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How many repeatable business processes does a small business have and where can I find templates or documents of them?
Hello! Thanks for your question about the number of repeatable business processes that small businesses have and the templates available for implementing them. The short version is that after extensive research we found that much of the information that you requested is not publicly available, or is behind paywalls. However, we were able to identify the top 5 general areas (sales, HR, accounting, quality management, and product development) that successful small businesses must address, and within each of them many of the repeatable processes and templates that can be used. Below you will find a deep dive of my findings.
METHODOLOGY
In working on this issue for you, our team scoured the Internet for relevant information. This research included advanced Google searches in the process using differing strategies, e.g. use of different search terms and x-ray searches, in an effort to locate responsive information. We searched extensively through trade and corporate websites, and such websites yielded most of the information that we have provided. However, most such industry and corporate websites offered information only after payment of fees, i.e. utilization of paywalls. To supplement our research, we also searched government databases for information that would be responsive to your request, but those databases did not provide the necessary information. We were also unable to arrive at conclusive data through the process of triangulating information from multiple sources. Ultimately, we have concluded that the information that you requested is only partially available. Most of said information is either not publicly available, or is behind corporate paywalls.
HELPFUL FINDINGS
With the above in mind, I have provided the information that we were able to obtain. First, I will discuss the 5 core small business processes that need to be used. Following that discussion, I will discuss the information that we were able to retrieve regarding each of the 5 subject areas. Finally, I will discuss the templates that we were able to identify to assist you in your product development.
5 CORE SMALL BUSINESS PROCESS
In researching this issue, we concluded that there are 5 core processes in which small businesses should be engaged. Those are:
"(1) sales & marketing, (2) accounting & technology, (3) quality & product/service delivery, (4) management, HR & finance, and (5) product development." In order to identify the number of executable processes involved, we researched each of these overall subject areas. That research resulted in finding repeatable processes for some of the five subject areas, particularly accounting; however, even in those situations it is important to recognize that the processes may not be applicable to all small businesses, because a business' needs change as it grows. Accordingly, we have listed the 42 repeatable processes that we have identified and which are important to the generic small business. We have also indicated those situations in which we were unable to identify specific repeatable business processes.
SALES & MARKETING
Sales and marketing tasks are designed to streamline the sales process, thereby generating new sales, as well as new prospects. There are 5 such repeatable tasks, the first of which is to qualify available prospects. An email marketing campaign is useful to this task. Once prospects are identified, the next step is initiating contact with the prospective client, the goal of which is to schedule a meeting to present the business' product. After the presentation is completed, the next step is to address any objections raised by the prospective client. The process is then completed by closing the sale, a process that includes the formal creation of a sales order and/or contract.
ACCOUNTING & TECHNOLOGY
Of the information that we reviewed, Intuit Quickbooks had the detailed breakdown that specifies the tasks facing small businesses. There are 21 such tasks. It breaks these tasks down by the time frame in which they are to be performed, e.g. daily, weekly, monthly, quarterly, and annual tasks. We found that these tasks were largely reiterated in another article found on IgniteSpot. The tasks for each segment are:
The single task that should be performed daily is that of monitoring the business' cash flow status.
There are 6 tasks that should be performed on a weekly basis. Those include: recording transactions, recording file receipts, monitor bills that vendors have not paid, pay vendors, prepare and process invoices that need to be sent to vendors, evaluate the business' upcoming cash flow status.
6 tasks should be performed on a monthly basis. These tasks are designed to provide management with a better overall understanding of the business' performance. Those tasks are: balancing the business' checkbook, review overdue receivables, analyze the business' inventory, process payroll and tax payments, analyze the business' profit and loss status against the budget and prior years, review the business' month-end balance sheet and compare it to a prior reporting period.
Quarterly tasks, like those performed every month, are designed to give the business a better understanding of how it is performing. The 4 tasks that are emphasized are: the preparation of an estimated annual profit and loss statement, review reports about the business' quarterly payroll status and make necessary payments, review sales tax reports and pay sales taxes, analyze the business' estimated annual income and make any necessary income tax payments.
Quicken suggests 4 end-of-the-year tasks to be performed. Those tasks are essentially designed to give management a good overview of the business' performance over the past 12-month period. The tasks are: (1) analyze past-due receivables and decide which, if any, should be elevated to collection status, (2) review inventory levels to be sure that excess inventory is not kept on-hand, (3) complete necessary w-2 and 1099-misc tax documents, and (4) complete and file tax returns, as well as year-end financial statements.
