Business Growth - Management Restructure
Client Organisation:
Retail Organisation (T/O c£2.5M)
Position:
Owner Managers
Context:
An initial enquiry was made regarding training services. During a consultation it became apparent that training was not the real need, in fact there were some issues with their management structure that needing sorting out if the company was to have a chance of growing.
Objectives:
The owner managers wanted their business to grow and their staff to support their ambitions to move into more creative (less hands on management / operational) roles within the business. Identifying what the blocks to growth where and what steps to take to overcome them was the key objective.
Format & Duration:
On site work amounting to around 5 or 6 days in total spread over the course of about 2 months. The management team were profiled (using the LAB Profile) and a team analysis conducted.
Outcomes:
It was recognised that the current management structure was in fact quite flat (in terms of experience) and that this was the real issue. Whilst training is an important part of staff development it is no substitute for extensive experience in business. The existing management team were not 'seizing opportunities' because they were not yet of the necessary calibre or experience to do so.
Extensive analysis of the team profiles and comparison with those of the business owner managers resulted in a desire to re-structure the management tier of the organisation. Recommendations were put forward (and adopted) about what the key new roles ought to be to make best use of a budget for change.
Comments:
It is common for owner managers to find themselves in a position whereby they are critical to the performance of some specific aspect of their business. Whilst this suits many owner managers wanting a specific challenge, or a lifestyle business instead of a job, for those wanting to grow (and perhaps ultimately sell) a business this can be limiting.
Different managers find themselves in this position for different reasons. Some find it difficult to delegate anything important, some deliberately recruit staff who cannot threaten their position or business, some simply don't invest sufficient time planning the structure and future of their business. Whatever the reason, if a business is to grow then the structure has to include staff to whom the reins can be passed, at least occasionally.