The Dollars are in the Details!
We are all familiar with the expression, "the devil is in the details." However, in business, it is also true that "the dollars are in the details." Your profit at the end of the year is highly dependent on how well you manage the details of your company.
A recent Toyota commercial said, "We care about the details behind the details." They mean it! For example, a Toyota project manager drove a Sienna Minivan through every state in the USA to learn about the American driver. Among other things, he realized that America is a large place and families drive long distances. He saw a need to add many more drink holders to the Sienna's interior. With this kind of attention to detail, the Sienna "transportation system" is now a little better at serving its American customers (from Jeffrey Liker, The Toyota Way).
Every business owner must understand this important principle: Attention to small details can make a big difference over time.
Details Determine Destiny
We live in an age when the best companies grow and prosper because they do the little things well. They realize that the success of their company depends on the success of their internal systems and processes. And the success of their business processes--marketing, accounting, customer care, hiring, production, inventory management, order fulfillment, and so forth--depend upon the careful management of the seemingly trivial, boring details.
Remember, each customer contact is a moment of truth, a time when a relationship is either made or broken. Customers do business with companies that consistently meet their expectations--that deliver explicitly on their promise. Nothing can be left to chance. Customers must get what they want and expect every time. They keep a mental scorecard on how well YOU handle the details! If frustrated, they shop elsewhere.
Keep in mind, too, that daily improvements to business processes add to the bottom line incrementally. However, the accumulation of these subtle innovations can have a dramatic effect on profit, especially over time. The financial gains can be enough to rescue ailing companies, and help good companies flourish!
One of our retail customers put planted "mystery shoppers" through their ten checkout registers and was shocked to discover a 1.5% error rate at checkout--a cost of $150,000 per year. They made a few minor adjustments to the checkout process and the problems were largely resolved. Another business owner modified work-flow details in her order fulfillment process and trimmed 10% from labor costs--$75,000 per year.
Details Make or Break Business Systems
Opportunities abound to refine the details of your business, and depending on its size, there can be a lot of money at stake. In addition, the marketplace will not generally tolerate disorganized, seat-of-the-pants operations that are careless with the details. If you are not a detail person, find one!
I know there are different personality types in the world. And we love people of all kinds. However, when I have surgery, I want a detail person. When I build a new house, I want a detail person. When I get my car repaired . . . well, you get the idea. When it's important, we all want a detail person. And so do your customers!
J. Willard Marriott said, "It's the little things that make the big things possible. Only close attention to the fine details of any operation makes the operation first class."
One last detail--you are losing money every day you wait, so START TODAY!
Wishing You Prosperous Times,
Ron Carroll
PS - You may be wondering, "So what is Box Theory™?" Well, it is a real theory, rooted in the Law of Cause and Effect. It is a methodology to create exceptional organizations. It is a unique way of managing the details of your business. It is the practical application of knowledge, principles, strategies, and best-practices to develop high-performance systems that get results. It is fully explained in my eCourse, Box Theory™: Double Your Profit with High-Performance Systems and Processes. Check it out today!