B-I Triangle: A lesson from Robert Kiyosaki

Have you ever heard of B-I triangle? This is a grahic created by "rich dad" of Mr Robert Kiyosaki as the key of sucessful business. Do not know who is Robert Kiyosaki? Feel free to visit his website. After reading his few books, I think the triangle is best used to illustrate the most important elements of one business (sorry that I do not have the copy of the triangle here). There are 7 major elements within the triangle:-

Outer elements surrounding the triangle which is the frame of the triangle (I would say is the basis of the creation of a business):-

1) Team - you must have a strong team members to complete different tasks in order to run a business.

2) Leadership - you must have good leader to drive the company to successful path. He/she is the who who responsible to communicate the goal to the team members, make correct decision for the company and know how to solve a problem / make instant decision when something happen.

3) Mission - it is the true purpose of a company, if you do not have a mission for a company, don't start the business.

Elements within the triangle (those are elements that determine whether a business is successful or not):-

1) Product - no need to say, this is what you intend to sell to your customer. It can bea tangible thing or intangible service. This element covers how you manufacture the product until the pricing of the product.

2) Legal - this element deals with with license to operate a business, trade mark, copy right, etc. Robert Kiyosaki described this as an important element. If you fail to notice or pay attention to this element, it may be an expensive experience to you. For example, your product may be copied by other companies OR you may have manufactured something prohibited by the law which causes the closure of your company . A lawyer can be employed to take care this element for a business.

3) System - this indicates how your company operates. All the system should be clearly defined and workable. It is recommended to have a office manuals for all the departments clearly define the responsibility and authority of each departments.

System can also means systems for pricing a product, invoicing, manufacturing, delivery, etc.

4) Communications - this refers to how ideas / decision / mission can be transmitted to others. This is the main role of leader of the company. For a successful business, a good communicator is a must.

5) Cash flow - the is important for a business as that determines whether or not a business can be continued. Financial statement should be produced and reviewed from time to time to identify any financial crisis for the company. An accountant is important to make sure the element is taken care of.

Wish to know more details? You can buy Robert Kiyosaki's books at his website.