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2010 | May 19 in Entrepreneurship , Business Development , Home Page News ,

Leadership Define Your Vision
By E-Myth Business Coach, and Create Your
Path.
A team is a group of people cooperating to achieve
a purpose. Your entire organization makes up your
You've read about how
team. A management team, of course, is a group of your company is built
managers. And a strategic management team is a
around your vision, now
group of senior managers responsible for the
do something about it.
strategic management of a business.

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And here’s something you may not know:
Online: Leadership
assembling a strategic management team is your
ticket to freedom.

Why is a strategic management team so critical?

First, let’s take a step back and look at the big picture. From the entrepreneurial mindset, you are
committed to building a business that is not only profitable, but also marketab le. By creating a turn-
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The creation and development of a strategic management team is the ideal mechanism for enabling
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you, the owner, to get free from the business because it ensures that strategic management is built
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 you, the owner, to get free from the business because it ensures that strategic management is built
into the business. With the right strategic management team in place, you’ve given yourself the safety
net to remove yourself from the daily activities of running the business. Twitter Updates
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What Is a Strategic Management Team?
Posted a new article: "Six Business Surveys
A strategic management team is not about assembling all of your managers to make group
You Can Use Today" http://t.co/NdfjaGNh 5 days
decisions. Anyone who’s worked in a large organization will tell you that management by a group is
ago
slower, more fragmented, and more complex than management by an individual.
new blog post: "You and the System are the
Solution" http://t.co/REYloru5 6 days ago
Rather, we’re talking about creating a group of senior-level managers who are focused on the long-
term and complex issues; a team ideally suited for decision making. Strategic management has a “If systems were the answer to all business
different, more deliberate pace than operational/tactical management. The strategic management problems then bureaucracy would be the
team will help you make the weightier decisions, the decisions with greater, long-term highest attainment..." read more:
consequences. http://t.co/wEcOi6CA 7 days ago

A strategic management team will typically consist of the CEO, a small number of key managers, and
maybe an outside advisor or two. There is no steadfast rule on the size of your strategic
management team; it will depend on the size of your organization.

What does a Strategic Management Team Do?

As the owner and CEO of your business, you are the ultimate decision maker. But with a strategic
management team, you will gain from their collective knowledge and experience. You’ll be exposed
to a diversity of viewpoints and interpretations; they’ll present you with a wider variety of alternatives
than you, yourself could come up with.

They can help you with:

Long-term plans and budgets

Tracking of overall business indicators
Business policies
Major projects
Key recruiting, hiring, and terminations
High-level decisions

And in a Small Business...

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 If you have a very small business, you may not have a single senior-level manager, let alone senior
management.

While it may be beneficial for you to seek periodic advice from friends, family, maybe even a
technician working with you, these people can not replace a strategic management team. When you
think long term, how well equipped are these acquaintances to deal with the strategic decisions that
need to be made in your business? What are their levels of experience with running a business,
strategic planning, marketing, and/or personnel management?

In the short-term, you may have to rely on yourself (after all, you are the entrepreneur at the center of
this) and then turn to your business advisors for area expertise such as your accountant, your lawyer,
your business coach, your bookkeeper, etc. etc. Keep in mind however, that you’ll never be able to
transfer the key functions you perform in your business to any of these people in a way that will
support your long-term goals.

The point here is to get free of your business, and to do that, you need to develop it to the point where
the company can at least support one management-level executive. In that case, rather than a full
team, the company may rely on just you and one other manager (somebody you could eventually
transfer responsibility to) for guidance, long-term planning, and decision making.

It's About Replacing Yourself

Let’s circle back to the idea we started with. Your strategic management team is your ticket to
freedom because by building a team who can conduct the strategic management of your business,
you’ll be able to gradually transfer more and more responsibility to that management team. At some
point, you’ll either be able to promote a manager to CEO, or hire an outsider to take that position
and… drum roll please… replace you.

That’s right! Eventually, you’ll become completely free of your business. At that point it’ll be your
choice as to whether you remove yourself from the business, sell it, or retain your title as chairman
and maintain your “remote control” oversight of the company.

Whatever you decide to do, a strategic management team is the principle way your business will get
free of you while you’re getting free of it.

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 Comments

1. frank j. says:

agreement with the philosophies of emyth as usual

thanks.

Submitted May 19, 2010 10:53 AM

2. Bashir S. says:

Well it is all about the basic philosophy of working "on" your business
rather than "in" it. Definetely a business needs a "brain box" to evaluate
what needs to be done short term or long term. Deciding on a strategic
team should be related to the goals the entrepreneur seeks to achieve. Creating a
business that can run sucessfully without the creator is a goal worth seeking for.
After all in the computer world software can be run without the creator. Thanks once
again for lighting the way. We will definetely follow the path.

Submitted May 19, 2010 11:43 AM

3. Vincent D. says:

The concept of replacing myself is somewhat foreign to my usual

thought process,but: I like it !

Thank You !

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 Submitted May 19, 2010 12:41 PM

4. Kay D. says:

Love the idea of it and is certainly what I am working torwards. It would

be great if there was a business available to offer those management
services to very new starting up businesses in an inexpensive way so
the whole process is not so overwhelming, then as you grow you employ a
management team one member at a time.

Submitted May 19, 2010 6:14 PM

5. Gary E. says:

Thank for continuing to provide sound entrepreneurial advice. Our

whole team is on board with the EMyth formula and it's become an
essential part of our DNA. We have been making a science of creating
systems and have taken several of your courses - most helpful.

Kay and anyone else thinking the same thing...a company does exist to help
Strategically and Tactically on demand - www.demgen.com

Submitted May 19, 2010 8:56 PM

6. ramalinggam k. says:

Definitely valid for those seeking FREEDOM. But the vast majority just
want to be attached to routine and habituated activities.
How to salvage these people with your "ticket to freedom" without having
to re-engineer their minds?

Submitted May 19, 2010 10:22 PM

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 7. shadrack i. says:

I say freedom will definitely be the answer to a business that works on

it's own.

Submitted May 20, 2010 5:47 AM

8. SIMON S. says:

Am a person who have never liked being in the so called RUT.I like
spending my time with different people doing different things.But
offcourse I have been limited by finances,bills to pay and other
commitments.This article especially on having a Management team could just be
the catalyst to help me achieve my freedom.

Submitted Jun 25, 2010 7:36 AM

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