Video Transcript
In business, guys, it's a game of strategy and execution, and I think we all know this. You have to know where you’re going, understanding the strategy that you're going to pursue and then executing on it. In a video that I spoke about earlier, I talked about focusing on one thing, not everything. And focusing on that one thing, it must be the right thing that you focus on.
Knowing that, it then becomes about tracking the numbers, but the correct numbers. What I want to teach you or share with you guys is the concept of what's called a lead measure. A lead measure is something that is both influenceable, meaning that we can do it, and predictable, meaning that we can predict the outcome. Tracking a lead measure or the numbers that make up a lead measure is what grows your business.
For example, if you need more profit, a lead measure for more profit is understanding that if we have a higher percentage of our staff trained in sales in the past six months, we are more probable to create more profit. If we finish more of our jobs on time, if we increase the percentage of jobs finished on time from 60 percent to 85 percent, we will have more profit. If we decrease our error rate from 1 percent to .1 percent, we will increase our profit.
All of these things are the one thing that must be moved but it's a very different conversation to say "Let's decrease our error rate" than it is to say "Let's decrease our error rate from 2.5 percent to 1 percent within 30 days." Knowing that number, tracking that number, and being accountable to that number will grow your business.