Show Me the Data!

In the 1996 movie Jerry McGuire, actor Cuba Gooding, Jr. became famous for the phrase “Show Me the Money!” Nearly two decades later, a variation of that command, now “Show Me the Data!” is the watchword for businesspeople throughout the world. Entrepreneurs far and wide, at least the successful ones, are looking at the data. Opinions mean little – can you back it up with data?

There’s a well-known saying among sharp entrepreneurs:

“You can’t improve what you don’t track.”

Companies may be able to survive for a while if their owners aren’t using data to make decisions, but they will eventually see their demise; likely sooner than later.

Follow the lead of entrepreneurs who are not only surviving, but thriving! Pick your favorite phrase: TQM, KPI, Metrics, Process Management, Quality Circles, Improvement Teams, Standards and Measurement or any other title you prefer. The function is the same. Look at baseline data – percentages, dollars, hours, quantities – and continuously monitor the performance.

There shouldn’t be anything in your business that isn’t measured. Let’s use a fast food restaurant as an example. Here are just some of the areas that should be measured…

• Total customers
• Total sales
• Days without an accident
• Customer wait time in line
• Length of time burgers sit in the warmer
• Revenue and profit per hour
• Customer complaints
• Etc.

Graph everything out and keep a spread sheet of your figures. Constantly look for areas of possible improvement. Wherever you see a decline, brainstorm to find the root cause and then fix the problem.  Also keep a constant eye out for major innovations you can make to boost results exponentially.

The process is the same no matter what business you’re in. Whether you manufacture widgets, run an internet marketing business or sell cookies, take a look at all the steps involved in day-to-day operations. Assign values to the process, set goals and make sure to review your results on a daily, weekly or monthly basis.

Charts and graphs are excellent tools to visually remind you of where you have been and where you plan to go. Modern technology, software and “apps” make measuring and forecasting easier than ever.

Remember: “You can’t improve what you don’t track.”