Scaling Up, by Verne Harnish, is a book I refer to a lot when working with clients. It is a book filled with tools and techniques to help you bust through the barriers to growth, including real-world examples from some of the fastest-growing companies in the world. It arms business leaders with the information to help get their organization in sync and making money – after all, that’s what we all want, right?
One of the tools that this book introduces is the Functional Accountability Chart (FACe). One of the key challenges organizations face when trying to develop a functional leadership team is being able to clearly define the individual functional accountabilities of their leadership team. This is where the Functional Accountability Chart can help.
But first, what is functional accountability? Functional accountability in an organization means understanding who is responsible for what and ensuring that everyone knows what is expected of them and that they deliver on it. It is essentially making sure you have the right people in the right roles within your organization.
The Functional Accountability Chart (FACe)
See the entire work catalogue of your organization and who is accountable for each function all on one page with the Functional Accountability Chart!
This chart lists a set of common functions found in most organizations and helps you to clarify who is accountable for each specific business function and how they will be held accountable for it.
As well as assigning a team member to each function, this chart walks you through designating KPIs to help your leadership team understand where their efforts need to be focused on the day-to-day, and financial objectives ((ie. revenue, gross margin, profit, cash, etc.) to help identify the progress, results, and success that each function provides.
Once you have completed this one-page business tool, you will be able to identify any people or performance gaps within your leadership team.
How to delegate functional accountability
When it comes to delegating the business functions, you want to delegate to leaders who align with your company culture and pass two tests:
- They don’t need to be managed.
- They regularly wow the team with their insights and output.
The benefits of the Functional Accountability Chart
The Functional Accountability Chart is an effective tool that helps business leaders to
- See an outline of all the work the organization has to do
- Clarify and understand who is accountable for each business function
- Define how to measure the success of each business function
- Ensure the right people are in the right roles within the organization
- Identify where (if any) the people and performance gaps are in the organization’s leadership team
- For a growing organization, it helps to figure out which business function to delegate next
Want help creating a functional accountability chart for your organization or want a copy of the Functional Accountability Chart to fill out yourself, get in touch today!
