What business are you in?

In the strategy workshops that I do for clients - one of the key questions that I ask the group to consider and define, clearly understanding, agreeing and articulating it, is:

'What business are you in?'

It sounds like such a simple and obvious question, but you would be surprised as to just how much confusion and debate this simple question can create within a management team.

See if you really are clear as to what business you are in - you are far better able to apply that lens to questions of how you might improve it.

Knowing what business you are in you are better able to understand the needs of the customers that you are serving and better able to measure the right things that will impact the future of that business.

So often business owners will believe wholeheartedly that they are operating in one business, only to realise years later that they are actually far better served by classifying themselves as another.

This clear lens is vital for improving efficiencies, unlocking profitability and a key reason as to why the implementation of strategic plans fail.

Do you know what business you are in?