In the world of entrepreneurship, entrepreneurs must continuously search ways how to improve their business. These efforts related to business improvements will be around 90% of the activities of an entrepreneur.
However, business improvements and changes are something that is constant in the business world. Here, I want to give you one introduction to the process of continuous business improvements with the help of the business potential energy technique.
Let’s Start With the Business Potential Energy
The business potential energy is the energy that is stored in the business and can be transformed into business kinetic energy. The business kinetic energy is the energy that will perform a business work. This business work is something that brings profitability for the company.
So, this methodology presented in this post brings one spiral never-ending process of business improvements. With the right implementation of the activities of this methodology, your business will not be the same from one to another day.
Steps You Need to Implement for Exponential Business Improvements
The basic steps for this methodology as presented in the figure below are following:
- Determine all business elements that have business potential energy;
- Determine all critical business elements related to the current stage of a business life cycle;
- Measure the business potential energy of all selected critical business elements;
- Find the best possible ways how to increase your business potential energy in all selected critical business elements;
- Transform the business potential energy into the business kinetic energy;
- Measure the results and restart of all previous steps.
Let’s give some introduction to this process.
What Are the Most Important Business Elements With Business Potential Energy?
Our first task is to define all business elements that contain or can contain business potential energy. Because at different stages of the business lifecycle, you will have different business elements that contain or can contain business potential energy, you must define the exact stage of the business life cycle where your business is acting now.
At this stage, you will define all important business elements for the specific stage of the business lifecycle. This is important when we say critical or important elements. You want to focus your business improvement efforts on the most important things because of your efficiency. You don’t want to have your attention and losing your time on the elements that are not so critical or where improvements will be too small.
How and What to Measure When it Comes to Business Potential Energy?
Measurement, measurement, and measurement are the constant processes in every business. You measure your performance, you measure your realization, you measure your activities…
As an entrepreneur, you must understand the numbers and metrics of your business. For all chosen critical business elements, you must measure their business potential energy. In such a way you can increase your knowledge about following subjects:
- The level of business potential energy of all crucial business elements;
- Business elements that have higher levels of business potential energy;
- The impact of different business elements of your business performance;
- Business elements that start losing their business potential energy;
- Required activities for increasing the business potential energy of business elements with poor potential energy.
Business Improvements Through Increasing Business Potential Energy
After you know your measures related to the business potential energy of the crucial elements, you can start finding solutions to problematic business elements. When I say problematic business elements, I think of business elements with poor potential energy. In such a way you will have higher business potential energy because you will increase the business potential energy of all your critical business elements.
Transform Business Potential Energy Into Kinetic
Many entrepreneurs have the capability to increase the overall business potential energy of their company, but they don’t know how to transform that energy into kinetic energy. As you know, the kinetic energy is the energy that can perform some type of work and will bring improved business performances and profitability.
If you don’t know how to transform this business potential energy into something tangible, your previous work will be for nothing.
Measure Outputs and Restart the Whole Process of Business Improvements
At the end of this process is feedback that is a very important element for all systems or methodologies. This feedback means the measurement of the outputs or achieved results and starting again the whole process. In such a way, you will have an endless process of organizational change and improvement of business performance. This means that you will continuously energize your business.
Increasing energy will enable you continuity in adding new energy to your business. As a first, business potential energy that will be transformed into kinetic energy that will bring increased business performance and profitability.