Business Systems and Processes.

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Your Clues to Uncover Weak Business Systems!

It’s been my experience that many small-business owners don’t expect timely financial reports from their accountant and don’t use them to manage their business. BIG MISTAKE! 

Financial Report Clues

Your “Balance Sheet” and “Profit and Loss” statements provide a valuable report card of overall business performance. They reveal strengths and weaknesses, performance trends, break-even points, and other intelligence for decision making and problem-solving.

This historical data is useful to stakeholders, investors, and bankers. However, its greatest value is to help YOU improve your business.

The Systems Thinker Advantage

As a Systems Thinker, you recognize that the numbers on the financial report point to business systems that are responsible for generating those numbers. 

You see the cause and effect relationship. The systems are the cause. The reported numbers represent the effect. If a number is disappointing, you can make it better by improving the faulty system at the source.

YOU are in control of your financial outcomes by being in control of your business systems and processes!

Systems are the Solution

Let’s consider a few business problems revealed by looking at a financial report, and the systems or processes that might be causing the undesirable numbers.

Income Statement

Sales revenue is down. Is your lead generation system attracting sufficient customers? Does your sales process successfully convert leads to sales? Does it include cross-sales and up-sales to maximize customer value? Is your pricing system giving you maximum dollars per sale? Is your customer-care system so good that customers keep coming back?

Margins are low.  Can you reduce costs? Could your purchasing system be improved to buy materials or products for less?  Could your pricing system be tweaked to increase sales or sales margin?  Could you improve your production or order-fulfillment systems to have more efficiency and fewer mistakes, returns, and rework?  Would an improved hiring, training, or incentive system payoff in greater employee productivity and reduced labor costs?

Balance Sheet

Accounts Receivable is high. Do you have an effective credit approval system? Is your collections system consistent and persistent? Could you change your sales terms to include full or partial payments at the time of purchase, or in ten days?

Cash reserves are low. Cash flow is poor. Is your inventory management system failing to keep the right products in the right quantities? Are you accumulating slow-moving or obsolete merchandise, which ties up much-needed cash? Is a weak collections system leaving cash stranded in a bloated accounts receivable? Are profits dried up from inefficiency, waste, and too many ineffective business systems?

Count on Your Accounting System

Once the trouble has been identified on the financial statement, you have no choice but to bear down and improve the system or process that is responsible. There really is no other way to solve the problem!

Remember: Accounting is your business system to measures the effectiveness of all your other operational systems; each of your core systems and processes should be accountable for a planned result. When they are performing at desired levels, happy numbers will appear on your monthly financial statement. Improved profit and cash flow will follow.

It all starts by developing good business systems and processes!

Next time your accountant provides you with a financial statement, put on your Systems Thinker glasses and peer through the numbers to identify the systems you need to elevate. And never forget that numbers are the language of business improvement!

Related Articles:
Measuring Your Business Processes Pays Big Dividends!
Do You Know Your Key Performance Indicators?

*****Special Alert: My Retirement is Your Gain*****

To give back to the entrepreneurial community, I HAVE DECIDED TO GIVE AWAY MY VALUABLE SYSTEMS-BUILDING SOFTWARE, ecOURSE, AND OTHER INFORMATION ABSOLUTELY FREE. By filling out the form on this page, you will go directly to a download page. This is not hype. There is no catch. You will receive a software product and a “college equivalent” eCourse on how to develop effective business systems and processes. Customers have been paying for this software and eCourse for fourteen years (see What Cutomers Are Saying).

I will show you how to eliminate business frustrations and make more money by creating remarkable systems and processes that boost customer loyalty, profitability and growth. The application of these strategies has proven to be of great worth for owners of many small and mid-size businesses. Put me to the test!

You will learn the following, and much more:

  • How to become a Systems Thinker and raise your business I.Q. by 80 points—OVERNIGHT.
  • What six elements are found in every great business system.
  • How you can remove waste and inefficiency, and build a results-driven organization.
  • Why good systems and processes are the essential ingredient to start, grow, fix or franchise (replicate) your business.

You have nothing to lose and everything to gain. I will not be trying to sell you because you are getting everything for FREE, much more than I have described here. I won’t be contacting you; however, you can contact me for help with the software or your business at any time. Please browse around my website. If you have any questions, email me, Ron Carroll, at

I hope you enjoy and benefit from this FREE offer. It was a labor of love for me to develop. Becoming a Systems Thinker and using the Box Theory™ methodology will be one of the best decisions you have ever made.

I’ll be cheering you on from my quiet fishing hole in the mountains of Utah.

I want to learn how to create remarkable business systems …

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It's time for me to focus on other things. Many hours and dollars have gone into my software and written materials over the last fourteen years. Now it's time to give back. This is not a gimmick. There is nothing to buy. I give it all to you for free. If you use the software and apply the principles, you can create a remarkable company. See Below. Have fun!

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Welcome to the #1 website for helping owners of small to midsize businesses create customer-pleasing, waste-removing, profit-boosting business systems and processes.

Michael Gerber, "E-Myth"

Michael Gerber

"Organize around business functions, not people. Build systems within each business function. Let systems run the business and people run the systems. People come and go but the systems remain constant."

W. Edwards Deming, Total Quality Management

W. Edwards Deming

"If you can't describe what you are doing as a process, you don't know what you're doing. . . . 94% of all failure is a result of the system, not people."