The Elite Financial Advisor Podcast With Sten Morgan 139 Leadership Mistakes: Messing Up Growth By Being the Bottleneck
In the next installment of our Leadership Mistakes series, Sten and Andy focus on financial advisors who become bottlenecks in their businesses.
Recognizing the Bottleneck Phenomenon
Are you the bottleneck? If you can’t spot the bottleneck in your business, it might be you. Andy and Sten use a clever card game metaphor to explain this common issue.
Overwhelmed by Roles
Financial advisors are unique as they are both business owners and primary service providers. Many advisors juggle multiple roles—marketer, operations manager, and primary service provider. This multi-tasking can lead to stagnation and a structural challenge that can lead to inefficiencies.
Delegation is Key
Realizing that operational tasks detract from client service is the first step towards effective delegation. It’s also important to recognize when to delegate tasks like paperwork or meeting preparation to junior advisors or support staff.
Scaling with a Small Team
Sten emphasizes that significant revenue growth can be achieved with a small, effective team—typically four to six people.
Identifying Your Superpowers
Assess what you excel at and enjoy doing, then hire around those strengths. This allows you to focus on high-value activities that drive business growth.
The 10-80-10 Principle
Be involved in the initial 10% of a project, delegate the next 80% to your team, and review the final 10% for quality control. Start with less critical tasks to build trust and confidence in your team.
Fostering a Culture of Ownership
Encourage open communication and constructive debate. Allow team members to challenge ideas and contribute their perspectives. Create an environment where team members feel empowered to make decisions and take risks. Communicate that not every idea is fully formed and encourage feedback and alternative solutions.
Moving Beyond Bottlenecks
It can be challenging to identify issues when you’re deeply entrenched in day-to-day activities. External perspectives can provide valuable insights.
This one’s a must-listen, especially if you’re a financial advisor feeling the weight of your dual roles. By embracing delegation, understanding personal strengths, and fostering a culture of ownership and open communication, you can break free from bottlenecks and create a thriving business.