That one step is building a business the delivers predictable results. Recent research showed there were 4 factors used to measure the value of a business. These were:
- Investing in R&D, investing in their future;
- Growth Trends;
- Return on Equity.
- Predictability: How predictable were the results for that business.
You ask What's your source?
Gary Harpst , author of Six Disciplines for Excellence and Six Disciplines Execution Revolution, and founder of Six Disciplines consulting.
During a recent interview with me I asked him:
What’s in it for business? Why should they care about improving their execution, generating more consistent execution? You have to think that if businesses understood then more business wold join your execution revolution.
Gary answered:
Research found 4 factors that determine a business value. Investing in R& D, The growth trend, ROE, but the 4th one was more of an influence than all the others put together. And it was how predictable has this business been.
The business that’s predictable will be valued 35% more valuable, all things being equal, than an identical business who’s performance is not predictable.
Gary Harpst and his team at Six Disciplines offers a proven, methodical, program that can create a culture of learning within your business. That cultute of learning allows you to solve the next problem, always bigger, that comes with your success. Being able to constantly and consistently solve those next bigger challenges is how you generate predictable results.
Disclaimer: This may sound like a paid endorsement. It’s not. The Six Disciplines approach works. And we need more things that work.
You can find out more about Gary Harpst and his Six Disciplines team at these sites:
* Gary Harpst website* Six Disciplines corporate website
* Six Disciplines blog
You can listen to our conversation here.
You can read highlights from our conversation here.
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