SME Governance Summarized and Expressed in a Single Number
SME Governance Summarized and Expressed in a Single Number
2 min. leestijd

SME Governance Summarized and Expressed in a Single Number

For most small and medium-sized enterprises (SMEs), governance is something far away. In other words, measures of good governance are not yet part of daily practice. Particularly explosive growth and/or external demands, for example from an external financier, have changed this to date. Especially to make the likelihood and impact of risks manageable. Oddly enough, because fundamentally every entrepreneur wants to be successful and certainly not fail. Thus, corporate governance aimed at SMEs is actually relevant for every entrepreneur: it is about having control over realizing entrepreneurial ambition. And there's quite a lot involved. Therefore, we will be paying ample attention to this unexplored area in the world of the entrepreneur in the coming period.

Today, Route ICR shares the third article from the series 'How to practically implement SME governance'.

SME Governance Summarized and Expressed in a Single Number

Amsterdam, August 11, 2021 - Entrepreneurship is simple. But the hardest thing there is to do is to run a business simply. But why is that? Let's talk about this in the coming period. And also look at how this problem can be solved. Today, Route ICR shares the third article from the series 'How to practically implement SME governance'.

Everything in your organization is interconnected. Actions or decisions in one process almost always impact performance in one or more other processes. That's exactly why it's so important to work from an integrated management approach. All-encompassing and interrelated, as a basis for focus in your business.

The ICR and Five Growth Circles for Structure and Focus

Structure helps to steer towards the goals to be achieved and to be in control. Focus helps to continually improve as an entrepreneur, team, and organization. So that you deliver top performances, achieve set goals, and ultimately realize your entrepreneurial ambition. To maintain focus, the performances within your organization must be transparent and measurable.

That's why we introduce the ICR (= InControlRating) to provide structure. With COSO ERM as a source of inspiration, the ICR is derived from the five growth circles: Multi-year, Daily Business, Measuring is Knowing, Compliance, and Care. Essentially, these form the foundation of your company's growth process. Because to achieve your goals, you need to keep growing continuously. Growth here represents progress, both in terms of getting better and becoming larger.

Insight into Where You Are and Where You Want to Go

Working from your company's ICR makes goal-oriented entrepreneurship much more manageable. And simpler. This way, you manage the process of going from ambition to result. SMB governance summarized and expressed in a single number. Because the ICR provides insight into the extent to which you are in control of this process. And what you need to do to improve this process. From the five growth circles, you ultimately manage 33 ICR objectives. An objective is nothing more than a long-term goal that your organization strives for. And with these objectives, you actually get to work. Goal-oriented entrepreneurship, together with your team!

Grading System

Working with grades for the 33 objectives makes the approach understandable. Thus, it's executable for everyone. The grades also provide overview and insight. Because on a single A4 sheet, it's clear where the bottlenecks are that need to be addressed first. The higher the grade of an objective, the better it contributes to your company's ICR. As a company, you aim for ICR 1 because the chance of successful entrepreneurship is greatest. So, implementing SME governance in practice doesn't have to be that complicated!

Over de schrijver
Entrepreneurs take risks and are incredibly important for our economy. Unfortunately, a good balance between work and private life is often lacking. It is precisely this that drives Paul Joore to have a positive impact on the lives of entrepreneurs and contribute to their success. Paul is the ambitious founder of the online Route ICR platform for successful entrepreneurship. He is also the author of the entrepreneurship book ‘Succesvol groeien doe je zo!’ (Successful Growth, How to Do It!). "I believe in setting seemingly unattainable goals. Challenging oneself, innovating, and constantly improving. Supported by a well-structured organization." Paul has tens of thousands of flight hours in the business world, with a background as an entrepreneur, coach, interim manager, and former chartered accountant. Always focusing on realizing challenging goals as effectively and efficiently as possible: in other words, being successful through being inControl, in the entire process from true ambition to result. This only works by thinking, planning, and acting from a goal-oriented structure. In the SME sector, there was a lack of knowledge and experience in this area, and well-thought-out solutions were not available. Therefore, Paul decided to create this himself. In many SME businesses, the 'madness of the day' reigns. As a result, entrepreneurs are not inControl when it comes to achieving goals, let alone challenging ones. Therefore, they also do not realize their true ambition. Worse, for many, this ambition is not even crystal clear. And how can you work towards a goal without having a real one? Logically, there can also be no balance between work and private life. And no balance means no rest. So, the Route ICR web app helps entrepreneurs and teams to be inControl in the entire process from ambition to result. With the ICR "InControlRating" of your business as a growth compass. Very clear and handy to know through one number how your business is and will be doing. So you know whether you will achieve your goals and be successful from this starting point. And if the score is disappointing, you also know what to work on to improve. This way, you gradually work towards a better balance in your life, feel good about yourself, and have a positive mindset! Are you curious? You too can experience the Route ICR web app for 14 days free of charge, without obligations!
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