Henry Ford, despite his success with the assembly line at Ford Motor Company, made a mistake that many business owners still make today.
He didn’t delegate.
Most business owners delegate at least a little. Not Ford.
According to Peter Drucker, the senior Ford didn’t believe in delegation or floor management and it cost him plenty. Fortunately, he had the funds to backup what is now commonly considered a sizable error in judgment thanks to the benefit of a century of hindsight.
Ford’s son, Henry II, felt differently about the delegation of management. He believed that having management on the factory floor was critical. That decision was one of the keys to turning their family business around from a financially perspective.
Delegation is Efficient, Strategic
Ford II understood that leadership had a place in the assembly line factory floor back then as much as it does now in any business that has employees.
He discovered that empowering factory floor managers with the power to make decisions within the authority granted to them resulted in a savings of time and money. I suspect it also resulted in a safer factory floor in an era that isn’t known for having safe manufacturing workplaces. It’s also likely that the decisions made were better than (or the same) as those Mr. Ford might have made, since they were made based on those managers’ day to day experience on the factory floor.
That has several benefits we’ll talk about shortly, but it isn’t the number one reason to delegate. Your time is the biggest reason.
If you are focused on making the small decisions, every minute you spend on them is taken from the time available to research and make big decisions.
If the big decisions that affect your business long-term aren’t getting the proper amount of analysis, what problems could you miss? More importantly, what opportunities could you miss the importance of, if not miss completely?
Return on You
I can’t tell you exactly what to delegate. I suggest you consider if something can be delegated when you put that task on your todo list or schedule.
Maybe you have to do it yourself this time, but prepare as necessary to delegate that task next time. That way, when it comes up, you can delegate without delay.
I’ve already made note of the value of being able to focus on the important stuff. Yes, this is the Department of Obvious Obviousness stuff, but I see enough of it that it’s worth repeating.
An additional benefit is that you might be the highest paid person at your business. If so, do you want to be doing things, management or otherwise, that someone who makes less than you *could* do? Being willing to mop the floor is essential. Doing it yourself, when you could outsource it or delegate it, allows you to focus on and work on valuable work that grows your business.
You wouldn’t hire someone to mop the floor and pay them $75 an hour. Yet that’s exactly what doing it yourself might be, effectively.
Fertilize Your Garden
One of the other benefits of empowering people on the floor (in the cubicle, on the road, whatever) is that you make that person more valuable.
It engages them more closely in your business, makes them worth more in the marketplace (and thus to your business) and allows them to gain more skill in making decisions. The better they get, the less time you spend on those decisions, giving you more time to focus on the big picture.
Failure to “fertilize your garden” leads to…
Vacationus Interruptus
Once in a great while, you probably like to take a day off.
You’d love to leave for a week and come back to a business without 100 emails about decisions that “couldn’t be made while you were gone”.
You’d probably love to take a vacation and not have your cell ring every hour with a question about a decision that, now that you’re on vacation, seems like an annoying interruption.
Empower. Delegate. And enjoy that vacation.
Want to learn more about Mark or ask him to write about a business, operations or marketing problem? See Mark’s site or contact him via email at mriffey at flatheadbeacon.com.