“Work on your business, not in it.” This is the most repeated mantra in the leadership books, boardrooms, and executive retreats. The main question is, what does this mean for the CEOs leading the fast-growing companies? Many people consider it just a vague theory and unrealistic advice, but this simple distinction can be a turning point between plateauing and real-time scaling.
In this blog, we will delve into the true meaning of “working on the business” and explore why it is a crucial mindset shift for growth-stage CEOs. We will also explore the distinction between working in day-to-day operations and working on the business, and understand why this gap is crucial for long-term business success. If you are building a leadership bench or refining your strategic vision, this mindset shift is crucial to achieving sustainable business success.
The Most Misunderstood Advice CEOs Hear
The phrase “Work on the business, not in the business” is like a badge of honour in the entrepreneurial world. This is the most repeated piece of advice often quoted by advisors, investors, and leadership coaches worldwide. But despite the popularity of this phrase, it is rarely defined in a way that CEOs can apply it meaningfully. It appears to be strategic and empowering, but without clarity, it becomes just information that circulates in conversations without any real-time application.
The problem is that many CEOs believe they are working on their business simply because they are making decisions and attending high-level, transformative meetings. However, upon conducting an in-depth analysis, you will find that they are consumed by approvals, urgent problem-solving, or addressing issues on behalf of their teams. They spend their precious time responding to the noises in daily operations rather than planning for tomorrow’s growth.
This misunderstanding is a strategic blind spot that traps CEOs in operations that unknowingly limit the growth and scalability of their businesses. Due to their busyness with unimportant tasks, they defer long-term planning, postpone system development, and underinvest in leadership depth. The fundamental transformation for businesses is that CEOs step back from being involved in daily operations and examine how the business runs, starting to build the machine rather than constantly being a part of it.
Working IN” vs “Working ON” The Business | What’s the Actual Difference?
At first glance, it’s hard to distinguish between working in and working on the business, but in reality, it requires a mindset shift to understand this distinction. Working in the business keeps you constantly busy with unnecessary tasks, but working on the business means building a system, empowering the teams, and focusing on the long game. CEOs who understand this difference gain freedom, focus, and the ability to scale their impact without being the center of everything.
Here is the clear difference between the two mindsets:
| Feature | Working IN the Business | Working ON the business |
| Daily Focus | Managing daily tasks and firefighting problems. | Building a system that runs without you. |
| Problem-Solving Style | Involved in solving the team’s problems. | Helping the leaders to solve problems by themselves. |
| Meeting involvement | Executing and attending every meeting. | Delegates the work, uses free time to think big. |
| Response Mode | Reacting to every issue. | Analyzing future opportunities and risks. |
| Leadership Role | Being the bottleneck. | Removing the bottleneck across the organization. |
The 5 Pillars of Working on the Business
Working on the business requires a deliberate focus on building a foundation for long-term growth, one that encompasses not only managing today’s tasks but also preparing for tomorrow. CEOs who operate in this mode focus on areas that drive long-term value creation. There are five pillars that form the core responsibilities of a strategic CEO, allowing them to build an organization that thrives without constant intervention.
- Vision & Strategic Direction: Begins with defining where the company is headed, why this direction is important, and how it will achieve success. A clear goal aligns the team and attracts the right opportunities.
- Designing and Refining the Organizational Structure: A proper structure ensures the scalability of the business, ensuring the right roles, reporting lines, and decision-making processes make the organization efficient.
- Creating Scalable Systems and Processes: Build a scalable system that operates on standard operating procedures, eliminating the need for individual heroics.
- Developing People and Culture: Establish a leadership development program within your organization and foster a culture of ownership, agility, and aligned values.
- Monitoring and Adjusting Through Strategic Metrics: Utilize high-level KPIs to track the performance of individuals and inform strategic decisions, avoiding distractions from operational noise.
5 Common Traps That Pull CEOs Back “In” the Business
Even experienced CEOs sometimes slip into daily operations without realizing it. These moves often appear strategic, but in the long term, they erode the organization’s strategic momentum and growth. Recognizing these traps is the first step in reclaiming your focus and returning to high-value work.
- Attending Every Meeting Out of Habit: While attending every meeting may seem like a way to stay informed, it often signals a lack of trust in the team.
- Making Yourself the Single Point of Approval: When everything needs to be approved by you, it slows down the process, and it is a clear sign of unclear ownership.
- Reacting to Slack and Email All Day: Replying to emails all day creates an illusion of control, but it keeps you in a reactive mode instead of fostering proactive leadership.
- Lacking Regular “Think Time” or Offsite Vision Days: Without dedicated time to think and strategize, your role risks becoming a glorified middle management position.
- Fixing What Others Should Own: Jumping to solve the problems of others robs your team of learning opportunities and reinforces a dependency.
How to Start Shifting Your Time from “In” to “On”
Transitioning from being deeply involved with daily operations to acting more strategically doesn’t happen overnight. A change in leadership style and habits is crucial. Start by auditing your week to understand where all your time is being spent. Many CEOs are surprised by just how many hours are consumed by tasks that don’t require their involvement, such as solving repetitive problems or attending meetings without the right decision-making. Once you have an understanding of where everything goes, identify patterns so you know where to offload responsibilities.
Next, focus on delegating better, rather than simply more. Real delegation means assigning outcomes over tasks and trusting your team to figure out the “how.” To protect your headspace and save yourself the hassle, set aside uninterrupted hours in your calendar for visioning, problem-solving, or market thinking. Lastly, invest in elevating your team by strengthening its decision-making abilities. When leaders gain more confidence and competence, they’ll spend less time managing and more time creating the future.
Ready to Lead at a Higher Level? Start Working On What Truly Matters
Stepping outside the day-to-day doesn’t mean working less; it means working smarter and leading with intention. By shifting away from reacting and toward shaping, businesses become more scalable, teams more empowered, and visions more reachable. The most successful CEOs don’t spend all their time attending meetings or solving issues themselves. They build systems and leaders who carry momentum forward.
Are you ready to transition from operating your business to architecting it? Now is the time! The CEO Project provides high-performing CEOs with the resources and support to develop lasting strategies, structures, and leadership practices for sustainable success. Take advantage of curated peer groups and expert guidance as an avenue towards your own personal and business growth.
FAQs
- What does working on your business mean?
Working on your business means focusing on strategies and leadership development rather than being involved in daily operations.
2. What work does a CEO do?
A CEO sets the vision and shapes the culture of ownership within the organization. He is involved in building leadership in the organization.
3. What are a CEO’s most important tasks?
The CEO sets the vision and develops leaders; this is the most important task the CEO performs.
4. What does “working on the business, not in the business” mean?
It is a mindset shift that involves managing tasks and solving problems to create structures and empower other team members.
