above and the statistics in the introduction, that many businesses seem to struggle to identify these potential leaders. Experience and skills are important, but more important than either of these are leadership behaviours. What are leadership behaviours? Put simply, leadership behaviours are the natural characteristics and traits that make some people more effective as leaders than others. It’s important to note, that while for many these leadership behaviours are innate, there is no reason leadership behaviours can’t be developed through various learning and development strategies . Individuals utilise these leadership behaviours to manage themselves and those around them to increase productivity and performance, for the benefit of the organisation. Why are effective leadership behaviours important? Effective leadership comes with many benefits for organisations, including: Improved productivity Improved performance and profitability Stronger teams Better collaboration Increased employee retention Increased innovation Stronger company culture Faster business growth All of these benefits are interlinked. Effective leaders lead more effective teams or departments, who collaborate better and are more engaged and therefore more productive. This leads to an overall improvement of the team’s performance and profitability. The business is able to use these profits to grow faster than planned. But the benefits of an effective team don’t end there. Employees who love the people they work with thanks to improved collaboration are far more likely to stay with a company longer, meaning companies can reduce recruitment costs and lower employee churn. Similarly, the improved working environment and increased employee engagement and productivity can lead to more innovative and creative approaches, also helping the business grow faster. One of the easiest ways to see the benefits of a great leader is by example. Think of some great business leaders such as Bill Gates, Warren Buffett and Reed Hastings. If you think about the various behaviours these leadership examples possess, you’ll start to get an idea of the effective leadership behaviours that drive excellence. 8 effective leadership behaviours for success There are no end of potential leadership behaviours that align with various leadership styles, however the most effective leadership behaviours to drive excellence are: Motivate Be assertive Hold yourself accountable Be transparent Be approachable Be objective Be attentive Lead by example We’ll look at each. 1. Good Leaders Understand Everyone has Unique Motivations One of the most important leadership behaviours is the ability to motivate those around you. Many think that motivation comes down to simple monetary rewards or the ability to be optimistic in spite of challenging situations. While these sometimes help, the reality is individuals have a variety of intrinsic motivations that make them behave the way they do. For example, while one employee may be motivated by reaching goals and targets, another is more interested in building meaningful relationships and receiving regular verbal feedback on their performance. Great leaders acknowledge this aspect of human nature and utilise their knowledge of employees to create methods to best motivate each individual employee. A helpful tool in recognising and understanding different motivations are workplace personality tests. 2. Effective leaders are assertive, but not authoritative Another effective leadership behaviour is assertiveness. Leaders need to be able to make decisions and have confidence in those decisions, especially when things are challenging. Assertive doesn’t mean ignoring the opinions of those around you and demanding everyone follow your lead. Great leaders are able to take on board a range of differing perspectives and make swift decisions with confidence. In turn, colleagues should have confidence in your decisions and your ability to make the right one. 3. Create a culture of ownership by holding yourself and others accountable Many people have had a manager who passes the buck and it’s not a pleasant experience to say the least. This is why holding yourself accountable is an effective leadership behaviour. When things go wrong within your team, you shouldn’t pass the blame along to another colleague. Leaders who hold themselves accountable earn the trust and respect of their colleagues, building stronger and more meaningful relationships in the workplace. Modeling this behaviour to employees creates a better working environment; one where it’s okay to make mistakes and take risks, even if they don’t always pan out. This can encourage employees to take ownership over their own work and increase engagement. 4. Be honest and transparent at all times Research shows that 82% of employees don’t trust managers to tell the truth. This poor communication and lack of trust impacts engagement significantly. Transparency and honesty are vital leadership behaviours. The ability to communicate clearly and honestly, in both good and bad situations, builds trust between you and colleagues. They can also help create a better working environment, one that is fair and open. Employees are more likely to come to you with problems early on, as opposed to leaving them to build and become more of a challenge later. 