Rethinking Success in Business
I was fortunate to spend time with some colleagues I respect greatly the other day. They have all achieved a high degree of success in their professional lives, as most would consider it. We began discussing the concept of success in its entirety. How much growth is enough, and how quickly must this happen? Is it worth going into debt to accelerate your business’s growth curve, or should it be self-financed? What’s the ideal market size and penetration? How much diversification should there be in your client base? Is it better to grow the depth of your product/service offerings or the breadth of your product/service area? How profitable should you be, and what is the impact of this decision on your business model? How much money do you want to keep, and how much should you leave to your children? How many, and what type of, employees do you need to hire, and why? The list went on and on, but what became readily apparent was that no one answer would suit everyone. Often, it came down to personal interpretation.
Personal Definitions of Success
In small business settings, once you get past the obvious knowledge and competency screens, success decisions are most often a matter of personal choice. The owner(s) get to decide how much risk (financial, employee, market, competition, legal, etc.) he/she wants to take, how quickly they wish to receive the return on their investment, and how much effort they are willing to expend to make this happen. Success isn’t one common destination where only the few and the lucky end up, but more like the Thousand Islands, where the landing options are innumerable and open to navigation.
Metrics Matter, But They Don’t Define You
Of course, there are standard performance metrics that apply across various industries and businesses. All of us should use industry benchmarks where available and be open to accepted “rules of thumb” where applicable to help guide our way and give us a gauge of our relative performance. However, this information only increases our awareness of what’s possible, rather than serving as a fixed rule that drives leadership behavior. I would argue that this individualized reality is a good thing. Every person who decides to take the plunge into entrepreneurship has earned the right to create his/her own reality. They need to understand that decisions, like actions, have consequences.
Legacy, Values, and Personal Alignment
The bigger question I urge my clients to ponder is, what is the personal legacy you want to leave behind, and how does your business serve as a bridge to achieving this? Are you doing something that matters to you, and is it aligned with your personal values? Do you feel you are making a positive contribution to society? Are you effectively leveraging your talents and abilities? Are you making informed personal and professional financial decisions, and are you comfortable living in accordance with these decisions? Are you happy with the current level of stress in your life? What types of relationships are you building with your employees, co-workers, and other stakeholders in your business? Are you happy with the person you are becoming? How is your family being affected by your business decisions? Given your current insights, would you consider investing your time and money in this endeavor again?
Making Business and Life Work Together
Whereas business is easily quantifiable in terms of financial success, measuring the impact of a life is more qualitative and difficult to discern. It’s all about choice. What you must believe is that business success and personal happiness aren’t mutually exclusive. When viewed correctly, they are interdependent. My only caveat is that whatever filters you end up using to drive your success decisions, make sure the intentions behind them are sound, honest, and life-affirming. Build the business that allows you to become the person you want to be, rather than simply striving to become wealthy. Ultimately, the value of money is only as important as you make it…
Related articles
- Ten things top entrepreneurs do differently (theglobeandmail.com)
- Business Management & Decision Making (thinkup.waldenu.edu)
- Managing Your Small Business With Mastery (businessinsider.com)
- Is Entrepreneurship Right for You? 9 Professional Assessment Tools (grasshopper.com)