Far too many smaller owner-managed companies are unable to grow sustainably and generate the wealth and prosperity they are capable of because of a fear of delegation.
That’s because delegation for many owner-managers implies loss of control. Yet effective delegation is the only way to develop an organisation which will allow successful long term growth, acquisition, succession planning or business sale.
That’s not surprising, but there is a staggering lack of understanding of the way in which delegation can be introduced that all staff and employees will trust and which can rapidly liberate efficiency gains, improved profits, clearer strategic vision, and create a better balanced, more resilient business.
Establishing a system of delegated authority should not require any ‘leap of faith’. If it’s a structure built entirely on the rigorous application of logic, detail and common sense where clear responsibilities are aligned with ability, with clear lines of reporting, and comprehensive financial and management information on all activities, there is no fear or loss of control.
Those of us that have been through this process never look back.
For those who have not, early 2015 looks like a good time to start.
Richard Wright is a director of Prepare To Sell Ltd which helps companies re-engineer their businesses to deliver sustainable profitable growth, successful growth by acquisition, MBI, succession planning, business sale or MBO.