The team gathers

What's Your Team Doing?

September 14, 20263 min read

What Should Your Direct Reports Actually Be Doing?

Most business owners know they need strong leadership beneath them. The problem is that many CEOs and owners cannot clearly articulate what they expect from their direct reports beyond "run your department." And, "You should know what to do."

That lack of clarity creates confusion, duplicated effort, missed opportunities, and endless firefighting.

Regardless of industry, most growing SMBs require leaders in five key areas. While titles may vary, the responsibilities should not.

Chief Operating Officer (COO)

The COO owns execution.

The CEO focuses on vision, strategy, growth, and external relationships. The COO turns that vision into operational reality.

A successful COO should:

  • Establish accountability systems

  • Drive cross-functional alignment

  • Improve productivity and efficiency

  • Identify operational bottlenecks

  • Ensure goals are achieved on schedule

The COO manages the business while helping the CEO lead it.

Chief Financial Officer (CFO) or Controller

The CFO owns financial health.

Far too many SMB finance leaders are historians who report what happened last month. Great financial leaders are forward-looking advisors.

A strong CFO should:

  • Forecast cash flow

  • Protect profit margins

  • Monitor financial performance metrics

  • Assess business risk

  • Provide strategic recommendations

The CFO should help the owner see around corners, not simply explain yesterday's numbers.

Sales Leader

Whether the title is VP of Sales, Director of Sales, or Sales Manager, this leader owns revenue generation.

Responsibilities include:

  • Building and managing the sales process

  • Developing the sales team

  • Tracking pipeline activity

  • Improving conversion rates

  • Driving consistent growth

Their role is not simply managing salespeople. Their role is creating predictable revenue.

Marketing Leader

Marketing generates demand and supports the company's brand promise.

This leader should:

  • Develop market positioning

  • Generate qualified leads

  • Strengthen the brand

  • Measure campaign effectiveness

  • Monitor customer acquisition costs

Marketing should be measured by business outcomes, not by activity.

Human Resources Leader

People issues become increasingly complex as companies grow.

An effective HR leader should:

  • Recruit top talent

  • Develop employee capabilities

  • Improve retention

  • Strengthen culture

  • Manage performance systems

Their mission is helping the organization attract, retain, and develop exceptional people.

The Difference Between Leading and Managing

Many business owners assume these terms are interchangeable. They are not.

Managers focus on:

  • Process

  • Metrics

  • Compliance

  • Efficiency

  • Daily execution

Leaders focus on:

  • Vision

  • Alignment

  • Development

  • Change

  • Inspiration

Your direct reports must do both.

If they only manage, the organization stagnates.

If they only lead, chaos follows.

Great executives create a balance between achieving today's objectives and preparing for tomorrow's opportunities.

The CEO's Responsibility

Ultimately, the effectiveness of your leadership team is not determined by their titles. It is determined by the clarity of your expectations.

Every direct report should be able to answer four questions:

  1. What results am I accountable for?

  2. What decisions can I make independently?

  3. How will success be measured?

  4. How does my role support the company's strategic objectives?

If your leaders cannot answer those questions confidently, their problem may not be capability. It may be clarity.

The most successful SMBs I work with are not led by heroic CEOs. They are led by CEOs who build strong leaders beneath them. When every executive knows what they own, how they lead, and how they contribute, the business becomes more scalable, profitable, and valuable.

The real measure of leadership is not what the CEO accomplishes personally. It is what gets accomplished when the CEO is not in the room.

Back to Blog