AS THE new year begins, small business owners are embracing fresh opportunities to grow, improve and thrive writes South Midlands Growth Hub business adviser Neil Smith. But for owner-managed businesses with limited time and resources, ambitious plans can quickly become overwhelming.
The solution? Focus on a small number of Key Performance Indicators that balance immediate actions with long-term success.
A narrow focus on just a few KPIs ensures that goals remain achievable and progress is measurable. By setting KPIs for the short term (one month), medium term (three months), and long term (12 months), small business owners can maintain momentum without losing sight of the bigger picture.
Financial health (revenue growth)
Timeline 1 month, 3 months, 12 months
Tracking revenue growth is essential. Begin with a realistic short-term goal, such as increasing monthly revenue by 5%. For the medium term, aim for a 15% quarterly increase. For the long term, set an ambitious yet attainable target, such as a 50% boost by year-end.
Customer acquisition
Timeline 1 month, 3 months, 12 months
Growth starts with acquiring new customers. A short-term goal might involve gaining five new clients. In three months, aim to expand your customer base by 15% and by year-end double your client list.
Process improvement (efficiency)
Timeline 1 month, 3 months
Streamlining operations saves time and money. Set a one-month goal to identify and eliminate one inefficiency. Within three months, automate or simplify at least two processes to enhance productivity.
Brand presence (online engagement)
Timeline 3 months, 12 months
For the medium term, focus on increasing social media engagement by 20%. Over the year, work toward doubling your online following and website traffic.
Team development
Timeline 12 months
Invest in your team by committing to one skill development session per quarter. By year-end, every team member should have completed three growth opportunities.
Regularly review your progress against these KPIs, adjusting strategies as needed. With a clear focus and achievable goals, small business owners can transform resolutions into tangible results in 2024.
The South Midlands Growth Hub’s team of business advisers provide free, one-to-one independent advice to all businesses.
A library of free business resources is available via growthhub.southmidlands.org.uk
………………………………….
Stay connected with local business through Business MK. Join our exclusive community for the latest news, insights, updates, features and thought leadership.
Stay informed – subscribe now at bit.ly/3MZiqzQ. Unsubscribe at any time.
