Define What Represents Value for the Business and Its Customers

It is important that a business make clear what it is trying to achieve.  This will be unique at least to the industry the business is in but ‘great businesses’ tend to have a unique set of values they are going after.

For example, a financial company might focus on:

  1. Retaining assets (because they make money based on a percentage of assets)
  2. Improving customer experience
  3. Lowering costs
  4. Compliance
  5. Lowering risk

A not for profit, such as a place the provides meals and housing for homeless may focus on:

  1. # of meals served
  2. # of beds provided
  3. amount of  monetary donations received
  4. value of non-monetary donations received
  5. These become the basis for an organization’s strategic initiatives.

While you don’t have to have exactly five values for business, that is usually the right number.  These may not be equally important. So once you’ve got five the six can’t be more than 16 % so you’re close enough.