Being a company director is an exciting role in which you get to make big decisions for your business. Decisions you make as a company director have an impact on many people inside and outside of your company, so being a conscientious and informed decision-maker is important. Before becoming a full-time company director it’s worth knowing what to expect from the role.
1. Managing Yourself
As a company director, there are some great benefits that come with the position, such as having a clear sense of purpose and direction, getting to make your own working hours, and making an impact on something you’re passionate about. Sometimes, taking care of employees can take up a lot of time, but it can be rewarding to watch your team grow. However, you should also keep in mind that you need to take care of yourself as well. Looking into what specific benefits you get in your position, be it the directors redundancy entitlements which can be varied depending on the business, or pension arrangements, is always important. As a company director, it’s key to take care of your mental and physical health so that you can bring your A-game every day. Keeping an eye on how much time you’re working, and making sure you get enough time for yourself, is important.
2. Duties and Responsibilities
As a company director, there are some key duties and responsibilities that come with the position. These include:
- Ensuring the efficient, safe and proper operation of the company – this includes taking care of company records, reviewing financial statements, and preparing annual reports. However, it could also mean recognizing when an employee has a creative idea and taking steps to turn that idea into reality in the best possible way. Whether you do it yourself or delegate the duty – it’s important to manage this responsibility well.
- Preparing and approving financial statements – which includes reading the accounts prepared by an accountant or bookkeeper. This also means understanding how cash is received in your company, including making deposits at the bank, transferring money to other accounts, preparing cheques for expenses and salaries, among other things. It’s important to keep track of all these financial transactions and know how to manage them well.
- Following laws set on by the government – including taxation law, employment law, environmental protection laws, etc. Again, you might have an in-house legal team that deals with the specifics, but as the director, you should be well-versed in the key elements of the law.
- Focusing on customer satisfaction – as a company, you want to focus on what your customers need and how they can be satisfied. As a director, you should be aware of this element and set it into motion in your company.
- Protecting employees’ rights – including realizing that there are specific things that need to be done for employees to feel safe and happy. You also need to pay them what they are entitled to, which you can do by taking care of salary payments, among other things.
While there may be plenty of other duties and responsibilities that come with the position, these are some of the key elements you should be aware of as a company director. Being well-versed in each aspect will help you make informed decisions about your business so that it can grow successfully.
3. Managing Departments And Employees
As a company director, you’re likely to have employees working for your company. This means that you need to make sure each department is running smoothly and everyone has what they need to do their job well. You should focus on setting up clear roles and responsibilities within the department, giving employees proper training for their tasks, and providing incentives for them to do a good job. Having great people in positions of department-heads, that can create core teams for their own departments, is also important. Focusing on department goals is important because it allows you to set tasks and deadlines in a way that will benefit the team as a whole. It also helps employees stay focused on the end goal, which is what you want from your workforce.
Additionally, it’s also important to be open-minded about new ideas and listen carefully to what your employees have to say. Whether you implement their ideas on board or not, it’s always good business practice to take everyone’s ideas into consideration before moving forward. Again, this can help foster a strong company culture where everyone feels respected and valued. Knowing how to achieve that, as well as how to delegate different jobs to different employees, are crucial skills for a company director.
4. Filling The Role Of A Leader
As a company director, it’s important to always remember that you’re viewed as a leader in the eyes of your staff and customers. This means acting like one by setting an example for how everyone should work – which includes working hard yourself! You should be a voice of reason and someone your employees and customers can lean on for support.
You might also find yourself in a position where you need to reprimand an employee for their behavior. While this is unfortunate, it’s important that everyone knows there are consequences for not doing what they’re supposed to do or saying something unacceptable. Being firm about your rules, but also being understanding when employees are trying their best, is the way to go. There’s a lot of people skills that go into being a good leader, which means self-awareness is another important characteristic in a company director.
5. Understanding Different Business Aspects
Above all, being a company director means being knowledgeable of business concepts. You should have an understanding of how things are done at different levels so that you can consult the right people if you need help making decisions. This includes knowing what kind of products your customers want and how they want them delivered. No one can know everything, which is why as a company director, you should always be asking questions. There’s nothing wrong with admitting that you don’t know something and asking for help either internally or externally. However, you should know enough about each process in the company, to understand what questions to ask. Being aware of what businesses in your industry do, as well as how they do it, is also key. For example, you don’t have to know much about IT if that’s not your company’s main product. However, you should know enough to be able to recognize the value of IT investment and know when to ask for help with implementing new gadgets.
The world of business changes all the time. From marketing strategies to new technologies, many things are constantly evolving – and this means it’s on you and your team to stay up-to-date. Always keep learning and be open to new ideas. That’s the only way you can grow and improve over time – and it also helps set a good example for your employees. Finally, it’s important to be aware of your company’s reputation so you can always do the best job possible. This means being kind to everyone you deal with – both inside and outside the company.