Monday, May 4, 2009

A business? Really?

Around Lyric these days you'll often hear people say that we should run our organization "more like a real business", or words to that effect. I've also heard that some other Lyric folks are alarmed that this will mean the end of the friendly atmosphere that's always been one of the company's most attractive characteristics.

I can only tell you that the ways in which I think we ought to run more like a business have nothing to do with any change that needs to kill that cherished atmosphere.

For instance, I think we ought to improve our internal financial controls so that we understand exactly where we are versus our budget, every day of the year. No surprises should ever strike us again.

I think we should test everything we do in Marketing against this simple standard: does it make money for us? Does it at least pay for itself? Right now, we can't measure things well enough to answer that question. Real businesses -- OK, successful real businesses -- don't spend money on any marketing technique without being able to measure its effectiveness.

I think we should be constantly asking our most loyal members, performers, volunteers, and donors what will keep them coming back in the future -- and then do those things.

I also think we need much clearer job descriptions, much clearer expectations for every Lyric functional area, and a much more detailed statement of our purpose as a theater company -- one that can guide and inspire us, and bring us back on course when we've strayed.

So when I think of Lyric operating more "like a business", the common thread for me is only this: as much as we can, let's incorporate all the smart things that good for-profit businesses do in order to thrive. Let's learn to do each job so well, so professionally, that we'll leave people saying, "You do this with an all-volunteer organization? No way!"

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