Working "In" vs. "On" the Business - A Leader's Shift

One of the biggest mindset shifts in business ownership and leadership is understanding the difference between working in the business and working on the business. This distinction determines how effectively a company scales, innovates, and ultimately succeeds. While front-line employees primarily work in the business, handling day-to-day operations, leaders MUST transition to working on the business to ensure long-term growth and sustainability.

Defining "In" vs. "On" the Business

Working "In" the Business

• Involves direct execution of tasks necessary for daily operations.

• Focuses on short-term needs such as customer service, production, sales, and administrative duties.

• Requires attention to immediate challenges and problem-solving.

• Typically performed by front-line employees, technicians, and individual contributors.

Working "On" the Business

• Focuses on strategy, growth, and overall vision.

• Involves system development, process improvement, leadership development, and long-term planning.

• Requires delegation and empowerment of others to handle day-to-day tasks.

• Essential for business owners, executives, and leaders.

The Leadership Shift: Moving from Execution to Strategy

As professionals advance in their careers—from employees to managers, and eventually to executives—their focus must shift from working in the business to working on it. Here’s how this transition typically unfolds:

1. Front-Line Employee:

   • Primary responsibility is execution.

   • Success is measured by personal productivity and efficiency.

   • Minimal influence over strategic direction.

   • 99% in the business

2. Manager/Supervisor:

   • Balances execution with leadership and process improvement.

   • Responsible for team performance and efficiency.

   • Starts to identify inefficiencies and propose improvements.

   • 50/50 in vs on the business

3. Business Owner/Executive:

   • Shifts from task execution to decision-making and strategic oversight.

   • Focuses on culture, vision, system optimization, and scalability.

   • Delegates operational tasks to managers and employees.

   • 90% on the business 

The Challenges of Letting Go

Many entrepreneurs and new leaders struggle with transitioning from execution to strategy. They may feel:

• A loss of control by stepping away from daily operations.

• Overwhelmed by leadership responsibilities.

• That no one can do the job as well as they can.

However, failing to step back and work on the business leads to stagnation, burnout, and missed opportunities. The key to scaling any business is building strong teams and systems that allow leaders to focus on growth rather than daily problem-solving.

How to Work More "On" the Business

1. Delegate Effectively – Empower team members to handle tasks you no longer need to manage directly.

2. Develop Systems – Streamline operations with documented processes, automation, and structured workflows.

3. Focus on Leadership Development – Invest in coaching and training to build a strong leadership team.

4. Create a Vision and Strategy (and share it) – Regularly review long-term goals and ensure daily operations align with them.

5. Measure Success Differently – Instead of tracking personal output, measure team and company-wide growth.

6. Move at the Right Pace - Realize that a small business leader may take longer to make the shift while medium and large business leaders can make the move faster.

Conclusion

Understanding the difference between working in and on the business is critical for business leaders looking to scale and succeed. While front-line employees are responsible for execution, managers must balance leadership with operational oversight. As a leader, your primary responsibility should shift toward vision, strategy, and system-building. The more effectively you transition, the more sustainable and successful your business will become.

Are you still stuck working in the business when you should be working on it? Start by identifying the tasks only you can do and delegate the rest. Your business—and your sanity—will thank you for it.

Need help?  That's why we're here.

Ryan Giles