Creating and managing a smart business: 5 helpful tips

Much has been said and written on the benefits of creating the framework for a small and smart business. whether it’s the ability to monitor your activity from a far or whether it’s setting goals, monitoring them and growing your smart business to a small empire.

Thanks to today’s technology and cloud based solutions, much of the technics that were once only reserved for large enterprises are now available for all small and medium business. whether it’s the ability to track and monitor sales to make sure you’re not falling behind on your sales goals or whether it’s monitoring your customers behaviour to make sure your retaining and increasing sales with your target audience. Utilising some of the tips below can help you create an extremely smart SMB or SME at an extremely low cost quickly.

while all of this sounds a bit complicated, it can be easily achieved when choosing the correct POS or EPOS(point of sale) for your business.

Here are a few advices on what to look for when you’re ready to create a smart business:

Manage inventory - managing inventory is one of the key ingredients to creating a profitable business. As most businesses spend a fair amount of money on their inventory (especially if you’re a small retailer). making sure you stock up on the right inventory is a key ingredient to stay on track. lets say you’re a small retailer focusing on shoes, monitoring which sizes you sell from each series is one of the most important things you need to know before restocking for a new collection. This can be easily utilised by closely monitoring your sales. same can (and should) be done for anything you stock as a series (dresses, pants etc.). basically, know what you’re selling before you restock.

Monitor sales and Revenues - Monitoring your sales can be a hassle if you're not the analytical type (and most of us are not). however this can be easily be done with the right set of tools. An easy way to approach this is to make sure your sales platform, POS / EPOs ( point of sale) is automatically able to splice your sales report easily on a daily, weekly or monthly level. to make sure you’re meeting your targets on all levels.

Create and manage your KPI’s - managing your KPI’s or Key Performance indicators is one of the most important tools you have to make sure you’ll stay on track when it comes to keeping your business profitable. First, make sure you’re monitoring the correct ones. this may differ and vary for each vertical or business types. For example, say you’re a coffee shop. each day you buy muffins from a local bakery and each day you throw whatever you haven't sold. knowing the % of muffins sold (Muffins bought Divided by Muffins bought on that day) each day could be one of your KPI’s - setting this KPI to a max of lets say 80% could become a performance indicator to make sure you’re not buying too many muffins. (if you only sold 60% of your muffins today - buy less tomorrow)

Make sure you know whats happening in your business - making sure we know what happening in our business at any given time does not necessarily mean we need to be present 24/7. With todays cloud based solutions make sure you have access to sales real time sales report at any given time and location. make sure you’re workers are not too generous on the discounts and make sure their meeting they’er daily targets (another excellent KPI) even when you’re not there.

Know your customer - you don't need a fancy CRM platform to make sure you know what you’re customers are buying, and who you’re best customers are today. managing a simple buyers club is super easy and super effective. this data can later be translated into targeted promotions to make sure you’re meeting the right customer with the correct offer (even if you’re only a small retailer). you wouldn't want to promote a 30% discount on all women shoes to your male customers for that matter (you’re marketing budget will go down the drain). just make sure you’re sales platform or POS is able to deliver and support these capabilities.