Published by Scott Neilson on 14 Jun 2010
DELEGATION: To do or NOT to do…that is the question.
A short time back I was talking with a friend who was having trouble with several aspects of his pharmaceutical regulatory consulting business. He was not getting the performance he wanted from his employees and they were demotivated. He was not making the profits that he should and he was overworked. He felt that if he just worked harder, things would get better. Unfortunately, he had been saying that for quite a few years, and he had not made any progress. I could not imagine him working any harder, but he kept thinking that that was the answer.
This is not an unusual perspective for technically trained people, particularly people who hold the professional credentials for their business.
In a moment of desperation, he asked me what I thought he should do. First, I remarked that he was not utilizing his team effectively; he was not delegating enough; he was doing everything himself. I said that this has a couple of bad effects on the business. First, it is demotivating for your employees. If you do everything yourself, your employees lose their motivation to think and act. They have no latitude to draw upon their own expertise to contribute to the business. They end up standing around waiting for you to tell them what to do and performing tasks that are well below their capabilities. They feel no sense of accomplishment and they see no future for growing and developing their skills.
You have to look at delegation as assigning authority. You maintain control and responsibility from a distance.
The reason delegating is motivating is because it tacitly recognizes someone’s worth. You trust them to do the job well, and they want to live up to that expectation. They want to contribute. They want to be of value. Controlling everything yourself has the opposite effect.
Then I explained to him that there is an even more important aspect of effectively structuring your operation and delegating tasks. To start we agreed that a fundamental principle in profitable business operations is delivering the right product or service, at the right price, at the least possible cost. The “right service” is closely regulated in the drug development world, and pricing is very competitive. That leaves cost reduction as the key to managing profitability.
The problem here was that he was doing everything. By doing so he was minimizing his profitability because HE was handling most of the tasks, and HE was the most expensive employee in the company.
He needed to do a better job of delegating. His response, of course, was that he could not. His license depended on everything being done exactly per the regulations, and he felt that he was the only one who knew the correct way to do these things. So, I asked him if he always got regulatory approval on his submissions the first time. He said, “rarely”. So, I said, apparently the regulators feel that there are some other ways to do things that may be just as good, if not better, than the way you think best. He agreed and recognized that perhaps he could allow people more latitude to do things without his direct involvement.
If you are not delegating, then you are not leading; you are doing.
Finally, I pointed out that if he were the only one performing all these tasks, or overseeing every aspect of every job, then the total volume of work he could expect to do in his organization was limited to the workload that he alone could handle. That put a great limitation on his business prospects for the future.
So, he agreed to consider this idea of delegating. Question was, “how”?
- Simple first step: I told him to list ALL the tasks he ever finds himself doing…every one of them. Take a few days, take notes about what you are doing, and make a list.
- Second: Put that list in order from the most to the least by what REQUIRES your technical training and abilities.
- Finally: Start to delegate by taking the bottom 10% of those items and assigning them to someone else. Get them OFF your list. Clearly define exactly what you want done, and establish the methods and mechanisms for keeping an eye on the quality from a distance by developing and reviewing checkpoints or metrics. Over time you can go to the next 10% of the items on the bottom of your list, and so on until you find the right balance.
Though it has only been a short time since we had this discussion, he has indicated that his team has been energized by the prospects of this new direction, and he is now able to focus his time and energy on those aspects of running the business that really require his expertise.
*****
It is very difficult for people to let go of control in their businesses. However, it is fundamental to effective and profitable operations to have a clear and appropriate delineation of duties. You have to look at delegation as assigning authority while learning to maintain control and responsibility from a distance. If you are not delegating, then you are not leading; you are doing.