This Is Slowing Your Business Down

Summary

• Resist the urge to create excessively detailed standard operating procedures early on in business since the environment changes rapidly; by the time everything is carefully documented, those details may be outdated.
• Remember that tasks can always be broken down further, but it's not always necessary or efficient to do so; set realistic expectations for the competence level of team members.
• To move quickly and effectively in your business, it's crucial to extend trust to your employees; choose trustworthy people to make decisions on your behalf.
• Ensure that your team shares your core values, which allows them to make decisions aligned with the company's goals without needing excessive rules for every situation.
• Lead by example by consistently acting according to your stated values, especially in difficult situations, to show your team you are genuine.
• When you publicly reward employees who adhere to company values during challenging times without being told, you encourage everyone in the organization to follow suit.

Video

How To Take Action

I would suggest keeping things simple at first if you're starting a business. Don't waste time making super detailed rules on how to do every single job. Things change too fast, and you'll be left with a bunch of rules no one uses. Instead, focus on hiring folks you trust to do the work right without needing a rule for every step.

Here's what you can do:

• When a job needs to be done, think if you really need to break it down or if your team can handle it.
• Pick people for your team who share your big ideas of how to work. This way, they'll make good choices that fit what your business wants without needing a rule book.
• Show your team how important your values are by always sticking to them, even when it's tough. They'll see you're for real, and it'll help them to do the same.
• When someone does a great job, especially when they stick to the business values during hard times, give them a shout-out in front of everyone. This makes others want to do well too.

Just remember, trust your team and let them know what matters most. If they see you leading with those values, they'll follow, and your business will move fast without getting tangled up in too many rules.

Quotes by Alex Hormozi

"The way to move quickly within an organization is to extend trust and have people who you trust to make decisions on your behalf"

– Alex Hormozi

"In order for them to make decisions on their behalf, which means that they can move quickly without having to standardize every single operating procedure"

– Alex Hormozi

"They have shared values with you"

– Alex Hormozi

"If people see you say this is what we do and then in the hard circumstances you act in accordance with those values"

– Alex Hormozi

"You publicly reward the people who in hard circumstances also act in accordance with those values independent of your intervention"

– Alex Hormozi

Full Transcript

a lot of earlier on business owners want to sop standard operating procedure every single component of a business the problem with that is that the business environment changes ridly and by the time you have sopd everything everything has changed anything can be continually broken down into smaller and smaller scales if I said hey I need you to write a marketing campaign can be broken all the way down to turn on a computer navigate to Safari here is how you type right like everything can get broken down but at a certain point you expect a certain level of competence and the way to move quickly within an organization is to extend trust and have people who you trust to make decisions on your behalf and so in order for them to make decisions on their behalf which means that they can move quickly without having to standardize every single operating procedure is that they have shared values with you say this is how we want things to be done and then you demonstrate those things being done so they know that you are not full of and so if people see you say this is what we do and then in the hard circumstances you act in accordance with those values and then you publicly reward the people who in hard circumstances also act in accordance with those values independent of your intervention more people will do it