SYSTEMology Blog

Systems Thinking Case Study: Valmond & Gibson

AA Concierge — Tue, 09 Apr 2024 15:38:39 GMT

Highlights

Scale Your Supplement Business with Systems

David Jenyns — Mon, 08 Apr 2024 16:49:15 GMT

Highlights

Effortlessly scaling from 40 to 150 team members
Building a culture that embraces systems and processes
Instilling confidence in managing and documenting change

BioOptimizers’ Story

BioOptimizers, a health and supplement company, has experienced remarkable growth. Starting from a modest team size, the introduction of Haley Santos as the Systems Champion catalyzed their trajectory from 40 to about 150 dedicated professionals. Haley, a naturally systematic individual with an inclination toward structured habits, stepped into the Systems Champion role and became pivotal in scaling the business.

The Challenges

Scaling a company always presents obstacles, especially in the arena of health and supplements. According to Haley, the journey began with the CEO acknowledging the necessity of systems after an encounter with SYSTEMology®. The importance of hiring a Systems Champion became clear, not as an evolution of a current employee’s role but as a strategic hire to instill a systems mindset from the outset.

The Solution

Haley’s approach to scaling BioOptimizers started with absorbing SYSTEMology® principles. Identifying areas where systems were lacking by using tools like the Critical Client Flow (CCF) chart ensured the company could sustain growth without collapse. Haley’s role involved identifying single points of failure, ensuring detailed documentation of processes, and guiding the team to embrace the transformative power of systems.

BioOptimizers has not only adopted these practices but has developed a full-fledged Systems Champion team, with Haley spearheading the department. Understanding the nuances of each division within the company has supported BioOptimizers’ scalability, enabling it to thrive, especially in the virtual work environment.

What’s Next?

BioOptimizers has mastered the art of scaling through systems and processes, thanks to the Systems Champion. The company has successfully navigated growth challenges and cultivated a supportive environment where fear of change is overshadowed by the collective goal of continuous improvement.

If your company seeks to scale, you may need a Systems Champion like Haley. Is it time for your supplement business to embrace a new level of organizational health with SYSTEMology®?

To discover how SYSTEMology® can transform your business and help you find your Systems Champion, click here.

Junior Business Process Manager Career Insights

David Jenyns — Tue, 26 Mar 2024 13:05:39 GMT

Highlights

Newly implemented systems improving onboarding and operations
Enhanced confidence in managing increased workloads and responsibilities
A journey from occupational therapist to Systems Champion

Lime Therapy Mildura’s Story

Kaleb, an occupational therapist at Lime Therapy Mildura, took a pivotal turn in his career when he embraced the role of a Systems Champion. With only two years of professional experience since his graduation, he found himself at the core of driving efficiency and standardization within the multi-disciplinary healthcare team. His journey is not just about personal growth, but about transforming how the entire team operates and serves the community’s allied health needs.

The Challenges

Joining Lime Therapy Mildura brought Kaleb face-to-face with the complexities of healthcare services. The steep learning curve and the need for consistency across various disciplines presented a significant challenge. It was apparent that the absence of structured systems could lead to inefficiencies and gaps in service delivery, especially for someone new to the business.

The Solution

Kaleb’s systematic mindset and his penchant for organization made him an ideal candidate for the Systems Champion role. Management’s trust, combined with SYSTEMology’s methodology, created an environment where Kaleb could thrive. His ability to detail and his analytical skills allowed him to work closely with seasoned professionals, distilling their expertise into processes that everyone could follow. This initiative not only streamlined business operations but also empowered Kaleb, giving him insights into business management early in his Junior Business Process Manager career path.

What’s Next?

Lime Therapy Mildura has taken a significant step forward in optimizing their daily activities. Its commitment to SYSTEMology® has laid a robust foundation for ongoing growth and continuous improvement.

Are you looking to enhance the efficiency of your business? Embracing a systems mindset and the Systems Champion role can revolutionize how you work. To learn more about how having a Systems Champion can benefit your business, click here.

