Clockwork: Design Your Business to Run Itself
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crush/cringe analysis, 163, 163–66
Curb Your Enthusiasm (TV show), 50
customers. See Commitment, the; Top Clients/Customers
dashboard, 171, 174, 202–3
ACDC model, 178–88, 179
one dial at a time, 189–92
David, Larry, 50
debt, 187–88, 240
Deciding, 13–14, 23–26
Clockwork Team Time Analysis, 141–42
defined, 24–25, 244
Delegating versus, 24–25
delegation complication, 31–36
and Doing, 33–36
Outlandish Dish fictional scenario, 147–48
target percentages, 36–47
Time Analysis Worksheet, 39–45
decision making, of employees, 116–19
declare the Corporate Queen Bee Role, 14–15, 17, 56–70
action steps, 70
bee colonies, 57–59
Clyde and Bettina’s story, 67–70
Cyndi Thomason’s story, 59–61
Jesse Cole’s story, 66–67
Outlandish Dish fictional scenario, 144–45
sticky note method, 61–70
declaring your vacation, 226
Delegating, 13–14, 23–26, 112–14
Clockwork Team Time Analysis, 141–42
Deciding versus, 24–25
defined, 25, 244
Outlandish Dish fictional scenario, 147–48
as a process, 34–35
target percentages, 36–47
Time Analysis Worksheet, 39–45
“traffic light” system for, 113–14
delegation complication, 31–36
delegation mind-set, 25, 34, 114–16
Deliverables, 108–11, 109, 178–88, 179
action steps, 119–20
capture system, 108–11, 109
defined, 109, 178–79, 243
Profit First Professionals case, 180–88
Designing, 13–14, 23–27, 207
action steps, 55
Clockwork Team Time Analysis, 141–42
defined, 25–26, 244
Doing versus, 27–30
moving from Doing to, 23–24, 46, 48, 107, 130–31, 146, 209, 213
Outlandish Dish fictional scenario, 147–48
running like clockwork, 46–49
starting with 1 percent, 45–46
target percentages, 36–47
Time Analysis Worksheet, 39–45
directory system structure, 108–11, 109
“Disney Way,” 57
diversity hiring, 132
Dobrinska, Liz, 90n
documented systems. See capture systems
Doing, 13–14, 23–30
action steps, 55
Clockwork Team Time Analysis, 141–42
and Deciding, 33–36
defined, 24, 244
to Designing, 23–24, 46, 48, 107, 130–31, 146, 209, 213
Designing versus, 27–30
getting you nowhere, 26–30
learning by, 32
Outlandish Dish fictional scenario, 147–48
running like clockwork, 46–49
target percentages, 36–47
Time Analysis Worksheet, 39–45
“doing everything,” 26–30
Dorison, Adrienne, 175–78, 203, 214
early stage hires, 130–31
efficiency strategies, xiii, 3–4. See also balance the team
ego, 10, 31, 48, 53, 206–7
Elkaslassy, Laura, 212
embracing failure, 118–19
emergency rooms, 71–74
employee traits, 15–16, 132. See also Job Traits Analysis
employee turnover, 214–15
E-Myth, The (Gerber), 133
entrepreneurial poverty, xii, 135, 209, 210
exercises
Clockwork Team Time Analysis, 141–42
crush/cringe analysis, 162–66
hub and spoke, 77–84
Job Traits Analysis, 136–38, 137
sticky note method, 62–64
eye on your business. See clockwork business
Facebook, 53, 148, 149, 161, 162
failure, embracing, 118–19
Family & Aging Law Center, 122
FAQs (frequently asked questions), 81
Fat Daddy Fat Back, 87–93, 243
fear issue, 133–34
flow of business. See ACDC model
focus apps, 3
Forleo, Marie, 96–99
4D Mix, 14, 17, 23–49. See also Deciding; Delegating; Designing; Doing
action steps, 55
