Decentralization, Is It The Way Forward?
The Oxford Dictionary defines the word decentralization as „The act or process of giving some of the power of a central government, organization, etc, to smaller parts or organizations around the country”. Well, there you have it, handy if that question ever pops up in your local pub quiz night! So where does the concept fit in your local HR company, you might ask? You might be surprised that, actually, in my opinion, it fits rather nicely indeed. Why? Because companies, be they HR or something completely different, need to grow and evolve, and as they do so, sometimes you need to recognize that the leadership strategy needs to change to reflect the company’s expansion and evolution.
Verita HR Embraces Change: Transitioning to Decentralized Leadership
Interestingly, here at Verita HR, we have now reached that very same point, and that makes it, for me, a very exciting time because it is a recognition that positive change is in order. The company is growing, and it now needs to reflect that change in the strategy and composition of the leadership team. Nothing should stay the same forever, in my opinion, and we are very fortunate to have some truly talented leaders within our ranks. And it is time to allow them to grow and flourish, so the decision-making powers need to be given to those who have proved their capability and motivation to want to take that next key step. Additionally, the old guard of leaders (if I may call them that) need to recognize that they can hand over that power to those willing to accept it and take a step back; it is not unlike the young birds fleeing the nest for the first time, you know it is always going to happen, but you need to make sure that their wings will work, and they will be safe.
It was always our plan to develop the talent of our great people and to let them manage their teams, build up their own strategy and objectives, and deliver them, and by so doing, reward them accordingly, through both rank and financial recognition. Ideally, the transition will be smooth as one party steps back, the other party steps up, a concept as old as time itself. It is important to factor in support, especially in the early stages of decentralization, respecting that with growth comes scope for error. It is only human to make mistakes; we all do it, however, you need to let the new guys learn from these experiences. Einstein (who incidentally would be an asset to any pub quiz team) famously said the definition of stupidity is the ability to keep doing the wrong things; he also said that a person who never made a mistake never tried anything new. That is, of course, why he was a genius. My point being that mentoring and positive support are crucial to make sure that there is an effective transition from apprentice to master.
From Big Ken Mills to Future Leaders: Embracing Mentorship in HR
I am sure that we can all recall one person if not more who was your mentor; I know exactly who mine was. He was a lovely man; we called him Big Ken Mills, and he was my first proper MD. He took me under his wing; in fact, he used to call me 'Young un’ in his Brummie accent. He left school at 16, never went to university, but he was brilliant as both a leader and a man of vision. In fact, he made us all in the senior management team very rich indeed after he led a management buy-out. I was only 26 at the time but within 18 months of buying our own company as well as two others, he sold the companies and the 5p share value rocketed up to £3.50p, a 70-fold increase. Yes, he knew when to allow new talent to take the next steps, and he did just that for me, and I will never forget nor thank him for that. But now it is our turn to encourage the new generation of young, talented female leaders to take that vital step, and I will watch with both pride and respect as they step up and become the very best versions of themselves that they can be. So yes, please decentralization, bring it on, time for a change.
Author: Austin Birks, CEO, Verita HR Group
