Thread by @businessbarista

Owning your business doesn't mean controlling your business.

Here are 6 steps to take control of your business 🧵

Let's set the stage. It's 2019.

@MorningBrew looks wildly different.

• 15 employees.
• Working out of WeWork.
• 3 products.

Everything about the company is younger, smaller, and earlier.

But the biggest difference in the company is how we are thinking and operating.

Planning and process are two words not in our vocabulary.

We know we want to get there.

To think months & years ahead, rather than days and weeks.

Thankfully, my cofounder @austin_rief puts us in a position to be able to do that.

We had been looking for a framework that would put us in control of our business.

One of our investors recommended a book called "Traction."

It piqued our interest, and ultimately, transformed our business.

Traction provides a 6-step system for taking control of your business.

Austin put the system to work & it's what allowed Morning Brew to scale to:

- ~$40m in revenue
- 110 employees
- 8 products

Step 1: Vision

Define who & what your organization is, where it's going and how to get there.

Your vision includes:

• Core values
• Core focus
• 10-year target
• 3-year picture
• 1-year plan

Quick Morning Brew example:

Core focus: "empower the modern business leader with engaging & accessible content."

Core values: empathy, curiosity, purpose, challenger mentality

Without this, it will always be impossible for employees to row in the same direction.

Step 2: People

It's not just about having the right people.

It's about having the right people in the right seats.

Every employee problem boils down to:

• Having the right person in the wrong seat
• Having the wrong person in the right seat

Who are the right people?

• Embody your company’s values
• Thrive in your company’s culture
• Make the company a better place by being a part of it

What are the right seats?

When each employee is experiencing responsibility-skill fit.

When their role allows them to operate within their greatest skills & passions.

Step 3: Data

Data can be overwhelming to many entrepreneurs.

To make your data work for you simplify & standardize.

Establish a scorecard that tells you how your business is doing at a quick glance.

Unlike your P&L, your scorecard is a leading indicator in business.

Here's how to think about it.

If you’re on a deserted island...

And can only have a 3x5 index card delivered to you from modern society...

What are the 5-10 numbers that would give you a clear picture of how business is doing back home.

Step 4: Issues

Every business has issues.

But not every business has a culture of talking about issues.

Without that, solving issues will always be a game of catch-up.

Once you have the culture, you can successfully tackle three types of issues:

1) Long-term issues - discussed by your leaders each quarter

2) Short-term issues - discussed by your leaders weekly

3) Departmental issues - discussed in department meetings

Step 5: Processes

The repeatable actions that keep the business running.

They’re the engine in the car.

To have effective processes:

1) You have to document them well.

2) You have to communicate & train people in them well.

Step 6: Traction

What brings everything together.

Traction is defined by action.

To do this, you must have:

1) Clear vision
2) Right people in the right seats
3) Clear sense of the data that matters
4) Culture and way of solving issues
5) Process documenting & training

The most important feature of traction is ROCKS.

Rocks are 90-day goals that map to your long-term vision.

They can be assigned to the company and to individual employees.

Rocks marry your vision to reality.

These are the 6 steps that—when followed religiously—can set your business up for scale & success.

Thanks to @austin_rief's implementation, it has done that for Morning Brew.

If you liked this thread and want more of it, follow me on Twitter:

@businessbarista

If you want a deeper dive into Traction, check out my Founder's Journal episode:

bit.ly/3cE18FE