The winning formula that any owner/manager needs to build into his or her playbook is:
S + R x P = Results
Scorecard + Routines x People = Results
Every business has objectives, whether it's a revenue objective, expense objective, or guest satisfaction objective. These objectives typically tie into a bigger result such as EBITDA, cash flow performance, or net income. Your business is no different.
How do you ensure your retail business delivers the results you need? Simple, follow S + R x P.
Does your business have a scorecard? It should. How does a student know if they are earning passing grades - their report card. Your business scorecard let's everyone involved know where the business stands and if it's on the right path to delivering results.
Your scorecard should be comprised of KPI's relative to the business results you are driving. Your scorecard should also be made in a way that is well received by the team. Scorecards and push reporting fall under internal communication (marketing). Partner with your marketing squad for effective scorecards.
Routines are equally as important as the scorecard. Routines need to be deliberate. What will your team do to ensure the objectives on the scorecard are met. I recommend bringing in team members and management together to sort out routines. A basketball team doesn't just show up, get out on the court, and start playing. They have designed plays and schemes that they focus on executing.
People are the multiplier. Good people can read scorecards and execute routines. Great people can do it better and quicker, while finding ways to improve. Better people = better results, period.
You can have the best scorecard and best routines but if you have zero good people, the results will always be zero. Make sure you don't have a goose egg for people! Most companies invest in their scorecards and routines but fail to recognize the importance of investing in their people. People can multiply your business results, while scorecards and routines most likely will not.
S + R x P = Results
The best retail (any business for that matter) formula I have ever followed! Let me know how it works for you.