Management Systems: The Antidote to Business Overwhelm.
As businesses grow, things that were once simple can start to feel difficult to manage. For example, imagine a business that starts with just a few people who all know each other well. If there is an issue you pick up the phone, communication happens naturally, and keeping track of what needs to be done is easy. But as the team expands, and more projects come into play, suddenly things don’t run quite as smoothly anymore.
This is where having a well-thought-out Management System becomes crucial. It’s not about adding more layers of admin but about creating clarity and focus. All too often, this key foundation is overlooked in the early stages of growth.
If you’re dealing with any of the following challenges, it might be a sign that your Management System needs attention:
Growing Complexity Leading to Chaos: As businesses expand, managing operations becomes harder without a structured system. Teams can become overwhelmed, and processes may start breaking down.
Difficulty Prioritising and Feeling Overwhelmed: With multiple projects, objectives, and tasks, it can be tough to focus on what really matters.
Inefficient, Variable Processes: When processes differ between teams or departments, it often results in inconsistent outputs, higher error rates, and delays in delivery.
Difficulty Making Informed Decisions: Despite all the data collected, businesses sometimes struggle to turn it into actionable insights, leading to slow and unreliable decision-making.
Recurring Problems and Challenges: Are you dealing with the same problems repeatedly? This often happens when underlying issues aren’t properly addressed.
Siloed Working and Poor Communication: Teams working in isolation often results in poor communication and coordination across the business.
Underutilising Technology: Many businesses invest in technology but fail to leverage it fully to streamline operations or generate insights.
Maintaining a Motivated Team: Keeping teams engaged and aligned with business goals can be difficult, particularly during periods of change or growth.
If you recognise any of the challenges I mentioned, it may be worth reviewing your Management System to see how well it’s serving your business. I’ve created a short survey that will help you assess how you’re doing against best practices and how you compare with your peers.
A few weeks ago, I had the opportunity to present at a Venture Taranaki Masterclass on Productivity. It was a great chance to connect with local businesses, share some of my knowledge, and hear firsthand about the challenges they face. One of the key topics I discussed was the importance of building a Management System that is right for your business—especially for smaller businesses that are looking to grow or scale.
Why you need a Management System:
While the idea of a Management System isn’t new (it’s a key part of Lean management), many businesses don’t intentionally design one during their early stages. The truth is, every business has a Management System, but if you aren’t deliberate about it, it will evolve organically—and may not be the right fit for your needs.
I like to think about a Management System in terms of building blocks. These blocks provide the foundation that allows your business to grow, improve efficiency, innovate, and ultimately succeed. The right Management System for your business will depend on your goals and challenges, but having these foundations in place will be crucial to your long-term success.
The six key building blocks of a Management System are:
Priorities and Metrics
Routines and Rhythms
Process Standardisation
Leadership Behaviours
Problem Solving and Continuous Improvement
Structure and Accountability
Over the next few weeks, I’ll be diving deeper into each of the six building blocks—what ‘good’ looks like, and how you can design the right system for your business. If you’d like to learn more about each of the 6 building blocks and how you can design them for your business subscribe below.