One of the best managers I ever
had taught me a very valuable lesson about management. She was a
manager at the first bank I worked at. I was a supervisor of all of
the bank tellers. She delegated decision-making powers to all of her
staff. Of course, the level of decision-making was different for the
different levels of workers. In other words, the assistant managers
had the ability to make decisions on more important matters than did the
supervisors and the supervisors had more leeway than did the tellers.
It was one of the most important lessons I learned about managing.
The idea of giving decision-making powers to a staff is very
scary for many managers. They are either afraid to give up power or
they are afraid of mistakes being made. But giving the power to make
decisions to your staff shows that you have trust in them. I am not
advocating that every staff member have the "power" to make every decision
across the board. Obviously, not every worker is capable of making
every decision. Another thing to consider is that managers are usually
in the position they are in because they possess strong decision-making
skills. But it is important to allow all workers to make some
decisions. Here are some things to consider when allocating
decision-making powers to your staff.
1. Evaluate each worker and allocate decision-making
powers based on their position. In my situation, bank tellers did not
have the same level of authority for making decisions as did the managers
and supervisors. You still have to maintain separation of powers in
order to maintain hierarchy within the organization or business.
2. Inform each worker of the level of decision-making
that they possess. Make it clear what they can and cannot do in
relations to making decisions. For example, bank tellers had the
authority to cash checks for customers up to a certain level of money
without having to have a supervisor's permission or approval.
Supervisors had a much higher threshold and so on. You do not want
bank tellers approving transactions for tens of thousands of dollars without
their supervisor's approval.
3. Remember that you, as the manager, are still
responsible for the workers decisions. Do not let them hang out to dry
if they make a decision and it is wrong. You must accept
accountability for their decision as long as they followed the guidelines
that you implemented for them. My manager always told her supervisors
and assistant managers that we had the authority to make decisions and she
would stand behind us on any of them as long as we could show why we made
that decision and the basis for it.
4. Supporting your staff's decisions is important
because it shows trust. It builds trust between the managers and the
staff. Standing behind them empowers them to make decisions without
always second-guessing themselves.
5. Empowering your staff to make decisions instills
confidence in them. The staff feels that you trust them to make
important decisions and gains confidence in themselves as they make more.
6. Allowing your staff to make decisions allows you,
the manager, to spend your time on more important tasks. Managers
should be spending their time on more important tasks and decision-making
rather than just the trivial issues that arise hundreds of times a day.
Allowing others to make those decisions gives you the time to do more
important tasks.
7. The staff feels like they are making a contribution
to the organization or business when they are allowed to make decisions.
As a result they become more productive and loyal to the organization.
8. If one of your workers makes a mistake while making
a decision, sit down with them and explain why it was wrong. Do not
berate them in front of others or even alone. Explain why the decision
was wrong and help them understand what the right decision should have been
for the situation.
9. Spend some time coaching your staff on
decision-making skills. They will only improve if you help them.
10. Remember that some members of the staff will not
feel comfortable under any situation or conditions in making decisions.
That is important because you do not want people who are unsure of
themselves making decisions. Do not put them in a situation where they
are forced to do so if they are uncomfortable with it.
Decision-making is important in every organization and
business. Making the wrong decision in some instances can be
devastating to an organization. These decisions should be left to the
managers. Do not be afraid to delegate decision-making but be sure to
set guidelines for the level of decision-making allowed for each level of
workers. If this is done correctly, productivity, confidence, and
loyalty will increase in your organization.
Written by Jason Liptow, webmaster of The Good Manager.
Copyright © 2005.