5. Be approachable to encourage communication and collaboration Though honesty and transparency undoubtedly help, another good leadership behaviour is to be approachable. For many, this seems to come as a natural social skill. For others, despite having many other great leadership behaviours, being approachable is something they need to actively work on. Actively listen to employees, be attentive and ask open-ended questions. The leadership features of Revenue Intelligence can help here. Communicate regularly, not just about work matters, but about other things going on in their lives. All of these can help employees feel like they can talk to you about anything and know that you’ll take onboard what they say when you do. 6. Be objective and avoid office politics Objectivity or impartiality is an important leadership behaviour. We’ve all been guilty of having a colleague we favour, as well as some we definitely don’t. Effective leaders are able to examine and understand this bias and make impartial decisions and provide objective feedback regardless of personal preference. Objective feedback should be encouraging, not disparaging, with a focus on finding a solution as opposed to critiquing. Similarly, decisions shouldn’t be made based on who you like the most. Good leaders are able to identify which employee is the best suited for each task or activity based on their skills and previous performance. 7. Be attentive to employees’ needs and emotions Effective leaders are attentive. Not only to ongoing tasks, activities and projects, but to the individual needs and emotions of the employees on their team. For example, some employees may work best with minimal supervision, while others may work best in stretch roles with many new challenges to tackle. Leaders should pay attention and consider the unique needs of every employee in their team or department for the best performance. When leaders are attentive to employee needs and behaviours, they can spot when something isn’t quite right. People have off days for a variety of reasons, often entirely unrelated to work. Attentive leaders can identify less productive days and communicate with employees to find out what they can do to help resolve the issue. This in turn can improve job satisfaction for employees, knowing they have a leader they can depend on and who cares about their well-being. 8. Lead by example and model desired behaviours An individual that possesses all the above leadership behaviours and displays them regularly at work is an ideal role model to other employees. Effective leaders hold themselves and employees to a high standard and lead by example. For instance, you wouldn’t turn up late to work everyday, but expect your employees to be on time. A good leader models the behaviour desired from employees so it is clear what the expectations are. How to improve leadership behaviours Not everyone innately possesses effective leadership behaviours. Even for those that do, displaying those behaviours consistently is still a challenge. Fortunately, there are many leadership behaviour frameworks available to help further develop these behaviours. A popular choice is Kouzes and Posner’s five practices of exemplary leadership model. They state that leaders who follow five core practices make the most effective leaders. These are: Model the way Inspire a shared vision Challenge the process Enable others to act Encourage the heart The first practice, model the way, refers to leaders creating and following the standards of excellence they wish others to follow. These principles set clear guidelines for employees to follow. Leaders then need to inspire employees to work towards a shared vision and goal. They motivate and inspire employees by aligning everyone to work towards this shared vision. Effective leaders must challenge the status quo of things and innovate to continuously improve the business. They are unafraid to take risks and experiment to identify new opportunities. Of course, leaders must encourage and enable other employees to act, not just themselves. Effective leaders foster collaborative and energetic teams with an inclusive environment where every individual employee feels empowered to do their best. Finally, effective leaders encourage the heart by recognising and rewarding excellence. They recognise each individual contribution made and celebrate achievements and accomplishments. Research by Kouzes and Posner shows leaders who demonstrate these practices consistently are more effective and have higher performing teams. Another helpful leadership behaviour model was created by Blanchard and Hersey. Their four part situational leadership model is practical and can be applied immediately to situations. They state no leadership style is better than another and that effective leaders adapt their leadership style to individuals. They suggest four different leadership styles that can be applied for any situation as it arises: Telling style: a high supervision style for employees new to tasks or the role. Participating style: a moderate supervision style where leaders are actively involved with tasks to help build employee confidence. Selling style: a lower supervision style where leaders intervene when necessary due to low motivation. Delegating style: a minimal supervision style where employees can handle tasks well and understand their role. Many managers find this leadership behaviour model useful in figuring out the best way to help improve employee engagement. Develop your leadership behaviours and create high performance teams Without effective leadership behaviours, no matter the hard technical skills or length of service, you’ll struggle to inspire and motivate employees. While some individuals naturally possess these leadership behaviours, others must actively work on developing them and practicing them consistently. Our business improvement programme works with business owners and leaders to identify and improve behaviours, one behaviour at a time, creating a more productive and profitable business. 