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What is a system?

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  • Post published:June 27, 2020
  • Post category:Basics

What is a system?

June 26, 2020


Written by Teresa Oliver

Webster’s Definition: a regularly interacting or interdependent group of items forming a unified whole


MBAS Definition: a set of clearly defined business processes that contribute to the continued increase of the bottom line.

Why every business needs a system? 

Your business is a system, without it you are essentially chasing your tail to meet the demands of your sales.  A system will allow you to:

1.       See what is happening in your business in real time

2.       Make decisions on actual data from your business and not assumptions based on the market/industry

3.       Expand at a moment’s notice because you know exactly how much staff, inventory, etc. you need to fulfill a certain volume of sales (duplicate), and allow the system to account for the increase and deliver the data you need to make even more effective changes

4.       Demand lower interest rates

5.       Demand better pay terms with your vendors

6.       Increase employee retention and morale

7.       Decrease expenses

8.       Set optimal pricing because now you know exactly how much it cost you to provide your product or service

9.       Increase cashflow because you no longer operate on an emergency basis

10.   Increase your business value

How do you build a successful system?

1.       Make the decision that you will dedicate the time and resources needed. “You must have pigheaded discipline and determination.” – Chet Holmes

2.       Begin writing out your processes

3.       Begin taking surveys from your staff to find out what is working in their role and what they need changed to be continually successful

4.       Set a date when you will hire a professional to come onboard and help you determine, build, and implement your system. (an idea is just an idea until it is implemented)


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