active analysis, 40–45
defined, 23–26, 244
delegation complication, 31–36
optimal. See optimal 4D Mix
running like clockwork, 46–49
Scott and Elise Grice’s story, 20–22, 49–52
starting with 1 percent, 45–46
target percentages, 36–47
Time Analysis Worksheet, 39, 39–40
four-week vacation, 53–54, 217–36
acting as an observer, 232
business cycle and, 220–21
cutting down on Doing, 228–29
day before vacation, 233
defined, 243, 244
goals of, 225
Greg Redington’s story, 217–20
measuring progress and establishing backups, 230
planning full disconnect, 231
planning your, 222–25, 226–33
return from, 235–36
running tests, 230–31
taking vacation at work, 232–33
telling your team, 227–28
time analysis of, 227–31
while away from work, 233–34
Fox, Kevin, 171–74
freedom leading to mastery, 114–16
Freedym, 238
Freescale Coaching, 212–13
“Future Employee” account, 122n
Gates, Bill, 35, 35n
Gerber, Michael E., 133
glossary of key terms, 243–45
Google, 56–57, 159, 161
Grant’s Kennebago Camps, 222–23, 244
Green, Esmin, 72–73
Grice, Scott and Elise, 20–22, 49–52
Harnish, Verne, 123–24, 133
Have the right people, do the right things, in the right portions, right, 124–25
Hey, Sweet Pea, 20–22, 49–52
Hicks, Monique, 94–96
hiring, 23, 23n, 31
early stage hires, 130–31
fear of trust, 133–34
Job Traits Analysis, 136–38, 137
the right people, 125–28
too fast, 129–30
too soon, 129–30
when to hire, 128–31
whom to hire, 131–33
Hogema, Femke, 212
How to Hire the Best (Starling), 132
hub-and-spoke model, 77–84
in action, 86–93
Trash, Transfer, or Trim method, 80–86
INCOME account, 186
INFINITUS Marketing & Technology, 34
“inflection point,” 157
insights, gaining from analysis, 139–40
invoicing, 65, 107, 108, 110–12
Jacobs, Bert, 135–36
job ads, 132–33
job interviews, 127–28
job skills and hiring, 131–32
job titles, 138
Job Traits Analysis, 136–38, 137, 151
Outlandish
Dish fictional scenario, 147–48
Kaplan, Barry, 54
Kings County Hospital Center, 72–73
Kmart bluelight specials, 172
know who you’re serving. See Commitment, the
Konica, 8–9
Kuecker, Lisé, 152–54, 155, 197–202
lacrosse, 211–13
landmarks and walking in circles, 28–29
Ledowski, Jackie, 130
Lee, Ryan, 237–40
Lely, Peter, 46–47
Life is Good Company, 135–36
life purpose, 135
lists, 3
Living Well, Spending Less (Soukup), 214–15
making the Commitment. See Commitment, the
Manders, Rich, 212–13
manuals, 15
MarieTV, 97
Mastering the Rockefeller Habits (Harnish), 123–24
Mastermind Intensive, 114
Max Planck Institute for Biological Cybernetics, 28
Merrills, Craig, 187–88
meticulousness, 198, 218
metrics, 171, 172–74, 202–3
ACDC model, 178–88, 179
Minter, Craig, 112–14
Minutolo, Frank, 8–10
Miss Maud Hotel (Perth), 204, 244
mistakes, rewarding, 118–19
Moger, Erin, 130
Mooney, Leticia, 204–5
Mrs. Wilkes’ Dining Room (Savannah), 75–77
Nation Up North (NUN), 167
niches, 156, 159, 160, 162, 164–66
Nolletto, Roberto, 143–50
obesity rates, 152, 153
Oldford, Scott, 34, 114–16, 134
“on spec,” 179
operating expenses account, 186, 187–88
Operation Vacation, 19, 53–55, 225–33, 244
optimal 4D Mix, 37–39, 38, 56
Clockwork Team Time Analysis, 141–42
defined, 244
for multi-employee companies, 44
