Three Questions You Should Always Be Asking

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How many times a day do you find yourself answering questions?

Whether it’s responding to a customer request, clarifying the organization’s strategy, or addressing employee questions during a meeting, the typical business owner spends most of their time on the “A” side of Q&A.

Now let’s flip the script. How many times a day do you ask questions?

You might have to think harder for his one. After all, entrepreneurs are expected to have all the answers. This is one reason why it can feel so lonely at the top. However, the questioning business owner has a big advantage; an inquisitive mindset can pay big dividends, especially when it comes to...

• Getting timely and accurate information
• Challenging assumptions and conventional wisdom
• Connecting with your people

As this article points out, asking the right questions helps you dig deeper into three key areas of your business: plans and projects, your overall organization, and your own habits and assumptions.

With this in mind, let’s look at three questions that are especially useful. By constantly asking them of yourself (and your people), you’ll help to keep your business headed in the right direction:

Question 1: Does this support our strategy?

This question is like a 300-pound bouncer guarding the entrance to your business. Before being seriously considered, any proposed idea must first meet with the bouncer’s approval. Suggestions that don’t pass muster are kicked to the curb. This is an easy and effective way to filter out the poor-fit ideas, focusing only on those that keep your business moving forward.

Let’s say, for example, that one of your senior product managers proposes a plan. “To move forward in today’s challenging marketplace,” she says, “we’ll position ourselves as the low-cost leader.”

Is her suggestion a good idea? It might sound good on paper; you could beat your competition on price and gain more market share. But unless it supports your strategy – keeping you on track to meet your long-term goals – it’s probably a non-starter. For instance, the low-cost approach could actually hurt your business if your strategy centers on serving a customer group that prefers higher quality over lower price. Alienated by the perception that your product or service is now a cheap commodity, they might be inclined to turn to one of your competitors.

With your trusty strategic bouncer at the door, these sort of poor-fit ideas will be turned away without wasting as much time, energy, and talent.

Question 2: Does this help us meet our customers’ needs and wants?

This is another question that separates the wheat from the chaff. It can serve as a constant reminder to analyze and truly understand what your customers want or need, which could help you avoid being blinded by other motivations, such as the desire to boost revenue or sales.

Consider the recent decision by Netflix to increase its prices. The company figured that raising rates would bring in more revenue, but didn’t count on customers abandoning the movie service in droves. After hemorrhaging subscribers, they’ve decided to restructure and split off their DVD-by-mail business into a separate division. Time will tell whether this move can help them regain their prior momentum.

In hindsight, Netflix could’ve spared itself the pain of this stop-and-start move by asking how the rate hike would impact its target customers. Their lesson is clear: careful analysis and consideration before a big decision can help you avoid making a mistake that costs you time, money, and resources.

Question 3: Is this clearly communicated?

Effective communication is the glue that binds any professionally managed organization. Imagine, for example, that you’ve just made some tweaks to your strategy; in response to changes in the marketplace, you’re pulling out of a market segment.

Without a clear explanation for this decision, your people might assume that the move is a sign that the company is in trouble – or even worse, that their jobs are at risk. By clearly communicating the reasons for your decision, along with your plan for moving forward, you’d nip that uncertainty and ambiguity in the bud.

This question is just as crucial when it comes to communicating with your customers (and potential customers). Marketing efforts are far more effective when you clearly explain who you are, and how you help your customers. Clarity and consistency in your communications can help you forge deeper, longer-lasting relationships. It’s also worth noting that the same principles apply to one-on-one interactions with your clients – for instance, when they call you with a question or request.

• We’ve just seen the power of asking simple but meaningful questions. Here are five more useful questions, touching on everything from potential customers, to possible threats, to the future of your business.
• So how can you ensure that you’re always asking the right questions? Here are some helpful suggestions.

• Create a checklist of important questions, such as the ones we’ve outlined above. Then, before making any significant decisions, work your way down that list. This can keep you focused and ensure that you give each of these questions due consideration – even in the heat of the moment, when the pressure is on and you don’t have the luxury of taking as much time as you’d like.