If work can be assigned to someone else who will do it for less than the value of your time, I’m a big supporter of delegating that work. Ideally, you’ll want it done on an independent contractor basis. In rare instances, an employee will be necessary. You can then use your time to generate more money doing higher value activities.
The big mistake that I see business owners making these days is mistaking delegation for a total abdication of oversight responsibility. When you assign a project, do so with clear specific objectives and deadlines. Periodically check to ensure what you’ve assigned is actually being done. This isn’t micromanagement. It is protecting your business.
Where does delegation go bad? Here are some common examples.
• You feel overwhelmed so you dump a project on someone else to sort out and hope that it gets done. Hope is not a business strategy.
• Because “everyone is doing it,” you hire a personal assistant…but you don’t prescreen candidates or train your new employee. Most people who apply to work as your personal assistant are completely unqualified to do so.
• After putting in years of hard work, your business is running smoothly, you feel you’re entitled to kick back, and let someone else take the reins. Chances are you’ll hire a technician (not an entrepreneur or manager) who will ‘competently’ run your business into the ground because of an inability to see the big picture. If the technician had your talents, he would have his own successful business.
Getting rid of customers? Am I serious? Absolutely. In a recession, your bad customers will become problems that you could have ignored during a thriving economy. When you’re looking to cut costs, start with customers who drain your business of time, money, and energy.