Outlandish Dish fictional scenario, 147
for solopreneurs, 43
organizational efficiency, 7, 74, 75, 212, 229
organization charts, 16, 138
Outlandish Dish fictional scenario, 143–50
OWNER’S COMPENSATION account, 186
“paradigm shift,” 157
Parkinson’s Law, 6–7, 8, 18, 245
partners, pushback from, 209–13
peeling a banana, 105–6
“pivot,” 157–59
Pomodoro method, 3
Primary Job, 15, 36, 58
defined, 245
hub-and-spoke exercise, 77–84
Outlandish Dish fictional scenario, 144–45
sticky note method, 62–66
productivity, xii, 3–5, 7
Parkinson’s Law, 6–7
productivity trap, 6, 10–12, 22
PROFIT account, 186
profit allocation, 6, 11, 245
Profit First (Michalowicz), xii, 6, 11–12, 55, 186
Profit First method, 122n, 186, 209, 245
Profit First Professionals, 130, 155
ACDC model, 180–88
pushback from partner, 209–13
protect and serve the Queen Bee Role, 15, 17, 71–100
action steps, 99–100
Cyndi Thomason’s story, 93–94
emergency rooms, 71–74
hub-and-spoke exercise, 77–84
hub and spoke in action, 86–93
Marie Forleo’s story, 96–99
Monique Hicks’s story, 94–96
Mrs. Wilkes’ Dining Room, 75–77
Outlandish Dish fictional scenario, 145–47
Queen wanting to stay Queen, 96–99
Trash, Transfer, or Trim method, 80–86
your role, 93–96
psychographics, 159–62
Pumpkin Plan, The (Michalowicz), 9, 158, 159, 162–63
purpose in life, 135
pushback, 204–16
action steps, 216
from other people, 213–15
from partners, 209–13
Putin, Vladimir, 35n
Queen Bee Role (QBR)
declaring. See Declare the Corporate Queen Bee Role
Profit First Professionals case, 184–85
protecting and serving. See protect and serve the Queen Bee Role
Ramberg, Jennifer Jill “JJ,” 237
R&D Curtains, 113
REDCOM Design & Construction LLC, 218–19
Redington, Greg, 217–20
resistance. See pushback
responsibility, assigning, 115–17
résumés, 131, 132–33
retention rate, 155, 182–83
rewarding mistakes, 118–19
right people, 125–28
Robbins, Tony, 96, 98
Rubik’s Cube, 207–8
Run Like Clockwork, xivn, 203
sabbaticals, 52–53, 225
Saharyan, Ron, 130, 209–13
sales
ACDC model, 178–88, 179
Cyndi Thomason’s story, 195– 97
Job Traits Analysis, 136–38
one dial at a time, 189–92
Outlandish Dish fictional scenario, 146–47
sales conversion, 181–82, 182n
Savannah Bananas, 66–67
scaling, 31, 133–34
Scaling Up (Harnish), 133
Serenity Prayer, xiv
serving the Queen Bee Role. See protect and serve the Queen Bee Role
seven steps of clockwork, 13–18
putting first five steps into action, 143–50
Shift 180, 54
simplicity, 171–74
singular accountability, 111–12
Smith, Brian, 166
solopreneurs, 13, 24, 28, 37, 43–44, 66, 245
“someday” ideas, 46
Soo, Selena, 175–76
Soukup, Ruth, 214–15
Spanx, 118
standard operating procedures (SOPs), 102–3, 104
Starling, Sabrina, 132
start-ups, capture systems for, 107
sticky note method, 61–70
Outlandish Dish fictional scenario, 144–45
Stokes, Debbie, 113
streamlining, 112–14
StrengthsFinder system, 126
super strengths, 124, 127
Surge (Michalowicz), 59, 166
surge growth process, 59–61
Survival Trap, 10–12, 128–29, 245
sustained profitability, 12
tacking strategy, 43–44
Tan, Ruby, 87n
tasks, assigning, 114–17
TAX account, 186
team, balancing. See balance the team
Team Time Analysis, 141–42
exercise, 141–42
