— August 30, 2019
Where does your knowledge reside?
When you are small, you can run and grow your business in your head. In the early days, it’s hard to think that you play many different roles because you do different jobs yourself. You can be the salesperson, accountant, marketer, product development manager, HR administrator and many other roles without calling these out as you move from task to task.
But, when your demand grows, you can’t do it all. You need more people to help grow the business and make your customers happy.
If you are under $ 1M, most of your effort should be on selling. If you are past $ 1M, you have to make the business work. Either way, your business is about knowledge. How things get done to create a customer and deliver your product or service consistently becomes harder when you scale up.
A knowledge base is a place that organizes the knowledge that’s in your head. It helps everyone on your team understand how to do their job clearly and interact with other people doing their respective jobs.
Furthermore, a knowledge base has the following benefits to growing a business:
1. Facilitates Onboarding and Training
It is a systematic way to help a new person get started and be productive in their hired job. It also provides professionalism, job satisfaction and clarity for new employees that could otherwise be disoriented, overwhelmed and frustrated in a new role.
2. Makes Information Sharing Efficient:
A place that is structured and searchable makes it easy for your team members to get what they need, when they need it. If you have to keep answering the same question many times, rather than allowing people to find answers for themselves, you are the bottleneck in your business. It’s not a great use of time. Document it once and let it be consumed many times.
3. Increases the Value of Your Business
If you want to sell your business, what will you sell? Having systems that are clear and a methodology for growing easily and rapidly is extreme value to a buyer who wants to know how to operate the business. If you don’t have a knowledge base, then the information required to execute consistently is in your head. You can’t step out. You are the business.
4. Forces Clarity
How you do things now may change later. Having a system that is continually living and updated helps everyone stay clear for their own job. And information that is documented and does not make sense in context of your business goals or handoffs to other jobs can be debated, clarified and updated. You can push on refining your methodology as new realities emerge during business growth.
5. Helps You Lead
A large complaint of employees is that they see dysfunction from management or ineptitude. You can lead with clarity and conviction when your team sees commitment to systems, process and order. Furthermore, you can open up ideas and ways of doing things through continuous improvement to a knowledge base that should welcome better ideas and ways of executing from the people doing the work. Your leadership can center around knowledge rather than charisma. It takes the pressure off you and focuses it on business systems, where it should be.
Growing Your Business
The more people you get involved the more complexity you have to manage in your business. Clarity becomes a bottleneck to growing your business because you have to take time to explain, manage and oversee how things get done.
Furthermore, the jobs that have to get done are continually changing. You want the best ideas and approaches available and clear for everyone in a system that is repeatable and continually improving.
Here’s a resource to help you get started on building your knowledge base. It can help you start a critical piece to effectively growing your business.