Shareholder Working too Much
Case Study
Challenge
The biggest challenge was that the Shareholder was working in the business way too much. She was always on call and found it very difficult to take time off just to enjoy a weekend with her family. It felt as if there were fires to put out every day. She had staff in-house but operations still seemed like it was missing something. The company was not profitable averaging 3% NP each month for over a year.
Our plan:
- Improve operations:
We identified the gaps with a quick diagnostic of the overall performance of the business.
- Determine the right people for the right seats:
Created job descriptions that made the roles of each team member much more defined. In doing this we created a division of labor and cross-trained everyone to be a backup in case someone was out they could cover one another rather than expect the owner to cover the department.
- Identified critical departments that needed to be created:
The diagnostic determined the stressors that affected sales and service levels. The teams focused on resolving issues related to higher-than-normal call-offs, which stressed the entire service delivery process and led to delays or inadequate staffing to consumers.
Solution
The solution JR3 Consulting came up with real-world practicality. Everyone knew that the systems had to be organized better, the real challenge was implementing them without disrupting the whole organization in a negative way. The solution was to introduce proper workload management done through a Care Management position while providing some relief to the Shareholder so that she could work on other areas of the business. We also introduced a Recruiting position dedicated to bringing in new talent to the business to provide direct care.
This allowed the office team some structure and organization to be more efficient. At the same time allowing the Shareholder to focus on the business instead of stuck in the details of it.
Results
The Shareholders employees are now more empowered and work more efficiently and independently;
The effort vastly improved the company’s planning and execution functions, created room for the Shareholder to focus on new referral opportunities driving revenue to the business.
By the numbers, the effort:
- Increased sales by 28%
- Lowered the risk of missed shifts by 95%
- Improved net promoter scores by 80%
- Increased Net Profit Margin by 10%
Get Your Value Builder Score
Whether you want to sell your business now or decades into the future, getting your Value Builder Score will allow you to:
-
1
Diagnose
Diagnose what may be holding you back from creating a company that can fully thrive without you.
-
2
Evaluate
See how an acquirer would evaluate your business, enabling you to focus today on what will be important down the road.
-
3
Identify
Identify hidden things that may quietly drag down the value of your business so you can eliminate them before they become a problem.
-
4
Pinpoint
Pinpoint the part of your business that will have the most value to an acquirer so you can invest more resources in areas likely to be most attractive to an investor or acquirer.