A client who runs a family-owned business recently told me why he had just wrapped up a process of creating SOPs, or Standard Operating Procedures. He had seen how a competitor recently folded after its owner died suddenly. This is the risk when owners are the glue that hold it all together and nothing is captured as an SOP.
My client became determined not to let this happen to him.
I understand his situation. Small businesses often perceive SOPs as mundane documentation—a set of instructions to ensure smooth operations.
But I’m here to challenge that thinking.
What if these very procedures held the keys to creating compelling intellectual property (IP) and establishing industry thought leadership?
While large organizations have vast resources to codify their expertise, smaller businesses have a unique advantage: agility. For companies that have yet to build robust SOPs, there’s an unprecedented opportunity to codify your operations and develop thought leadership at the same time.
Turning Day-To-Day Processes Into IP
For many small businesses, SOPs capture the day-to-day expertise of their teams. These procedures—how a product is made, a service is delivered, or a problem is solved—are often steeped in insights that could benefit other clients. By formalizing SOPs, small companies not only streamline operations but also uncover raw material for frameworks, methodologies, and unique insights that can be transformed into thought leadership.
Take, for instance, a hypothetical boutique consulting firm that develops a highly effective process for onboarding clients. As the firm documents this process through an SOP, it realizes the methodology addresses a universal pain point. By expanding this into a broader framework and publishing it as a white paper, they position themselves as innovators, attracting attention from prospective clients and competitors alike.
Why Smaller Companies Have The Edge
Large companies often have entrenched processes, making it harder to revisit and rethink their SOPs with a fresh perspective. In contrast, smaller firms—especially those in growth mode—can align the creation of SOPs with thought leadership goals from the start.
This dual-purpose approach allows small businesses to:
1. Codify expertise: Transform tacit knowledge into explicit processes that can be scaled.
2. Identify proprietary methodologies: Spot unique approaches or ideas that differentiate the business.
3. Package insights for external use: Develop frameworks, case studies, or how-to guides that showcase their expertise.
The Link Between Innovation And SOP Capture
The process of creating and refining SOPs can itself foster a culture of innovation within small businesses. Encourage employees at all levels to contribute ideas and insights during SOP development. This collaborative approach not only improves operational efficiency but also uncovers potential areas for thought leadership.
Regular brainstorming sessions or workshops centered around SOP improvement can become fertile ground for generating unique perspectives and methodologies that set your business apart.
How To Begin: A Three-Step Approach
1. Review and Reflect. Start by examining existing SOPs. Ask: What makes this process unique? Is it solving a problem others face? Could it be applied across industries?
2. Collaborate and Conceptualize. Involve cross-functional teams to identify the “why” behind the “how.” Use brainstorming sessions to tease out potential frameworks or methodologies that could become the basis for thought leadership.
3. Publish and Promote. Once a framework or methodology is formalized, package it into accessible formats—articles, infographics, or case studies—and share it across relevant channels.
The Payoff: Visibility, Credibility, and Growth
When small businesses take the dual approach of developing SOPs while mining them for IP, they don’t just operationalize their expertise—they have the chance to amplify it through publication. By harvesting thought leadership from the DNA of their SOPs, they can punch well above their weight and become voices of authority in their industries.
In the race to stand out, your SOPs might just be your most overlooked, valuable asset.