What does a Managing Director do?
By Bridging Loan Directory -
By guest author Chris Budd, Financial Planning Consultant & Managing Director at Ovation Finance.
What do Managing Directors do?
It’s a very literal job title, is Managing Director. And yet it covers a multitude of disciplines. For the small business owner, ‘manage’ can include sales, HR, operations, finance, and so on. ‘Direct’ can include strategy, planning, design, and so on.
And the irony of all this? Many small business owners only ever wanted to do delivery i.e. to provide the service or product about which they were so passionate that they wanted to set up their own business in the first place.
Of course, as one grows, so one can employ individuals, either in house or out sourced, to take over these various roles. A true Managing Director should therefore be like the captain of the ship, with various team members able to action their ideas, and provide feedback and information on whether those ideas are working.
In my experience, however, there is one role that most small business owners keep to themselves, when it is actually the most important to get help with. So what is it that I think is the most important advisory role for a small business owner?
Implementation of strategy.
There are lots of (very good) strategists out there, business advisors, coaches (I might even include myself in that category!). There are also plenty of people who can provide you with information – management accountants, finance directors, and so on. But, once they have delivered their opinion, they leave. The business owner, also the Managing Director, is left to actually make it happen.
Manage and Direct. Implementation of strategy. It’s not the same thing.
There are some high quality advisers out there who can help, and we are working with several at the moment. In my opinion, it’s the most important help the Managing Director can receive.