You are a martial arts master; youâ€™re also a teacher, manager, and over-all boss. You wake up early in the morning, prepare your school, teach class, and make sure things run smoothly even after everybody is gone. Yes, youâ€™re very busy, but donâ€™t let that fact ruin your schoolâ€™s long term plans.
Just think for one second where your school is headed. Is it going to stay the same after 10 years? Will you still have the same classes and number of students? A lot of people neglect forecasting, but this is one of the most important activities that a good master/businessman should possess.
Expanding and growing should be some of your priorities because why not? Shoot for the stars right? But I do get some masters who want to stay small and compact forever, who could blame them? But what these people donâ€™t understand is that forecasting doesnâ€™t only promote growth, it also streamlines your martial arts school. If you donâ€™t know how to forecast, then here are some tipsâ€¦
Stay at the Present
Before you go out, meditate, and try to predict the future, letâ€™s look at some of your schoolâ€™s numbers. You need some of these vital information to know where you school stands today:
-Â Â Â Â Â Â Â Â Â Variable Expenses
-Â Â Â Â Â Â Â Â Â Fixed Expenses
-Â Â Â Â Â Â Â Â Â Interest Rates
-Â Â Â Â Â Â Â Â Â Gross Margin, Operating Profit Margin
-Â Â Â Â Â Â Â Â Â Revenue
Think of Different Scenarios
It will be foolish for people to think that there is only one outcome. Iâ€™m not saying that the â€œfailure is not an optionâ€ mentality is bad, what Iâ€™m trying to say is that if you do fail, you need a plan B. Now if youâ€™re thinking of expanding or streamlining your school, tweak some variables where you think it will have a positive effect. If you lower you prices for memberships, will it be better? Will it increase the number of students? If you increase your staff, will it bring in more business? If you allocate more money on advertising and marketing, what effect will it produce? Donâ€™t just focus on one variable, think of different scenarios and try to figure out the various effects it may have on your business.
Then, if you at least thought about the outcome, check your past records. See what changes youâ€™ve made and the effects that theyâ€™ve produced. For example, 2 years ago youâ€™ve put more money on marketing and ads and youâ€™ve seen a 10% increase in enrollees. The past tells us that when you put more money on these things, the number of students rises. Compare your previous actions to the things you want to do in the future. If theyâ€™ve worked before, consider doing them again.
Seek the Opinions of Others
This will be a good chance to hear your staffâ€™s suggestions. Every idea is welcome. Put some ideas that are good and list the pros and cons. Choose the top 3 and see how it goes.
Forecasting is not just for expanding and making your school global. If you see some of your operations that are doing well then you can fortify them and make them more profitable. If youâ€™ve noticed that some of your past judgments isnâ€™t working out and wonâ€™t work out in the future, shut it down. After youâ€™ve done these, your martial arts school will be better than ever. Good luck!