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Updated: July 8th, 2008 05:26 PM EDT

How Tight Are You Pulling The Reins?

Business 101

By Brad Humphrey

“Should I make all of the decisions in my company?” For mature contractors, this question does not threaten their authority but challenges them to assess their confidence in their employees.

The owner of a small contracting business will normally make most of the daily decisions. This is practical and easy to understand. Likewise, as a contractor’s business grows, so does the need to involve others in business decisions.

The challenge for most contractors is deciding when the point in time arrives that they should be delegating a greater portion of responsibilities and decision making. There are contributing elements to any business that can signal it is time to give up some of the reins in favor of others in a better position to make decisions and take on greater responsibility.

In the beginning, it is important to recognize if any of your people want to handle additional responsibilities. Not every employee wants responsibility and the accountability that goes along with it. For those who do desire increased participation in your company, look next to the capabilities of the employees.

If your “hungry” employee is new to your industry, you have the opportunity to begin molding his decision-making skills. Often, contractors complain about their younger workers: “They have a poor work ethic” or “They can’t handle responsibilities.” While there certainly seems to be a different work ethic among today’s employees, contractors must still assess each employee individually.

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