The importance of ownership for high performance

We all know that accountability is vital for a company’s success. However, many companies struggle to build a culture of ownership within their teams. Often, leaders think that they can impose a sense of responsibility on others. Instead, it would be better to focus on creating a culture of ownership. Because in my opinion, leaders should let people own their work, if they want to make them feel responsible for it.

Ownership, accountability and responsibility are similar – but also different. The terms are often used inter-changeably, but it’s important to know that they have different meanings.

The difference between accountability and ownership

Accountability means being held responsible for fulfilling duties and responsibilities. It requires answers and has consequences. Accountability is an external process defined by others. The company, or your leade​​r, will hold you accountable by providing goals and measuring progress.

On the other hand, ownership is not something that you can demand. Just like motivation, it’s intrinsic, not extrinsic. People choose themselves what drives them and what doesn’t. When someone has ownership of a task, the person possesses it and treats it as "mine". It belongs to "me". It comes from the heart – there are emotions of possession and pride. When team members feel ownership, they go the extra mile. It is a commitment. People who take ownership feel responsible for themselves, not just others.

Why is ownership so important?

Ownership inspires people to go above and beyond. It's a state of mind in which you feel in charge. Not only do you have the motivation, agency, and willingness to step up – you will also do whatever it takes to achieve the goals.

A culture that lacks ownership is easy to spot: 

Silos across teams: When people focus on small pieces or don't do something because it's not their job.

Do as I say, not as I do: Leaders expect people to operate in a certain way, but then act as if rules don’t apply to themselves.

Bystander effect: Everybody sees the trash, but no one cares to pick it up, because they think the others will do it

Ownership-driven employees take the initiative – they commit to tasks as they see them arise and don't need to be told what to do.

How to build a culture of ownership? Here are 3 tips: 

Focus on the why

Often leaders are so obsessed with creating alignment around goals and metrics that they lose perspective – they focus on the tree, not the forest. While ensuring team members know 'what' they need to achieve is vital, it's still more important that they understand the 'why.'

Delegate authority, not just responsibility

Leaders often expect people to become more accountable without giving them the power to make decisions. Distributing decision-making rights to those closest to the work provides speed and, usually, better outcomes. Delegating authority increases a sense of ownership – people take the outcome more seriously. If you want people to own the consequences, let them own their decisions.

Allow people to define things

When goals and metrics are defined by leaders only, they feel foreign. It's hard for people to own something that "comes from the top" without being consulted. Inviting people to help define the standards not only creates ownership: it also removes the need to get buy-in. By encouraging employees to build a better future, you can create a culture of collective ownership. When people help set the bar, they feel more motivated to reach and exceed their goals.

Summarized, it can be said that ownership is in fact a very powerful tool to improve the performance of a company. So if you want to improve the performance in your company, focus on building an ownership culture.