Association of Professional Builders: System Mastery

David Jenyns — Fri, 15 Mar 2024 19:42:23 GMT

Highlights

Seamless operational handover to the next generation
Innovative use of systems for independent team functionality
Comprehensive approach to systemizing for business growth

Stannard Family Homes’ Story

From its origins as a carpentry business, Stannard Family Home has grown into a notable $15 million custom home builder in Adelaide, South Australia. Ryan, the owner, credits this expansion to a disciplined approach to systemization, encouraged by the Association of Professional Builders.

The Challenges

In the highly systematized building industry processes, it can be challenging for small builders to implement structured systems. Stannard Family Homes faced this hurdle as they transitioned from a solo operation to a thriving enterprise. The need for consistent processes became paramount with the increase in scale and complexity of their projects.

The Solution

The cornerstone of Stannard Family Homes’ transformation was the development of a systems manual and utilization of systemHUB. This resource became integral for training and standardizing operations across the board. By establishing clear systems and aligning with the Association of Professional Builders’ focus on building industry processes, the company was able to empower its staff and ensure fluidity in its operations.

Ryan’s success in systemization is exemplified through the advancement of his daughter within the company. Initially inexperienced, she quickly adapted to the systemized environment, which paved her way to becoming the assistant manager, demonstrating how reliable systems can propel even the most novice employees to new heights.

What’s Next?

As Stannard Family Homes looks to the future, it aims to leverage its well-established systems to facilitate the rebuilding of homes in rural areas and beyond. Their systems have evolved beyond a set of instructions; it’s now the DNA of the company, allowing for consistent quality and efficient training of new team members.

By establishing a Systems Champion, your company can look forward to the kind of structured growth that Stannard Family Homes has achieved. It’s about creating a legacy where the business thrives, whether you’re present or not, and preparing a path for seamless transitions and expansions in the future.

Ready to cultivate a Systems Champion in your business and witness transformative growth? Click here to learn more.

What is Lean Methodology? How it Benefits Small Businesses

David Jenyns — Tue, 23 May 2023 16:54:09 GMT

In this blog post, we’ll explore the world of Lean methodology and its potential benefits for small business owners. We’ll take a closer look at the core principles of Lean, how it differs from other business improvement methodologies, and when it might be useful for your business. We’ll also delve into the challenges of implementing Lean, as well as the benefits associated with it.

And for those who may not have the resources for the full Lean methodology, we’ll introduce you to SYSTEMology, a more affordable and accessible alternative. So whether you’re a seasoned entrepreneur or just starting out, read on to discover if Lean is the right fit for your business.

What’s in this article:

What is Lean methodology?
What are the core principles of Lean?
How does it differ from other business improvement methodologies?
Can it be applied to any business and is it easy to implement?
How long does it take to see results and how do you measure them?
What other options are available for small business owners?

What is Lean Methodology?

Lean was originally developed by Toyota in the 1950s, and was first widely adopted in the manufacturing industry. It has since grown beyond its roots, and is now recognized as a business improvement methodology applicable to many different types of businesses. One of the main aims of Lean is to eliminate waste and increase efficiency in business processes.

By identifying and eliminating waste, businesses can streamline their operations and focus on delivering more value to their customers. Naturally, having satisfied customers simply means better profits for your business. So now that we know what the Lean business methodology is, what are its principles?

What Are the Core Principles of Lean Methodology?

The core principles of Lean are centered around eliminating waste and maximizing value for customers. It’s all about making things better, treating people right, and being smart about how you do things. Some of the key principles include:

Continuous Improvement: Lean is an ongoing process of identifying and eliminating waste in business processes to continuously improve efficiency and customer value.
Respect for People: The methodology values the input and contributions of all employees and strives to create a culture of mutual respect and trust.
Value Stream Mapping: This is a visual tool used to identify and analyze the flow of materials and information in business processes.
Just-in-Time (JIT) Production: JIT is a Lean principle that aims to minimize waste by producing only what is needed, when it is needed, and in the amount needed.
Kaizen: This is a Japanese term that means “continuous improvement”. It is a fundamental principle of the Lean methodology and emphasizes the importance of ongoing improvement in all aspects of business.

How Does It Differ from Other Business Improvement Methodologies?

