Kai-Peter
01-15-2003, 09:52 PM
I just finished "The E-Myth Revisited" by Michael E. Gerber (ISBN 0887307280). For those of you not in the know, it is a book about running a successfull small business. Even if most of the material was familiar in some form before I read the book, it still blew me away with some of the thinking.
Much of the book is about developing your business so that it isn't totally dependent on you. Parts of it is written as a dialog between Mr. Gerber and Sarah, the owner of a pie-baking business. Sarah has swamped herself in the business to the degree that nothing of it runs without her direct intervention. No holidays, no sickdays, no nothing but work for Sarah. Gerbers solution is to think of the business as a franchise. You have to imagine that the model of your business must be cloneable to thousands of instances, all working as peckable as the first. You don't actually have to franchise, but it is agreeable that this kind of thinking leads to businesses that have easier exit strategies, ie. you can more easily sell a business like this.
I did find this image of franchisability qute alluring, and then I turned back on our business and started thinking about the applicability. What I know about franchises (business franchises that is), they have a heavy reliance on written documentation for how things are handled. Initially this turned me down, how could our industry, based so much on creativity be modelled that exactly? How could you produce a "Operations Manual for Small Game Shop"? Wouldn't that just stiffle creativity?
Then it started dawning on me that I had confused product with process. What franchises do, they document the process. You can't reliably document a pizza can you? Now I started seeing parallels to software processes like Xtreme Programming. One part of the XP process is that a software team in itself contains much of the documentation of a projet. The team contains the spirit, something that is hard to transfer to paper. This does not mean that XP has to be transfered personally. It just means that XP projects needs to be transfered personally. Take the pizza franchise, the pizza needs to be served a certain amount of time after baking, it can't just be included in some manual. So the process, not the product.
Then the light finally ignited. I had personal history working in such a replicating organization that required outmost adaptability. I had been as a conscript officer in the army. This really hummed my ears. As a officer pupil we were required at times to lead and organize large events, my biggest task was running a qualification exam during a boot camp. The camp itself was two weeks long and the exam was the most significant scoring event for the recruits. Based on the results from the exam they were allowed into the different appointments there was available. The exam was organized as a course throught the woods with checkpoints were different skills were tested. Each pair of recruits took about 2 hours to get throught the exam and the course was some kilometers long. What immediately dawned was that there was no way I could run this thing by watching over each NCO that had a checkpoint. So instead we created a "operations manual" a set of guidelines for all the NCO:s that they had to follow. They worked independently on their appointed chekpoints but the overall structure was such that the course seemed like designed by a single individual. When the course actually started running all I had to do was run throught the course and tune it.
But the one who really used scripting was our drill officer, he had us essentially running the most important event during the recruit period without a glitch. People who six months earlier had been recruits themselves.
The thing that I really learnt in the army was that the script itself was not the goal, but the scripting. Anyone who has been to a larger camp, or been to the field, knows that most rules don't simply hold. But the desire to try to organize, and the foundation of organizing and creating scripts is what differentiates success from failure. The idea that all persons are essentially equal, most people can be trained for most duties. In such an organization even overperformers are at home, they can advance quickly to whatever job they like and in the end contribute to the system as whole.
I don't know if this is a thread started or just airing out a lot of food for tought. I would be very interested in hearing from you guys how you have scripted your business, how you are developing it.
Much of the book is about developing your business so that it isn't totally dependent on you. Parts of it is written as a dialog between Mr. Gerber and Sarah, the owner of a pie-baking business. Sarah has swamped herself in the business to the degree that nothing of it runs without her direct intervention. No holidays, no sickdays, no nothing but work for Sarah. Gerbers solution is to think of the business as a franchise. You have to imagine that the model of your business must be cloneable to thousands of instances, all working as peckable as the first. You don't actually have to franchise, but it is agreeable that this kind of thinking leads to businesses that have easier exit strategies, ie. you can more easily sell a business like this.
I did find this image of franchisability qute alluring, and then I turned back on our business and started thinking about the applicability. What I know about franchises (business franchises that is), they have a heavy reliance on written documentation for how things are handled. Initially this turned me down, how could our industry, based so much on creativity be modelled that exactly? How could you produce a "Operations Manual for Small Game Shop"? Wouldn't that just stiffle creativity?
Then it started dawning on me that I had confused product with process. What franchises do, they document the process. You can't reliably document a pizza can you? Now I started seeing parallels to software processes like Xtreme Programming. One part of the XP process is that a software team in itself contains much of the documentation of a projet. The team contains the spirit, something that is hard to transfer to paper. This does not mean that XP has to be transfered personally. It just means that XP projects needs to be transfered personally. Take the pizza franchise, the pizza needs to be served a certain amount of time after baking, it can't just be included in some manual. So the process, not the product.
Then the light finally ignited. I had personal history working in such a replicating organization that required outmost adaptability. I had been as a conscript officer in the army. This really hummed my ears. As a officer pupil we were required at times to lead and organize large events, my biggest task was running a qualification exam during a boot camp. The camp itself was two weeks long and the exam was the most significant scoring event for the recruits. Based on the results from the exam they were allowed into the different appointments there was available. The exam was organized as a course throught the woods with checkpoints were different skills were tested. Each pair of recruits took about 2 hours to get throught the exam and the course was some kilometers long. What immediately dawned was that there was no way I could run this thing by watching over each NCO that had a checkpoint. So instead we created a "operations manual" a set of guidelines for all the NCO:s that they had to follow. They worked independently on their appointed chekpoints but the overall structure was such that the course seemed like designed by a single individual. When the course actually started running all I had to do was run throught the course and tune it.
But the one who really used scripting was our drill officer, he had us essentially running the most important event during the recruit period without a glitch. People who six months earlier had been recruits themselves.
The thing that I really learnt in the army was that the script itself was not the goal, but the scripting. Anyone who has been to a larger camp, or been to the field, knows that most rules don't simply hold. But the desire to try to organize, and the foundation of organizing and creating scripts is what differentiates success from failure. The idea that all persons are essentially equal, most people can be trained for most duties. In such an organization even overperformers are at home, they can advance quickly to whatever job they like and in the end contribute to the system as whole.
I don't know if this is a thread started or just airing out a lot of food for tought. I would be very interested in hearing from you guys how you have scripted your business, how you are developing it.