You know, like the simulators that are used for nearly any future-looking scenario where there are major implications and consequences if things don’t go well. The government and space programs are using simulations before missions, doctors and scientists are using simulations before operations or releasing new products to the world; even the big video game makers run simulations before big sporting events like the Stanley Cup and Superbowl.
Now the simulators are not crystal balls, but they do help to reduce the clouded vision of uncertainty; which helps reduce fear; which allows for more action and confidence in likely outcomes. When you consider what is riding on the line for most small-medium sized business owners and the implications associated with whether or not their business grows and prospers, wouldn’t it be amazing if they could access a ‘business simulator’ to increase predictability and more importantly – the confidence to massively ACT?
The simulators are available. They’re not called simulators though, they are still referred to as ‘Business Plans’. Not the word doc template style business plans, or outlines. The newer, online, live, real-time calculating business plans like our Business Plan Builder. This business plans, which are basically simulators, allow you to see in an instant click, how your:
- breakeven would be impacted if you added a $85,000/yr manager next October
- gross profit margin would be changed if starting next January you dropped this product line all together and added that one
- payroll as a percent of sales is affected adding $260,000 worth of salaries over the next 18 months
I know, I know, anyone with a basic knowledge of business, financials, and some key ratios could whip out the paper, pen and calculator and work out these scenarios manually, but…..why? Why not access the clarity of simply being able to edit a salary, or add 10% to your marketing budget, or raise prices 5% – click a button, and instantly see how making that decision stands to impact your business projections yearly, for 5 years out?
What most refer to as the affliction of paralysis by analysis is really, in most instances, paralysis by sheer ‘I wonder what’s around that corner-itis’. Surely there are instances when a poor strategic decision can be identified as the reason a business did not make it; but the hugely more common reason is – overwhelm and uncertainty, causing snail-paced decision making, causing little to no action, resulting in…well, you get the picture.
End of the day, it’s a lot easier to leap for that next branch when you can see that next branch. It’s amazing to watch business owners who shift from a state of ‘fear or unknown’ to a presiding mood of ‘excitement for a very likely outcome’ seemingly triple their energy levels and happiness over night. Stop wondering what might happen if you push that proverbial button in your business, and start running simulations.