What are operational issues in business?
In any kind of business, operational issues are any kind of problem that arises which can render a business less profitable. As this article will make clear, there are many different categories which make up operational issues, each with their own undesirable results. Broadly speaking, however, they cause large drains on business energy and resources, can affect operational performance, cause problems with the execution of strategy, and stand in the way of a business’ growth if they aren’t dealt with properly.
Business Operations Consulting
Structure follows strategy. When it comes to your operations, I will begin by studying your strategic direction. Operations are where you will win or lose, provided you have a strong enough strategy. I have 25 years of first-hand experience working for some high volume operations. Believe me, I made plenty of mistakes! The good news is that I can help you avoid them. I ran the mail-room operation at one of the largest employers in the Sacramento area. Operations at its most extreme! With over 1,400 employees processing and delivering nearly 1000 pieces of mail per day. With my depth and breadth of experience, I can help you dial in your operations to be more efficient.
Key areas include:
People
Get the right people on the bus, in the right seat, remove the wrong people from the business.
Technology
just enough, at the right time, with the right vendors.
Processes
Evaluate issues, plan the course, establish effective and efficient processes, work toward outcomes, and push the performance envelope.
Offering Solutions for the issues below:
1. Managing overheads
Overheads can easily mount up, whether they’re coming in the form of admin expenses, insurance, rent or utility charges. Excessive overheads can be particularly damaging if they aren’t managed in a timely fashion, so they’re a fairly big problem for small businesses to contend with.
2. Monitoring performance
How do you measure performance? And, how do potential indicators illustrate that your team is performing to its fullest? If certain members of your team aren’t working as well as they should, your business could suffer as a result.
3. Listening to feedback
In the modern business world, your image and reputation can easily be affected by negative reviews online. Likewise, customers expect quick, effective customer service. It’s up to businesses to listen to the feedback they receive, so they can put themselves in a position to deliver satisfactory service to their core audience.
4. Responding to competition
In this day and age, starting a business is more realistic and achievable than ever. But, with so much easily-accessible information and guidance out there, it does mean that there can theoretically be more competition in the same market. And whether your competition focuses on a single service or a broader market, how do you stand out from the rest?
5. Regulation and compliance
Regulation and compliance can be a major issue if not dealt with properly. As markets and technologies evolve, they bring with them a new set of rules and regulations. Unfortunately, businesses are often unaware of, or don’t understand, what’s being asked of them. At this point, fines and penalties come into play, and something that could easily have been resolved becomes a problem.
6. Uncertainty
You never know exactly what is going to happen in the future, but you can prepare for customer and market trends with some canny forward planning. Most businesses will have some sort of goal for the future mapped out, but it’s surprising how many fail to plan for periods of uncertainty.
7. Cyber risks
Rather than merely an IT issue, cyber security is increasingly a risk for all businesses. If cyber security isn’t properly managed, businesses leave themselves exposed to an increasing number of threats which can lead to data theft, hacks and other attacks.
8. Finding the right staff
As the company grows and you see successes increase, you’ll hopefully get more of an idea of the kind of person who’s the right fit for your business. In a small business, skill and personality tend to be favored over other qualities, but not everyone is going to be the right person for a given company.
9. Retaining customers
Business has been spotty, with customers not returning as often as you’d hoped for, and things are starting to dry up further…
10. Cash flow
Whether it’s outstanding bills, unexpected outgoings, or pending payments, money problems can be a major issue. With so much to balance, maintaining a healthy cash flow is key to surviving as a business and effectively managing project.
Project Management
I can provide support with a specific project or fill an interim position as the need arises. I know the ins and outs of running a business and can provide hands-on assistance in a variety of areas.