Entrepreneurs need to juggle. Thoughts, tasks and different roles merge into a never-ending list of to-dos, many of which are seldom done. This leads to overwhelming panic. Before you know it you are only focused on the small, quick and easy tasks, paying little or no attention to the important things that may help your business grow. Here are three ways to conquer inefficiency.
1. Work smart with lists. The perfectionist may over-use lists, wasting time writing and rewriting, categorising and colour coding them. The detail dodger, wanting to just get on with things, jots tasks down on scraps of paper, on the back of an envelope and even on the odd serviette after a business lunch. If you are a drop-and-hop organisational type you might simply stop what you’re working on to tackle a new task as it comes in, without bothering with lists at all.
Regardless of your organisation style, effective list-making forms the foundation of your efficiency. Choose one channel (paper or electronic) to consistently dump your thoughts. It’s not about what needs to be done today (that’s what your diary is for) but rather everything that you need to do now and in the future. The rule: one life, one list.
2. Prioritise your list based on revenue. Now that you have a running list of everything you need to do, take the last five minutes of every work day to review this list and prioritise it according to the tasks most likely to generate income. Imagine a triangle divided into three levels:
- The largest and bottom level is the flat base. This is the space for all your tasks that are not urgent or important right now (your number 3s).
- The middle segment includes the tasks on your list that may be important but not urgent (your number 2s).
- The top segment is reserved for your number 1s: These are the things on your list that allow you to generate income or perform your core job function so someone else can be bringing in revenue. This is where you need to be spending your time.
Number each task on your list with a 1, 2 or 3 based on importance and priority. Then begin with focusing only on your number 1s instead of being overwhelmed by the whole long list.
3. Schedule according to priority. Studies have shown that people are most productive in the morning, yet most of us dive into email first thing and then get stuck in reactive mode for most of the day.
Start your day by checking your priority list and choose one big task (or a few smaller ones) for the first hour of your day. Working on high-priority tasks when you are most alert will result in a higher quality outcome, as opposed to tackling the task when you are tired.
Common Efficiency Myths
- Multitasking is productive
If you have ever tried to speak on the phone while typing an email you will know that your brain just can’t process two such tasks simultaneously. Rather focus on one task at a time by dividing your work day into grouped time slots (such as 3 x 1 hour communication sessions a day to focus on email, telephone calls and drop-ins). By grouping similar tasks together, you have a greater awareness of time and get more done.
- Delegation wastes time
If it is a once-off task that won’t take you too long to complete, do it yourself. However, when it involves a task that needs to be executed regularly (daily, weekly, monthly), it is worth the time and energy to delegate the task.
- Implementing a system will slow you down
While it will initially take some time to set up the perfect system, once this system is in place, all you’ll need to do is maintain it. A system that suits your working style and complements your job function will free up time for you in the long run — particularly when you are busy.
How to Calculate the True Monetary Value of Your Time
As an entrepreneur, your time is precious. To protect it, you must know exactly what it’s worth.
Do you know the value of your time? Ken Segall, creator of Apple’s famous ‘Think Different’ ad campaign for agency Chiat/Day, said he got thrown out of a meeting once by the founder of his agency, Jay Chiat.
“Why are you here?” he asked Segall and the art director, who’d shown up with everybody else. “We’re just responding to the invitation,” said Segall. Chiat told them to get lost. “Go create something,” he said.
Jay Chiat knew the value of his creative people’s time. He knew it wasn’t worth it for them to go into that meeting when they could be putting together the next big ad campaign. They were more valuable to the company doing the creative work that made it run than attending a meeting.
That’s what knowing the value of your time can do for you; it tells you what’s most important. Time is the one resource all of us have, but it’s also painfully finite in nature. You can’t bank it — all you can do is invest it wisely.
As an entrepreneur, if you don’t know the true monetary value of your time, how are you going to prioritise your business and your life? What does it take to find the monetary value of your time?