So, what makes Lean unique? Other methodologies might focus on reducing costs or improving quality, but Lean takes a holistic approach to business improvement. Let’s dive into the specifics:

First, Lean focuses on eliminating waste in business processes, which can include anything from excess inventory to unnecessary steps in a production line. This increases efficiency, reduces costs, and improves customer satisfaction.
Second, Lean places a strong emphasis on continuous improvement, or kaizen, which involves constantly evaluating and refining business processes to ensure they are as efficient and effective as possible. This differs from some other methodologies that may only focus on making changes at specific intervals or in response to specific challenges.
Third, Lean prioritizes the voice of the customer, using tools like value stream mapping to identify and understand the value that each step in a business process provides to the customer. This helps businesses better understand and meet customer needs, which can lead to increased customer loyalty and profitability.
Finally, Lean methodology promotes a culture of respect for people, which involves valuing the input and expertise of all employees and working collaboratively to solve problems and improve processes. This differs from some other methodologies that may rely on a top-down approach or place less emphasis on employee involvement.

Now that we have a solid understanding of the key differences of Lean compared to other methodologies, let’s discuss what sort of businesses work well with it.

Can It Be Applied to Businesses of Any Size, in Any Industry and Sector?

In most cases, yes, indeed! Whether you’re running a pizza shop or a multinational corporation, Lean can be applied to businesses of any size, in any industry and sector to help improve processes and make more money. It has been successfully implemented in manufacturing, healthcare, service industries, and more. It’s all about tailoring the methodology to your specific needs and goals.

With all that said, before you decide to dive into Lean, it’s still important to carefully consider if your business is a good fit for Lean and if you have the right reasons in mind for wanting to implement it.

Reasons to Implement

Implementing Lean can have a ton of benefits for your business, including increased efficiency, improved quality, better customer satisfaction, and more cash in your pocket. Let’s look at the reasons in closer detail:

Increased Efficiency: Eliminating waste in business processes means businesses can improve efficiency and reduce costs.
Improved Quality: Lean methodology emphasizes the importance of quality control and can help businesses deliver higher quality products and services.
Improved Customer Satisfaction: By focusing on delivering more value to customers, businesses can improve customer satisfaction and loyalty.
Increased Profitability: By reducing costs and improving efficiency, businesses can increase profitability and reinvest in growth opportunities.

Reasons Not to Implement

While we did mention that the Lean methodology can be applied to any business, there are cases where it may not be a good fit for some. These reasons business owners choose not to implement Lean include:

Lack of Resources: Implementing the methodology can require additional time, money, and resources, which may not be feasible for some businesses.
Lack of Commitment: Lean is an ongoing process of continuous improvement that requires a long-term commitment from the business and its employees.
Incompatible Culture: It requires a culture of respect, trust, and continuous improvement, which may not be compatible with every business culture.

Is It Easy to Implement It in a Small Business?

Let’s be real here, implementing the Lean methodology in a small business can be challenging, but it is possible. The key is to start small and focus on the most critical areas of the business. Small businesses may not have the resources to implement it in full, but they can still benefit from adopting some of its core principles, such as continuous improvement and value stream mapping. You don’t have to do it all at once, just take it one step at a time. And hey, every little bit helps, right?

How Long Does It Take to See Results?

The timeline for seeing results from implementing the Lean methodology can vary depending on the size and complexity of the business, as well as the specific goals and challenges. However, businesses can typically expect to see some improvements within a few months of implementation, with ongoing improvements over time as the methodology is continuously applied and refined.

How to Measure the Results

To measure the results of implementing Lean, businesses should track key performance indicators (KPIs) related to efficiency, quality, customer satisfaction, and profitability. It’s important to establish a baseline for these KPIs before implementing the methodology and track progress over time to identify areas for further improvement.

What Other Options Are Available for Small Business Owners?

If you’re new to business systemisation and are yet to document your many of your processes, the full Lean methodology may not be the best fit. Lean is a process improvement methodology, so by definition it is best suited to those who have already defined their processes.

If you’re new to systemisation and you’re still finding your way, SYSTEMology may be a better place to start. SYSTEMology is a proven seven-step process that helps small business owners streamline their operations and focus on delivering more value to their customers, without the need for extensive training or investment in software and equipment.

Where to from Here?

