Are you controlling too much?
Seven common mistakes that business owners make with their people

In last month's newsletter, "Seven Common Mistakes That Business Owners Make With Their People," we looked in depth at Common Mistake #1, which was Making Ill-Fated Hiring Decisions. This month we will explore Common Mistake #2:

Maintaining Single-Handed Control of All Authority and Decisions

On the surface, this "mistake" may not appear to be a problem, in that a competent business owner should maintain knowledge and control of what is going on in the organization. However, what we are referring to is the type of leadership that fails to surrender authority for any decisions, regardless of size. If you are a small to medium business owner / manager, have more than a handful of employees, and agree with any of the following statements, you may be guilty of "Over Controlling Leadership."

Signs of Over Controlling Leadership

• You get involved and have the final word in all decisions, however minor.
• Your managers may not hire their own reports without your blessing.
• You must approve every purchase, regardless of size.
• Even though you have a competent salesperson or sales manager, all discounts, rebates or special prices go through you.
• Employees' roles are frequently changed to fit your needs.
• You employ managers / supervisors, but all employees really report to you.
• You regularly assign tasks to any and all staff, regardless of their rank.
• You take a role in appraising every employee even though they may not report directly to you.
• You instruct your managers / supervisors on how to fix problems rather than encouraging them to find their own solutions.
• You keep business information about numbers, customers, plans, challenges and strategies from your staff.
• No one has the authority to act or make decisions without checking with you.

If you agree with even one of the above statements, "over controlling" may be a development area for you as a leader and owner / manager of your company.

What's The Problem?

Now that we've explored the signs of over controlling, let's look at exactly why we consider this to be a Human Resource problem.

Employees naturally have wants, needs and expectations for their jobs. For example:

March 2004
Are You Controlling Too Much?
Seven Common Mistakes That Business Owners Make With Their People

In last month's newsletter, "Seven Common Mistakes That Business Owners Make With Their People," we looked in depth at Common Mistake #1, which was Making Ill-Fated Hiring Decisions. This month we will explore Common Mistake #2:

Maintaining Single-Handed Control of All Authority and Decisions

On the surface, this "mistake" may not appear to be a problem, in that a competent business owner should maintain knowledge and control of what is going on in the organization. However, what we are referring to is the type of leadership that fails to surrender authority for any decisions, regardless of size. If you are a small to medium business owner / manager, have more than a handful of employees, and agree with any of the following statements, you may be guilty of "Over Controlling Leadership."

Signs of Over Controlling Leadership

-You get involved and have the final word in all decisions, however minor.
-Your managers may not hire their own reports without your blessing.
- You must approve every purchase, regardless of size.
- Even though you have a competent salesperson or sales manager, all discounts, rebates or special prices go through you.
- Employees' roles are frequently changed to fit your needs.
- You employ managers / supervisors, but all employees really report to you.
- You regularly assign tasks to any and all staff, regardless of their rank.
- You take a role in appraising every employee even though they may not report directly to you.
- You instruct your managers / supervisors on how to fix problems rather than encouraging them to find their own solutions.
- You keep business information about numbers, customers, plans, challenges and strategies from your staff.
- No one has the authority to act or make decisions without checking with you.
If you agree with even one of the above statements, "over controlling" may be a development area for you as a leader and owner / manager of your company.

What's The Problem?

Now that we've explored the signs of over controlling, let's look at exactly why we consider this to be a Human Resource problem.

Employees naturally have wants, needs and expectations for their jobs. For example:

Employees need to 'own' their jobs and feel competent
Everyone with a job needs a sense of ownership; a feeling of having specific responsibilities and tasks that he / she will look after. There is a desire among people to know how their job is defined and what is expected of them. Once the job is defined the employee can develop a sense of pride in his / her ability to perform that job.

Employees want to be challenged
Most employees want to stretch their talents to some degree and to learn new things. They want the sense of satisfaction that comes with developing new skills and knowledge, and applying them successfully.

Employees expect to be trusted and accountable
People are most comfortable in an environment that makes them feel trusted for their judgement, their decisions and their competence. This trust must be appropriate to the position as well as the length of service and skill level of the employee. Most adults accept responsibility at work happily as long as they also have the corresponding authority to make decisions.

When you, as the owner / manager, display the behaviour listed in "Signs" above, you prevent these and other needs from being met.

Impact

What is the impact of Maintaining Single-Handed Control of All Authority and Decisions? Simply put, employees in an over controlled organization have unmet needs and are therefore not happy. Unhappy employees do not feel excited about their jobs or the organization. See the comparison chart below:

This is not an exhaustive list but the trend is clear. When employees' needs are not met, they will experience unpleasant thoughts and feelings that lead to negative behaviour, affecting your bottom line. If you are over controlling your employees, think seriously about changing. Take a hint from large corporations that spend millions to make sure their employees are happy. Think about your style and how it affects your employees' needs. Work with a coach or a partner and start improving your leadership style so that you eventually feel comfortable trusting and handing decisions off to others. The benefits can be immediate and dramatic.

"The magic formula that successful businesses have discovered is to treat customers like guests and employees like people." – Tom Peters

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