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What are the Alternatives to GDP as a Measure of Growth? Alternative measures to GDP provide a broader perspective of progress, including happiness (GNH), social well-being (SPI), environmental impact (Ecological Footprint), and human development (HDI). They offer a more comprehensive assessment of societal advancement. While Gross Domestic Product (GDP) has traditionally been used as a primary measure of economic growth, there are several alternative metrics that have been proposed to provide a more comprehensive and nuanced understanding of economic progress. Some of these alternatives include: Gross National Happiness (GNH): Developed by the Kingdom of Bhutan, GNH measures the overall well-being and happiness of a nation's citizens rather than focusing solely on economic indicators. It considers factors such as psychological well-being, social support, environmental sustainability, and cultural preservation. Genuine Progress Indicator (GPI): The GPI attempts to measure the economic progress of a nation while taking into account social and environmental factors. It adjusts GDP by incorporating factors such as income distribution, household production, the value of unpaid work, resource depletion, and environmental damage. Human Development Index (HDI): Developed by the United Nations Development Programme (UNDP), the HDI combines indicators of health, education, and income to provide a broader measure of human well-being. It considers factors such as life expectancy, education attainment, and gross national income per capita. Ecological Footprint: This metric measures the impact of human activity on the environment by quantifying the amount of natural resources required to sustain a population or economic activity. It considers factors such as energy consumption, carbon emissions, water usage, and land use. Social Progress Index (SPI): The SPI provides a comprehensive assessment of social and environmental well-being. It includes indicators related to basic human needs, foundations of well-being (e.g., access to healthcare and education), and opportunities for individuals to reach their full potential. Bhutan's Index of Gross National Happiness (IGNH): Inspired by GNH, IGNH measures the happiness and well-being of individuals within a nation. It includes indicators such as psychological well-being, health, education, time use, community vitality, cultural diversity, ecological resilience, and living standards. Wellbeing-adjusted Life Years (WELLBY): WELLBY combines life expectancy with measures of subjective well-being to assess the overall quality of life. It focuses on individuals' health, happiness, and life satisfaction, considering both physical and mental well-being. These alternative metrics aim to provide a more holistic view of societal progress by considering factors beyond purely economic indicators like GDP. While they offer valuable insights, their implementation and acceptance vary across countries and organisations, and none of them has gained universal adoption. Previous Next Unlock Healthy Business Growth Discover strategies to enhance profitability, cultivate a greener and more sustainable business model, and elevate overall well-being. GET STARTED

Introduction to Key Agile HR Operating Model Concepts The Agile HR Operating Model is a transformative approach that adapts human resources practices to the principles of Agile methodology. It emphasises flexibility, collaboration, and rapid responses to evolving organisational needs. This innovative model streamlines HR processes, promotes employee engagement, and enables companies to stay agile in a dynamic business landscape. Published on: 4 Jul 2024 The Agile Human Resources (HR) Operating Model represents a transformative approach to managing and optimising the workforce in the modern business landscape. In an era characterised by rapid technological advancements, changing market dynamics, and evolving employee expectations, traditional HR models often struggle to keep pace. Enter Agile HR, a paradigm shift that enables organisations to adapt, innovate, and thrive in this dynamic environment. At its core, the Agile HR Operating Model borrows principles from Agile methodology, originally designed for software development, and applies them to the realm of HR. This approach emphasises flexibility, collaboration, and customer-centricity. In essence, it aligns HR practices with the broader organisational goals and encourages HR teams to act as strategic partners rather