Outlandish Dish fictional scenario, 147
vacation time, 227–31
Thinker, The (Rodin), 208
34 Strong, 126, 127–28
Thomason, Cyndi, 59–61, 93–94, 139–40, 193–97
“thrive factor,” 15
time analysis, 14, 20–55
action steps, 55
Clockwork Team Time Analysis, 141–42
defined, 243
delegation complication, 31–36
Doing getting you nowhere, 26–30
four Ds of running a clockwork business, 23–26
running like clockwork, 46–49
Scott and Elise Grice’s story, 20–22, 49–52
starting with 1 percent, 45–46
&nbs
p; target percentages, 36–47
vacation time, 49–55, 227–31
Time Analysis Worksheet, 39, 39–40
active analysis, 40–45
time blocking, 3
“time hacks,” 3–4
Toilet Paper Entrepreneur, The (Michalowicz), 43–44, 67
Top Clients/Customers, 158–66
crush/cringe analysis, 163, 163–66
defined, 245
Toyota Production System, 119
Traction (Wickman), 133
“traffic light” system, 113–14
training, 103–4
training videos, 108, 110–11, 148–49
traits (trait-seekers), 15–16, 132. See also Job Traits Analysis
Trash, Transfer, or Trim method, 80–86, 99
defined, 245
trust issue, 133–34
UGG, 166
uniqueness, 14, 48–49
Vacanti, Daniel S., 33
vacations, 49–55. See also four-week vacation; Operation Vacation
Scott and Elise Grice’s story, 49–52
“workcation” habits, 1–3, 222
vacation test, one-week, 230–31
value analysis, 91–92
variability, 16, 156
Viable Vision, 171–74
Virassamy, Darren, 126–28
Vitality Med Spa and Plastic Surgery Center, 94–96
waiting game, 33–34
walking in circles, 28–30
Wall Street Journal, 209
Washington, George, 112
Wickman, Gino, 133
Wilkes, Sema, 75–77
Windsor Beauties, 47
Winfield, Chris, 4–5, 7, 175–76
Winfrey, Oprah, 35
Winning Credibility (Michalowicz), 167–68
Wipp, Nicole, 121–23
“workcation” habits, 1–3, 222
“work harder,” xi–xii
work hours, xii, xiii
Young, Angus, 109
Young, Malcolm, 109
Your Business with JJ Ramberg, 237–38
YouTube, 106, 107
Zadotti, Rob, 48
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ABOUT THE AUTHOR
Mike Michalowicz (mi-CAL-low-wits) launched and sold two mulitmillion-dollar companies and is co-founder of Profit First Professionals, a membership organization of accountants, bookkeepers and business coaches who teach the Profit First method. He is the host of the American Express Turning Points podcast, a former columnist for The Wall Street Journal, is a popular speaker and has shared his insights on business and entrepreneurship at TEDx, creativeLIVE, INCmty and others. He is the author of Profit First, The Pumpkin Plan and The Toilet Paper Entrepreneur. His columns have appeared in The Entrepreneur Magazine, Open Forum, and Harvard Business Review.
* Name changed.
* To make it super easy for you to get all the free resources for this book, I created a site called Clockwork.life. Everything you need for this book, including a Clockwork Quick Start Guide, is there. Additionally, if you want professional help from a noncorporate consultant, a get-your-hands-dirty expert, I have a small business that does just that at RunLikeClockwork.com. Note that Clockwork.life is not a .com, but a .life, because the Clockwork Club is a lifestyle. And RunLikeClockwork.com is a .com, because it is all about our company serving your company.