Almost everyone has made this statement “One day, I would like to have my own business!” Especially this last decade, when home based and small business ventures have become prevalent, young children to senior citizens have been uttering these words, with great enthusiasm and fervor.
But saying these words and actually becoming an entrepreneur is a big step. Going from being an entrepreneur, opening a business, to becoming a successful business owner, where you are the business leader is the biggest step.
About 15 years ago, I had been the #2 for about 5 years at very successful business. My boss, the CEO, was a terrific mentor and for those five years I worked at his side on every issue we faced. Our offices were just across the hall from one another. Upon his retirement, I was given the reins of the business. On his last day we were sitting in his office when he said “you know, it is huge step to go from your office to this office.” I thought to myself how can it be a huge step when I have been exposed to everything he had to do these last five years. Well it wasn’t long before I knew exactly what he meant! It is indeed, a huge step to be THE LEADER of a business, no matter how well prepared you think you are.
So even though you have done excellent work up to this point in launching a business and becoming a successful business owner…you have yet to prove yourself to be an effective leader. So how do you transition, make that huge step, from an entrepreneur to an outstanding business leader?
As a first step take the time to answer a few probing questions:
– Do you enjoy coming to work everyday and do you enjoy the people you hired to work with you?
– Have you created a good culture and positive environment for yourself and your employees?
– Do your employees feel comfortable coming to you with questions or problems? How do you know this for sure?
– Do you have all or most of the right people in the right jobs working in your business? - Are you confident about the future of the business?
If you honestly answered yes and feel good about most of these questions, then you’ve become an effective leader. But what if you answered no or you weren’t sure? Then you would be in good company as the majority of successful entrepreneurs would be answering the same. Don’t feel bad, you have already done a lot. Your answers only mean that you’re an entrepreneur who needs to grow as a leader.
Most entrepreneurs have their hands so full being the business owner that it is easy to forget about the importance of being an effective leader in your business. Daily challenges and details can bog you down to the point where you forget that your employees need your time and attention–and need the guidance that only you, as the business’s owner, can give them. Getting overwhelmed by the operational “minutia” was exactly what happened to me when I first became “the boss.” So where do you stand? Think you could use some help to become a better leader? Start with thinking more about your people and a lot less about the Operational “minutia.” Plus, here are some pointers to help you become an effective leader:
- All employees should know the strategic focus of the company and how to articulate it clearly and simply to anyone.
– As the leader, you need to help your employees see how their position relates to your company’s strategic focus and tell them how important they are–not just their position.
– If you catch your employees doing something right, praise them for it. Recognition goes a long way toward building a loyal workforce.
– Communicate with everyone in your company in a variety of ways on a regular basis, not just every now and then. For example, start holding weekly staff meetings, initiate individual conversations with your employees, start a newsletter or launch a program like Heroes & Legends (contact me for details). There are dozens of ways to communicate.
– Create a sense of pride in your employees by asking them for their opinions when it comes to making changes in the company. Even if you don’t always use their ideas, they’ll really appreciate just being asked.
– If you give bonuses for strong performance, try giving something more personal than cash. Know what your employees like to do in their time off with hobbies and interest. Then, instead of giving a cash bonus, send your outdoor enthusiast on a mountain trip for two in a beautiful cabin. Or offer gift certificates to favorite stores (even better if they are your customers).
Your employees will remember these gestures much longer than a standard cash bonus.
– Here’s the last and perhaps most important tip: When it comes to your emotions, remember to respond to your employees rather than react to them. For instance, if an employee comes to you with bad news, don’t kill the messenger. After all, you want to hear good, bad or ugly news ASAP- right? The right reaction to bad news would be “Help me to understand….” Showing a genuine response lets employees know that we are a team.
Becoming an effective leader is a learning process that never ends. Great leaders know this and are constantly seeking leadership education. If you want to learn to become a great leader, consider these additional tips:
– Be aware of where you are today as a leader. Do you need to take action to improve your leadership skills?
– Be open to critical self-assessment when it comes to your leadership skills.
Be willing to grow personally and professionally by learning new skills. Hire a business coach who will provide discreet counsel and be a mentor, read leadership books and constantly evaluate your development.
Great leaders enjoy the challenges and the lessons learned–even when they’re painful. The type of leader you wish to become is entirely up to you.