In a recent report by SAP, 96% of SMEs reported they’d like to significantly grow their business within the next year. These businesses are often the bulls of the market, adapting a get it all done as soon as possible attitude, which leaves little time for prioritizing. High growth businesses must invest in triaging the challenges on their plate.
The 80/20 rule, also known as the Pareto Principle, was originally created by Italian economist Vifredo Pareto to describe Italy’s unequal distribution of wealth in the early 1900s. For Pareto – this meant 20% of the richest owned 80% of the wealth. In today’s market, the 80/20 rule basically means that 20% is vital, and 80% is trivial. For Project Managers, the first and last 10% consume your vital time and resources.
In the case of SME’s, they need to significantly focus on 20% of their valuable staff, assets, and/or products to create 80% of their company’s profits. In reverse, SME’s must immediately deal with and focus on the challenges that occur 80% of the time. By doing so, this will allow managers to introduce processes and changes to these common problems – thus freeing up more time directing their energy on adding value and dealing with the unexpected.
How a business deals with the unexpected can be the make or break factor. By putting processes in place to deal with the common inbound requests, managers are able to prioritize and handle requirements without micro-managing.
Businesses need the right tools and technology for real time visibility into activities that must be dealt with urgently – or not so urgently. Before real-time was a factor, managers had to identify reoccurring challenges at the end of the project. Now they are able to deal with issues that arise swiftly and put in place processes that will most likely prevent the error from repeating. These tools show managers the inefficient processes that take up their employees and team member’s time.
This cannot be done without transparency from both the manager and employees, as well was without a collaborative work management model. Despite the variety of available tools, companies still struggle to effectively collaborate because of their team-based approach to sharing knowledge. In turn, this prevents a smooth flow of communication.
According to a recent white paper, “The Cloud: Reinventing Enterprise Collaboration”, “having access to the most accurate, up-to-date corporate information, and the ability to easily collaborate on that information, gives organizations the means to make decisions that drive the most positive business outcomes.”
The white paper analyzes a study, conducted by IDG Research, which found 86% of respondents said having the ability to collaborate is critical to business success. 55% of these same participants cited that access to the latest technologies, like cloud, is a critical factor necessary to achieve that goal.
The cloud gives you the advantage to store and share content and documents accessible on the web from any network or device all in real time – providing massive productivity gains to companies. Those best practices and lessons learned mentioned earlier can be shared with colleagues, giving another project the advantage of quickly learning where you failed so they may avoid it. Not to mention, you don’t have to fly from Texas to Philadelphia just to see their charts.
Cloud not only makes collaboration easy, but also fosters improve alignment between teams and management, as well as encourage innovation.
- Focus on 80% of your most frequently reoccurring issues, leave the other 20% at the bottom of the to-do list
- Place the power in the hands of the 20% who create 80% of your revenue
- Using a cloud based tool to collaborate can help your company deliver products and services faster in an easy-to-use but relatively secure environment.