February 28, 2020
At every stage of business management, you must get the details right. Especially if you’re trying to run a business startup, one wrong move and your business will never get off the ground. If you are a medium-sized business in its growth phase, poor management can lead to immediate bankruptcy as well. It’s essential to recognize that most companies fail. If you don’t want to be in that majority, then you should follow the rules of the road when it comes to best practices.
You can think of three pillars of business management right away. The first is money management. All business deals with finances. The second pillar deals with facilities management. Your business has to take place somewhere and somehow. That’s where location matters, even if you’re thinking abstractly in the digital sense. Third, personnel management completes the business management pillar equation. If you don’t have the right people working for you, nothing is going to matter.
Money management is at the core of every successful business. Without money, you can’t get started. Without money, you can’t keep going. If you use cash poorly for different aspects of investment, then your business will come to a swift and complete dead end. Money isn’t necessarily evil in itself. It is an exchange rate for resources. Money management isn’t about being greedy or generous. It’s about doing the right thing at the right time when it comes to your product, your company, and your brand. An otherwise perfect business idea will be dead on arrival without proper money management over the long term.
A second thing to think about is facilities management. Do you know how you plan on shipping your product from one place to another? Do you know the details behind freight unloading and loading at the other end? Until you’ve taken business management classes, you may not know that individual facilities management topics even exist. If you don’t have someone to step you through it as your business expands, this is a good chance for details to fall through the cracks and you to get a bad reputation for incomplete work.
Finally, we get to the crucial topic of personnel management. If you have ever looked into organizational design and dynamics, you’ll see that it is a fascinating subject. Human behavior is at the core of whether most projects are successful or not. If you don’t have good leaders that organize motivated people, the best ideas in the world are going to fall flat. No matter how amazing your product or service is, without managing the people surrounding that concept, you will never have a sustainable future.