Does a company have a responsibility to be compassionate?

In this critical time in our country’s history, many companies are finding themselves having to make tough choices if they are going to survive this economy.  Most times the choices involve reducing costs.  This is a code word for laying off employees.  It is amazing how many companies seemingly accomplish this task without a lot of compassion.  With the stroke of a pen thousands of people’s lives are changed forever.  Some never recover from the loss.  The result can be the loss of a home, car, or deferred dreams.

Don’t get me wrong, I know that sometimes it is necessary to reduce staff and cut back on other expenses in order to ensure the survival of a company.  My question is why do so many companies make this decision and carry it out with such a lack of compassion?  I have a friend whose wife worked for a Bay Area company that called all of their field staff into the office.  As each of them arrived at the corporate office they were greeted by their supervisor who took the keys to their company vehicle handed them their last check and gave them cash for the waiting taxi that took them home.  How cold is that?

There has to be a better way.  When I was laid off from my company, not only did they give me warning, but they also explained the reasons why the decision was made.  Obviously anytime you are laid off it doesn't feel good, but when a company is cognizant of the effect that the decision will have on the employee and take steps to mitigate the shock, it goes a long way to maintaining the person’s dignity.

As a leader I think it is critical to stay in front of your business and to take steps to minimize the need for layoffs.  What do I mean?  With the exception of external forces beyond the company’s   control, there are steps the company can take to mitigate the necessity for layoffs.   Proper business forecasting, staying lean, and understanding your market can help. In addition, growth should be very strategic and personnel hired only when capacity dictates.  I hear of so many companies who experience explosive growth and hire a lot of personnel.  In short order someone gets the idea of improving efficiency which results in the loss of jobs.  Efficiency is required for a business to deliver consistent services and products to the customer, but more thought should be given beforehand to implementing streamlined processes and hiring based on anticipated need.

Leaders have a responsibility not only to their shareholders and boards, but to the people they lead.  I think you can take care of both if leaders get out of short-term thinking and look to the long-term benefits of all those they lead.  Building a compassionate and caring company culture is achievable if the right person is at the helm.

Credit Crisis

”There is no limit to what you can accomplish if you don’t care who gets the credit.”
— Ronald Reagan


Now that the mid-term elections are over, the real fun begins, (can you hear my sarcasm?).  The past few weeks since the elections, the Democrats and Republicans have started in on each other once again to pass blame and to criticize the ideas and direction that each side believes is the best way for the country to move forward.  They talk about the “lame duck” session of congress and what they will try to push through.  Will they be able to repeal “Don’t Ask, Don’t Tell?”  Although this issue may be important to some, its resolution is not essential to turning the economy around.  

During the many interviews and face to face debates on the network and cable news stations, the phrases “The American People” and “The Future of our Children” come up often. Each time they do, my head feels like it wants to EXPLODE! With all of the talk about their concern about the American People it is quite apparent that they care very little about our current and future state.

While they bicker with each other, many Americans struggle to make ends meet.  They’re concerned about the cost of health care, about the economy, about high and burdensome tax rates, and the never ending spending of our financial resources on things that do not keep our people safe or enhance the quality of our lives.

Last week I was walking in our downtown area where I met two men sitting on a bench drinking coffee.  As I began to speak with them they said that this is the worst they have ever seen in terms of the economy.  They spoke of the struggle to find work, to pay bills and to get ahead.  This is what is on the minds of the American people.

Please hear me when I say that I am not expecting the government to take care of me or my family, I can do that myself.  What I am saying is that our elected leaders continue to miss the mark on what is truly important to us. For many of them it is about winning and losing the party fight.  It is about their personal agenda and making the other side look bad.  We must demand from our elected officials to put away partisan political games and get this country back on track, together.

We can accomplish great things when we “don’t care who gets the credit.”  

Oil and Water

After 75 days we do not appear to be any closer to “plugging up that hole.” Every day I watch the news and see the live video feed of the oil leak, I feel sick. People who live and work along the Gulf Coast continue to be on pins and needles as they contemplate their future. I heard one resident of the Gulf say “I go to bed every night thinking about what I am going to do if the problem is not resolved soon.”

Recently the National Oceanic Atmospheric Administration (NOAA) closed approximately 90 thousand square miles of water from fishing in the Gulf of Mexico. This leak promises to be the greatest U.S. ecological disaster of our lifetime.

What is going on? Why is it that the leak is still spewing out thousands of gallons of oil with no end in sight? I believe it is due to a lack of leadership. When the leak first occurred there should have been a call for “all hands on deck.” We needed to make sure we had the best and brightest minds in the room. We know that did not happen. Nations with experience with major oil spills were rebuffed when they offered their help. The leak continues. The people of the United States of America are looking for leadership in the midst of this crisis.

Here is my idea of how to address the problem and inspire confidence;

Both BP and the government should develop a national communication plan.

• As part of the communication plan, leaders need to outline the current and long-term strategy for addressing the crisis in detail.

• They need to explain to the hundreds of thousands of people affected by the disaster how they are going to be compensated for their losses.

All this seems to be a no brainer, but it seems as though when I listen to the news or read about the catastrophe in the Gulf there is no consistency in the communication.

This calamity must be resolved soon; I hate to think about what another 75 days of leaking oil will have on the Gulf and other waterways. To quote one of the Gulf coast residents “It’s not about the money; it’s about a way of life”.

If you were asked to provide a solution, what would it be?

We...

With the primary elections over, let the mudslinging begin. In an article in the SF Chronicle, Saturday, June 12, 2010, just four days after the election, former California Governor Jerry Brown was said to have compared Meg Whitman, his republican opponent, to the Nazi Joseph Goebbels, the propaganda minister for Hitler. However, according to Brown’s campaign spokesman, his words were taken out of context. Here is the problem as I see it--with California at 12% unemployment, teachers and policemen being laid off, and cities throughout the country facing tremendous budget shortfalls, we have already begun to see the nasty campaign rhetoric rear its ugly head.

Is this what we have to look forward to over the next few months? While many Americans struggle to make ends meet, it is disheartening to sit on the sidelines and see candidates go after each other like we do not matter.

This is not the time for casting aspersions at one another; it is time for authentic servant leadership. Are we, as Americans, getting what we asked for? Do we demand the best of our leaders? Too often we allow them to make promises on the campaign trail but do not hold them accountable when they do not keep those promises. It should not be a surprise then when they do not live up to their commitments.

I believe we can emerge out of the current economic difficulties, but only if our leadership focuses on working through the issues with mutual goals in mind, and that is to stabilize our economy and create a sustainable job market.

As we move closer to the November elections it is going to be critical that we demand that the candidates stay focused on the issues that matter to most Americans, jobs. We must demand that they bring real solutions to the problems we face. We must not allow them to distract us with name calling and made up accusations.

Currently we are not the UNITED States of America, but are divided on so many issues and ideologies, e.g. illegal immigration, gay marriage, abortion, Republican vs. Democrat, etc. This election must be different if we are to overcome the challenges we face as a nation. Unless we hold our candidates to a higher standard we will continue to elect mediocre, self-serving individuals concerned only with their own agenda. Moreover, we will again be left frustrated and angry at the lack of results. We must demand that our candidates focus on what is good and right for all Americans.

You may have noticed that throughout this post I have used the word we frequently. Why? Because we are all in this together.