For a lot of business owners, there is no difference between building and operating their business. They view these as the same thing. The truth is, these are very different and require a very different mindset. I’m sure you have heard about the importance of “working on your business” rather than “working in your business.” This is very similar to build versus operate. They are both important concepts, but no matter how you slice it, too many business owners don’t put enough time into analysis and planning. Long-term building and short-term operations management can have a big overlap, but they require a different approach and a different way of thinking about the business. At a minimum they require a different set of questions. Here are some examples:
Building your business involves questions like:
Operating your business involves questions like:
As you think about these questions, you might see that both lists of questions can be approached from a “working in the business” and a “working on the business” perspective. You can argue that all these questions can be stretched to include both business building and business operations issues. In reality it is important to do both. At the same time it is important to answer these questions from separate build versus operate viewpoints even if you decide to put the same question on both lists.
You could also replace build versus operate with strategy versus tactics or even long-term versus short-term management. But, any way you cut it, business owners need to do both. In fact, owners need to look at short-term issues from a long-term perspective, and they need to be sure that long-term plans have a meaningful short-term actions in order to get lift-off. It’s all about integrated planning and holistic thinking. That’s a tall order. You have to be schizophrenic to do this job!
PS: Corelytics lives primarily in the “building your business” category and is complemented by a myriad of operations management tools. Even specialized industry tools like Connectwise for IT, for example. Our aim is to automatically connect these concepts within the dashboard in the near future.