7 Effective Management Tips for Small Businesses
What if effective management didn’t have to be hard and uncomfortable? What if we could have teams that were dedicated to following through — getting things done on time and at high quality? With these seven tips, you’ll learn how to be a successful leader who can manage, motivate, and engage your team — all the while creating an awesome work environment.
7 effective Management Tips for Small businesses
1) Give Your Team Clear Direction
Mantra to embrace: Clear is kind!
Establishing clear goals and expectations will help ensure that your team knows what is expected of them. When someone knows what they have to do and what quality looks like, it allows them to focus on how to achieve that outcome.
What’s the best way to do this? The answer is twofold.
Have a clear job description so that your employees know at a high level what they need to do in their role.
Use project management software to assist in bringing it to life in their day-to-day work.
In their job description…
Identify what the company needs out of their role. This sets the tone for everything. Don’t worry, there is no perfect job description. But the more clear the job description is about the breadth of their responsibilities and what key performance indicators look like, the more likely the team member will understand what is expected of them. A clear job description also creates a baseline for effective future conversations to stem from. Instead of having to “correct” your employee, you can discuss what the “role” needs them to fulfill for the company (and if needed, refer back to what they signed up for). This is so much easier when the job description is clear and thorough. When someone on the team isn’t pulling their weight, you speak to what the role requires and what they need to change to be able to fulfill the expectations. It is a subtle shift, but it allows you to solve the problem with your employee instead of attacking and correcting them. If you hired well, your team members want to achieve excellence in their roles. Most issues can be solved when it is clear what excellence looks like.
For project management software…
We love to use Basecamp! A tool like Basecamp makes it easy to give detailed to-do’s, assign tasks, collaborate with a full team asynchronously (not happening at the same time; able to complete digitally/without being on the phone or a video call together), and keep comments and conversations organized and in order.
The trick is to break big tasks into bite-sized pieces. Often what you first think of as the task, is usually the end goal. There are usually several underlying steps that it takes to get that task to the end zone. Instead of a to-do like “post a blog,” you might want to break it down further to:
Write first draft
Edit first draft
Post blog on website
Send blog in Mailchimp campaign
Create social media graphics about blog
The incremental tasks provide clear direction, allow you to assign each “sub-task” to someone so everyone knows exactly who will get it done, and keep all team members in the loop on the status of each task.
An important note about QUALITY:
I love how Seth Godin describes quality in relation to spec. In his definition, he defines quality as: what is identified as spec for the task at hand.
Perfectionism isn’t the goal. At the same time, just getting it done isn’t either if it means low quality. Meeting spec is the priority. Defining what spec looks like for a given task will help your team meet quality. How do you do this, you ask? You give your team members some examples of what “meeting spec” looks like.
The beauty of Basecamp is, it makes all of this so much easier because you’re not digging through your email inbox trying to find that one email thread that’s 18 replies long. You won’t get stuck arguing with a team member about a task that fell through the cracks – debating about who said what, who was going to do xyz, and wondering how this task got missed. The tasks and corresponding comments/conversations are all together, so there’s open communication and clarity for everybody involved. Lastly, clear direction isn’t that clear if a timeline isn’t included. Adding a due date for a task increases the likelihood of the task being completed. It also helps your team prioritize all the things they have to juggle.
2) Encourage Communication and Be Available (even if only asynchronously)
Mantra to embrace: Asynchronous work is fire.
Asynchronous work promotes flexibility, deep work, and is the future.
Managers should create an open environment so employees feel comfortable engaging with them and the team. Asynchronous communication provides the bonus that remote teams can work on their own time and at their own pace, while synchronous communication such as video meetings or phone calls allows people to make ground quickly in a meeting format when needed.
Communication is key. It is hard to know if deadlines will be hit if silence surrounds to-do’s. Whether you choose to have 15 minute “stand up” meetings or share weekly status updates, communication is key. Once you assign the tasks to your team, make sure they know that the expectation is they will communicate on the status of it. The presumption is that the due dates will be hit. If they believe there is some reason they can’t be, then they should notify you when they become aware.