In conclusion, while Lean may not be the best fit for every business, it is worth considering for those looking to improve their operations and achieve greater success. And for small business owners or those who don’t have any systems in place yet, SYSTEMology offers a more accessible and affordable alternative that can still provide significant benefits.

Our Concierge Service can help create robust systems for your business and give you more time to focus on what matters. You can also get a FREE systems training toolkit to access templates and training you can use for your organization.

Still uncertain about how to improve your business and where to start? Reach out to one of our expert team members and find out how we can help you make your business leaner and more profitable.

Healthy Business Subsystems — Grow & Succeed with CCF & MVS

David Jenyns — Mon, 17 Apr 2023 17:57:09 GMT

Key Takeaways:

Each department in a business has its own functions and roles.
Good business health means all department subsystems are in good health.
The Critical Client Flow (CCF) is the first step to systemization, but it doesn’t address all areas of the organization.
Minimum Viable Systems (MVS) tackle other important systems and can produce a compounding effect.
MVS for business are crucial to achieving sustained growth and transformation.

Say your respiratory system isn’t working well, and you’re not doing anything to make it better. It’s going to start affecting other organs, functions, and in the end, your overall health.

A business system is just like the human body. Each department acts like a different body system helping to keep it alive. If one or more of these departments and their subsystems perform poorly, they can hurt the overall health of your business.

So how and where do you really start with creating and maintaining subsystems?

Building Business Subsystems? Start with the Critical Client Flow

The first step is to identify the different departments in your organization, such as:

Marketing
Sales
Operations
Finance
HR
Management

Once you figure out what your departments are, it’s critical that you have an understanding of the essential function of each department. Similar to the systems of the human body, each one of the different departments has a particular area of responsibility.

With the different roles of your departments in mind, apply the 80/20 rule. Ask yourself: What are the 20% of the subsystems that deliver the bulk of the results for each of these different departments? This in turn, will lead you into thinking about the Critical Client Flow (CCF) to help you identify the most important steps in each subsystem.

So let’s say in marketing, we’re thinking about one system, lead generation. A simplified CCF outline may follow the steps below:

Generate leads through Facebook Ads, YouTube Ads and referrals.
Capture an incoming inquiry, schedule a Zoom meeting and prepare a proposal.
If a client is ready to go, issue an invoice and onboard them.
Deliver the primary product or service.
Potentially get them to come back.

Similar to this example, there are other essential systems in other departments that you can apply the CCF to. Keep in mind though that identifying the most crucial 10-15 systems in your business and applying CCF on each is really just the first milestone in business systemization.

You may think that having just a few systems in place will magically transform your business, and when you don’t quite see the wins you imagined, you may get tempted to abandon systemization. This is where you need to move into the second step and next milestone, Minimum Viable Systems (MVS).

Understanding Minimum Viable Systems for Business

Once you’ve implemented the CCF to determine the most essential systems needed for the business to operate, you can focus on adding more systems that bring value. This is where you think about your MVS.

Taking our marketing department example, a subsystem for weekly emails might not be the most important component of marketing. It may not have popped up on the CCF, but it is a task that can help your business grow. Hence, you might consider adding it to your MVS list for marketing.

Another example would be the subsystem for weekly sales meetings. Although this isn’t critical to running your business, it is important in keeping you updated, identifying potential problems and brainstorming department improvements.

In short, MVS is all about expanding beyond the CCF. This is where you build additional important systems that will have a compounding effect, adding a little bit of value until your business starts to take off, begins its journey to sustainable growth and reaches escape velocity.

Systems are the Key to Reaching Escape Velocity

Systematization requires effort and patience. At first, it will feel like not much is happening in the first part of the curve when you’re putting your CCF and MVS into place. It takes time for the systems to compound, to build a systems culture, to get the team on board and to train new team members. One thing is certain though, systems are the key, and the sooner you start creating them, the sooner you’ll reach your business goals.

If you’re lost on where to start systemizing, we provide all the tools and support you’ll need to push your business to escape velocity. Take the first step to developing your systems by taking our systems strength test today.

How To Build Efficient Business Systems.

David Jenyns — Thu, 06 Apr 2023 22:47:40 GMT

Do you make this excuse when creating systems? “I can’t systemise this task because there are so many variations and options.”