Invest your time
Be aware that your time is likely to appreciate in value. If you’re a founder or running a successful business, your time’s value will increase as your business does. Sooner or later, the monetary value of your time is going to surpass the importance of money. It’ll be more important for you to invest your time in moving the business forward because your time is going to be worth more. So, invest your time on process early, lest you spend it later putting out fires.
Crunch the numbers
Entrepreneur James Clear decided to approach this problem systematically — he talked to everyone from poker players to executive coaches to figure out what the optimal method of measuring his time’s value was.
Then, he sat down and tracked every hour for three months. The upshot of that time investment was a very clear process that you can use to lay out what your time is worth.
First, figure out the amount of time you spend to earn money. That’s not just time spent working. Are you commuting? That’s time you’re using towards work that’s not going elsewhere. School? That counts. Drop the kids off at school? Add it on.
If it’s related to the time you spend earning money, add it on. Clear’s estimate guesses that most full-time employees and entrepreneurs spend around 2 500 hours a year on this (his exact estimate for himself came out to 2 742).
Then, figure out how much you earn in take-home pay per year. That calculation should be pretty simple, though if you’re a business owner, it’ll be a little more complex as you figure out taxes and withholding.
Divide your total earnings by the hours you spend to earn it. That’s your time’s value.
Surprised? It’s probably lower than you expected, especially if you calculated the extra hours devoted to things like dropping of kids at school or commuting accurately. We don’t often think of our work value in terms of total hours spent.
Create a system of checks and balances
You don’t want to just rely on that, though. Maybe you’re being underpaid (or underpaying yourself, if you’re an entrepreneur — don’t laugh, it’s more common than you think). Maybe another factor is throwing it off, or your math has an error.
Consider a few other factors:
- What do other people make to do your job?
- What would you pay someone else to do your job?
- What could you make on the open market if you were to go find another job?
Run those numbers against each other to determine an average. For entrepreneurs, this changes everything. Once you understand this number, it’ll change the way you approach everything in your business and your life.
Know what your own time is worth. Remind yourself of it constantly. If you do, you’ll find yourself more productive, more efficient, more satisfied, and more successful.
So, what are you waiting for? Invest wisely.
(Infographic) 9 Productivity Mistakes You’re Making In The First 10 Minutes Of Your Day
From setting goals to drinking coffee, these bad morning habits might surprise you.
There are a number of things you’re probably doing every morning that are actually hindering your productivity.
If you’re an avid coffee drinker, you might be surprised to find out that drinking coffee between 8 and 10 a.m can make you more stressed throughout the day. That’s because caffeine early in the morning interferes with the time that the stress hormone, cortisol, is peaking in your body. It’s best to get your fix between 10 a.m. and 2 p.m.
When you get into the office and try to jump right into the top of your to-do list, you might find yourself confused and not very productive. When you don’t let your brain empty and refresh before starting a project or task, it loses a sense of control, becomes overwhelmed and ultimately, makes you less productive. Something else to avoid is checking email or social media right when you wake up. Typically, after checking your inbox, it takes a person at least 25 minutes to get back into a productive state. If you start your day off reading and responding to email after email, it will take you a long time to get back on track.
Another surprising mistake is setting self-imposed goals. Setting goals and deadlines for yourself might seem like an obvious productivity hack, but it turns out, that’s not the case. Instead, share your deadlines with others and you’ll feel more pressure and responsibility to get things done.
Check out resume.io’s infographic below for more productivity mistakes you’re likely making in the first 10 minutes of your day.
This article was originally posted here on Entrepreneur.com.
Workflow And Business Efficiency – 5 Strategies You Ignore At Your Peril
Emails alone don’t cut it as an efficient way to communicate with team members. You’re not still depending on email, are you?
An inefficient business can cost you a lot more than just growth – it can affect your revenue, too. According to a report by IDC, your business runs the risk of losing 20 to 30 percent of your revenue due to inefficient systems.
