Using the E-Myth #3
to Succeed in your Small Business
from Epinions.com 04/04 enhanced by Peter/CXO Wiz4biz 05/13
Revolutionary way of thinking that every small business owner must start with.
McDonalds continued. In 1992, franchises were worth $800 billion. The genius of McDonalds wasn’t actually the franchise, but the Business Format Franchise which is a system of doing business. The fact that < 5% of franchises are terminated versus the small independent business should tell us something. the Turn-Key Revolution & Business Format Franchise are the secret. They are built on the belief that “How you sell it, is the secret”. Most small businesses think it’s the product that sells the business – not true. The truth to success in McDonalds has been that it has kept its promises way after Kroc was gone. He started a business that succeeded him. The business system runs the business, people run the system. This is the prototype to the successful business. Turn-key means that employees are trained in the system of the business, then “turn the key”, open the shop and then start the operation. This is a proprietary way of doing business that differentiates itself from other businesses.
Building your Franchise Prototype:
Your business is “not” your life; the purpose of your business is to “serve” your life. If you start out pretending your business is the prototype for dozens, hundreds & thousands more, just like it (clones) this will help you to create the system you need to be successful.
. . . . . . . . . . . . Franchise Game Rules:
• BizModel will provide consistent “value” (which is what people perceive it to be)
• Model will be operated by people with the lowest possible skill.
• Order (most people crave order, and this breeds trust)
• Manuals documenting every aspect of the business. (a “How to do it Guide” with standards ofperformance&a process)
• Consistency predictable – done the same way every time
•Uniform: color, dress, particular code (a process & a practice)
So, you need to perceive your business as a product which operates predictably. The creation, marketing & operation should work perfectly – without you there.
. . . . . . . . . . . . . . The essence of the Business Development Process:
• Innovation – does new things, establishes individuality.
• Quantification – numbers related to the impact the innovation makes. You must have an assessment prior to the innovation to see its impact.
• Orchestration – eliminates discretion, choice which helps create order. You own it, by orchestrating it. If it doesn’t work you change it.
[ Business Development Process continue + Seven Steps in the Process in next Premium Content ]