I like to think of status updates as getting coordinates on a map. We are going from X to Y, and it is hard to navigate if we don’t know where we are at. A status update gives us real time info on where we are and where we need to go to arrive at “Y” at the right time. When done correctly, a status update is not a micro-management technique. It allows the team to course correct when needed and also provides peace of mind so everyone knows “we are right on track.”
If you are a business leader and have a ton of projects going on at once (I do too :)), this can be the hardest part. It’s easy to send your team on their way with clear direction, give them a ton of autonomy, and then not be available when they need you. It’s common for your team to hit roadblocks. That is what you are for. Help them get through those and hit the destination on time and to spec. I’m not perfect at this. We are all working on something, so I use Slack in tandem with Basecamp. Basecamp does all the deep work of collaboration and project management, but if something becomes more urgent, at Hoffbeck + Co we use Slack to ping each other and get it on our radar.
Sometimes certain projects have to get pushed to the back-burner and that is fine. I have those too. The key is to let your team know so they don’t lose heart along the way if they feel like they are being ghosted or just not a priority. Communicate with your team so they know what to do in the interim.
3) Create a Culture with a Bias Toward Action
Mantra to embrace: Ship it.
“Patient, but persistent. Never rushing, always playing the long-term game. Never waiting, always living with a bias towards action.” - James Clear
Business owners and managers should have a bias towards action, encouraging their team to move quickly and make decisions swiftly. The risk is that quality goes to the wayside, but that’s not what I’m proposing here. Still meet quality spec, but allow for perfect to not kill great. Your projects will only make an impact if they are shipped. Speed is your friend. Not rushing, but not getting paralyzed either. Effective management kicks work out, and that is the goal here. Create an environment where mistakes are acceptable as this encourages employees to take risks. When mistakes happen, mitigate them and train up your team. The more iterations your team does, the more “pro” they will be. Get after it!
4) Promote a Positive Work Environment
Mantra to embrace: What you focus on, you create more of.
We all want to work with someone we like in an environment that is positive and inspiring. Build that. Every business has their own unique culture. Figure out what you want yours to be about, and then be intentional about creating it. Make it clear what is important to your company. You often hear of mission, vision, and values. This is where those come into play. If your team knows what is important, the “world” you want to create at your company is way more likely to come to life.
Here are some of the elements that we value at Hoffbeck + Co and believe lead to a positive work environment:
Autonomy and flexibility
Break things - nothing should be too precious, we’re always evolving, learning and improving
Fast is better than slow
Be resourceful - find the information that backs up your position, don’t just guess
Be curious
Dream big
Don’t stop learning
Don’t take yourself too seriously
Turn over the next stone
Pursue highest quality to meet spec
What elements do you want to build your business around?
5) Hold Employees Accountable
Mantra: Accountability creates growth.
Managing without accountability is just cheerleading.
Once you have given clear direction and set clear due dates, then you need to follow up and make sure that spec is met on time. Basecamp makes this easy as it shows the date next to each task. Was the task checked off on time? If not, why not? Was it a miss? If so, then jump to Tip 7 below and use it as a training opportunity. If the to-do was done well and on time, then go to Tip 6 below and praise it.
This is the number one most skipped part of the management process I see small businesses make. Small business owners tell me that this is the intimidating part. It is confrontational and makes them want to just sweep it under the rug and hope better results show up next time. That’s just hopeful thinking. Wishful management. And it won’t get you the results you’re hoping for.
The stakes are too high to leave the results to chance. Effective management increases the likelihood that your team hits its goals. The accountability step is right up there with the clear direction step competing for which one is the most important part of the management formula.
A fear I hear from small business owners often is that they don’t want to be a micromanager. Micromanagers don’t give autonomy. If you can give autonomy and flexibility to your team, you kill micromanagement. Accountability is not micromanagement. It is the way you show your team members that results matter. Results build momentum. Results build trust. Results make an impact. When tasks aren’t done on time and to spec, a lot is lost.
Remember when you’re holding your employees accountable, talk about what their role needs to do instead of just talking about what they (as a person) did wrong.
