Steps To Better Manage Your MSME and Grow

For many micro,small and medium-sized enterprises (MSMEs) they do not have the luxury of relying on managers but rather the sheer will and ambition of the business owner and proprietor.As the world has become a global village,with business owners forced to acquire knowledge in a variety of fields to remain competitive,solid management skills are vital for the present and future viability of the MSME as a going concern.

With a steep learning curve,MSMEs are faced with the challenge of growing their leadership and management skills beyond that of the business owner.This dictates the difference between success and failure,be it a barber shop with five employees or a restaurant with one hundred employees.

Over 14 million Kenyans,representing about a quarter of the population,are employed by MSMEs in various sectors of the Kenyan economy.This suggests a growing need for skills in team management and effective execution for continued success and increased job creation.

Globalization and an open economy presents a challenge for MSMEs top juggle implementing growth plans beyond their scope and still remain nimble while requiring their employees to achieve more with less resources.Hence they need to come up with structures and processes that are effective even for the smallest business while making maximum utility of time by employees to ensure increased productivity.These structures can lead to:

Proactive resource planning and allocation.

Improved efficiency in business processes.

Increased profitability.

Better customer relationship.

Effective management is a proven recipe for increased workforce satisfaction and less distractions through repeatable processes and guidelines that can be adopted throughout the business as you grow.

Here are the steps you can take towards managing your enterprise more effectively

  1. Plan

Developing a plan of attack is critical in the success if any venture.A well-thought-out plan will give your team a scope of the work before them and harmonize the goals of your employees with the anchor goal for your business.

Breaking down the plan into short-term deliverables while keeping a timeline for the tasks and responsibilities is a way of ensuring the plan is consumed by everyone in the enterprise.This will give you more visibility into the different facets of the plan hence better resource allocation and accountability from your team.

2. Effective Communication

Effective communication of the underlying goal to the team,be it on a monthly,quarterly or annual basis ensures the team is hyped and motivated working towards a shared vision.Making it easy for employees to update their supervisors on any anomaly or opportunity that arises can often lead to an enterprise being able to defend their position in the market or even start a different service provision occasioned by seamless and effective communication.

3. Technology

Business processes have become proliferated with technology tools that have become useful in conducting repetitive tasks in an enterprise. Combining technology that harnesses simplicity and efficiency will unlock the potential of your firm to do more with less.

In a nutshell

While it can be challenging for MSMEs during macro economic disasters,their advantage comes with being nimble and can weather any disaster in the economy focusing on better management of scarce resources to survive long enough for the economy to expand and take advantage of the addressable market opened up. Business owners have to figure out the best concoction for the success of their enterprises.

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