5.01 – Delegating: Your New Favourite Tool
As your business grows, its success hinges not just on your efforts but on the combined efforts of your employees. While it might be possible to manage a small team single-handedly, trying to control everything when you have many employees is impractical and counterproductive. Effective delegation is essential to prevent micromanagement, ensure employees take responsibility for their work, and maintain high morale. Here’s how to make delegation your most effective management tool.
Delegating: The Manager’s Best Tool
Being a successful business owner requires a multitude of skills, from technical and analytical abilities to organisational prowess. However, the most crucial skill is the ability to manage people effectively, and central to that is the ability to delegate.
Delegating tasks is the number one management tool, and the inability to delegate well is often the leading cause of management failure. Understanding why delegation is challenging can help overcome these barriers:
- Lack of Time: Feeling too busy to delegate properly.
- Trust Issues: Doubting employees’ ability to complete tasks correctly or on time.
- Fear of Letting Go: Hesitating to relinquish control.
- Need for Recognition: Worrying about not being the centre of attention.
- Resource Shortage: Believing there’s no one to delegate to.
- Lack of Knowledge: Not knowing how to delegate effectively.
The Importance of Delegation
Here’s why letting go of these preconceptions and starting to delegate is crucial:
- Success Depends on It: Successful business owners manage team members who have specific responsibilities, leading to greater overall success.
- Inability to Do It All: Shouldering the entire burden is unsustainable and unhealthy. Delegation allows you to focus on high-level tasks.
- Focus on Your Role: Concentrate on tasks only you can do and let your staff handle the rest.
- Employee Engagement: Delegation increases employee involvement and responsibility, making them vital to the business’s success.
- Employee Development: Delegating tasks helps employees develop their skills and initiative, ensuring they are prepared to take on more in the future.
Sorting Out What to Delegate and What to Do Yourself
As a business owner, identifying which tasks to delegate and which to retain is crucial. Here’s a guide to help you decide:
Tasks to Delegate
- Routine and Repetitive Tasks: These include administrative duties, data entry, and customer service inquiries.
- Tasks with Clear Procedures: If there are established procedures for completing a task, it’s a good candidate for delegation.
- Tasks That Develop Employees’ Skills: Delegate tasks that challenge your employees and help them grow professionally.
Tasks to Retain
- Strategic Planning: High-level planning and decision-making should remain your responsibility.
- Performance Evaluations: Assessing employees’ performance and providing feedback is best done by you.
- Sensitive Financial Matters: Handling sensitive financial tasks, such as budgeting and major financial decisions, should be your domain
Making Delegation Work
To delegate effectively, follow these steps:
- Assign Responsibility: Clearly define the tasks and the expected outcomes.
- Grant Authority: Ensure employees have the authority and resources needed to complete the tasks.
- Monitor Progress: Keep track of progress without micromanaging. Offer support and feedback as needed.
- Evaluate and Adjust: After task completion, evaluate the results and provide constructive feedback. Adjust your delegation approach based on what you learn.
Example: Delegation in Action
Consider a healthcare consulting firm that has grown significantly. Initially, the owner managed all tasks, from billing to payroll. As the firm expanded to 20 employees and $3 million in sales, it became impossible for the owner to handle everything. By delegating specific tasks like accounts payable, accounts receivable, and payroll to specialised employees, the owner could focus on higher-level responsibilities like strategic planning and performance evaluations.
Each employee now handles tasks they are uniquely skilled at, allowing the business to run more efficiently and effectively. This approach not only leverages the strengths of the employees but also ensures the owner can focus on critical tasks that drive the business forward.
By mastering the art of delegation, you can enhance your effectiveness as a manager, improve employee engagement, and drive your business to greater success.