I often tell my clients to view themselves sitting on the same side of the table with the person they are in conflict with. When you sit opposite to someone (yes, even just in your mind), the other person is what you are up against. In actuality, they aren’t the problem. They can be part of the solution.Game plan together and be on the same team. Attack the problem, not each other. Ask a question like,“How can we make sure this gets done next time on time?” rather than saying something like, “This is your last warning. You need to get things done on time.”
Some other helpful phrases and questions are:
Is there anything that I can do that will make it easier to hit the deadline next time?
I understand that I could have been more clear at the outset. Is there anything specifically that would have been helpful that I can do differently next time?
I know you have a lot on your plate, and it may have been hard to prioritize what to work on. Was it unclear what the priority was for your open to-dos?
As you can see, the questions create a place for open communication. The goal isn’t to scare your employees into submission. Remember, a positive work environment is the long game to an effective team. Accountability can be positive. It allows you and your team to get on the same page and re-align. Accountability makes it clear what is important and increases the likelihood that the goals are met the next time around.
6) Recognize your Employees’ Wins
Mantra to embrace: Celebrate the wins
This one sounds like the easiest part. Everyone likes to celebrate, but not everyone takes the time and effort to celebrate in specifics. We are all guilty of this, but knowing the importance of this is necessary to make changes that make an impact here.
Would you rather hear, “Great job!” OR “Amazing job! I loved how you did X. It was really impactful because it helped us achieve X.”? If you are like me, the specifics mean a lot. Specifics make all the difference. I don’t always do this as well with my team or as often as I should (and want to) because it really is easier to just say “Good job!”, especially when we’re busy. But, I challenge myself to give specific praise because it feels better to receive, and it also increases the likelihood that future successes are achieved.
It’s simple. When you make it clear what the win was, then your employee isn’t left guessing what went well. They know what you valued, what made an impact on the company, and they’re much more likely to continue the desired actions, approach and quality work you’re looking for.
7) Build a Team Focused on Learning and Train Misses
Mantras to embrace:
“Momentum is messy” - Jon Acuff
“Progress over perfection” - Kevin Hart
If we are moving fast enough and pushing the boundaries hard enough, something will break. A task will be missed, key facts will be forgotten, and quality might not meet spec. We are human. Mistakes happen.
I’m not big on mistakes so I have to remind myself of this one often -- and if I don’t, then Mahla makes sure I do :). I’m an Enneagram 1 a Perfectionist, so I really don’t like when things don’t go the way they “should.” I’m working on how to reframe what “failure” is –less about finality and into something that is temporary. Keep reading, and I’ll explain what I mean by this.
On Kevin Hart’s Audible book, The Decision, he has a line that has stuck with me on failure. He says that failure is just a temporary setback. I like that. Failure doesn’t get the last word. Don’t let it. Learn from what happened, use the new data, and try again. I’m trying to remove the word “failure” from my vocabulary because it has been more damaging than helpful for me. I’m looking for softer, kinder words that encourage learning and growth. Words that meet me where I’m at or where my team is at after things didn’t go our way.
A word I’m starting to use more in its place that works for me is “miss.” I love sports, and I often take words from the games I love that help me have the right perspective when I need it. If you miss a shot, you shoot again. Misses are expected, misses are part of it. Accuracy is great, but perfection just doesn’t exist.
When your team has a miss, identify it. Talk about it with them when it’s fresh. Don’t sit on it for days and weeks then bring it up after everyone has completely forgotten about it. That kind of feedback doesn’t feel good, and it’s way more awkward and uncomfortable to bring up anyways.
Here are the 3 simple things you should cover when you’re talking to a team member about a “miss”:
This is what went wrong
This is why it matters
Let’s do this next time
Train them, and then send them back out there.
“And now that you don’t have to be perfect, you can be good.” - John Steinbeck, East of Eden
You can be an effective manager!
Implement these seven management tips and create a positive work environment with a team that kicks amazing work out. You got this. Lean into the tension, and I think you might find it isn’t as scary or overwhelming as you thought.
Want to chat more about effective management practices for your small business? Schedule a Call with us today. ⚡️
More soon,
Lane
CONSULTANT + PARTNER
P.S.
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