Avoid running your business by committee

News: April 2014

Avoid running your business by committee

While large businesses are often run by boards of directors, that approach doesn’t work for a small or medium sized business. A business isn’t a democracy. When it comes to politics, we want leaders who believe in democracy and free enterprise. But in a business, you need a clear–cut leader who makes the final decisions. They may make those decisions based on advice they get from other people and sources, but sometimes they need to be a bit dictatorial in order to get things done.

Others will always be prepared to tell you how to run your business. However, in order to run a business properly, the owner / managing director must lead. It is important to have the tools to make decisions and that’s often where professionals such as lawyers and accountants can help. As a business leader, you must be able to assimilate the information that these professionals provide and create frameworks through which you can make your own decisions.

A great business starts with a great leader and their vision. However that is only the beginning as any organisation is built through people. Involve your people in your business, ask for their input and their ideas. Put these elements together and then lead from the front – make clear, informed decisions.

In running a business, leaders should engage with employees but should also avoid thinking like an employee. Great business leaders avoid employee mentality. Where an employee may see things from the bottom up, focusing on all the trouble and pain any business faces, a business leader will see the bigger picture as they can see things from the top down. They perceive the business in a more conceptual way and focus on their vision and goals. They refuse to be bogged down by the details. That’s what leadership is all about – and that’s what makes entrepreneurs great leaders. They’re visionaries. They’re moving forward, and tend to attract other people who want to come along for the ride, people who love the excitement, the thrill of it all – and, of course, the profits.