Why Metrics Matter

"You can't manage what you don't measure" is an old business adage many believe, but don't know how to apply. If you are a business owner, you can probably tell me things like "we sold X amount last year" or "we bill out Y number of jobs a year." But do you really know what the profit looks like per job? And if you did know this number, would you adjust how you operate? Could you as a small business person say "no" to work because it didn't fit your profit per job model? Metrics are not meant to be roadblocks that prevent us from operating our business by putting us in "analysis paralysis." They are tools. They should be used to help us know our business better. And by getting to know our business better we will be able to act smarter as business owners. For instance, below is a recent metric from of our clients: [caption id="attachment_116" align="aligncenter" width="300"] Please click on the image for a better view.[/caption] This particular metric is their "average ring." What trends can you see? What would you suggest to this client as they go forward with this information? Do you think they have any control over changing this metric? Yes, metrics matter, not because they are the end-all, cure-all business tool, because they can help you know what is going on and what you need to be looking to adjust or change. If you're unsure about what's going on in your business, we have a solution that will help bring you financial clarity. Contact us to find out what it is.