BREAKING IT DOWN: WORKING “ON” VERSUS IN YOUR BUSINESS
Written by Jessica Murray
If you’re a business owner, you’ve probably heard the phrase: “Working on your business versus working in your business.” Even though the refrain may be familiar, do you fully grasp what it means in practice?
I’ll admit, when I first heard it years ago, I didn’t. It wasn’t until I read Michael Gerber’s The E-Myth Revisited and had several more years of experience as an operator that the concept really came together in my mind.
This week, I’ll break down the concept and share a couple of actionable ways you can make a shift if you feel like you’re too involved in the business.
Let’s start with the quiz
Several weeks ago, Empower, published a quiz to surface whether people leaned more towards working in or on their businesses.
We posed five questions to determine how much a business can thrive when the owner is out of office. If you haven’t taken the quiz, I encourage you to take a minute to think about it.
While the quiz explicitly asked about an owner’s ability to step away from the business, the responses signal how dependent the business is on them, and therefore their capacity to work on it versus in it.
OK, so what does working in the business mean?
I find analogies helpful for these concepts. Since it’s beach season, let’s talk about sandcastles.
Let’s imagine you’re the leader of your family and one afternoon you all go to the beach. Someone decides it’s time to build a sandcastle. Without even a second thought, you pick up the shovel and start building mounds of sand. You’re working in it.
In other words, you completed the actual manual labor and tasks required to build the sandcastle that afternoon. Translate that to your business, and working in it means you’re too often involved in the day-to-day tasks and technical work that keep things running.
Conversely, if you decided to work on the sandcastle, you would take a step back and analyze the right design, structures and approach to getting it built. That’s the more strategic and innovative work. Working on a business doesn’t mean you’re not concerned with the daily operations. It means you’re spending more time thinking about the big picture and how to improve the business, without always being stuck in the “doer” seat.
How can I shift to more effectively work on my business?
Adjust your mindset
This transition requires you to step away from playing the leading role as an expert who can do the work. You’ll instead need to get into the mindset of being the leader who sets direction and guides the team. This involves identifying how you can step away from the direct delivery of products and services and tending to every immediate administrative need.
Prioritize and position yourself to spend a larger portion of your time on growth, planning and positioning what makes you distinct in the market. This is all about striking a balance so your business isn’t overly reliant on you and your interventions.
Develop repeatable systems and processes
Removing tactical work from your plate will require you to develop repeatable processes and frameworks that can be easily adopted. You’ll also need to empower your people with training so they can operate independently.
In The E-Myth, Gerber encourages the notion of imagining you were building your business like a franchise. He’s not advocating the franchise model is right for every business. However, his point is that for you to make the space to work on your business, there needs to be standardization around how work gets done, and those processes should be replicable for any employee in any location. In doing so, your business becomes more system-dependent versus people-dependent and will be more durable.
Building systems and processes like this that scale has other benefits, including:
Better consistency
A reduction in errors
Less confusion
More predictability
A more independent team
Delegate
I discussed delegation in last week’s newsletter. It’s key to this concept as well. To create the environment to work on your business, it’s crucial to get the right people around you to support everyday operations (yet another topic from last week’s edition).
Once you’ve found them, you’ll need to develop them. This means training and creating those repeatable processes mentioned above to ensure they can effectively execute the required work. Only after this will you feel confident you can pass on tasks that should be in other capable hands.
Focusing on operations is key to unlocking your ability to evolve
If you’ve read this and experienced a sudden epiphany that you’re an owner working too much in the business, now is a perfect time of the year to reassess your focus and tune up heading into a new year.
One of the key themes when discussing this working in versus on thing is the importance of streamlined operations. That whole idea of the franchise model concept relies on a business’s ability to redesign with better systems and processes to free up time and deliver better results.
If it’s overwhelming to think about how to take the next step in this evolution, work with a partner like Empower to design the structure you want and need. Contact us and share more about your situation so we can identify ways to help!