than mere administrators. Agile HR enables companies to respond swiftly to changing talent needs, fosters a culture of continuous improvement, and empowers employees to take ownership of their career development. It redefines HR processes, such as recruitment, performance management, and learning and development, making them more responsive and adaptable. This introduction will explore the key components, benefits, and challenges of adopting an Agile HR Operating Model, offering insights into how organisations can leverage this approach to enhance their HR functions and drive overall business success. The Business Context for Agile HR In the ever-evolving landscape of today’s business world, organisations must remain acutely attuned to the main forces for change that impact their operations. These forces can be multifaceted, encompassing technological advancements, shifting market dynamics, regulatory changes, and societal trends. Several primary forces for change have come to the forefront. Technological Advancements Rapid advancements in technology are reshaping industries and customer expectations. There is a need to continually innovate and embrace emerging technologies and foster a culture of innovation, and enhance digital capabilities. These technological changes should deeply integrated into a People Strategy through targeted training and development programs, ensuring our workforce is equipped with the necessary skills to thrive in a tech-driven world Market Dynamics The competitive landscape is constantly evolving, driven by changing customer preferences and global economic shifts. A strategic response involves a focus on customer-centricity, agility, and adaptability encouraging employees to stay close to your customers, adapt quickly to changing market conditions, and seek out growth opportunities. This is woven into our People Strategy through performance metrics that reward customer-centric behaviours, innovation and continuous learning initiatives. Regulatory Changes In an era of increasing regulatory scrutiny, your organisation needs to take a proactive approach to compliance. This commitment to compliance can be embedded in a People Strategy through comprehensive training programs, promoting ethical behaviour, and creating a strong culture of integrity and accountability among our workforce. Societal Trends Society’s values and expectations are evolving, with growing emphasis on environmental sustainability, diversity, equity, and inclusion. Your organisation should be committed to corporate social responsibility and sustainability. This commitment can be reflected in a People Strategy by fostering a diverse and inclusive workplace, promoting sustainability initiatives, and engaging in philanthropic efforts that align with societal values. In summary, the main forces for change impacting your organisation encompass technological advancements, market dynamics, regulatory changes, and societal trends. A strategic response prioritises innovation, customer-centricity, compliance, and social responsibility. These responses are seamlessly integrated into Agile HR, ensuring that your workforce is aligned with your organisational objectives and well-prepared to thrive in an ever-changing business environment. Embracing Agile HR: Breaking Traditional Hierarchy Traditional hierarchies and siloed teams can hinder agility in leadership and decision-making. Instead, we need to focus on the importance of creating cross-functional, collaborative teams, and shifting the focus from rigid roles to skill-driven contributions. Reshaping your HR organisation can lead to greater integration, transparency, and flexibility, benefitting the entire company. To keep pace with the rapidly changing business landscape, HR functions must evolve. An agile HR model is essential for adapting to these changes effectively. The first step towards agility in HR is to challenge and rethink your existing organisational structure. Traditional hierarchies can stifle innovation and hinder responsiveness. Agile HR requires breaking down the barriers between traditionally siloed teams and structures. Cross-functional collaboration is key to enabling agility in leadership and decision-making. Agile HR organisations should be characterised by small, nimble teams that collaborate with leaders from various parts of the company. These teams work together to address organisational challenges. We need to move away from rigid demarcations of roles and job titles and instead focus on the skills and expertise that each team member brings to a project. This shift allows for greater flexibility and adaptability. By adopting an integrated approach, HR becomes more closely aligned with the overall company goals. This integration fosters transparency and a shared sense of purpose. Agile HR organisations are known for their transparency in decision-making processes. This transparency encourages accountability and trust. Additionally, flexibility allows HR to respond promptly to changing needs. An agile HR organisation serves as a model for the rest of the company. By demonstrating the benefits of cross-functional collaboration and skill-driven contributions, HR can inspire similar practices throughout the organisation. Rethinking your HR organisation’s structure is the foundational