QUALITY & PRODUCT/SERVICE DELIVERY
This subject area includes the setting of goals and objectives for the business, a process that is undertaken after the key stakeholders and their roles in the organization are identified. It also includes the documentation of business policies in a formal procedure manual. The 8 specific processes to be included for this area are: (1) identification of "inputs and outputs expected," (2) interactions between various segments of the business, (3) measurement of the criteria used in each segment, (4) identification of necessary resources, (5) identification of the person(s) responsible for each process, (6) identification of the risks associated with each process, (7) determining the manner in which each process/segment will be evaluated, and (8) identification of those areas in which improvement can be achieved.
MANAGEMENT, HR & FINANCE
This segment essentially deals with human resources and the tools needed to maintain a top-tier workforce. The processes involved in this area are critical if the business is to succeed. There are 6 areas that we found that are addressed in the literature. They begin with identifying, recruiting and hiring the proper staff, a task for which there are multiple applications that are available. Once hired, it is important that the business set the proper compensation and benefits to be paid to the employees so that they are retained. Retention of employees is made easier if they are properly trained for their jobs and given the necessary tools that will enable them to grow and develop in those jobs. It is also necessary to develop a structure within the organization that optimizes communication between the employees, human resources and management. Good businesses continuously monitor the satisfaction levels of their employees. Surveys are often used to obtain this information. Finally, it is imperative that the business keep abreast of existing labor laws, since those laws play a major role in defining the employer-employee relationship.
The repeatable processes identified in the HR process include: (1) identification of company rules, (2) rules governing retention of employee records, (3) standardized interview questions, (4) processes involving conducting background checks, (5) standardized benefits policies, (6) rules governing disciplinary actions, (7) rules regarding training/development requirements, and (8) legal compliance policies.
PRODUCT DEVELOPMENT
We were unable to identify the repeatable processes involving product development. This is due to a number of factors. First, as one company noted, "[a] product development framework is one of the most difficult processes to optimize." This is due, in part, to the reliance upon innovation, i.e. creativity, which can be difficult to schedule. In addition, we found companies that offer development strategies, however, the information about the process is typically behind paywalls and thus, not publicly available, e.g. Strategy2Market and Piematrix.com.
We did find an article by NPD Solutions that discusses the necessity of having a repeatable process for proper product development. NPD maintains that such a process much communicate effectively with appropriate personnel so that they know what is expected of them. It should also use a consistent, well-defined process, while at the same time allowing for flexibility in that process. Finally, it is important for personnel to know the names of all of those who are involved in the development process. For its part, TNW emphasizes the need for experimentation in the development process. However, in none of the articles that we found were the specific repeatable processes publicly identified.
TEMPLATES AND/OR DOCUMENTS
Templates for repeatable processes are available online. Some are for sale and some are free. Bizmanualz has multiple templates available for subjects such as HR, sales, company policies etc. Microsoft also offers multiple "business process templates" on its website. These documents are integrated with Office 365. Other templates that we found include, Lucidchart, HighOrbit, and Accelo, however, they are all behind paywalls. Quickbase, another program that is behind a paywall, allows the client to develop a customized template suitable for specific business operations. A 30 day free trial of that program is available.
SmartSheet offers 32 free templates for Microsoft Excel which include business process such as budgets, accounting, inventory, billing, sales, marketing and human resources. Microsoft has free business templates for Excel, Word and PowerPoint which can be downloaded and customized. The business process topics include profit and loss, balance sheet, invoices, billing, purchase orders, employee evaluations, quality control and sales commission calculators. In addition, Office Depot/Office Max and Entrepreneur have free downloadable business templates that cover a variety of business processes.
POSSIBLE CONTINUED RESEARCH
Based upon the research that we have conducted on this issue, I would suggest that more detailed research into the individual policies and procedures (as well as current trends) involved in the operation of small businesses would be worthwhile. For example, a detailed review of every aspect involved in the HR process would be beneficial in tailoring a template that addresses that function.
CONCLUSION
To wrap it up, after searching extensively through industry and corporate websites, as well as government websites, a complete and direct answer to your question is not publicly available because much of the relevant information is behind paywalls. However, I learned that there are 5 key areas (sales, HR, accounting, quality management, and product development) that successful small businesses must address and that some templates are available to address those areas. If you'd like to continue research on any of the other topics I've outlined above, just let us know!
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