Alan Pentz argues that business growth depends on labor and applying it to customer problems. Owners stay small by avoiding hard decisions, especially firing underperforming team members and leaders who can't scale with the company.
There are three main things that I think are crucial for me. The first was what I mentioned with Greg, which is that all business is about applying labor to problems to create productivity for customers. So labor is what it's all about, the cost you pay for it, the leverage you get out of it, all that. So I measure that very closely, and it's a it's a benchmark we use throughout all the companies that I'm involved with now. But related to that is the concept of that. There's a guy, Brent B. Shore, and he said all small businesses stay small for a reason. And my corollary to that was, and it's because the owner won't make the decisions they have to make. And those decisions almost always involve poor performance of team members and or not just poor performance, the inability of team members, particularly leaders, to grow as quickly as the company grows.