The Leadership Style That Will Transform Your Business In 6 Simple Steps.

At Velo Leadership, one of the most transformative principles we help businesses adopt is decentralised leadership.

Last week I wrote about how leadership in the hospitality industry is much more aligned with leadership in the military setting than the corporate world.

I wanted to show you exactly how we help teams and organisations achieve decentralised leadership within their context.

But what is decentralised leadership?

When we talk about decentralising leadership, what we don't mean is simply delegating tasks to your people more often.

Decentralising your leadership is about creating a culture and mindset where your team is fully empowered to make decisions, take initiative, and work towards the shared goals of the organisation with the ability to change tactics when needed.

Decentralised leadership fosters a sense of ownership across all levels of your organisation, resulting in quicker decision-making, increased employee engagement, and more memorable customer experiences.

Here’s a step-by-step guide to implementing decentralised leadership in your hospitality business:

1. Clarify Core Values and Mission

This is where we always start from.

If there is one thing you need to know about me, it's that I am a huge advocate for a genuine, authentic set of values for yourself and your business.

They literally impact every part of your business, from hiring your people to connecting with your customers and the huge decisions you have to make.

Having clarity over your core values gives you a massive advantage.

Decentralised leadership is no different. It's foundation lies in communicating a clear understanding of your business’s values, mission, and vision.

That's how you help your people understand what your overall purpose is.

Before you begin empowering your frontline team, you need to ensure they are fully aligned with the bigger picture, because that will then act as their guide when operating from a decentralised position.

At Velo Leadership, we help businesses define or refine these core principles and implement them across their organisation. Every decision your staff make should be anchored in this framework.

Without a strong understanding of the ‘why’ or purpose behind your business, employees may struggle to make effective decisions under pressure. We work closely with leadership teams to ensure clarity, so that everyone understands and supports the company’s direction.

One of the biggest mistakes a company can make is that once they have their values and purpose statements, they are refined to noticeboard decoration and never used operationally.

Regularly communicate your company’s mission and values to reinforce their importance and the expectation that you are referring to them every single day and ensure they are ingrained in daily operations, not just displayed on a poster.

2. Establish Clear Guidelines and Boundaries

Decentralisation doesn’t mean a lack of structure.

It's one of the biggest concerns we deal with on decentralised leadership.

We want to give people freedom to operate within a framework. Employees need well-defined guidelines that allow them to operate confidently, without fear of overstepping their boundaries.

You have to create decision-making guardrails to maintain consistency. For example, your bar staff should feel confident enough to comp a drink for a customer to resolve an issue, but should also know when it’s necessary to escalate a situation to a manager.

That's the start of decentralised leadership.

Clear boundaries prevent confusion and ensure that staff can respond swiftly and appropriately without constantly seeking approval.

Define what decisions employees can make independently, and where the threshold for managerial input is required.

This creates a balance between empowerment and control.

3. Train and Empower Your Team

With values and guidelines in place, the next step is training.

At Velo, we can run sessions designed to build confidence and decision-making skills across all levels of your team, from receptionists to shift supervisors and GMs.

Our training often involves scenario-based exercises, where staff are challenged to resolve real-world problems, allocate resources, and adapt to changing situations.

You also need to ensure they are trained in your processes.

Crucially, it’s not just about teaching the ‘how’, but more importantly the ‘why’ behind their actions.

This develops a culture of ownership and accountability, where employees see themselves as leaders responsible for delivering exceptional customer experiences.

When they know what they do and why they do it, it gives them the much-needed context they need to adapt and adjust in the middle of a shift.

When needed they can make decisions that are consistent with the 'why' but not necessarily exactly following the 'what' of your process.

Empower employees by giving them the tools and knowledge to make informed decisions, and encourage them to take initiative.

4. Redefine the Role of Mid-Level Managers

In a decentralised leadership model, mid-level managers play a crucial role.

They are closest to day-to-day operations and therefore must be empowered to make decisions on the spot.

We help to shift the mindset of mid-level managers from being "gatekeepers" to becoming "enablers" - and you can do this for your team too.

This means allowing them the autonomy to adjust plans, allocate resources, and solve problems based on the needs of their specific location or shift.

It’s a significant cultural shift for many organisations. Especially Area and General Managers.

However, it leads to quicker responses, better teamwork, and more efficient operations. Most importantly, it keeps managers engaged in leading, rather than constantly seeking approvals.

5. Build Trust and Accountability

A common concern when implementing decentralised leadership is the fear of losing control.

As human beings, we have an automatic want to have control over situations.

Many leaders worry that mistakes will multiply if they relinquish micromanagement.

We help leaders embrace this change by demonstrating the benefits of letting go and trusting their people to act in line with the company’s values.

Simultaneously, we reinforce the importance of accountability.

Decentralisation works because employees have more freedom and are also held responsible for the outcomes of their decisions.

This creates a culture where staff are motivated to take ownership and deliver their best for your guests.

An important reminder though - trust can only be built over time.

Start by gradually increasing your team’s autonomy and provide constructive feedback to build confidence whilst reducing your direct input into their work.

6. Measure and Adjust Regularly

Decentralised leadership isn’t a ‘set it and forget it’ approach - few things are in leadership.

It requires ongoing evaluation and fine-tuning. We assist businesses in setting up mechanisms to regularly assess how well decentralisation is working. This might involve gathering customer feedback, conducting employee engagement surveys, or analysing performance metrics.

When issues arise, your job is to review them so that you can refine processes, enhance training, or adjust your guidelines.

Decentralised leadership is iterative, which means at least initially, you are going to adjust your guidelines for your team often until you hit the sweet spot.

Remember that the ultimate goal here is to continuously empower your team to excel.

Decentralise Your Leadership - Starting Now

Decentralised leadership is a very powerful strategy for building a more engaged, responsive, and accountable workforce.

When your frontline staff and mid-level managers are empowered to make key decisions that affect your guest experience and take ownership, they drive the business forward in ways that traditional hierarchies simply cannot match.

By creating a culture where everyone is aligned, engaged, and empowered to lead, your business can streamline operations, boost employee satisfaction, and ultimately deliver more memorable customer experiences.

By following these principles, your hospitality business will foster a work environment that is not only more efficient but also more fulfilling for your team—resulting in better service and happier customers.

Remember if you have any questions or would like to explore how you can implement decentralised leadership in your business - let's have a chat.