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Developing your management team

Wednesday, August 26th, 2015

One of the many differences between a small business and one that is growing into a medium-sized one is the collective nature of responsibility at the top level.

In a small business the owner takes all the major decisions.  Employees with the title of “manager” or even “director” do not see it as their role to question the leader – he or she owns the business after all.  The leader is expected by others to have all the answers – and probably sees that as their function themselves.  Employees may not have the information or skills to contribute much to decision-making anyway.

This is a pretty fundamental barrier to growing beyond a certain size – that is, the size where the owner is able to know and control everything.

Contrast this with larger businesses – those businesses that have broken through the owner-manager barrier.  Here, there is a group of people tasked with running the business; the Board, or the Exec Team, or the Management Team.   The owner still leads the team and the business but his or her focus has changed to one of direction-setting, facilitation and coaching rather than decision-making and doing.

The people on the team may been hired as the business grew but often they have grown with the business – so they are the same people who didn’t know much about managing a business a few years before.

The question is why and how do some businesses make this transition whilst the majority never do?

If you’d like to find out the answers to this question come to our event “Developing Your Management Team“.

 

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