This is part 6 in an 8-part series about the B-I Triangle™ put forth by Robert Kiyosaki in his book Rich Dad’s Guide to Investing“.

The article links are Mission, Team, Leadership, Cash Flow Management, Communications, Systems., Legal, ProductAn example of a system is the human body. The human body is in essence a systems made up of systems. Each system is made up of organs, and is dependent on the functions and processes of every system in the body. If just one system is out of balance or functioning improperly, the entire body system suffers as a result.

An example of systems that I am quite familiar with is the collection of systems on a submarine. Systems there include things like the ventilation system, the water systems, hydraulic systems, air systems, sewage/sanitary systems and the list goes on. We as submarine sailors are required to gain an in-depth understanding of each system and how the systems inter-relate to other systems. Once again, if just one system is out of commission, either the whole system suffers, or the other systems must somehow be allowed to compensate, leading to degraded operations.

In business, systems are vital to the long-term growth and survival of a business. Business systems are basically a collection of steps and procedures designed to accomplish routine tasks. These tasks are designed and performed keeping the company’s Mission in mind.

As an example, I am currently employed at Pizza Hut as an evening delivery driver. Systems there include such things as making sure the dough and pizza pans are prepared for the next day. This is necessary because the dough requires a minimum amount of time to rise before being used to build those delicious pies. These steps are all done each night, in proper sequence, to ensure that we are able to satisfy our mission of feeding as many customers as possible. A system is basically a procedure that, if followed, will better the chances of getting the task performed for which it is designed.

The power of business systems comes from the fact that they take the emotion, guesswork and confusion out of daily oiperations. Systems are even found in our personal financial lives. A household budget is an awesome system that, if designed and used properly, ensures a family will always have enough money to meet basic financial requirements (a.k.a., BILLS), and is able to save money for future retirement or investing. I hope this article sheds some light on the importance and power of systems. I am, of course, open to comments you may have to help bring more insight.

Steve Pavlina has an excellent article he’s written titled Getting Organized, which outlines using the power of systems to keep your office (and your life) clutter free.

Take care of yourself and others!

Posted in Business, Financial Freedom, business implementation, entrepreneurship, entrepreneurs |

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