With over 25 years of frontline experience Tom Shay is America's leading small business
management
expert. He's a "Must Have" for your next event.
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Do you manage like an airline flies?
We may have found a reason for delays in your business
Waiting for our next flight in an airport recently we wandered the airside and look at the destinations of the various flights.
Most of the airlines use what we refer to as a “hub and spoke” system. As an example, those of us living in a smaller community making the choice of flying on one of the legacy airlines, (United, American, Delta) will find your flight going to Chicago, Dallas or Atlanta because these three cities are major hubs for these airlines. Each of these airlines have multiple major hubs which are usually a sizable distance from another of their major hubs.
Once you get to one of these hubs your second flight will take you to your final destination. Using this hub and spoke format you may find your flights do not take you directly to your destination. As an example in getting from Nashville to Dallas, your first flight might be in an Eastern direction to Atlanta and then travel back to the west to get to Dallas. Sometimes you spend as much time with airport layovers as you would spend in driving to the final destination.
Southwest has a different approach. While in many airports, you will find that Southwest does not fly from smaller airports. If you are in Chattanooga, to fly on to Nashville means you most likely travel to Nashville or Atlanta to catch a flight.
However, for many of the Southwest flights you are not going to have the “hub and spoke” experience.
Observing this, we began to think about the lesson learned and how it connects to the management style many people have in their business.
When there is a decision to be made, many owners require the details of issues to be brought to them. Upon being told of an opportunity or challenge, the owner considers the circumstances and then gives directions to the appropriate individual.
What can go right with this? As an owner you will know everything that is going on in your business. If you think you have the best management style in your business, then the best answers are going to be given because you are giving all the answers.
What can go wrong? Identifying this management style you will likely understand where your day is being spent; making decisions for employees. Once you utilize this methodology you will likely find it becomes more intense. It becomes like a person playing catch with their dog.
The dog brings you the ball and then you throw it for the dog to bring it again. In this situation, your employee brings you a problem and you provide them with an answer and instructions. Seeing you are pleased with the results of your decision, the employee will then return with the need for you to make another decision for them. This may complicate your life and consume your time, but it does make work much easier for your employees.
Our airline example with Southwest shows the other side of management. Answers are more directly addressed because you are not in the middle of every situation. Perhaps by your standards not all decisions are going to be made in the same manner you would make them. This is where you make the investment of time to teach people how you want them to perform.
However, with your standing to the side and watching how employees make their decision you will have the opportunity to ask what factors went into the decision they made. This would help them to learn what you consider to be important when making a decision. Spending a smaller amount of time in teaching can result in more time for you doing things that only an owner can and should be doing.
The cost of learning and deciding how to fly your business? It could just be peanuts.
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This article is copyrighted by Tom Shay and Profits Plus Solutions, who can be reached at: PO Box 128, Dardanelle, AR. 72834. Phone 727-823-7205. It may be printed for an individual to read, but not duplicated or distributed without expressed written consent of the copyright owner.
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With over 25 years of frontline experience Tom Shay is America's leading Small Business
Management
Expert. He's a "Must Have" for your next event.
Perhaps you have investments outside of your small business; gold, stocks, bonds or money market funds. With each you likely know what the rate of return is.
What about your busines? Do you know what the rate of return is for your business? You should. After all, you do not want to be the person who has just bought themselves a job.
We see a lot of social media with what we think is a "sympathy plea" do do business with local small businesses.
It is not going to work. People select where they do business based on positive reasons. We discuss what we are seeing.
Article of the Month
A timely article for the holiday season. With any business that has inventory, are you looking at sales per square foot? Are you looking to see which is the most valuable space in your business? You can increase sales by knowing which items to place where.
Book of the Month
Fix This Next by Mike Michalowicz. We love this description of the book; The biggest problem entrepreneurs have is that they do not know what their biggest problem is.
If you find yourself trapped between stagnating sales, staff turnover, and unhappy customers, what do you fix first? Every issue seems urgent - but there is no way to address all of them at once. The results? A business that continues to go in endless circles putting out urgent fires and prioritizing the wrong things.