It’s a common thought that stops people dead in their tracks.

For example, you might sell a product or service with various pricing options, and/or offer optional add-ons, and some of the steps end up being different because of the variations in your offerings.

So, how do you cater for these different options? Do you need to document every variation? How do you handle different team member skill levels and experience?

The answer is more simple than you realise.

When designing a system for the first time, you need to think about the most probable. In other words, what’s the most likely path in the customer journey? Consider the steps in that journey, then capture and optimise for that experience.

You’ll have team members with different levels of experience, and the more experienced staff that can handle those lesser-known cases.

So your front line will have your less experienced team members handle the most probable scenarios. Then when it heads off the beaten track, they can flag it for a more experienced team member to take over.

Now you can continue to build out your systems with the least disruption to your business because the skills and experience in your team are utilised optimally.

Check out this video below to learn more about how to optimise by capturing the most probable.

Timestamps:

0:13 – The different variables or scenarios that cause different results
0:34 – What to capture when designing a system for the first time
0:47 – The multiple paths that can deliver the outcome
1:44 – Think about capturing the most likely path
2:23 – How to factor in team members with different experience levels.
3:11 – Supporting the most probable path for the less experienced worker
3:36 – How to handle different variations over time
4:40 – Grab your copy of SYSTEMology

Transcription:

Hey, it’s David Jenyns, founder of SYSTEMology. In this video, we’re going to be talking about when you build systems, the idea of starting with first, capturing the most probable. As you start to build systems in your business and mapping out different processes, you will find quite often there might be different variables and scenarios that might cause different results.

So maybe when you’re selling something, there’s option A, B, or C. And depending on what the client ends up taking, some of the steps end up being a little bit different. So we need to think about, look, if we’re designing a system for the first time, do we capture all of those variations?

I’ve got a little graphic that kind of illustrates this quite well. If this is the start and this is the finish, you can see with this graphic, there might be multiple different paths that can happen to deliver. Maybe that product or service or that particular widget or whatever it is that you’re working on.

So these multiple paths, then the question becomes “If I’m creating a system, am I going to capture every variable?” Now, this is quite a simple example, and it might be easy to break away, but oftentimes there might be loads of different decisions that need to be made throughout the delivery of whatever the system is that you’re trying to capture. And the question is, are we going to capture all of those variables?

It can be quite overwhelming at the start to think about the immenseness of what might need to be captured to capture every possible scenario. So what I’m going to suggest is when you first build a system, capture what we call the most probable, what is the most likely path? Think about who is your ideal client and what is the system that you’re working on and what is most likely to happen and capture that experience. Optimise that experience.

Now, most likely you are going to be hiring great staff and that’s going to be part of your recruitment system that you’re building out a great team and you’re going to have team members with different levels of experience. You’re going to have team members that are newer to the team, and then you’re going to have team members that are more experienced.

Now, in situations where the path doesn’t follow the most probable and it goes off the beaten track, that’s where there may be these exceptions because you might not have it documented just yet. These scenarios go to your more experienced team members and all of the most probable paths, which is obviously the green one, maybe that goes to the less experienced team members.

Now, when you think about it, you’re designing a system and a process to capture the most probable. Then you’re getting less experienced team members to learn and follow that process and learn it inside and out. You’ve created systems processes extra videos supporting notes to all support that most probable path which then makes it easier for the less experienced team member to understand what to do as they move someone through that process and then when it heads off the beaten track then they can flag it for a more experienced team member to take over and then handle that exception.

Now over time your systems because they’re an organic document and they’re going to grow and evolve. You might add in different parts to the system that handle the different variations or you might create a separate process for when the client does this.

Now we look to do this but that comes down the line. Systems are organic documents that will continue to grow and evolve but in the early days when you’re just getting started just capture the most probable you will actually find that has tremendous wins for your business and also gets you focused on optimising for the most probable experience and scenario which is particularly important if you’ve selected a primary target audience or a client that you’re looking to serve and then you’re optimising towards them. That means that dream client is going to get the best experience because you’ve done the most thought and it will be that most probable path.

