In our part of the world, old Arabic proverbs like “If you mind your goat, it will deliver twins” are taken seriously by some thoughtful business owners.
Such proverbs are part of our cultural heritage that is built on real-life experiences of long-gone ancestors.
The lesson that some of today’s business-owners draw is that their personal attention to every detail of their business is a prerequisite for success (ie delivering twins).
Owners of today’s large enterprises are advised to resist the temptation to personally manage the day-to-day affairs of their businesses.
Instead, they should hire the most talented professionals and delegate to them the authorities needed for that purpose.
This is necessary for owners who wish to be in a position to understand the true strengths and weaknesses of their businesses on a strategic scale.
Quotes attributed to British businessman Richard Branson, like “The best way to learn about anything is by doing,” and to French emperor Napoléon Bonaparte, like “If you want something done, do it yourself,” are relied upon to justify some owners’ inclination to manage every detail of their businesses.
Unfortunately, in their minds, success requires them to get their hands dirty with the daily machinations of the business.
Such notions may make sense during a business’ early development, but they can obstruct the performance of more mature businesses.
As energetic and dedicated an owner may be, it is impossible to personally tend to a thousand goats at the same time without some help.
All this does not mean owners should not have a role to play in their businesses. On the contrary, they need to play a more important role: one that they can only perform well if they are relieved from the burdens of day-to-day management.
By embracing the perspective of an “active owner” — as opposed to a hands-on manager — they can be in a better position to drive growth, facilitate change and create value.
In fact, owners should not disengage from their businesses if they want to retain them and want to see them fulfill their potential.
Sometimes, owners go too far in distancing themselves from their historical management role.
They adopt a passive posture and hand over the keys to management.
They become mere spectators, risking everything along the way (see Signs You’re Losing Control of Your Family Business by Josh Baron and Rob Lachenauer, Harvard Business Review).
To be clear, the point is not about the need to delegate day-to-day tasks, which is justifiable in any case.
Instead, it is about getting out of the “business of business” in order to be able to focus on the “business of ownership”, which can be more demanding and rewarding.
Since owners have the most to gain or lose, their perspective should not be lost in the daily travails that face their businesses.
They should remain at a healthy distance to retain their objectivity, but close enough to ensure adherence to their purpose.
Management responsibilities require a commitment that, by its nature, suppresses the urge to question established fundamentals.
Managers are expected to do everything within their power to implement adopted strategies as effectively as possible.
They are less likely to be inclined to ask existential questions — questions that can lead to a change of direction away from their own comfort zone.
When business managers are doing everything they can to ensure that a thousand pregnant goats deliver twins, they may not have a chance to think about a strategic shift away from goats to, say, camels.
Owners, on the other hand, are best positioned to pose these kinds of difficult questions, but not when they are personally responsible for management, nor when they are disengaged.
The free thinking that is required to challenge established norms and inspire reinvention is harder to attain for one who is focused on delivering short-term results or otherwise out to lunch.
Only when owners are freed from the shackles of management, while remaining attentive, will they gain the perspective that facilitates unbiased assessment of performance and the challenges that arise from time to time.
With an active ownership mindset, they can effectively orchestrate the utilization of significant external skills and expertise — from a wide range of sources — to work with management and deliver the strategic adjustments that are needed to respond to everchanging circumstances.
Luckily, another Arab proverb, “Give your dough to the baker even if he eats half of it,” conveys the message that specialization has its merits. Owners are advised to wisely choose the proverbs they follow.
Khaled Sifri is a Partner at Stra-tical Associates, an advisory firm on a mission to support principals of complex organizations in shaping and managing their journeys of reinvention.
The opinions expressed are those of the authors and may not reflect the editorial policy or an official position held by TRENDS.