Name one thing that larger business do better than small businesses?

Almost all business news focused on publicly traded companies, ends up talking about how they are forced to look at short quarterly cycles, and that this charge to quarterly earnings has negative consequences.  Frankly, the framing of this issue by the business media is a disservice to both businesses and the public and, what is more…. It is not an full reflection of what is happening. 

When I have talked with executives of larger companies, especially CEOs, they frame their focus on managing perceptions around quarterly earnings.  They are more concerned about staying the course on longer range plans. 

This may be a subtle difference to most of us and it is one that is profound.  Fleshed out, this means that the large company CEO believe their value to their companies is to set and maintain a long range course. 

Stay with me here…. This means that when plans are set, they are focused on letting the plan play out, rather than being reactive.  They know that to stay on course, they have to have most of their team and employees focused on executing the plan (not on managing quarterly earnings). 

There my friends is where smaller businesses are different.  Often, the CEO/Owner/Executive Team switch back and forth from tactical to longer range plans and too often, end up in the weeds and being reactive.  One of the places that hurts a smaller business and is too often neglected is in the CEO either focusing on shiny objects (whatever is in front of them) OR in letting others undermine a course that they have set. 

So, what can a small business owner/CEO do to not get sucked in to detail, where they are likely to be reactive?  Am I suggesting that a small business owner should not pay attention to cash flow , accounts receivable and the weekly/daily activities? 

What I have found and what I recommend is that you balance and separate.  First, balance how much time you spend on day to day with focusing on what will get your company to achieve its next set of goals.  At the same time, figure out what makes sense for you and your company…. How many hours spent on tactical and how many on longer range execution. 

There are a number of ways you can separate short term from long term.  First, make arbitrary separations.  Make sure you never mix agendas for your meetings.  I even went to the extra effort of having a break between tactical and longer term meetings. 

Next, ask yourself and your staff to always ask the question (I mean out loud): Are we being reactive?  Is this something that needs to play out because we have a plan or is “it” side-tracking us? 

I’ll bet you have some strategies and tools you use to separate and balance.  What are your strategies or suggestions?