Ideas are easy. It’s the execution of ideas that really separates the sheep from the goats
- Sue Grafton
Business owners that start new ventures know how important execution is. They know that most executed ideas end up being hits or misses more often than not. According to a research paper from the Harvard Business School over 75% of all startups fail. Entrepreneurial ventures might start off with great ideas; but some startups don’t realize that those same ideas are useless no matter how unique they happen to be. Here are other reasons why execution matters when it comes to starting or growing a business –
The Value of Execution
Knowledge might be power, but it is the execution of that knowledge that really matters especially when it comes to business. After all, established brands lead the pack because they had what it took to take their ideas to the next level.
MJ Demarco explains this brilliantly in his The Millionaire Fastlane in which he explains the value of ideas and their execution according to dollar values. Let’s say that an entrepreneur has a range of ideas for growing his business. According to Demarco, a brilliant idea is worth $200 while a bad idea can be worth $1. However, an awful idea can be worth $10 million if it is executed brilliantly. On the other hand, a good idea that is worth $200 will have no more value than it already does if it is poorly executed.
Let’s explains this with a real life example. You decide to design an app as an MVP (Minimum Viable Product) and plan to test it out. The idea itself is unique and is sure to attract more customers to your hotel chain especially since it will allow them to book rooms online. The only problem is that you don’t know how to make sure that your target audience uses the app. And if your audience cannot use it, you don’t make any money.
Good execution guarantees results; period. Once you are used to being bold in this regard, you improve your own skills as well or find new ways to grow your idea more. If an idea doesn’t give you the results it is supposed to, it is time to think of a new one and initiate it in new ways.
Prepare to Fail
Failure is a great teacher. Unfortunately, most entrepreneurs tend to throw in the towel after their first one. A fear of failure often makes people freeze in their tracks. As a result, they don’t see their visions through to the end, no matter how good those visions are.
Keep in mind; if you are not prepared to fail, you risk stunting your business’s growth. People learn from their mistakes and business owners should be no different. Just because you failed to execute an idea effectively before doesn’t mean that you give up. Go back to square one if you have to. But remember to focus more attention on executing your idea than harboring the notion of the idea itself.