Managing Employee Performance - Why Business Focus Matters in Small-Medium Business

SummaryWhat Symptoms Tell Us
"If you don't know where you're going, how will youWhen training is poor, standards are fuzzy and
know you've arrived?" It's an old saying that's still truesystems are sloppy we say that management has a
in business. Knowing precisely what your businessproblem. The same applies in reverse. When a
exists to achieve is called business focus. If yourcompany functions well and customer service is
business lacks clear focus you diminish your chance ofoutstanding we must give management much of the
success. Lack of focus creates many problems. Incredit. Employees may provide outstanding service
particular, it makes it virtually impossible for yourand display excellent technical competence. They
employees to perform well.deserve credit for that. But it's a clear sighted
Importance of Focusmanagement that creates the environment that
Without clear focus you can't clearly determine yourenables high quality staff performance.
target market. That means you can't have clear,Focus And Consequences
precise performance objectives. Lack of suchThe basic point I'm trying to make is that while poor
objectives leads to unclear and fuzzy performanceemployee performance is a major issue, it's almost
standards. That leads to sloppy systems. On and on italways a consequence of something else. Unless we
goes. You scratch your head and worry why yourfix the "something else", the performance problem will
staff seem unable to "put their best foot forward".continue. And I'm suggesting that the "something else"
What Business Are You In?is often lack of clear business focus.
Only you can answer that. But if you're not sure, howWhere To Look First
on earth can you expect your staff to know? "ButBefore you rush off to improve employee
Leon," you might be saying, "we know we're retailers...performance, expand your product line, streamline your
have been retailers for 65 years since granddadsystems or review your business plan, consider your
opened the first store after World War II. We sellbusiness focus. Answer the question "What business
shoes in eight stores in three cities. And we're good atare we in?" It will help to answer the questions under
it.""Who Says?" too.
Who Says?Narrow Your Focus
Try answering these questions. Who do you sell to?You can't be all things to all people. A narrow focus
What sort of shoes? In what price range? Who's yourbeats a broad focus almost every time. As the old
"ideal" customer? What are your most profitable lines?saying goes, "Do only those things to which you bring a
Who are your major competitors? Are you a marketunique perspective. Buy everything else around the
leader nationally, regionally or locally? Who else, outsidecorner." It's far easier to develop and manage a
of shoe retailers, competes for the same consumerbusiness with a narrow focus then it is to juggle the
dollar as you do? What distinguishes your businesscompeting demands of a broad focus. A broad focus
from those of your competitors in the eyes of yourstretches and thins your resources. A narrow focus is
prospects and clients?much easier to manage. It also enables you to position
Connection With Employeesyour business clearly in the minds of staff, customers
You see, really successful businesses can answer alland prospects. That's a huge business advantage.
these questions precisely. When we see their staff inConclusion
action we're impressed. We wish we had staff likeManaging a small-medium business is demanding. I
them. What we don't realize is that the level ofknow. I've run such a business for over 30 years.
proficiency doesn't start with outstanding training andManaging employee performance is a major
development. It doesn't start with excellentmanagement responsibility. It's a lot easier with a
performance standards and simple, effective systems.crystal clear business focus.
It starts with clear business focus.