5 Great Ways to Improve Efficiency

Here’s what we know for sure: the world is moving at a faster and faster pace, but successful business owners fight through the clutter to remain efficient and fully productive, staying ahead of their competitors. They know that successful use of technology fills one side of the efficiency equation and the other side requires team competence.

5 Challenges to Efficiency

But if all it takes to be efficient is technology, and superstars on staff, why do the majority of small businesses struggle and fail? Let’s look at some of the challenges owners face.

1. Overwhelmed with speed of change. Many small business owners are reluctant to make major investments in new technology or in changing systems. Few owners feel confident in their ability to predict what lies ahead on the business horizon.
2. Technophobia. Many owners avoid adding new technology, equipment or ideas because of their age and/or their mindset. They’re stuck in the “this is how I’ve always done it and I don’t want to change” trap.
3. Lack of training. Another obstacle to peak efficiency is that small businesses often don’t have formal training programs. New employees are expected to train themselves, absorbing how to work efficiently, adding to continued cycle of old, unproductive habits.
4. Poor planning. A well-thought out plan, well executed, can increase a company’s profits by 50% or more. But too many business owners are flying by the seat of their pants, always focused on putting out fires.
5. Systems? What systems? There are businesses rife with waste because they lack systems. Without standard best practices and systems, time is wasted and business operations suffer. Employees can’t contribute at the highest level.

How to Combat Efficiency Challenges

Now let’s turn to what entrepreneurs are doing right to get efficient and stay that way.

1. Try new things, quickly. Instead of being mired in outdated processes, successful companies have a culture that recognizes positive risk. That includes trying out new systems and technology. Do your research, test it, then make necessary changes. .
2. Hire techies. You don’t have to keep up with all the latest tech trends personally. Expand your company’s capabilities by hiring people who are comfortable with emerging technologies. You’ll complement each other’s strengths.
3. Invest in human capital. Speaking of your team, remember that providing training for employees increases retention. Instead of treating training and development as an expense, look at it as an investment that will increase your team’s efficiency and creativity.
4. Have a plan to invest in it. Savvy owners make sure their annual business plans include investing in technology, equipment and ideas to boost productivity and growth. Those investments involve time and training, as well as dollars.
5. Carve out time to work on it, not just in it. Carve out time to work on your business, rather than simply running the day-to-day operations. This includes strategic planning, building and testing systems and measuring productivity.

Bottom Line

To stay ahead of the competition, you must remain efficient and fully productive through technology and talent. Because information is changing so fast and competition continues to grow, you can’t afford to deny that new ideas exist and are necessary to stay competitive.

Even with the best technology, you can still fail if you don’t engage your team in productivity. Be sure to invest in your employees’ training (and your own).  There’s always room for improvement!