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Home Based Business and Pies
Speaking of pies, I am sure that at some stage, Four and Twenty or Bloggs Pies started in someone’s kitchen where the pastry shells were baked, the meat mixture cooked, the pie crusts filled by hand and then delivered to a local bakery or delivered direct to the homes of customers who had previously ordered.
That imagery acted as a brain tickler to make me think of Pie Graphs and Business Managers. What you ask is the relevance between the two? Well let’s look at large companies and their senior management. There is a flow of information, multiple projects, financial measurement, analysis of resources, profit trends, marketing analytics et cetera.
So senior managers who complain that they are time poor and attend multitudes of meetings, and manage multiple products or operational services, have learned to ask for and give information in a simple pictorial fashion. Show them a graph which indicates the trend line going up or down dependent on whether it’s revenue or costs, a bar graph which gives a comparison over different periods of time, a traffic light report with graphs in red or green telling the current status of projects, and that information can be understood in seconds rather than wading through voluminous qualitative word based reports.
Now visualise your home based business. I used a home based business woman with children as an example. Just as a simple exercise draw a circle on a page, and call that circle 24 hours, now draw two lines to make a segment for sleeping for seven hours (wishful thinking), add a segment for ablutions of one hour, add meal preparation, feeding the kids, drinks, tidying up after each meal, breakfast and the evening dinner say three hours.Now add two hours for interruptions such as courier delivery, non business related phone calls, talking to spouse, washing up, putting clothes in laundry tub, the drier, vacuum a bit of the house, perhaps clean the bathroom, et cetera.
Now look at business related administration tasks. You need some time for research, so add looking at sky business channel, read the financial review, peruse the local paper and the business ads to see how other small businesses advertise, Google some similar businesses online, check out the opposition, allow two hours.(call it Competitive Business Intelligence if you like.)
Also what about all the administrative tasks? Put paper in the photocopier or printer, fix the paper jam, change the mouse batteries, un-jam the paper shredder because you tried to put eight sheets in at a time, put the last business card names into Microsoft Business Contacts, file documents, and finally make a list of tasks for the next day (two hours).
Now the last segment on your pie is the amount of time for your business. In the demonstration case this time is 4.5 hours (oh really!) Is that time to read and reply to all your business emails, quote for new work, follow up work in progress, work on your marketing campaign for a new product or service offer, ring business contacts, ring some potential new referrals who may be future customers, ring suppliers about work in progress and generally attend to all the other functions that effect your business? And don’t forget you’ve not left home.
What if you need to shop, pick up the kids, go for a doctor’s appointment, go to the gym for a dose of fitness, and what, shock and horror, if you went to the library for further research or attended a workshop or networking event. Now your “my business” segment looks like a thinly sliced minuscule of the big pie.
Food for thought? Have a slice of pie and a cup of tea, and think about it.
Make your own Pie Graph in Microsoft Excel 2007
1. Open new spreadsheet. In cell 1 type Activity in Column A, Hours in B, and Percentage (%) in C
2. In left hand column A, start at cell a2, and insert each daily activity down the column.
3. Make the last activity my business. Beneath that, insert Total
4. In column B, opposite each activity put an estimated time in hours for a day e.g. 1, 0.5, 0.75
5. Total column B, the last cell must total 24 hours exactly. Formula is =sum(b2:b12) or use Autosum
6. The cell formula for “my business” in Column B is =24-sum(b2:b11)
7. The C2 cell formula for column C as a percentage of the 24 hours is =b2/$b$the b cell where it shows 24 hours.
8. To percentagise C2, go Menu, Number, select Percentage from the pull down menu, your cell will now show a percentage
9. Click on the bottom right hand corner black square in Cell C2 and drag the formula from the C2 cell down to the bottom of the column.
10. Left click on mouse, hold and drag over the three columns A, B and C, and all rows, except the last row.
11. Go to Insert, left click Graph, select Pie, click on #2-2D-Pie, go to Design menu, Chart Layouts, select Layout 2 or 6.12. In the chart, change the Chart Title. Use Chart Styles on the Menu to change colours to suit. 13. You now have your completed Pie Graph.
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