Systems are any company’s greatest asset. David Jenyn’s SYSTEMology provides a step-by-step approach to create and implement efficient, replicable systems. This is ideal for small/medium businesses that have achieved product-market fit and have at least a small team whose efforts and know-how can be replicated. In this SYSTEMology summary, you’ll learn the 4 stages of business systemization and the 7 phases to take your business from survival mode to saleable mode. Do check out our book summary bundle in pdf/mp3 infographic, text and audio formats!
One of the greatest challenges for small and medium businesses is to overcome key-person dependency. Key-person dependency occurs when an organization relies too heavily on specific individuals’ knowledge or abilities, with no one else knowing how to step in. Systems eliminate key-person dependency by systematizing, or documenting, processes and tasks so that they no longer only live in the brain of a single individual. Once a process is systematized, it makes it much easier for another team member or new hire to step in without disrupting operations.
4 Stages of Systemization – Where is Your Business?
Most companies are in one of four stages in relation to systemization:
- Survival – Still struggling to achieve product-market fit. Founders/owners are wear so many hats and are responsible for so many daily tasks that they become a bottleneck.
- Stationary – The business has stabilized, but there is still no documentation of key processes. Leadership still has no time for strategic or high impact work.
- Scaleable – The business now has a proven model and core processes are documented, but there are still gaps and execution can still be reactionary and inconsistent.
- Saleable – Systems are reliable enough for key people to be able to step away without any adverse impacts, allowing them to focus on growth, other projects, etc.
In order to benefit from the rest of this SYSTEMology summary, your business should ideally have achieved some level of product-market fit, traction, and operates with a small team. This is to make sure you have something to document and systematize!
How to Implement Systemology in 7 Phases
Here’s the gist of the phases involved to capture and build your own systems. The book breaks down each phase into specific tools and tips to guide you along each step. You can also get a detailed outline in our complete summary bundle (including a 17-page pdf summary, an infographic and an audio summary).
Phase 1: Define
Get an overview of the critical systems your business needs to make money. Pick one target client and one main product. Map out your Critical Client Flow™ by figuring out your main activities for:
- Repeat Purchase
Phase 2: Assign
List your key departments. Assign pieces of your Critical Client Flow™ to each department, and identify Department Heads and Knowledgeable Workers who have the critical know-how for each task.
Phase 3: Extract
Capture the team’s knowledge and convert it into a shareable, replicable system. Record the processes of each Knowledgeable Worker with clear steps and details. Gather and store this documentation in an organized, consistent, and clearly labeled repository with folders, links, and descriptions.
Phase 4: Organize
Organize your systems so people will actually follow them. There are two main tools you need – systems management software (SMS) and project management software (PMS). A SMS and PMS will make it easy for your team to find the information they need and to stay accountable.
Phase 5: Integrate
Change old habits, build new ones, and cultivate a systems-oriented culture. Find the right manager who is a systems champion with strong attention to detail and organization. Have them engage the team in developing, implementing, and ultimately following the systems created.
Phase 6: Scale
Keep extracting and organizing until you can scale up or grasp new opportunities. Consistently work to free up your best talent to focus on high payoff activities like business development, product development, etc.
Phase 7: Optimize
Build a dashboard of key metrics. Use your results to dial in and optimize your systems. When you change one system in your business, it can have far-reaching effects because all systems are interrelated. So you need to monitor the results to assess whether a change is truly working or not.
Getting more from SYSTEMology
Systems will allow you and your team space to do the high-value activities that will propel your business to success. If you’re wondering how to implement the 7 phases above and start developing your own systems, do check out the full book summary bundle that includes an infographic, 17 page text summary, and a 26-minute audio summary.
“Create time, reduce errors, and scale your profits with proven business systems!”
-David Jenyns, SYSTEMology