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ColumnsPlumbing & Mechanical ContractorBusiness ManagementKenny Chapman: The Blue Collar Coach

The Blue Collar Coach | Kenny Chapman

Crafting a self-managing organization

A comprehensive roadmap.

By Kenny Chapman
01 PM 1023 CLMN Kenny Chapman

Source: Getty Images

October 3, 2023

The accelerating pace of change in today's business environment has given rise to the need for new organizational structures that are agile, adaptable, and efficient. A concept gaining widespread interest is that of the self-managing company — an organization where power is democratized and each level of management shares in the decision-making process. The aim? To liberate leaders from operational minutiae, paving the way for strategic foresight and innovation.

Such a transformation, however, requires a radical shift away from the traditional hierarchical structures, potentially fostering increased creativity, heightened team member satisfaction, and optimized performance. If this transition resonates with you, consider this comprehensive roadmap your guide to building a self-managing organization. Make no mistake about it; this is a journey that will take a massive commitment. However, the pay-off for all involved will foster a newly found culture of success, improving every aspect of your business.

1. Craft a clear vision

Every transformation begins with a vision. Why are you passionate about creating a self-managing company? What benefits do you anticipate? The answers to these questions will shape your vision, acting as a beacon guiding your transformation journey. This vision, effectively communicated, will provide the impetus to propel your organization forward. Don't worry about being "selfish" in this step. The company needs to serve the leaders as well as everyone throughout.

2. Embrace team member empowerment

At the heart of self-management lies team member empowerment. Contrary to a free-for-all, self-management entrusts individuals with the responsibility of managing their work autonomously. This transformation requires a significant paradigm shift, starting with trust. Develop a profound trust in your team's abilities, insights, and judgment, encouraging them to fully inhabit their roles and make decisions independently. In the trades, this is a bit of a foreign concept, especially for those of us who have been around for almost 30 years and came up with the" my way or the highway" mentality.

3. Foster an environment of transparency

A culture of transparency is crucial in a self-managing organization. It fuels communication, engenders trust, and eliminates misunderstandings. Create an open atmosphere where team members can access critical information about the company's goals, decisions, and project statuses. By understanding their contributions to the company's broader mission, your team will experience a deeper sense of belonging and commitment. This is more important than ever as we see the evolution of younger talent coming into the trades who want to make an impact with their efforts regarding their career.

4. Promote effective communication

In a self-managing organization, communication serves as the essential nerve system, connecting every part of the company. Efficient communication channels ensure a smooth flow of information, enhancing collaboration and preventing blockages. Leverage the power of technology to facilitate this — from real-time messaging platforms to virtual meeting tools, myriad digital solutions can streamline communication. This flies in the face of the top-down communication model of the past. When leaders realize the front-line team has the best view of what the client's wants, needs and desires are, we begin valuing these two-way communications so much more, and everyone wins.

5. Set crystal-clear goals and expectations

Without a solid understanding of what's expected of them, your team can't effectively self-manage. Establishing precise, concise, and measurable goals provides a roadmap for employees and fosters accountability. Consider leveraging the SMART (Specific, Measurable, Achievable, Relevant, Time-bound) goal-setting framework to create clear expectations. Though this model for goal setting has been around for a long time, this is still a good guideline to help you get to the clarity necessary for your team to begin taking ownership of their personal results in the company. Keep it simple. In the world of information overload, make sure to keep goals and outcomes to just a few manageable and measurable results.

6. Cultivate continuous learning

A self-managing company necessitates a continuous learning culture, enabling team members to adapt to their evolving roles effectively. Encourage knowledge sharing and ongoing professional development. Investing in learning programs and providing resources for continuous learning will equip employees with the tools to grow both professionally and personally. As the CEO of The Blue Collar Success Group, I can't say enough about this crucial step. Of course, I'd love to have you as a client, but regardless of where you get your education and training, you must foster a learning environment in the organization to keep winning in today's world.

7. Incorporate regular feedback

Feedback is the cornerstone of a self-managing organization. It provides the team with actionable insights, enabling them to continually improve. Establish systems for peer-to-peer feedback, implement 360-degree reviews, and conduct regular check-ins to maintain high levels of engagement and performance. This peer-to-peer feedback loop has become one of the biggest improvements we're seeing with our clients who have implemented this strategy. Team members want to know how they're doing based on their peer's thoughts and feelings as much as "hearing from the boss."

8. Track success and adjust

Finally, keep the forward movement as you assess your progress using meaningful metrics. Has there been a surge in team member engagement? Are you seeing enhanced productivity and higher close rates, average tickets, or tasks per service call? Has staff turnover been reduced? Regular evaluations will help identify what's working and what needs improvement while ensuring your transformation journey stays on track. What you measure will get managed. It's simply how the human brain works. When you focus on things, they improve. You have all the tools you need; it's simply time to make a commitment if you think this strategy will serve you and your team effectively.

Kenny Chapman: The Blue Collar Coach Read More »

Remember, transitioning to a self-managing company is a marathon, not a sprint. It requires patience, commitment, and an understanding that there will be obstacles along the way. However, the rewards can be substantial: a more motivated workforce heightened organizational agility, and an enhanced ability to navigate future challenges. In my opinion, one of the biggest rewards is the fun and fulfillment of seeing your team members become more and accomplish more than they might have otherwise thought possible. I've built self-managing teams for years in multiple industries, and this I can tell you: A self-managing company is simply a group of people who have developed the skills of managing themselves more often than not.

By deeply trusting and empowering your team members, nurturing transparency, prioritizing effective communication, setting unambiguous goals, and fostering a culture of learning and feedback, you can build the groundwork for a self-managing company. As your journey unfolds, consistently track progress, and fine-tune strategies. Your reward? An organization that's not just prepared for the challenges of today but primed for the opportunities of tomorrow.

KEYWORDS: business administration business coaching contractors leadership

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Kenny Chapman, "The Blue Collar Coach," is an award-winning industry coach and trainer, as well as founder of The Blue Collar Success Group, a business-development organization for in-home service contractors. He is the author of In-Home Sales Acceleration and The Six Dimensions of C.H.A.N.G.E. and specializes in helping business operators become true business owners. Visit Kenny's website for free sales and leadership resources, or call 877-968-2244 to see how Kenny and the BCSG team can help you improve your company and better your life.

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