There are some ideas to explore if you want to find out more and you haven’t got a copy of the SYSTEMology book, definitely check that out. I think that’s going to be really helpful for you and I’ll see you in the next video.

Why You Desperately Need A Systems Champion

AA Concierge — Thu, 06 Apr 2023 22:40:58 GMT

Watch this thought-provoking webinar session led by James Brown (founder BizTech Guru and Certified SYSTEMologist), as he dives deep into the critical yet often overlooked role of a Systems Champion in business growth and success.

Gain valuable insights on the following topics:

* Defining the role of a Systems Champion and understanding its significance
* Identifying the ideal candidate for the role within your organisation
* Empowering and supporting your Systems Champion to achieve optimal results

And much more!

Whether you already have a Systems Champion or are considering creating the role, this webinar is a must-attend. James will also provide information on our upcoming Catalyst program, which offers the support and accountability necessary to optimise the performance of you and your Systems Champion.

About James Brown:

James is a small business expert with a passion for helping entrepreneurs systemize and automate their businesses. Having successfully implemented these strategies in his own business, he is dedicated to giving back by helping others achieve the same success.

With a focus on freeing up time and energy, James believes that small business owners can better focus on growing their businesses and creating positive change in their communities. He has experience working with businesses across various industries and is based in Adelaide, Australia.

Tips For Process-Driven Business Owners

David Jenyns — Wed, 22 Mar 2023 08:19:50 GMT

There is a distinct difference between running a business and leading a business.

As a business owner, your role goes beyond just managing operations. It’s about setting the vision and mission, building the system-driven culture, and leading by example.

Leaders are visionaries. (Who *cough* understands the importance of systems.) Systems fortify and grow businesses. You know that. But did you know that systems can help your role as a business owner. Empower your team to take on their roles with confidence, steer the ship, and spearhead a thriving company culture.

We have a short but powerful video for you on just this topic. Find out the one habit that will skyrocket your chances of your success – that you haven’t read in any professional development books.

Timestamps:

0:03 – As a business owner, what’s your role?
0:30 – This is what your business culture needs to look like..
0:45 – The #1 habit you need to master.
1:39 – Michael Gerber’s genius hack.
2:07 – Do it enough that you get good at it.
2:49 – Create your workflow

5 Ways To Grow Your Business (Formula)

David Jenyns — Thu, 16 Mar 2023 21:29:54 GMT

In the beginning, with a good product and a savage work ethic, business growth can feel inevitable. But what do you do when that growth slows or plateaus? Or you’ve gotten the hang of delivering consistent quality and want to start dialing in business growth, make it more predictable, and pinpoint exactly where to direct your efforts for greater profits.

Wouldn’t it be great if there was a formula that helps with that?

The short answer is “yes, there is” and it’s been around for decades. I learnt it from Brad Sugars (Action Coach) and it’s called the 5 Ways to Grow a Business Formula. It’s quite literally the formula for business growth.

{Number of Leads} x {Conversion Rate} = {Number of Customers} x {Number of Transactions} x {Average Dollar Sale} = {Revenue} x {Profit Margins}

Just plug in the numbers and see how making small changes can produce extraordinary changes to your bottom line. The secret is to leverage the 5 factors that drive profit, not the results of the factors.

Focus on…

#1. Leads – A Lead is simply the total number of potential buyers a business has contacted – or that contacted the business – over the course of a year. Leads are also known as “potentials” or “prospects.”

#2. Conversion Rate – This is the percentage of people that actually bought. If 10 people walk through a store and three people buy, that store’s conversion rate of 3 out of 10, or 30%, for that day.

#3. Average Dollar Sale – This is the average dollar amount per sale – estimated over the course of a year.

#4. Average # of Transactions – This is the number of purchases the average customer will make over the course of a year.

#5. Profit Margin – This is the profit percentage of each and every sale. Simply put, if a business sells something for $100, and the profit was $25, the profit margin is 25%.

Anyway, it’s best if you watch the video to learn how it all works.

Timestamps:

0:03 – Ode to Brad Sugars.
1:00 – The ‘Five Ways to Grow your Business’ equation.
2:10 – The five most important numbers.
3:15 – How to leverage these numbers to impact your business.
5:29 – The effect of leverage.