Boost your business value

Since I can remember, I have always been interested in the mechanics of things, in the process of creating an idea, a game, a good or a service.

We will look together in this article how a BUSINESS FRAMEWORK can boost your BUSINESS VALUE.

My best friend and I used to do lots of experiences and special projects that may not make sense today. But the essence of all that was that we were trying to figure out how things were made and how to make it better. I am far from being an inventor but I am really passionate about the big idea of how things work together. I believe that somehow, everything is all interconnected. Look at the dynamic of how a car works, all the pieces have a specific function that contributes to another. The same concept applies to the human body, to nature, to a family dynamic and even to a business and an organization.

An organization or company is exactly like a cell, a family. It has an Eco-system where everything departments are tied together. What ties them together are the end to end business processes which support the BUSINESS FRAMEWORK and enables each players to reach the business objectives.

Common success factors I noted from business leaders over the years are the following;

1. They have a clear vision on how the business needed to be shaped 
2. They have a perfect understanding of their market, opportunities and threats 
3. They have a clear business model focused on their core competences 
4. They have solid business framework implemented where each business unit, departments, individuals could relate to and could understand the Eco-system of the company.  
5. They have effective business processes supporting their operations.

Often, they do have a vision, they understand their business and market, they know what their core competencies BUT... are unable to share and create a clear business framework that can be understood by all.

Very few employees and managers do understand the chain of activity of the revenue cycle which starts with product strategy, development, marketing, sales, contract, service delivery and support... It is so crucial that a BUSINESS FRAMEWORK be documented and communicated to all employees. All processes can easily be linked to the business framework in a second step. You have no idea of how much you can impact your business if you would just have a business framework.

A software company I helped in the past to create its business framework increases significantly the value of their business when it came the time to sell a division. A SIMPLE BUSINESS FRAMEWORK boosted their value of 30%!!!! The fact that the company was able to demonstrate its operating model and had a business framework added tremendous value in the sales process of the division. We are talking about millions of dollars here with a minimal investment that youc an do yourself! ROI is extremely high, plus you really get to improve the operations of your business if you attach your business processes and put in place a continuous improvement philosophy.

 How to build the business framework?

1. focus on your revenue cycle, breakdown the major activities of the revenue chain 
2. build an illustration of your revenue cycle that you can Frame on your walls 
3. under each key activity of the chain, identify the key business process, the key job roles in this area and the key performance indicators 
4. make sure that you have your mission statement written on the business framework, including the values Building a business framework is pretty easy and can be done quickly, make sure that your framework becomes the point of reference in your company. Use it on a day to day basis. Put your BUSINESS FRAMEWORK every where in the company: Board room, kitchen, meeting rooms, manager's office...
5. Make it grow, put it on your internal website, link each business process in the framework with URLs. Make it fun.
6. Do training sessions to all your personnel, add the BUSINESS FRAMEWORK in the New Employee Guide!

Your success is directly dependent on how your team does understand their contribution in the bigger scheme if the company and understand how each other interact with each other. That is one critical key for success.

Ask me questions if you need more details, you'll see it is much easier to do than what you think.