EXCITING "OPS MANAGEMENT": HOW TO TRANSFER PROPERLY COMPANY MANAGEMENT WITHOUT HARMING THE BUSINESS.
Onwinter evening at the end of 2019I turned off the light in my office and walked out. That eveningI didn’t just end a regular workday—I stepped away from the operational management of the company, that I had run for 20 years.
I did it consciously, soberly and with prior preparation for both myself and the company.
Although I still occasionally visit the office to discuss strategic issues and plans, I haven’t been involved in operational work since that day—neither during the COVID-19 pandemic nor during wartime.
Five years later I have never regreted my decision. It is now clear to me, that at a certain stage of a company's life, the energy of its owner, which once fueled business growth, starts to become a hindrance.
Processes slow down and the owner becomes a "bottleneck." Recognizing this moment is crucial and the next step is to act. One option is to step out of "operations," but it’s important to do so correctly. How? Based on my experience, I have formulated five rules.
Rule № 1: To conduct a time audit
We, entrepreneurs, are practical and often skeptical individuals. Feelings alone aren’t a convincing argument—they should be backed by data. A time audit is an effective way to measure how tasks consume your time and energy.
If you feel inefficient, data will likely confirm it. You may find out, that much of your time is spent on tasks below your level. Personally I I realized I was overly involved in the company’s design bureau.
I also struggled to let go of financial control—a challenging area for many entrepreneurs. Delegating financial management to a top executive is a serious and responsible step, that takes time.
It’s also difficult to relinquish communication with key clients and suppliers as these relationships are often built over years. There’s a high likelihood that clients won’t immediately accept the new CEO and will prefer to continue dealing with the owner.
These are all risks, but if "non-core" tasks weigh heavily on your mind and shoulders, a decisive step to exit those processes is necessary. However...
Rule№ 2: Exit "ops management" gradually and smoothly
Avoid abrupt changes, especially in the matters concerning your business. If you’ve spent over a decade—or even two—in operational management, a sudden exit will be stressful for both you and the company.
Start by reducing your working hours and presence in the office. For example, after auditing your work time, you may realize your tasks only require from two to three hours per day. This becomes your first goal: limit your operational involvement to not more than two - three hours a day.
The rest of your time can be devoted to other areas of life: sports, hobbies, family, educationand personal interests—consciously and without guilt. During those limited work hours focus on preparing the company for your departure. This leads to the third essential rule...
Rule №3: prepare the company before your exit
As for me, this process took three years—a full-scale project with timelines, budgetsand goals. You can’t leave the company if there’s no clear organizational structure, poorly defined business processesor unresolved communication issues.
From my experienceit’s nearly impossible to assess your company objectively without external help, especially when it comes to people. As the founder, you are likely to value those, who stood by you in the early days of your business. However, it may turn out that these individuals are the least effective, disrupt the team dynamic or even undermine your authority. An independent audit can provide an unbiased snapshot of the current state: who is doing what and how management functions are distributed.
Step 2: design a new structure
This structure should exclude the owner or leader planning to exit from daily processes. It must clearly outline where the company stands now and its direction for the future. Building such a structure and implementing changes takes time—typically from one to three years.
· Year 1: Redefine the organizational structure.
· Year 2: Implement the new business processes.
· Year 3: Test and refine these processes in real-world conditions.
When the company reaches a stage ,where a single leader can no longer directly oversee all processes, a multi-tiered management system becomes essential.
· Top tier: The owner and the board of directors.
· Next tier: The CEO and several levels of management.
For this system to work smoothlyall the processes must be clearly documentedand bureaucracy introduced—but only to a necessary degree.
Structured bureaucracy
When managed well, bureaucracy maintains order and ensures responsibilities are clearly distributed. However, within this preparation phase lies a particularly challenging component..
Rule№4: finding and preparing a CEO
Preparing a CEO for your company requires a long-term, thoughtful approach. In Ukraine there isn’t yet a robust system for training effective leaders. While programs and training courses are emerging, they are far from producing systematic and reliable results.
What about hiring an experienced manager from another companyor even better, an expatriate? I have my doubts. Ukrainian companies are uniquely shaped by their internal characteristics, historiesand "skeletons in the closet." For the CEO role internal candidates are often the better choice. These individuals already understand the company’s inner workings and can integrate organically into the updated system.
Over two yearsobserve your team to identify who shows initiative, achieves results, completes tasks diligently and follows through on commitments. Such observations will help you select the most suitable candidate.
Transitioning leadership
Once a candidate for the CEO position is chosen, the process of handing over responsibilities begins. The ideal transition period is about a year. This time allows not only for the CEO to prepare for independent leadership but also for the staff to adapt to the new structure.
Employees may initially revert to old habits, such as bringing documents to the owner for approval, even though the CEO has been assigned signing authority. At this stage it is crucial for the owner to redirect employees to the new CEO, helping them to acclimate to the updated hierarchy.
During this transitionthe owner should focus on monitoring key performance indicators (KPIs), essential for the business’s stable growth. The frequency of monitoring can vary—monthly, quarterly or weekly—depending on the company’s needs.
Strategic sessions and planning.
An integral part of the control system is the annual strategic session. During this meeting the team and the owner collaborate to set goals and plans for the upcoming year. It’stime to address challenges, discuss what is needed for growth and finalize the strategic plan.
The owner’s role here is limited: they may approve the strategic direction or provide feedback during its refinement. Afterward, the team executes the plan with the support they need—but nothing more from the owner. This leads to the final rule...
Rule№5: once you leave "ops management," don’t come back
If an owner decides to return to operational management, I have bad news: there’s no longer a place for them. A return disrupts established processes, undermines the effort, time and money, invested in restructuring, and most importantly, "emasculates" the management team, stripping it of authority.
A returning owner risks undoing the trust and independence they worked so hard to build. The management team, now sidelined, may lose motivation and feel disempowered.
The decision to leave operational management is irreversible. By stepping out the owner allows the company to grow beyond their personal involvement, ensuring its long-term success.
When an owner starts giving direct instructions, the team sees it as a signal: the old rules dont longer apply. Employees, who are used to working under clear regulations, become confused and lose their sense of direction. It all boils down to one thing: "Now we’re back to following orders, no more initiative."
Therefore, before deciding to step away from operational management, it’s worth to weigh all the pros and cons and listen to yourself: am I really ready to step away? If the answer is yes, then no matter what happens—don’t return.
People usually return because of two reasons: either they don’t trust the management during the crisis (which means they didn’t prepare them well or thoroughly enough) or they can’t fully occupy their free time. This means better preparation is needed and along with structuring the company one should plan activities for life "after stepping away."
However, the answer might be different: you are not ready. In this caseit’s not worth starting. In reality stepping away from "operations" is an overhyped topic. But if you don’t feel internal dissatisfaction or a clear need to let go of control, then maybe you don’t need it.
Moreover, if you enjoy working 24/7, having full control and it doesn’t harm you or your business—then keep toiling it away and go on thriving!
