Investment – The plant that will bear the most fruit
Last month we talked about the importance of having a strategic vision, which is essentially having a clearly defined goal that can help you make strategic plans and measure success.
This month we will be talking about the importance of investing in your company, which is arguably one of the most effective steps any owner can take when improving their business. Investment does not just mean spending money; it means utilizing your energy for the benefit of the business. Energy being your attention, your time, and your effort. This leads us to our quote of the month.
“The only thing that grows is the thing we give energy to.” – Ralph Waldo Emerson
When we talk about investing into your company, we mean investing your energy. This could take on many forms depending different factors, such as the size, needs and specifics of your business. Company ‘A’ may have a great crew and the work environment is fantastic, but they are in desperate need of new equipment. Company ‘B’ may be the opposite, they may have all the latest equipment, but the environment is bad and the team does not work well together. As we have said before “one size does not fit all” and each plan will look different.
This is not to say that we see a lot of owners who aren’t investing energy into their companies. In fact, it’s quite the opposite. We see lots of owners investing their energy into their business but unfortunately they are investing into the wrong areas. This can look like micromanaging their employees, band aid solutions to problems or sometimes the energy is spent avoiding the problem all together.
If you read the last blog, you can see how the above problems would be avoided if you had a good strategic vision paired with a solid plan of action. Investment and planning need to mesh together, or you will find yourself in a good deal of trouble.
Assuming you have a good strategic plan put together to help you reach your vision, you can now invest your energy to the areas that need it most.
If we look at Company ‘A’ again, if the team is flourishing there is not a huge need to invest into there. This does not mean neglect or forget them; it just means that they don’t require any additional attention right now. Instead, the most effective investment for company A would be into equipment (repairing or buying new). In fact, by investing into the equipment you will subsequently be investing into your team as well. This could look like faster production, better quality work and more efficiency.
Moving to company ‘B’, the most effective investment would be into the team. You will have to invest your time into finding the cause of the problems and invest your energy into solving them. Sometimes it may require financial investment, or it may require your direct attention in other forms. The benefit and reward you get by investing into your team are well worth the energy spent. This could look like improved work quality, faster production times and a better work environment.
For the last few months, we have talked about how the industry is changing and things are not the same as they were before. It has created huge problems for shop owners that affect every aspect of their business; supply chain issues, lacking labor force, price increases and changing insurance company procedures.
Investment can be an intimidating word for anyone, especially these days. Its intimidating because it requires trust, and in an industry that is continually changing, it’s hard to trust that what you invest into today will be worth it tomorrow. However, despite the ever-changing industry, there are things you can invest in that will always produce tremendous rewards such as investing in employees, work environment and work quality. Achieving your goals without any investment is impossible so if your serious about taking your shop to the next level, make sure you have a clear vision and a solid action plan.
