Identify the 'Hub and Spoke' Management Model

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Top ten Mistakes Contractors & landscapers Make # 1

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The first major mistake discussed is the 'hub and spoke' management model. In this model, the business owner (the 'hub') is at the center, and all employees (the 'spokes') directly report to and seek guidance from the owner. This is visually represented by the presenter drawing a central circle (the owner) with multiple lines extending outwards to other circles (employees). This structure means the owner is a bottleneck, constantly answering questions and solving problems for everyone, making it impossible to take time off or for the business to operate without their direct involvement. The owner effectively has a 'glorified job' rather than a true business that can run independently.

Goal: Recognize and understand the structure and implications of the 'hub and spoke' management model.

Tools and materials

Marker — Drawing the organizational chart
Whiteboard — Visualizing the management structure

What they say

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So, let's talk about number one. Number one, the hub and spoke management model. I do this. You do this. I've got to stop doing this. You've got to stop doing this. Here I am. That's me. That's you. Can you see this? Hi. I'm happy. I'm in the middle. That's the hub. Here's one guy. Here's another guy. Boom. Boom. Guess who they answer to? You. Here's a third guy. Here's a fourth guy. Here's a fifth guy. Maybe you don't have that many guys. Maybe you do. It doesn't matter. You are the center of attention in your business. Guess what that means? You don't get to lead. You don't get to take a break. You don't get a day off because when you do, these guys don't have anybody to talk to. They don't know what. They don't have anybody to go to for their questions, their problems, their concerns. You are the center of your business world which means you have a glorified job. You don't have a business. You can never leave your job. You are stuck. This is called the hub

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