Everyone knows that each team member should have a job description – it gives clarity on the responsibilities and tasks, and the KPIs and expectations of each role. We can then monitor and measure performance and as the saying goes ‘what gets measured gets done’.
But too many business owners fail to do the same for their own role as Director of the business.
So what needs to go into your job description as a Director?
The most important function the Director carries out is to maximise shareholder value. Carrying out activities that drive up returns and business value – by working ON the business, not in it.
The key responsibilities you should carry out as a Director include
- setting the vision and strategy
- managing and mitigating risks
- growing the business
- establishing the right business structure and
- holding the CEO (who may be one of the Directors too) to account
How much time are you currently dedicating to working on the business in this way?
If you struggle to find the time – you find yourself too busy at the coal face, on the tools or dealing with customer or staff issues – a good solution is to appoint someone independent to hold you to account.
Consider establishing an advisory board that meets regularly (with one person as Chair) or appoint an experienced facilitator to run these sessions for you.
Our most successful clients have this in place with either monthly, six weekly or quarterly ‘advisory board’ meetings. You will achieve so much if you have this independent accountability process in place. We’re happy to help you implement this too.
Most importantly, remember that you are not exempt from meeting the requirements of your role as a Director. Just as you do for your team roles, set up your Director job description, get clear on the responsibilities and tasks, set the KPIs, and then monitor and measure performance. This approach ensures that what you are asking your team to do is what you do yourself too.
It is not fair to ask of others what you are not willing to do yourself – Eleanor Roosevelt
About Pathfinder Solutions
Pathfinder Solutions advisory team members have either owned or managed businesses, or are investors themselves, so we know first-hand the challenges you face in your world.
Sure we’re Accountants, but the best solutions in business come from focusing on more than just the numbers. Our real-world business experience delivers just that.
Call us for an obligation-free chat, we’d love to help!