Business growth can be a challenge for some firms. However, those firms that use the Rockefeller Habits, as described by Verne Harnish in his bestseller Mastering the Rockefeller Habits, together with the “Pursuit of Passionate Purpose” principles have an easier time growing. Thus, I’m continuing to review these habits and illustrate how they’re being applied at Radish Systems.
6. EVERY FACET OF THE ORGANIZATION HAS A PERSON ASSIGNED WITH ACCOUNTABILITY FOR ENSURING THAT GOALS ARE MET.
- Income (P&L), Cash Flow, and Balance Sheet statements have persons assigned for each line item.
- An accountability chart has been created.
7. ALL EMPLOYEES CAN REPORT AT ANY TIME WHAT THEIR PRODUCTIVITY IS AND HOW IT COMPARES WITH GOALS.
- Smart numbers (key performance indicators) are identified for the organization.
- Weekly measures for each individual/team are clearly displayed and reviewed.
Radish Systems Case Study
During our Q3 strategic planning session, we explored which leaders of the company are accountable for key measures. For example, as CEO, I am responsible for: (1) Profitability, (2) Share price or market share, (3) Percent of “A” Players on the team, and (4) Raising new money (fundraising). These are the smart numbers I track. Most important at this time are raising funds and hiring “A” players.
Radish 2.0 is a development-stage company funded to date by the founders. It’s now time for Radish 2.0 to raise seed funds to carry it to the next stage of qualified financing. Thus, we have organized a Private Placement Offering to sell convertible debentures to selected accredited investors. These promissory notes may convert into equity interests in the firm at the time of its next qualified funding.
This approach worked well for Radish 1.0 and carried it until we secured a $3M round of venture capital financing. During that PPO time, Richard A. Davis (the co-founder of Radish) and I got married to each other. The weekend of our wedding, we raised enough funds to support the company for an additional six months.
In terms of “A” players, Radish has a strong team, many of whom have worked together in Radish 1.0 and beyond. This team has demonstrated the ability to create exceptional success. Over the past year (July 15, 2010 was Radish’s first birthday), we have made great progress while working in stealth mode and mostly for sweat equity. Yet in reviewing the accountability chart of people and goals, it became clear that we need to augment our team with an experienced Marketing leader. Can you recommend an available, talented Marketing Director with proven expertise in B2B marketing of innovative technology? If so, please visit www.RadishSystems.com/careers.
Interested in more of the story? Hear Theresa Szczurek speak on 9/16/2010 at the Boulder Business and Professional Women meeting. Register now at www.BoulderBPW.org