3 ways to tell if your business is healthy or on a crash course
DESCRIPTION
Delivered by Tony Lael at MSP World, this presentation walks through key indicators of a healthy business and signs of trouble by watching your financial trends. (no finance expertise required!)TRANSCRIPT
3 Ways to TellIf Your Business is Healthy Or
On a Crash Course
Tony LaelExecutive Vice PresidentCorelytics, Inc. [email protected]
@corelytics #corelytics
Team Alignment
Visibility of Financial Trends
Management Process
Do you know if you have
team alignment on where your business is headed?
@corelytics #corelytics
Alignment + Impact = Clarity
Alignment: Everyone knows the impact of behavior on financial performance and business goals
Link Behavior to Metrics
Top 10 - Revenue- Margins- Profit- Revenue per FTE- Expense per FTE- EBITDA- Travel/Entertainment Expense- Sales Expense- Marketing Expense
- Cash
Make sales
Manage expenses
Invest in growth
MetricBasic Business Need
• Investment Examples – Hire new employees– Provide employee
incentives (Bonuses, Increases in Pay)
– Acquire other businesses
– Create special programs
What is the King Doing for You?
Set goals to meet investment goals
Can you see critical
financial trends in your business?
@corelytics
#corelytics
Accounting• Looks at the past• What have we done?• Compliance-based• Use Accounting System
• Looks into future• What should we do?• Planning-based• Use Dashboard
FinanceVS.
Trends to Watch
Unhealthy Healthy
Healthy?
Healthy?
Healthy?
Do you have a
management process in place?
@corelytics #corelytics
Do You Hear Ticking?
© Copyright 2011-2012, Corelytics, Inc. All Rights Reserved
Tune the Business EngineFluidCash
Major System
Managed Services Line of Business
Combined
T&M Product
Managed ServicesLine of Business Performance
AnalyzeResults
Prep for Meeting
TeamDiscussion
Assign Priorities
1. Analyze performance(Use Dashboard, not reports)
2. Create agenda for discussion with team (30 min)
3. Show picture and discuss(review progress on priorities)
(30 min)
Iterative, Monthly Process
Team Alignment
Financial Trends
Management Process
Get Team Pushing in Same Direction
Spot Problems Early
Highlight Successes, Assign Owners
