Delagating

Delagating for Growth

Question:
I’m managing a small and steadily growing sales-oriented business. I built this business from ground floor and have developed many substantial accounts. With our growth, I need to be more involved in big picture activities and hand-off some of my sales responsibilities to my people, and possibly even add some additional talent to my team. How do I accomplish this without offending the customers that have made our company what it is today? Also, which of my salespeople should I delegate to?

Answer:
Most successful small business owners and sales managers reach a point of decision not so much to grow, but how and how much. It sounds like you've reached this point. Letting go is not always easy for entrepreneurs. For my business, a significant turning point was when I decided to add business partners to aid in our growth. It's been a terrific decision, one not without bumps however.

Here Are Some Considerations:

Take Tiny Steps Backwards In Order To Gain Giant Leaps Forward — As issues arise within your accounts, you may be tempted to say, “It'll be easier to take care of it myself.” And, perhaps you would be right in the short term. However, in the long-term you haven't necessarily progressed. With any change, you need to force yourself to concentrate on the long-term benefits. I remember agonizing over a decision to move from a Macintosh computer system to a Windows based system. Most of our customers utilize a Windows format, which necessitated the change. In the short term it meant some pain in terms of transferring files and learning minor differences between the systems. However, the long-term benefits have been tremendous. Make a checklist of the long term pro's associated with transferring your accounts and compare that list to the short term pains that you anticipate.

How You Transfer Account Responsibility Is More Important Than The Transfer Itself — Customers need to feel that they are important to you and are being taken care of. If you choose to abruptly hand-off your accounts, your customers will feel abandoned and your sales efforts will certainly suffer. You've established significant relationships with your customers, and that's good. It's also challenging for managers because you are the business to your customers. Therefore, transitioning accounts should be a gradual process. Take your salespeople on meetings with you to make the customer more comfortable with them. Remain the main contact with that customer as you assign your salesperson specific responsibilities, tasks or projects within the account. As the customer becomes more comfortable with your salesperson and their successes, slowly delegate more responsibility within the account until your involvement is minimal.

Know What You Really Want To Do — Do you really want to delegate all of your accounts? If so, fine. Hand select activities that complement your people's abilities. As you decide whom to delegate to, consider what each person will bring to the overall objectives within the account. If you really prefer sales and that is where your strengths lie, then why not delegate some of the other "big picture" activities. Don't assume that if you delegate what may be considered management activities that you will lose control. For instance, one of the partners that I added to my business has significant experience in performance assessment, an area that offers significant growth potential for our company. By transferring this responsibility to him, it freed me up to continue some of the responsibilities that I do best and enjoy most.

Delegate To Top Performers — The key to any effective delegation plan is to know what motivates your individual salespeople. Sometimes managers delegate to those who are least busy, and that can be a mistake. Transferring account responsibility to top performers can be extremely motivating as well as a means of developing their skills. Be careful not to delegate crumbs. If your salespeople feel like the only reason for the transfer is because you're too busy to handle it, you've missed the boat.

How To Delegate
Successful account delegation requires careful planning. You must know the skills, abilities and motivations of each salesperson. Don't assign a project that is unreasonable for the salesperson to accomplish. After you determine whom you will delegate to, make a list of things you will need to discuss including:
• What results are expected? Describe how the results fit into your overall growth objectives. Salespeople must see the project as a forward step.
• Salespeople must be given authority to make decisions and determine the requirements for reaching the goals. Describe what authority will be given.
• Discuss any limitations that are imposed on the assignment and what degree of accountability to salesperson must meet.

Based on your meeting, ask the salesperson to develop a plan based on:
• How the desired results will be achieved.
• What performance standards will be used to measure results?
• Follow-up system to be used.
• Time frame for the project.
These should be understood and acceptable to both you and the salesperson. Delegation means transfer of responsibility. Prepare checks and balances that will make you, the salesperson and the customer comfortable with the transition.

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