Small Business Management

Managing A Small Business

Managing A Small Business: An Overview Of The Skills Required

Managing A Small Business

Critical aspects of managing a small business

Managing a small business can be challenge at the best of times. With competing demands for your time, implementing business systems to take care of mundane tasks frees up your time to dedicate to core business activities. Management skills are often learnt on the job. Just what are some of the components a small business operator has to address?

Operations:

Having a strategic approach to knowing how the business fits together and where the business is heading is essential for every business operator. This allows the owner to make decisions about the use of capital, resources and labor. Systemizing business processes reduces manual processing and permits an organizations resources to concentrate on activities that build sales and growth. That's why business vision is so important. Having the right business structure allows the strategic alignment of business processes so that they work in harmony to serve the overall goals and objectives of the organization.

Sales/Marketing:

Every business owner needs to have a unique selling proposition and focused sales approach. Whether you are using telemarketing, direct mail or internet prospecting you need to have a process that works, that is scalable and produces a return on marketing and advertising expenditure. Marketing and sales skills are arguably the most important skill set a small business owner can posses. Sales are the lifeblood of every business. It is important that a company adopts measures that work or knows how to leverage the expertise of individuals or companies that can assist with the process.

Employees:

Managing employees is part of managing an organization. This includes hiring, firing and establishing job descriptions. Staff need to know what is expected of them in terms of deliverables. A good manager knows how to make use of employees core skills and eliminate arduous processes that detract from business and core skill focus.

Administration:

Staying on top of record keeping, taxation, the payment of bills and the submission of invoices is a time consuming but critical component of managing a company. Successful managers have systems in place and trained employees to run these processes like a well oiled machine. Company cash flow and reporting is crucial for decision making purposes so you need to have systems in place that can supply meaningful information as and when required.

The above represents a basic introduction to some critical components of managing a small business. As an owner operator, you need to be competent in a multitude of skills to be able to keep the business running smoothly and deal with the day to day interruptions and challenges.

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