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In my previous article, I explored the first half-dozen behaviors that I have observed in successful business owners.  This article explores a second half dozen of those behaviors.  As stated in the previous article, unsuccessful business owners may do some of these, but successful owners consistently perform all these behaviors.  

Successful business owners:

7.     establish a comprehensive system of internal controls.  They understand that it is managements responsibility to create an environment that discourages employees from doing the wrong thing - such as stealing from the company, whether it be time, money or property.  In particular, successful business owners NEVER, NEVER, NEVER allow persons with access to accounting records to handle cash or sign checks.

8.     maintain focus.  They concentrate on the areas in which they are skilled - looking to the future, determining the products and services to be provided, building relationships with customers, etc.  Successful business owners hire others to do the jobs they don’t need to do, i.e.  performing in the present those day to day tasks that support operations and monitoring the past to determine financial results of the outcome of business operations. 

9.      monitor Key Performance Indicators (KPIs).  Gut reactions such as, “our membership is growing” or “our sales are increasing,” must be validated by relevant measures of performance.  Often the “gut” intuition is wrong.  Successful business owners establish key indicators for each significant aspect of the business.  

10.    establish clear guidelines for their company.  They strive to ensure that all who perform work within of for their company have a clear understanding the standards of behavior.  Successful business owners ensure that the guiding principles of the company are known, understood and obeyed.  They establish policies that guide behavior and processes that serve as roadmaps for “what” needs to be.  They also ensure that procedures are established for each process step, answering “how should this step be done” and clearly state their expectations for “how well” the task should be performed.  Expectations examine the outcome or result of each process.  

11. recognize that revenue is key.  While it is important to manage expenses, successful business owners realize that one can’t save their way to wealth.  They must develop, cultivate and harvest revenue streams.  Intense focus must be placed on ensuring that the products and services being offered are attractive to buyers.  

12.   take time to plan.  Successful business owners embrace the adage that  “fail to plan, you plan to fail.”  They plan at multiple levels.  They plan their daily, weekly and monthly schedules.  They establish a culture of planning within the organization.  They plan the revenues and expenses - this is known as the budget.  The don’t leave things to chance, but anticipate possible surprises in all business areas.     

In the last two articles I have presented a dozen behaviors that I have observed in what I would call successful businesses.  I confess, that I did not conduct a scientific study.  I have developed that list by reflecting back upon businesses that I have encountered and have attempted to recall what made those businesses “successful.”  I have no doubt that others might come up with a different list.  The question the reader might asked is, “are theses practices likely to lead to enhanced success my business?” If they agree that they might, I suggest they give them a shot.