What do successful business owners have that other struggling owners do not? The answers will be revealed to you by taking a look at several management techniques listed below.

The American style of business management has been well respected and imitated across all continents. This style consists of two key beliefs: (1) Love of the unknown and always improving on things, and (2) an open-mindedness and ability to do whatever it takes to make it a reality.

Nobody is better or more renowned for creating new businesses than the American capitalistic system, but frequently we are so caught up in trying new ideas and playing with business ventures that we forget the rudimentary, fundamental principles that have been used by larger organizations.

Plenty of entrepreneurs are engineering experts in what they love to do, but they start a business without any type of formal education or experience in business management. What I mean by "management" is the non-technical activities of the business, the stuff going on behind-the-scenes. As a consequence of poor management, more than half of small businesses fail in the first few years. They do not fail because of their inability to offer a valuable product or service, but by the result of improperly managed business activities.

If you manage to grow or maintain a certain level of success, management must change with the times, or you will veer off the road and into a ditch. For most small businesses, this achievement occurs as it hits the $1 million in annual sales or a maximum of 15 employees. At times the tipping point is humbler and other times it is larger. However, as this happens, the owner of a small business must shift gears, transform from an owner of things to a man of the people and from a technical engineer to a strategic thinker.

This can be quite the daunting task because of our innate habits developed over our lifetime, but if you do not grow as an owner, the business will struggle, break or crumble into dust.

But what is the thing that successful businesses understand that struggling businesses do not???

First, owners of successful businesses have tuned their own personal characteristics to demonstrate their beliefs throughout the business:
  • They have a positive outlook in business and life in general.
  • They are dedicated to their cause.
  • They are patient.
  • They are tenacious.
Secondly, successful business owners have outlined a business plan that distinctly explains their tactics, their mission, and their philosophy. In this business plan, they have created subroutines for corporate and personal goals and charted detailed time lines and tactics to obtain them.

Thirdly, successful business owners have organized their business structure to operate like a Kenyan runner on speed. This structure, as well as its procedures and protocols, motivates all to push their limits. It gives to those who give more than they should. It also punishes those without appropriate behavior. Titles, tasks, responsibilities, accountabilities are described, and performance is routinely subjected to measure. Employee training, compensation plans, and several other job programs are there to help people succeed within the company. Successful business owners see their employees as priceless assets and resources.

Fourth and last, successful business owners have established support systems. The point of these systems are for financial or spiritual help, either automatically or manually there to help you. The idea is to make all the business activities of the company run as smoothly as possible. Well organized, they will alleviate management stresses of the day to day routines, allowing owners to think about the more important tactics. The amount of information support systems bring forth also provides insight into sales, cash flow and several other financial reports, so that upper management can make the right choices when a change comes about.

In summary, successful small business management includes: Developing characteristics that are positive, dedicated, patient, and tenacious. A working detailed business plan. A structure that helps employees become their best and allows them to do so. Support systems that alleviate management stress to focus on critical business data.