By Doug Winnie
A manager manages resources while a leader leads people. Have you heard that saying? Running a business means you get to be the leader. You have the opportunity to lead your people into battle every day. And, with great inspiration, positive motivation and a clear vision, you can expect and are likely to get great results.
Mr. John Maxwell said during an interview, “Leadership is getting people to do what you don’t want to do.” Later in the interview he explained, it is getting people to do what needs to be done and you are not the right person to do it.
Leadership is a must for the 1-person office up to the multi-thousand person organization. We must become great leaders for our business to grow. Does that mean that management or the word manager is something to throw out? Of course it doesn’t. We have to manage, or have managers to manage the day-to-day operations and keep track of the key performance indicators (KPIs.) Managers need to manage people as not everyone is self-managed.
Wow, what a thought, everyone is self-managed. Imagine that you’d only employ those who are entirely self-managed. That would probably be the number one request for business owners; all their staff is self-managed. Maybe your team is well-managed and many are self-managed. Yet, some just don’t know how to be self-managed. They have yet to acquire that skill. Maybe no one has tried to teach them this skill. Would this be something the manager would like to teach their team; “How to Become Self-Managed”, classes at 9 A.M. I wonder who would attend that class. Probably not many, as most would not admit they are not self-managed. If during an interview, the prospect said they were not self-managed, they would likely not get the job. Thus the manager needs to figure out ways to help everyone become self-managed.
So, what does self-management look like? One example is the world’s largest tomato processor, Morning Star Co. in California. This company is a shining example of strong profits, great growth, amazingly low employee turnover, and stunning innovation. Leading Morning Star’s list of innovation is Self-Management.
In the recent Forbes article, Morning Star’s Self-Management Program is described as; “No one at the company has a boss. Employees negotiate and set individual responsibilities with their fellow workers. Everyone can spend the privately held company’s money without budgetary constraints. Nobody carries a title, and there are no promotions. Compensation at the largest tomato processor on the planet is peer-based.” Stunned and intrigued? Here’s the link to the whole article: http://www.forbes.com/sites/drucker/2012/09/25/self-management-a-great-idea/
Possibly Morning Star is a little too “out there” for most companies. The question still remains, how to promote self-management within the organization? As with most innovation, leading from the top is an effective place to start. So, here are some rules for self-management:
- Honor your word. Keep the promises you make.
Generate trust by being willing to be trustworthy first and foremost.
Increase productivity by creating good work habits and rejecting bad ones.
Be self-disciplined; that’s what grown-ups do.
Have a good work ethic; be willing to do what it takes.
Manners still count; be courteous, thoughtful, and respectful.
KPIs are certainly one great way to be sure everyone is self-accountable. If each team member was to post on a white board their KPIs for the day, they would likely become self-accountable, and hopefully, self-managed. The manager will still need to create appropriate KPIs, or at least, confirm the ones the team created are appropriate (and attainable.) Sometimes, when left to our own devices, we create nearly impossible KPIs to reach, and when not reached, we may kick ourselves too much and begin to fall in a downward spiral.
Follow the SMART criteria to create appropriate KPIs. The KPI has a Specific purpose for the business; it is Measurable; to really get value from the KPI, the defined norms have to be Achievable; the improvement of a KPI has to be Results Oriented to the success of the organization; and finally it must be Time phased, which means the value or outcomes are shown for a predefined and relevant period.
Leadership and management are both required skill sets, and until the roles are split, the leader must be the manager (and visa versa.) Until your team reaches about 8 people, the leader will also be the manager. Once the staff count reaches about 8 people, you’ll need to become or find a leader. Then manage or lead as you decide where your greatest skills align and how best you will grow your team and your business to reach your dreams and aspirations.
Making the choice between managing and leading your business can be difficult. To improve the bottom-line, you must have both in every business. Let’s use the ratio of 80:20. Initially, more management is needed; say 80% management, 20% leadership. Then, as the business grows with more team members, it switches to 80% leadership and 20% management.
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For more education and motivation regarding this and other topics relating to accelerating business success, contact Doug Winnie at 713-936-3814, dougwinnie@actioncoach.com , or at www.BusinessAsATool.com . As an Executive and Master Business Coach, Doug offers complimentary coaching sessions and monthly workshops so everyone can become more successful in less time.
