Responsibility and Authority Balance

As a CEO or business owner, what is your role in creating a successful work environment??

Lead people? Develop them? cultivate a culture of trust and accountability??

Unless you've been living under a rock, you've seen all the buzz about employee engagement, morale and corporate culture. It's no secret, that employees need to feel supported, empowered, and respected. But one area where so many small business leaders screw up is the responsibility and authority balance.

They hire great people, and give people the responsibility but hold back the authority from them which they need to really succeed. This almost ALWAYS leads to unhealthy conflict, toxicity, blame games, and eventually turnover. So what’s the solve? Let’s dive into why CEOs must consider this important balance and why it's so damn hard to give up your control.

What is Responsibility and Authority??

First, let’s define both terms. Responsibility refers to the obligation of an individual to perform certain tasks in order to achieve success for their organization or team. Authority refers to the power or right of an individual to take action on behalf of their organization or team. In other words, it’s the ability to make decisions and get s*** done.?

The Role of CEOs in This Balance?

It is up to CEOs to ensure that there is a healthy balance between responsibility and authority among their teams. Get it right and you create an environment where employees are empowered, do what they say they will do and able to take ownership of their work while also feeling supported by their leaders. You'll see higher employee engagement and satisfaction levels which undoubtedly lead to better performance outcomes for the business as a whole and you might even finally get a vacation without losing your mind.?

On the other hand, give someone responsibility without providing them with true authority or support, and eventually they will likely become frustrated with you, the business and their role. "Since it's not up to me, it doesn't matter what I say or do". This approach breeds conflict and misalignment. Rest assured, there will be negative consequences whether they arise now or later. On the other hand, if you give someone too much authority without giving them enough responsibility then they could become complacent or even overconfident in their decision-making abilities which could lead to bad decisions that they weren't supposed to make to begin with. Having said that, it's better to make a bad decision that no decision at all.?

What's the Root Cause?

So why is it so hard to let people do their jobs? I'll give you two main reasons that I've seen.?

1. For starters, small business owners that play the role of CEO or any active role in the business tend to be control freaks. It's their baby, they started it, they built it, and they did all the jobs at the start so obviously, they know best. Right? Wrong! What got you here won't get you there. It's a tale as old as time and still never ceases to amaze me how common this theme is.?
2. Second, lack of trust. Now I believe that trust should be earned, it should be built over time and you shouldn't necessarily hand over full control to a complete stranger. But you need to actually walk that journey together. If you don't trust someone to have the authority they need to do their responsibilities, adjust the responsibilities. Start small, give them room and safety to fail with the small things before you give them the bigger boulders to carry. And of course, keep in mind, they won't always do it your way and usually, that's a good thing!
3. Third, they have an unhealthy obsession with results and outcomes (short-term). "What will people think about us? Will we lose the client? What will happen to the profits?" Short-term thinking is fear-based and doesn't serve anybody any good. It just creates tension, stress and attracts all the negative crap you say you don't want. Give people the chance to prove themselves, let them lead, let them stumble, let them fall. And be ready to help them back up when they do, so that they (and you) can grow from the experience.?

Creating a Healthy Balance?

Finding the right balance between responsibility and authority requires thinking, planning and a collaborative approach. It cannot be left up to chance or guesswork alone! Here are a few things you can do now to avoid this trap and set your people up to really succeed:

1. Start by assessing each individual's role within your organization -?

2. What responsibilities do they have??

3. What kind of decisions should they be making independently??

4. How much guidance will they need from you??

5. Once you have identified each person's specific needs, it will be easier for you to determine how much responsibility vs authority should be given out accordingly in order for everyone involved to succeed in their roles and be successful.?

6. Have a conversation. Ask directly - "Do you have the control and support you need to be successful?" "Am I holding you back?" "How do you think you're doing?"

The responsibility and authority balance is critical for any successful organization – but especially so for those led by CEOs or Business Owners who want their businesses to thrive long-term. By taking some time now to evaluate each person's unique needs when it comes to both these areas, you can ensure that everyone has what they need in order to succeed – with fewer conflicts along the way!

So business owners and CEOs, my message to you is this - Quit trying to control the outcomes. Focus on the inputs and the process. Don't lead your people with a leash, walk alongside them and give them the support and love they need and deserve. Heck, you might even be surprised by the outcomes.?