Unfortunately, many companies still struggle to implement the right systems to improve their workflow. Others have it worse, because they have no systems. In those situations, projects take ages to be completed, more time is spent on menial tasks and teams never seem to get enough done during work hours.
If that describes your company, your company’s profits may start to plummet, too.
Every successful business, then, has clearly defined systems to help the business run like clockwork. Improved workflow, better management and business efficiency save time, increase the bottom line and ensure a higher profit margin.
In fact, in an article on ContractZen, Tim Cummins, president of the International Association for Contract & Commercial Management, wrote that, “The average corporation could boost its bottom line by almost 10 percent if it invested in improving the quality of contracting.
For many companies – especially those in more complex, project-based industries – the prize could be much higher – perhaps as much as 15 percent.”
Related: Become A Life-Hacker
Unfortunately, some companies fail to provide systems that put users first, taking a negative toll on those companies’ workflow and efficiency. The good news is that they’re only five strategies away from turning this around:
1. Automate all you can
From email lists, bookkeeping, invoicing and contract management, to social media posts and payrolls, almost everything can be automated. For a business that aims to be more efficient, automation is a must.
Automation doesn’t just save you time, it can be the one strategy that can guarantee explosive growth and higher conversion rates. According to this Lead Generation Marketing Effectiveness study, 63 percent of companies polled that were outgrowing their competitors said they had automated their marketing.
Automating monotonous tasks that have to be repeated several times during the day helps you be more productive in tasks that require your personal attention.
2. Invest in customer-relationship management software
It’s not uncommon to find businesses that are barely able to keep up with their leads. Some waste hours hunting the low-quality leads instead of focusing their energy on those ready to buy. Here, a customer relationship management (CRM) solution linked to these businesspeople’s network phone system is a great way to enhance customer communications.
Customers value businesses that provide excellent customer service. A CRM solution increases the ability to keep track of customer information, monitor leads and provide efficient delivery. Businesses can provide for their customers’ needs faster and make effective business decisions. With CRM, businesses can also keep their focus on quality leads that will drastically improve conversion rates.
3. Set up a task-management system
Emails alone don’t cut it as an efficient way to communicate with team members. Email makes it difficult to carry everyone along. However, setting up task-management software like Slack, Trello or Asana makes it much easier to have everyone’s tasks in one place and ensure that everyone is carried along in the project.
Task-management software helps members of a team track their progress and ensure that everyone is working on their tasks.
4. Sync your calendar with that of everyone else on your team
How many times have you had to reschedule appointments because you didn’t know you had other meetings lined up for the day?
Aside from leaving negative impression in clients’ mind, this error makes you less productive. Having to go back and forth until you have settled on an appropriate date can be cumbersome especially when different time zones are involved. So, do this instead: Sync your personal calendar with your work calendar, and make sure that everyone in your team is synced to the latter, too.
This will ensure sure that everybody is “on the same page” in terms of appointments and deadlines. Google Calendar can help you do just that. Once everyone is synced up, any change in the calendar will be seen by everyone so they can manage their own appointments.
5. Block out chunks of time
Constant interruptions hamper your workflow. Imagine having to deal with turning over a project on a deadline while you’re stuck in a series of meetings throughout the day. It can get very difficult to focus on completing your most urgent tasks.
Block out chunks of time on your calendar for uninterrupted work. It’s better to schedule a series of meetings in one day than to spread them throughout the week.
If you’re creating content, block out one day to create all the content you’ll use for the week. That way your business will run more efficiently.
Related: 3 Reasons You Should Embrace Change
Wrapping it up
With the right strategies, you can turn your business around to make it efficient and lucrative. Automating your processes, setting up the right software and remaining focused on the tasks at hand will go a long way to help you do this. But just as with every good strategy, you need to remain consistent and give it time to do its magic.
This article was originally posted here on Entrepreneur.com.