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> Systems, Systems, Systems |
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Article
kindly supplied by John Paul
www.thecastledenegroup.com
Suite
1, Easington Business Centre,
Seaside Lane, Easington, Durham, SR8 3LJ
01915878132
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Pretty
much everyone who knows me, know I’m a huge fan
of systemising businesses. Every business im involved
in, whether it is property management, construction
or investment is systemised as much as possible. Why?
The answer is simple,
to make it run easier for all concerned. Now that does
not mean we don’t have problems and make mistakes,
of course we do we are all human, but what systemising
a business does it dramatically cut down on most of
the more common and simple mistakes, and it does work.
Why
systemise
As mentioned it makes running a business far simpler,
especially if you employ staff. It allows you to differentiate
who does what and when, which as everyone who has employed
staff knows is a major problem.
You always get a cross
over of responsibilities where staff are concerned and
if they don’t have clear defined roles and responsibilities
then I guarantee you will here this excuse “ I
thought he / she was going to do it”. It’s
an age old classic, if you have two people supposed
to do the same task; it’s a great possibility
that no one will do it.
By systemising you business
and informing the staff of their roles, they have no
excuse not to carry out certain tasks, you are essentially
writing an idiots guide to your business and how it
works.
Systemising is more
that just writing a manual though. Its much more of
a powerful tool than that:-
It makes you fully aware
of how YOUR business works and if things need to be
improved.
When we first systemised Castledene it highlighted the
amount of time it took to get quotes back for building
work, far too long. What we then did is set a limit
of how long it took, thus improving the response time.
I also got a good over view of every aspect of the business.
When you employ staff, you can’t know everything
about everything but it does allow you to sit back and
see if any of the processes are lacking or need to be
improved, which we did do.
Increases
productivity.
This is an obvious one, but sometimes overlooked. Systemising
your business will definitely reduce the mistakes made
by staff to the point where you will not know how you
operated without it. We saw immediate results when we
gave each person defined roles, we managed to not only
increase the amount of properties a portfolio manager
could manage, but they also were more effective and
efficient in looking after their portfolios.
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Stops
Bull Sh*£
This is a favourite of mine. If your manual is
well written, you will be able to see through
pretty much any excuse or reason as to why a task
was not completed. We originally trained all the
staff in the procedures and carry out continual
training when any amendments occur, they then
sign to say they understand and will carry out
the procedures. People will always make mistakes,
and if they say they don’t their lying or
not trying. However I would rather have a staff
member make an honest mistake and hold their hands
up than try and lie their way out of it, which
does happen. By having an operations manual and
training the staff, there is no excuse, other
than an honest mistake.
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What
businesses can be systemised?
Any business can be improved by systemisation; we have
done it on a property management, construction and a
property sourcing company so it can be done. Obviously
it will vary from business to business, but essentially
what you are doing is writing the best practice way
of operation and running your business, so as long as
you have a business it can be systemised and improved.
When
should I systemise
From day one! Bit blunt I know, but after being involved
in business in the past that have not been systemised
compared to now, I can honestly say that systemising
the my business’s is one of the most important
things I have ever done and is a major reason, apart
from my staff, as to why we have been successful to
date.
It
makes life so much easier straight away, and as mentioned
before, if productivity increases then you will have
to be systemised to cope with the increased work load.
It’s like a viscous circle.
You’re
never too small to start, when I had my portfolio and
only I was looking after it, I was running around trying
to collect rent, carry out repairs, deal with councils
and loads of other stuff that seemed to get on top of
me, I also had another 2 jobs to contend with. I then
decided to try and simplify things; I hadn’t read
the E-myth yet, so didn’t know that I was unofficially
systemising the business. I made sure I only did viewings
on certain days, went to visit the council every other
day, graded the repairs into urgent and non urgent and
by tweaking a few things, made life a lot easier.
It
wasn’t until I read the E-Myth by Michael Gerber
that I had the light bulb moment. Things just clicked
and I wrote the manual in a couple of months. At that
time, Castledene was still quite small, I think we managed
around 200 properties, the construction company only
had a few extensions and investment side had only sold
20 odd houses. I still feel to this day that I should
have done it earlier but was glad when I eventually
got round to it.
It’s
too complicated
You should always try and improve
your business from the start, always evolving and changing
for the better. It doesn’t have to be a complicated
manual with charts and diagrams, just a few pages of
do’s and don’ts that you must follow religiously
to get the best effect for your business. Once your
business grows you can increase the complexity of the
manual, and if you employ staff its imperative that
roles are clearly defined and your staff know implicitly
what is expected of them. No stone should be left unturned
when you employ staff. The more information you have
the less chance there is of staff making mistakes or
blaming each other.
If
any one has had a franchise before they will know all
about systemising a business and the operations manual.
It’s the bible and the life blood of running the
business. It can be made as complicated or simple as
you want. The purpose of it is too making life easier
for you.
Is
it worth the hassle?
Let me put it this way, is it
worth the hassle NOT to systemise your business. I can
only speak from personal experience when I say it’s
definitely worth it. The way we have systemised Castledene,
I don’t get involved in the day to day running
of the offices, I have employed managers for that. This
allows me to get involved in other parts of the business
such as acquisitions, we have now bought a third letting
agent and are in talks with another 2, something which
I certainly couldn’t have done if I was working
in the business rather than on it. I do like to keep
an eye on what is going on and have regular meeting
with the managers but because we are systemised and
employ great staff I don’t have to worry about
anything, but they do know I’m only on the end
of a phone if needed.
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Conclusion
As you have probably guessed by now I’m
a big fan of systemising business’s but
can honestly say it has improved our business
no end and highly recommend it. You’re never
too small and never too late to start, and once
you take the plunge I guarantee you will wonder
how you ever ran your business with out it
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“The
way to get started is to quit talking and begin doing”
Walt Disney

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The
Castledene Group,
Suite
1,
Easington Business Centre,
Seaside Lane, Easington, Durham, SR8 3LJ
01915878132
Castledene
Property Investments started in July 2008. John Paul
who is the managing director of Castledene has over
50 properties in his own portfolio saw an opportunity
to offer his expertise to other investors to become
a successful investor like himself. He also runs Castledene
Property Management who manage over 525 properties.
"We
offer Below Market Value and High Yielding Properties
in the North East many with yields above 15%. We are
competitively priced and feel we offer the best value
for money. Investing in property is the biggest financial
commitment most of us will ever make. It can also
be the most stressful. Not only do you have to find
the right property in the right location, you have
to tenant the property and deal with any maintenance
issues and if you live in a different part of the
country it can be an especially tense and worrying
experience"
If you would like updated information and access to
some great deals, then why not register your details
at www.thecastledenegroup.com
0191 578 8132 |
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