How to manage your small business for improved productivity

Dr Prem Digital Healthcare Marketing

Small businesses may have a very limited scale of operations, dealing in a very limited repertoire of products and/or services. However, it faces constraints of resources, work force and funds. The operations become more complex because most or all of the employees multi-task and juggle multiple roles. Hence, effective management is the key to increased productivity and better profits.


Keys to Effective Management

There are three keys to effective management in small business –

  • Skilled employees
  • Clarity on goals
  • Technology

Employees make a business happen, their efforts and efficiency. Employee training and motivation in small organization is very important in order to channel the efforts in the right direction. Clarity on what goals have to be achieved must be shared by all the employees. The priorities must be on business and marketing activities and every employee must be clear on what needs to be done to achieve the goals that have been set out.

Technology is an aid to business efficiency. You may rely on technologically advanced machinery for production or use software to improve workflow and key management activities. There is software available for measuring key performance indicators to measure business profitability by making informed decisions.

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Doing a Thing at a Time

The greatest problem of small businesses is that there is a possibility of doing so many things, that one will easily be distracted. It is important to pick one activity and work on it consistently until it succeeds and then move on to the next activity. Since the business owner is mostly responsible for marketing the products or service, s/he will be absent mostly and the onus of daily operations falls on an employee in-charge. Remotely managing a business can be challenging in itself as one only receives reports of things being done and has very little control. Thus, it is important to have employees who can be trusted and monitor every aspect.

Delegating Work

Delegating work to all employees will make them more accountable for their actions. To keep employees motivated, you must reward them and keep in the loop of success and failure of your business. In small businesses, professionalism has a different meaning altogether as employees are more like family or friends, hence, it is important to keep the morale boosted to receive creative inputs and 100% effort.


Focusing exclusively on productivity can impede productivity, as there will be increased expenses on productivity tools and technology, more planning and less execution. Hence, finding the right balance to improve productivity through activities must be found.

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