step towards embracing agility. By breaking away from traditional hierarchies and silos, you can create an HR model that is small, nimble, and highly collaborative. Focusing on skills rather than titles empowers your team members to contribute their expertise effectively. The result is an HR organisation that is more integrated, transparent, and flexible, setting an example for the entire company. In the journey towards agility, this transformation. Agile HR Operating Model is a Transformative Approach The Agile HR Operating Model is a transformative approach to managing human resources in organisations , adapting principles from Agile methodology originally designed for software development to the HR domain. This model revolves around several key concepts that enable HR departments to become more responsive, flexible, and aligned with the dynamic needs of modern businesses. We’ll delve into each of these key concepts to gain a deeper understanding of the Agile HR Operating Model. Agility and Flexibility At the heart of Agile HR lies the principle of agility. Traditional HR models often struggle to keep pace with the rapidly changing business environment, which includes technological advancements, market shifts, and evolving employee expectations. In contrast, Agile HR is designed to be flexible and adaptable. It recognises that HR practices must evolve quickly to meet the shifting needs of the organisation. This agility allows HR departments to respond swiftly to new challenges and opportunities. Cross-Functional Teams Agile HR promotes cross-functional collaboration. Instead of HR teams operating in isolation, Agile HR encourages the formation of cross-functional teams that include HR specialists, managers, and employees from different departments. These teams work together on HR initiatives, bringing a diverse range of perspectives and skills to the table. This collaborative approach ensures that HR initiatives are more aligned with the broader organisational goals. Customer Focus In the Agile HR Operating Model, employees and internal stakeholders are considered customers. HR teams prioritise meeting their needs, delivering value, and enhancing the overall employee experience. By adopting a customer-centric mindset, HR becomes more attuned to the expectations and preferences of the workforce, ultimately leading to higher employee satisfaction and engagement Iterative Approach Agile HR emphasises an iterative and incremental approach to HR processes. Rather than implementing long-term plans that may quickly become outdated, Agile HR breaks down initiatives into smaller, manageable steps. These steps are continuously refined based on feedback, allowing HR to make course corrections and adapt to changing circumstances. This iterative approach is especially valuable in the volatile business landscape. Continuous Improvement Continuous improvement is a core tenet of Agile HR. This concept encourages HR teams to embrace experimentation and learning from both successes and failures. By continuously seeking ways to enhance HR processes and practices, organisations can stay ahead of the curve and remain competitive in a rapidly evolving market. Empowerment and Autonomy Agile HR empowers employees to take ownership of their development and career progression. Instead of relying solely on HR for guidance, employees are encouraged to set their own goals, identify learning opportunities, and drive their career growth. Managers in Agile HR serve as coaches and mentors, providing support and guidance rather than imposing rigid direction. Lean Principles Lean thinking is applied to HR processes in the Agile HR Operating Model. This involves identifying and eliminating waste in HR workflows, streamlining processes, and maximising efficiency. By reducing unnecessary steps and delays, HR can deliver services more effectively while conserving resources. Transparency Open communication and transparency are fundamental in Agile HR. Employees have access to relevant information about HR processes and decisions. This transparency builds trust within the organisation and ensures that employees understand the rationale behind HR actions. When employees are well-informed, they are more likely to collaborate and engage positively with HR initiatives. Adaptive Leadership Leadership in an Agile HR environment is adaptive. Agile HR leaders foster a culture of trust, collaboration, and innovation. They are open to feedback and can pivot quickly when necessary. This adaptive leadership style sets the tone for the entire organisation and encourages employees to embrace change. Performance Metrics Agile HR relies on data-driven metrics to evaluate the effectiveness of HR initiatives. These metrics provide insights into employee performance, satisfaction, and other key HR-related indicators. By collecting and analysing relevant data, HR can make informed decisions and measure the impact of its efforts. Small Batches and Rapid Prototyping HR projects in Agile HR are often broken down into smaller, manageable tasks or experiments. This approach allows for quicker testing and implementation, reducing the risk associated with large-scale HR initiatives. Rapid prototyping and feedback loops help HR teams refine their strategies and deliver value more efficiently. Value Stream