Tuesday, 17 June 2014

Professional Practice

There comes a happy time for small businesses when, because of successful growth, they need to hire people with experience of working in larger businesses to introduce processes, practices and procedures to take the business on to the “next level”.  

The arrival of someone used to working in a large organisation can be disruptive for both the newcomer (the “professional manager”) and for the business for a number of reasons.  From the business’ side:
  • Staff may be all used to covering a number of tasks - everyone performs more than one role when needed because the business doesn’t have the luxury of a specialist for each position.
  • They may be used to a relatively “informal” hierarchy where the boss is always available and where everyone talks to everyone else.
  • Such processes and procedures as exist may all be in people’s heads, rather than written down in manuals - and are changed quickly.
  • Things get done when they get done, not on a certain date every month.

From the new arrival’s side:
  • Communications may seem highly informal as opposed to the structured meetings, memos and newsletters that someone in a large organisation might be used to;
  • They will have to settle into a much smaller team, where relationships may be stronger than in a larger organisation.
  • People will be used to doing it “the boss’ way” and may be reluctant to change things, even when asked by someone who may be their new direct manager.
  • The new arrival may be used to specialising in one particular aspect of a business; working in a smaller business where people have to be multi-skilled means they themselves have to learn new skills (or dust off skills that they haven’t used for some time).
  • Equipment and services may be less abundant than they are used to.

Both will take time to get used to each other.  Problems often arise when both the “professional manager” who has come in and the owner (usually the founder) of the business fail to understand their differences.  Founders are often reluctant to “let go”, despite the fact that that’s the very reason they hired a “professional” in the first place! 

Equally, the “professional” may not realise that they need to earn the trust of the founder.  They may have to engineer a delicate “handover” process rather than expecting to have fully delegated rights from day one.  

Staff also will need to understand the limits of authority of the newcomer, and the founder needs to respect these as well (in other words don’t let staff come to him/her “behind the new manager’s back” if they disagree with what he/she wishes to do).

To ease the transition (for everyone), the business owner needs to:
  • Advise all staff in advance of the new arrival.
  • Explain how the business works to the new arrival.
  • Introduce them when they arrive.
  • Ensure that everyone understands what the newcomer is there to do, their limits of authority, and that they have the owner’s full support.
  • Hold regular reviews with the newcomer to discuss progress and concerns on both sides.
  • Gradually let go.

This will ensure that the owner enjoys the benefits of a “professional manager” as well as the increased freedom to build their business that can be the result.


I have spent more than half my life delivering change in different world markets from the most developed to “emerging” economies. With more than 20 years in the world financial services industry running different service, operations and lending businesses, I started my own Performance Management Consultancy to offer solutions for improving performance, productivity and risk management.  I work with individuals, small businesses, charities, quoted companies and academic institutions across the world. An international speaker, trainer, author and fund-raiser, I can be contacted by email . My website provides a full picture of my portfolio of services.  For strategic questions that you should be asking yourself, follow me at @wkm610.

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