What are the "resource hacks" you should try when business promotion isn't going well?

After launching a new business or service, or when a business phase changes, progress can sometimes stall.

In such cases, while action-based service improvements like marketing or growth hacking are certainly necessary, there are things to check before diving into digital solutions. This time, focusing on "the components of the internal team operating that service or business," I'll introduce part of the approach I call Resource Hacking – a methodology for tackling challenges.

<Table of Contents>
▼Part 1: Check the Management Resources = Resources for Driving the Business
▼Part 2: Identify Bottlenecks from Four Perspectives
▼ Key Considerations for Resource Hacking

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Part 1. Check the management resources needed to advance the business

When a business isn't progressing smoothly, one of the most important tasks for the business owner (※1) is to pay attention to the management resources needed to drive the business forward—the "resources"—and adjust them to the optimal form.

※1 The responsible person in charge of a specific service or business, regardless of position or company size

The business resources that need optimization here are the commonly used "people, materials, money, and information."

First, "People." It is necessary to understand the number of members, their values and preferences, skills, etc., and decide on the optimal balance of quantity and quality for assignments. This includes considering the employment status of all individuals working on the business, not just full-time employees. This includes determining whether a task should be handled internally or outsourced.

Next is "Materials." This refers to physical assets like office space and hardware such as computers. It also includes licenses for servers and information distribution infrastructure. We consider whether the business possesses the appropriate hardware and infrastructure in the necessary quantities.

"Money" encompasses not just cash, but also stocks, bonds, and similar assets. For ventures and startups, monitoring cash flow is particularly crucial.

The final resource is "Information." This encompasses all business-related information and communication matters, regardless of whether it's digital or analog. It includes both public and private information, structured and unstructured data. Examples include verbalized concepts and key information for cybersecurity.

"People, Things, Money, and Information" are closely interconnected. Job postings provide the "information" that attracts applicants ("People"). Having hardware like motion sensors ("Things") enables the collection of data ("Information"). Furthermore, having salespeople ("People") can facilitate raising "Money."

Interconnection means that in cases like "We want to conduct user research but lack the necessary human resources," there are options to supplement with resources other than "People." You might purchase existing market "Data (information)" from a think tank or automate reporting using "Things" like RPA (※2).

※2 Robotic Process Automation (RPA)

Projects often fail because one of these four resources is insufficient, or because the business owner lacks a comprehensive grasp of how the resources relate to each other. Strive to organize and understand your resources so you can procure what's needed and manage them optimally.

If multiple issues exist, prioritize improvements starting with "People," the most impactful and critical resource. My particular focus is on determining whether to outsource or handle tasks in-house.

Five Perspectives for Deciding Outsourcing vs. In-House Production
Criterion 1: Speed ⇒ Do you want to implement it quickly?
Criterion 2: Knowledge Retention ⇒ Do you want to retain the knowledge internally?
Perspective 3: Communication Frequency ⇒ Is the communication generated by this task ongoing or temporary?
Perspective 4: Total Cost ⇒ Which option is cheaper when converting labor costs to total expenses
Criterion 5: Responsibility & Judgment ⇒ Should significant responsibility for decision-making rest with this task? / Is it central to the company's business strategy?

We make decisions by comprehensively considering these factors. Regardless of whether we possess the skills to implement it or have immediate budget availability, we must prioritize these five perspectives when deciding.

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Part 2. Identifying "Bottlenecks" Through Four Perspectives

When business advancement stalls, a "bottleneck" may exist somewhere within the team.

To find bottlenecks, it's useful to examine the team's environment. Specifically, consider the four elements: "Goals, Processes, Rules, and Culture."

■Goals
"Goals" are the explicit articulation of "where the business aims to go," encompassing both qualitative missions and quantitative business metrics (KGI/KPI).

Crucial is the alignment between the mission and the business metrics. For example, if the qualitative mission is "Become the leader in the XX market!", but the quantitative sales target is less than 1% of the market, becoming a leader lacks realism and the persuasive power to motivate people.

■Process
The next "Process" refers to the "method of driving" that service or business forward. It visualizes meeting structures, member roles, responsibilities, and decision-making methods within the business.

Elements like "regular reports generated by non-human means such as RPA," "the presence of key individuals who aren't in formal leadership roles," and "the relationships between who gets along well and communicates frequently" are also considered part of the advancement process.

■Rules
"Rules" are the unchangeable prerequisites and regulations that govern reality. These include laws and ordinances, as well as large corporations' personnel systems and work rules.

If there are rules beyond the business owner's control that completely block business growth, efforts to amend these rules are necessary to steer the business toward success and growth.

■Culture
Finally, "Culture" refers to the team's atmosphere and unwritten values. A culture can be a one-man show where it's hard to voice opinions, or it can be a culture where people naturally help each other when someone is struggling, or where relationships extend into private life.

Each business has a suitable cultural framework, and this framework influences priorities like "how resources are allocated" and "employee retention."

When problems arise in business advancement, examine these four perspectives to identify bottlenecks. Then prioritize the bottleneck elements and devise solutions one by one.

Note that implementing this verification may, in a sense, require dissecting the service's operations themselves. To avoid causing conflict, it's crucial to proceed cautiously— —and conduct hearings and discussions using as constructive language as possible, rather than immediately raising it as a broad agenda item.

Key Considerations for Resource Hacking

Rather than introducing solutions as a quick fix when business growth stalls, it's often more effective to look at the underlying issues within the team and discover the root problems.

The resource hack approach introduced here, tackling issues from two directions, is a methodology I actively employ when driving business initiatives.

I recommend considering both approaches: "We want to optimize resources, but there seem to be bottlenecks first, so let's examine four perspectives" or "We've identified potential bottlenecks, but fundamentally solving them seems better started with resource optimization."

Issues uncovered by resource hacks—such as resource allocation or bottlenecks within the team environment—can sometimes be uncomfortable truths for business owners or team members to hear, or difficult to share openly within the team.

However, it's crucial for the team to unite, confront these issues head-on, visualize risks and losses, and methodically address them. Also, foster a team culture where members feel comfortable voicing concerns when something feels off.

If speaking up is particularly difficult, consider having someone with an overview of the business—such as an investor, auditor, or overseeing executive—point out potential issues.

Problems that hinder business progress aren't something you solve once and forget; they can resurface with changes in business scale or even minor internal or external shifts. To make your business and services more sustainable economic activities, please consider using the resource hacks introduced here as a reference.