A book I have found helpful is The E-Myth Revisited by Michael E. Gerber. It was first published in 1995. When small business owners or individuals considering starting a business ask me what book I recommend, this is my go-to suggested read. It is where I learned the concept of working on the business rather than only in the business.
I became aware of The E-Myth Revisited as part of a roundtable of small business owners. An attendee suggested that we all read a book. As I waited for one of my own books to be suggested, The E-Myth Revisited was recommended. I bought and read the book, and as you can tell, I love it.
All businesses are hard to start and sustain. I started a company at 48 years old. If I had known the failure rate for new businesses, I am not sure I would have proceeded. I am glad I did. I learned from leading an organization and then owning a business that the key is building talent.
My skill-building early on was due to working for an organization that provided development opportunities. Like other leaders, I was expected to attend skill-building sessions. Opting out was not an option. Had I been running my own business, I would have come up with reasons why I could not attend the training. This skill development forced me to work on the business versus working only in it.
A quick definition: Working in the business is the day-to-day work that consumes the majority to all of a person’s time. Working shifts, ordering supplies, doing payroll, etc. When was the last time you scheduled yourself to attend a seminar and/or some other development opportunity? When was the last time you scheduled yourself to not be on-site and instead invested in yourself?
Working both in and on the business are important. When we are too busy working in the business, it can create a “lifeguard” or “park ranger” mindset. Yes, when people are in trouble in the water or lost in the woods, it is important to rescue them. But when we work on the business, we are creating tools, processes, and skill-building that make it so that people don’t need to be saved or feel dependent on the leader for direction.
Working on the business creates a culture in which day-to-day operations will run almost on their own. It frees up leaders to work on other aspects of the business.
The book The E-Myth Revisited covers how important standard operating procedures are. To grow, an organization needs to be consistent. To be consistent, standard operating procedures are vital. They also provide the workforce with the independence to act without always asking their supervisor what to do.
A part of working on the business includes taking time for self-care. The healthier we are on the inside, the more helpful we are to others.
Working in the business keeps things running. Working on the business keeps them from depending entirely on you. In a future column, I’ll share practical ways to begin making that shift.
