Employees vs. Profits

“I wish I was older so I could retire.”

“The company just isn’t what it used to be.”

“The company has lost the vision of the founder.”

These were just a few comments that I read in a string of Facebook posts.  The company that the employees were referring to will remain nameless. The name isn’t as important as the sentiments of the employees.

This once great company, although still profitable, has lost its way.  Some might say, “As long as it is profitable what’s the issue?”

I have spoken with current employees of the company, and they say it is not the same as it once was. It is all about the numbers and no longer about customer service or proper treatment of employees.  IF YOU DON’T LIKE IT LEAVE. YOU SHOULD BE HAPPY JUST TO HAVE A JOB!

Although these statements may be true, using them as a tool to silence employees is not the way any of us would want to be treated.

That’s the issue.

It’s my opinion that most employees understand the importance of profits and are willing to work hard to produce them. However, they also know that in order for any company to succeed, it needs a solid team of employees who are aligned with the goals of the company in order for the organization to achieve them.

Most employees want to be proud of the company they work for, and they also want to feel that they are a valued part of their company’s success.  When leadership is focused primarily on profits and productivity as most important, employees, instead, get the message that the company does not care about them.

Examples of poor leadership are all around us. Many of us can point to numerous individuals who demonstrate extraordinarily poor leadership. With the current up and down state of the economy, there is a lot of pressure on companies to perform at a very high level. Let me be clear, there is nothing wrong with profits, they sustain jobs and fuel growth. However, if a company is to remain sustainable, it will need a team of individuals who are engaged with the vision and mission of the organization.

If you are a leader of a company, what do you think current and former employees say about your organization?

Great Expectations

One day while traveling on our rapid transit system, I overheard two women talking about their jobs. During the conversation one of them expressed her total dissatisfaction with her employer, to be specific, her boss. She stated that her supervisor was unrealistic in his expectations of her. He provided no clear direction, few resources and did not appreciate her efforts. Does this sound familiar?

It is said that people do not leave their jobs because of the company, but because of the managers. The problem is that in the current market, not many are leaving their companies voluntarily, so they are more likely to put up with poor leadership, at least until the market changes.

In order for companies to be positioned for the eventual economic turn-around, they will need a highly skilled and talented workforce. The successful company will place a high value on its people process. (How does the company attract, hire and retain high quality talent that fits with its Operations Plan?). One way is a Performance Management system that consistently measures the performance of the employee.

Seven Success Factors for effective Performance Management

~ Make sure the employees know what is expected of them each and every day. The expectation should be clearly articulated by the employees.
~ Give them the opportunity to do what they do best every day, to play to their strengths.
~ Give them the tools and resources they need to succeed.
~ Develop clear goals that support the company’s overall goals.
~ Develop metrics that support and track the employees’ performance against established goals.
~ Implement a rewards system that rewards the right behaviors. Remember it’s not just about money.
~ Take the time to meet with employees individually, at least monthly, to discuss their performance and to give the appropriate feedback.

I am convinced that the two women I overheard on BART would have had a different conversation if they were exposed to an effective Performance Management system.

Do you know what is expected of you?