Mapping Agile HR uses value stream mapping to analyse and optimise HR processes. This involves identifying and eliminating bottlenecks, reducing unnecessary steps, and improving the flow of HR services. By streamlining processes, HR can enhance its service delivery and minimise delays. Feedback and Retrospectives Regular feedback and retrospectives are essential components of Agile HR. These practices enable HR teams to assess the success of HR initiatives and processes. By gathering feedback from employees and stakeholders, HR can identify areas for improvement and make necessary adjustments. Sprint Planning Similar to Agile development methodologies, Agile HR often uses sprint planning to set short-term goals and priorities for HR teams. Sprint planning ensures that HR teams remain focused and aligned with organisational objectives. It also allows for flexibility in responding to changing priorities. Self-Organisation Agile HR encourages teams to self-organise and make decisions collectively. This empowers employees to take ownership of their work and fosters a sense of accountability. When teams have the autonomy to make decisions, they can respond quickly to challenges and adapt to changing circumstances. Agile HR Workflow: A Roadmap for Efficiency An effective Agile HR operating model hinges on clear, optimised workflows that enhance both employee satisfaction and operational success. Below is a general workflow designed to streamline HR processes within an Agile framework: Identify the Core Objectives Define the strategic goals of the HR department, ensuring alignment with overall business objectives. This step often includes setting specific, measurable outcomes such as improved employee retention, faster recruitment cycles, or enhanced talent development programs. Conduct Skills Audits and Assess Team Capabilities Regularly audit the skills within your workforce to identify gaps or strengths. Use Agile ceremonies such as retrospectives to assess the current capabilities of teams and individuals, ensuring that skills are aligned with the objectives defined. Create a Talent Development Sprint Based on the audit, implement targeted "sprints" to address any gaps. These could involve rapid upskilling, coaching, or bringing in external resources. Agile HR sprints focus on developing talent iteratively, with continuous feedback loops. Deploy Feedback Mechanisms Agile thrives on communication. Develop consistent feedback loops between HR, managers, and employees. This includes regular check-ins, surveys, and retrospectives to ensure any adjustments are made in real time. High-trust environments foster open and honest feedback, enabling a continuous improvement cycle. Iterate and Scale Once processes and frameworks are proven effective on a smaller scale, they can be scaled across the organisation. Regular retrospectives and performance reviews ensure that workflows remain flexible and adaptable to future changes or business growth. Agile HR workflows not only drive operational efficiency but also contribute to a culture of continuous improvement and employee engagement. For more detailed insights into creating high-performance workflows, explore our Creating High Performance Workflows blog post. The Agile Mindset The Agile Mindset represents a revolutionary paradigm shift, steering us away from conventional, bureaucratic leadership while nurturing a culture rooted in collaboration, continuous learning, and adaptability within teams. It serves as a catalyst, empowering teams to excel and deliver high-performance results. It represents a departure from the conventional hierarchical leadership style, which often involves office politics and a “whoever is loudest is right” mentality. Instead, it encourages teams to set aside ego and shift their focus from “who is right” to “what is right.” This shift promotes a more inclusive and effective decision-making process. It is a thought process that involves several key elements where team members seek to understand the bigger picture, including the goals and objectives of their work. They work together closely, breaking down silos, and fostering effective communication and embrace continuous learning and mistakes are viewed as opportunities for improvement. Teams remain adaptable in the face of change, avoiding resistance and embracing new challenges. To fully embody the Agile Mindset, it’s essential for all team members to not only practice agile techniques but also to understand and adopt the underlying methodology in all aspects of their work. The primary intention behind cultivating an Agile Mindset is to empower employees to do their best work. With more autonomy, they have the freedom to make decisions and take ownership of their work. Innovation is encouraged so a culture of innovation is nurtured, driving continuous improvement, leading to more creative solutions. The Agile Mindset promotes a happy and healthy team environment, resulting in several benefits such as: High-performance teams that adapt quickly to change, enhancing their performance. Increased customer value from a relentless focus on delivering value to customers. More self-organisation where small, self-organising teams efficiently manage their work. Enhanced collaboration with teams interacting effectively, fostering a