On this episode of the Franchise Secrets podcast, Erik is joined by Mighty Dog Roofing co-founder and CFO, Tony Hulbert. Erik and Tony discuss everything to do with business KPI metrics and using them to hold people accountable.
No matter what department, defining your KPIs and setting goals is the only way to determine if everyone is hitting their marks. Whether it’s something high-level for the entire business or just an individual’s performance, properly defined and measured KPI metrics allow businesses to notice trends early and hold everyone accountable
Tony’s background (1:47)
Tony goes over his experience prior to Mighty Dog Roofing, including working as a CFO for a large Pepsi distributor.
Business KPI metrics and dashboards (5:38)
With an accounting background, Tony discusses how he gathers the right data to determine KPIs to create dashboards for a company.
Getting people to buy into business KPI metrics (10:01)
As Tony and Erik point out, not everyone wants to define their KPIs and be measured by them. Tony believes that hiring the right people from the start is the best way to get them on board with being measured. However, he also thinks you can guide employees into accepting it by helping to establish the business KPI metrics together.
Leading vs. Lagging indicators (12:57)
Tony breaks down the differences between leading and lagging indicators, how to measure them, and how important they are to a business.
Dashboards: Purpose and important data points (16:32)
Tony explains the purpose of a dashboard, highlighting how it can make you aware of key indicators earlier. Erik and Tony also breaks down some of the important data points you should have on your dashboard.
With your business KPI metrics defined, it’s now about holding people accountable to them. Erik and Tony talk about the importance of keeping everyone accountable
Tony shares his experience with “Traction” and how implementing it fully allows the business to practically run itself.
Visionary vs. Implementer (37:24)
Erik says entrepreneurs should read the book “Rocketfuel,” which breaks down people into two key subsections: Visionaries or Implementers. Erik believes understanding the characteristics of both people will allow you to better understand the people you’re working with and how to maximize their potential.
Overview of “Traction” (41:00)
Tony discusses the key components of “Traction” and how the vision step really drives everything else.