Once your start-up business has turned into a more established presence different pressures will affect the way you work and the way you use your resources. You will need to know where you stand with respect to both your market and your competitors and ensure you stay ahead of both. A steady stream of work to maintain the practice will become more important, as will the need to protect the investment that you have all made in building up the practice to this point.
As your new practice emerges from the early, sometimes painful, setup stage and begins to consolidate its position in the market, you will gradually need to take a different approach to running the business. Habits, good and bad, will have taken root, commitments will have been made and a track record will have built you a reputation among clients and others. You may still view the practice as young, up-and-coming and thrusting, and that view may stay with you for ever, but you also need to build on the work that has been achieved and to break free of any early typecasting that may be restricting your growth.
The problems of running an established business are different from those involved in setting one up. Keeping a steady workflow and ensuring that the monthly billing target is achieved become matters of much more importance. There is greater complexity, with jobs now at very different stages and needing varying degrees of attention, more management effort is required and you suddenly have new competitors coming up on the inside track.
No one wants the practice to become stuck in its ways. It needs to maintain the vigour of its earliest period, to stay up to date and be able to reinvent itself, as and when necessary, to improve its competitiveness for both clients and staff. At the same time, the appetite for the long hours and late nights may have dimmed, and you will want and need to achieve a better work–life balance.
Find out how you measure up as a practice in comparison with other businesses – your peers and competition. Benchmarking has now become a standard business tool to help companies assess their performance against a series of measures and to compare the results with other anonymous firms, both in their business sector and beyond. It can be used as a DIY tool, using your own chosen criteria, or as a formal process that will provide standardised results.
The RIBA provides a benchmarking service as part of its Chartered Practice Scheme (www.architecture.com) and a bespoke benchmarking service, aimed specifically at architectural practices, is available from Colander (www.colander.co.uk). There are also many other, less architect-specific, benchmarking services available.
Benchmarking
Benchmark assessment topics can include:
Periodically and regularly review the development of the practice, allowing for specific time-outs with partners or directors and discussions with staff, clients, advisers and fellow consultants. Check against the original vision and practice objectives and take corrective action as necessary.
Take stock of what you and the practice know. This guide has emphasised the desirability of capturing your knowledge as it is learnt and developed. Consider whether you are using this knowledge effectively and how it might serve you better. If appropriate, formalise and develop the office procedures into a more effective tool, possibly in the form of an office manual or as part of your quality management system (QMS).
An office manual should be as comprehensive and up-to-date as is reasonable, as well as being easy to navigate and accessible for a newcomer to the practice. The manual should give a clear understanding of the practice approach and means of dealing with a wide range of situations. The QMS will amplify this and provide greater detail and depth. A single person in the office should have responsibility for both the manual and the QMS. See overleaf for possible outline contents of an office manual.
Office manual
The outline contents of an office manual might include:
You may want to take this process further and achieve a recognised quality management system standard. The best known of these standards is the ISO (International Standards Organization) 9000 series, which includes ISO 9001:2008 certification, administered by the British Standards Institute (see www.bsi-global.com). Also known as quality accreditation or quality assurance (both QA), such standards are intended to help you to:
Certification may not necessarily improve the quality of your product or the service you give to your clients. However, you may find that many clients, especially those from the public sector, will require their suppliers and consultants to have ISO 9001 certification and so you might lose business and business opportunities if you do not obtain it.
If you choose to become an RIBA Chartered Practice you will be required to operate a QMS of an appropriate size although full accreditation is possible for both medium and small practices.
If you do intend to seek certification you are well advised to seek assistance from an external specialist consultant in order to develop your quality management system fully in advance. Achieving certification requires assessment and approval from a recognised accredited certification body, payment of fees for certification assessments, occasional surveillance visits thereafter and annual registration. It does not come cheap, but it may prove necessary and worthwhile.
After several years of practice, the workload should have matured too. Ideally, you will have fewer small awkward projects that struggle to be profitable and a greater proportion of larger and possibly more challenging jobs. You may have successfully obtained a regular flow of work from mainstream clients and such work will have brought with it more established staffing and resourcing patterns.
Assess your workload to see if it is providing:
With more of a track record and greater experience, marketing the practice and bringing in work should become more straightforward – but you may also find that more depends on you maintaining that workflow. There will be a constant need for a stream of new work to replace that currently underway in the office, and as the moment requiring the greatest effort to achieve this will be when the practice is at its busiest, there may never be any time to let up.
As the workload shifts, so will the need to ensure that the practice maintains the right skills to attract new work and to carry it out. New skills will be required, following changes in the market, developments in ideas, products and technology and simply as part of keeping up to date. Some of these skills can be developed among existing staff as part of training and CPD, others may require recruitment of new personnel.
The practice will need to keep track of the range of skills it requires and can develop or afford. Action will be required to maintain and achieve the right mixture and level of skills, experience and enthusiasm if the practice is to stay on top of its game.
The practice may also wish to take on students as part of the staff mix. This will involve commitment to providing training and experience as well as work and pay. In turn the practice may gain considerably from the recent training, curiosity and freshness that a student can bring. The RIBA has published guidance on employing students, including model contracts, which is available from its Professional Education and Development Resource website (www.pedr.co.uk).
Disaster may also strike, and in many different ways. Some disasters may be so extreme that recovery from them will only be worked out at the time. However, many potentially catastrophic events happen on a regular basis to all sorts of businesses and are largely predictable. Such events can and should be planned for, as well as insured against.
However it may seem at the time, there is a life beyond architecture and the making of buildings. Around any company there is a wider community of people – friends, relatives and dependants – who need attention as much as the people in the office. Ensure they are all treated with consideration and imagination.
Allow for adequate holidays and time off for sickness or for family matters, and allow the greater richness of the world beyond the office to fully inform the way you run your practice.
Checklist