networked approach. Companies that embrace the Agile Mindset are better equipped to quickly adapt to a rapidly changing marketplace. They become more responsive, innovative, and capable of delivering customer value consistently. The Agile Mindset is not just a set of practices but a fundamental shift in how teams think and work together. By embracing this mindset, organisations empower their employees, foster a culture of collaboration and continuous learning, and position themselves to thrive in an ever-evolving business landscape. These key concepts collectively form the foundation of the Agile HR Operating Model. By embracing these principles, HR departments can transform themselves into agile, responsive, and employee-focused units that drive organisational success in the fast-paced and ever-changing business landscape. Agile HR empowers organisations to navigate uncertainties with confidence and thrive in the digital age. Design Thinking in HR Design Thinking is a powerful approach that emphasises user-centricity, customer value, and rapid innovation in product and service development. It’s is a comprehensive framework that guides the process of problem-solving and innovation. It centres on human-oriented design, aiming to create solutions that address real human needs and challenges. At the core of Design Thinking is a commitment to being human-centric. This means that every step of the design process revolves around understanding and empathising with the people who will use or be affected by the solutions being developed. It begins with careful observation and empathy. Instead of making assumptions, designers seek to truly understand how people interact with their environments, what their pain points are, and what they value. This deep understanding forms the foundation of innovative solutions. It is not a linear process but rather an iterative one. It encourages a hands-on, experimental mindset. Designers create prototypes, test them with users, gather feedback, and refine their solutions repeatedly. This iterative approach allows for continuous improvement. It often starts with the question: “How might we?” This question is solution-oriented and fosters optimism and collaboration. By framing problems in this way, teams are encouraged to brainstorm creative solutions and work together to implement them. Teams are empowered and accountable for gathering user insights and driving the design process. Collaboration is key, as it fosters diverse perspectives and generates innovative ideas. Design Thinking encourages teams to think beyond the obvious and inspire new ways of addressing problems. By focusing on what people truly need, rather than what might be assumed, teams can uncover groundbreaking solutions. Design Thinking is not limited to product and service development; it can also be applied effectively in HR. HR professionals can use Design Thinking principles to enhance employee experiences, streamline processes, and create innovative solutions to HR challenges. Design Thinking is a powerful approach that places human needs and experiences at the centre of problem-solving and innovation. By adopting the principles of Design Thinking, HR professionals can create more effective, user-friendly, and innovative solutions in the workplace ultimately driving positive change and improving employee experiences. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

3 Benefits Of A Strong Customer Service Culture A strong customer service culture is vital for the success of any business. We're looking at the benefits of a strong customer service culture to learn why. Published on: 28 Mar 2019 Post Summary: A strong customer service culture is essential when trading conditions become harder or you want to grow. Your internal service levels will drive your external customer experience. Business productivity will improve with improved staff engagement. A strong customer service culture is critical to business success. Every company has a customer service culture of some description, but to define that culture we have to ask questions like: What is it? How do you measure it? Why is it important? And how does it relate to corporate culture? As a starter for ten, describe your service culture in three words; “Supportive, caring and engaging”, for example; or more negatively, “ unfriendly, abrupt and poor”. Perhaps nobody would define their own service culture in those terms, but actions speak louder than words and we’ve all done business with companies that don’t seem to value our custom. For us, customer service culture is seen as, “the way we do things around here.” It permeates all customer and staff thoughts, actions and feelings, and drives the business left, right, up and down.That’s why it’s essential to take this intangible force in hand. As McKinsey’s customer experience compendium of July 2017 puts it; “It helps to create a new service culture that deepens customer-centric efforts in all layers of the organization. It promotes a longer-term impact and the full engagement of the staff by applying the principles of customer excellence to employees’ journeys.” When demand is high, you can get away with a poor service culture in the short term, especially if the competition is no better. But when the market tightens up and the competition intensifies, a reduced service culture could quickly finish off a once thriving business. A weak customer service culture isn’t easily corrected, which is why you should take steps to resolve it before it becomes a problem. The good news is that a customer service culture assessment can help you to identify ways to improve your service levels. 