Documenting all the steps in the operation of your business helps you understand how money, and money potential, flows through the office. This is called The Money TrailTMand it can point out gaps in your process, improve efficiencies, and increase revenue. It also helps set clear expectations for everyone in the organization. A strong leader can use the Money Trail to build efficiencies, create work processes, and effectively hire new employees.
Building Efficiencies with the Money TrailTM
- The first step in building your money trail is to choose one process to document. For example, you may choose to start by detailing every step in the marketing, prospecting, or client meeting process.
- Next, make a detailed list of all the tasks and responsibilities each person engaged in this process needs to complete.
- Then evaluate if additional tasks are needed or if it is possible to consolidate steps.
- Finally, from the full list it is easy to estimate time needed to complete each step in the process and identify any roadblocks to success.
Creating efficiencies is one of the few ways in which you can build the profitability of your company. The documented process not only helps identify and remove roadblocks to success, but can also help create more efficient work.
It is important to note that there is a difference between responsibilities and tasks. Responsibilities are broad areas a person is accountable for and cannot be delegated to others. Whereas tasks are the actual things that need to get done in order to complete a responsibility. Tasks can be delegated. With that in mind, let’s take a look at how the Money Trail can make your practice more efficient.
Building an Efficient Work Day
Having your complete Money Trail gives you the ability to build efficient workdays. Knowing what each person is responsible for and precisely what tasks need to be completed is a roadmap to success.
- Create a documented process for each responsibility in your practice
- Define who will be held accountable for each area
- Assign each task to team members
- Identify any tasks that can be delegated to another resource (automation tools, etc)
- Set clear expectations and periodically check in to ensure the process does not have gaps
Building Job Descriptions
Another benefit from documenting the Money Trail is that you now have clearly defined rolls and know where and when you will need to hire people to fulfill the tasks. As your practice grows and you gain more clients, you will have more tasks to complete under each responsibility. Knowing exactly which tasks will need to be fulfilled by the employee makes defining job descriptions extremely easy.