Why It’s Crucial to Fix a Disorganized Company

disorganized

In order for your business to run smoothly and profitably, especially in the current landscape, organization is a must-have. Without it, you allow your company to flounder. Oftentimes, you wind up dedicating a large chunk of your day to putting out fires that could otherwise be avoided.  

When you let disorder run rampant, it affects every aspect of your company, creating waste. And it doesn’t just have an impact on the day-to-day goings-on of your business either. It can prove detrimental to your future success as well. 

That’s why it’s crucial to fix a disorganized company.

The last thing you want is to put your business at risk, particularly if you’re just starting to get things back up and running again. But the reality is that if you allow a chaotic environment to go unchecked, that’s exactly what you’re doing…  

What Does a Disorganized Company Look Like?

There are several telltale signs that you have a disorganized company on your hands. 

For example…

  • You and/or your employees are constantly searching for information.  
  • Those on your team are frequently scrambling to complete projects on time. 
  • There are no formal processes in place, so you have to create each new proposal from scratch.
  • You and/or your employees are often late to appointments—or miss them entirely.
  • You spend the majority of your day solving problems instead of focusing on the big picture.
  • Your primary method of tracking purchases entails sorting through receipts. 
  • There are often errors in your paperwork that you have to spend time resolving.

If any of these “symptoms” sound familiar, it’s a good indication that disorganization is an issue within your business. 

And when that’s the case, you need to take steps to rectify it and reduce such waste to improve your company’s health. Otherwise, you’ll run into more problems down the road.  

What Are the Consequences of Having a Disorganized Company?

As mentioned previously, letting disorganization go unaddressed can jeopardize your company’s future, putting your very livelihood at risk.

Further, it can result in other consequences that prevent you from reaching the level of success you hope to achieve in your business.  

Some examples include the following:

  • Missed opportunities
  • Low morale
  • High stress
  • Wasted time
  • Decreased profitability

Let’s take a closer look at each one of these consequences…

Missed Opportunities

In a disorganized company, missed opportunities tend to pile up with each passing day. If internal processes are in disarray (or nonexistent), there’s a high probability of deadlines going missed, resulting in cost overruns or lost deals. 

Additionally, when employees within your company are running around without knowing which projects to prioritize, goals will likely go unreached. 

Low Morale

Although some individuals thrive on creative chaos at a personal level, no one enjoys working at a disorganized company. Allowing your business to remain disorderly can have a huge impact on morale, causing employees to feel disillusioned with their jobs. Those who view the company’s disorganization as unprofessional and believe there’s no future may even end up quitting.  

High Stress

Stress is a common occurrence when working in a disorganized company, especially under the current circumstances. And employees aren’t the only ones who suffer from it. Without order and structure, you may end up working too hard just to keep your business afloat, which can lead to exhaustion and stress. 

Wasted Time

Time is an extremely valuable resource, for both you and your employees. Unfortunately, it’s one that often gets used up when disorganization is an issue in a business. 

In fact, an Express Employment Professionals survey of more than 2,000 business leaders revealed that 9% of respondents feel general disorganization is the biggest time waster. It makes sense when you consider that a lack of organization can force individuals to spend hours of every week simply trying to find the information they need to do their jobs. 

Decreased Profitability

There’s no question that having a disorganized company can result in money going down the drain. When disorder and chaos reign, you’ll wind up having to pay for late fees, overtime, replacement tools, and more—leading to additional waste in your company.

Further, you’ll likely experience cash flow problems as well. For example, if invoices aren’t sent out on time (or at all) because a formal process isn’t in place, you’ll struggle to pay monthly expenses such as utilities and payroll.       

How Can You Begin to Improve Organization in Your Company?

Getting things in order can be difficult, but it’s not impossible. You just need to focus on making changes that will ensure everyone is on the same page. 

The following tips can help you get started. 

  1. Create a schedule for yourself and encourage your staff members to do the same. Be consistent with tasks you perform regularly, and remember to leave some room for the unexpected. 
  2. Ensure that job descriptions are understood. Those on your staff should know not only what they’re responsible for but also what the overall workflow looks like.  
  3. Develop an accountability framework to make sure that projects are being completed and goals are being met. 
  4. Put procedures in place for all activities that are performed on a regular basis. 
  5. Ask your employees to point out any bottlenecks or inefficiencies that should be addressed. Then, work together to come up with a plan for resolving them. 

A disorganized company can be transformed into a healthy and orderly one just by putting in the effort. However, it’s worth noting that sometimes outside help is needed to confirm that disorganization is the proper “diagnosis” and to implement a sustainable solution. 

In Summary

No business owner wants to admit they have a disorganized company. However, if you’ve noticed any of the signs highlighted above in your own business, you need to take action immediately. 

Allowing disorganization to go unresolved, particularly now, can have a number of negative consequences for your business, including… 

  • Missed opportunities
  • Low morale
  • High stress
  • Wasted time
  • Decreased profitability

…and, ultimately, less success than you’re capable of achieving. 

If it gets to a point at which your company can’t even function properly in the new normal, you may be forced to shut it down. 

The good news is there are a number of ways you can start getting your business back on track. And if you need help, you can always request a free consultation with Smart Business Doctor