3 benefits of a strong customer service culture 1. Improved cross-departmental communications Ensuring your department is working well with other departments sometimes means having to go the extra mile. You’ll need to be proactive, think outside the box, be helpful and supportive and think ahead. Often it’s not what happens within a function but what happens between functions that makes all the difference. Cross-departmental communication isn’t easy in an environment with a poor customer service culture. 2. The customer service experience is much improved The external customer experience will reflect the internal customer service culture. You’ll never deliver an exceptional customer service experience if everybody is about to hand in their notice. 3. Increased business productivity Motivated, engaged employees are more focused. They’ll be more efficient and make better decisions. They’ll also be more organised and more able to prioritise their time appropriately. Ultimately, they’ll be able to get more done, which is good for them, the customer and their business. This will help improve UK productivity , too. Conclusion A great customer service culture starts by engaging your staff. An improved customer experience starts with a focus on seeing how well your employees staff are working together. We can help you improve your customer service culture with our business improvement programme. We use unique productivity tools to observe your frontline customer service points to identify your strengths and challenges. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

How to Maximise a Small Marketing Budget Learn how to maximise a small marketing budget to grow your SME and increase your profitability with these simple tips you can implement today. Published on: 12 Apr 2012 It's a given that businesses allocate funds to marketing campaigns, but the real challenge lies in extracting the utmost value from that investment. Are all businesses equipped with the knowledge and strategies to leverage their marketing spend effectively? Here's how you can ensure that your marketing budget works its hardest for your business: Track and Evaluate Performance : Implement robust processes to monitor and evaluate the performance of your marketing initiatives. This involves not just tracking metrics like website visits or social media engagement but delving deeper into understanding what drives conversions and customer engagement. By identifying what works and what doesn't, you can refine your strategies for better results. Uncover Customer Insights : Understanding why some online visitors engage and convert while others don't is crucial. By delving into the motivations and behaviours of your audience, you can identify pain points or obstacles that hinder conversion. Armed with this knowledge, you can optimise your marketing efforts to address these issues, leading to improved profitability and customer retention. Leverage Insights for Profitability : By addressing the barriers preventing visitors from converting, you can shift focus towards enhancing the positive aspects of your offerings. This not only improves profitability but also enhances the overall customer experience, fostering loyalty and advocacy. Investing in understanding customer behaviour pays dividends in the long run. Iterate and Adapt Quickly : The ability to swiftly evaluate the effectiveness of your marketing campaigns is paramount. Establish systems that facilitate real-time feedback and analysis across all departments. This enables you to identify successful campaigns and scale them while promptly adjusting or discontinuing underperforming ones. Agility and adaptability are key to staying ahead in today's dynamic market landscape. Allocate Budget Wisely : A well-informed understanding of your marketing performance allows you to allocate your budget where it's needed most. Whether it's doubling down on successful campaigns or reallocating resources to more promising avenues, data-driven decision-making ensures that your budget is optimised for maximum impact. Marketing That Gets Results Effective utilisation of your marketing budget requires a combination of data-driven insights, customer-centric strategies, and agile execution. By continually refining your approach based on performance metrics and customer feedback, you can ensure that every pound spent delivers tangible returns for your business. Remember, the key lies not just in spending the budget but in spending it wisely. Differentiate yourself from your competition by listening to your customers and using them as a learning tool – increase your competitive edge. Ultimately, you need to develop an offering that surpasses expectations in order to improve conversion rates, enhance business performance and ultimately and boost profitability. How can you do that unless you measure the results of the marketing & sales teams in your business? Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started