Bresnahan's Shorts* - September 2005

*Short topics

Managing Change

According to Carol Kinsey Goman, Ph.D., who authored "This Isn't the Company I Joined," there are nine mistakes companies make when managing change. Here they are:

1. Not understanding the importance of people. Organizations don't change, people do — or they don't. If staff doesn't trust leadership, doesn't buy into the vision or the need to change, aren't included in the planning and implementation, it won't happen.
2. Not appreciating that people will react differently to the change. Some people are change-adept and realize the world is full of change. Change energizes them.
3. Treating transformation as an event, rather than a mental, physical and emotional process. Large-scale changes trigger emotional reactions including negativity, denial, tentative acceptance and commitment. To be successful the leadership needs to facilitate these emotions.
4. Being less than candid. The more sugar-coated the truth is the wider the trust gap becomes between management and the work force. Communicate openly and honestly. Employees are adults who can handle whatever you have to tell them. Be proactive in everything you share and invite them to work on the challenges together.
5. Not setting the stage for change. It is often announced without a reason or rationale given as to what the organization is trying to accomplish and how it fits with the corporate vision, goals and strategy. To be successful, the employees must be prepared with pertinent information about trends and the financial realities.
6. Trying to manage the transformation with the same strategies used for smaller incremental changes. Incremental change is linear and predictable. Transformation is a redefinition of who we are and what we do. It is often unpredictable and past success is not a predictor of the future.
7. Forgetting to negotiate the "contract" between the employer and the employees. People knew what they were losing but were not clear about what to expect in its place. A new relationship is formed based on mutual trust and respect. As expectations are change, the relationship changes from paternalism to partnership.
8. Believing that change-communication was what employees heard or read from corporate or top management. The communication that impacts behavior is 10% through "traditional" vehicles, 45% from what punishes or rewards in the organizations policies and procedures and 45% management behavior.
9. Understanding human potential. When potential is underestimated, it is wasted. Trust in the intelligence, capability and creativity of your employees. In today's Information Age no one can afford to waste human capital. Every skill, idea and talent is needed urgently for companies to survive. The potential of the work force is the company's greatest asset.

Top of Page

Thoughts to Ponder

"No organization can depend on genius; the supply is always scarce & unreliable. It is the test of an organization to make ordinary human beings perform better than they seem capable of, to bring out whatever strength there is in members and to use each one's strengths to help all the others perform. The purpose of an organization is to enable common people to do uncommon things." - Peter Drucker

"One of the secrets of life is to make stepping stones out of stumbling blocks." - Jack Penn

Top of Page

Back to Basics

"Haste makes waste." This comes by way of Anna Weselak and Wynne Swedberg

I read this and think about the shower door that was supposed to arrive a month ago. Well, there were several excuses given.

Wynne added, " A job worth doing is worth doing well," to the saying. Was there haste to deliver the shower door? Was there interest in doing the job well? As the story goes, a door was shipped and arrived damaged. So, it was sent back to the factory and now there is an additional cost to the company.

I would tend to say that someone, or several someones, didn't hear either of these sayings growing up, or don't care. I suspect there is something more going on than I will ever know. Can you relate to such a story as a consumer or as an employee or owner of a company? Was the person responsible for shipping mad at his boss? Does he hate his job? Is he in the wrong job (seat on the bus, according to "Good to Great")?

Well this haste not only has a dollar amount attached to it but now the supplier is going to be "apprehensive" the next time he places an order (if they continue to do business together). Trust me I won't mention the company in glowing terms (i.e. negative marketing).

These kinds of things happen every day in all kinds of industries. Do you think this kind of culture/environment will attract and retain responsible employees (the kind everybody wants)? I don't think so; and it doesn't appear to have them now. With the labor shortage looming right around the corner (baby boomers retiring), it will be harder than ever to keep good employees. For one, they get frustrated when they see others not performing responsibly.

Being in a place that brings out the best in you, and where you want to work, is what we all want. It boils down to the culture/environment that is created. A large part of that is based on trust between management and front-line employees. That happens most immediately with the boss.

If you want to be the best, and not have some consultant write about your company in her newsletter, you can make a change and achieve a responsibility-based workplace where people want to work and be their best. Granted change is not easy or comfortable, but in today's world it is a necessity for survival. Why not be all you can be and be ahead of the competition? If you can make a case for not changing, I would like to hear it.

Top of Page

Client's Corner

A client needed assistance with prescreening candidates for an upper management position. The Bresnahan Group prescreened the candidates on the telephone. This process worked quite nicely and was used for two other positions over the years. It can be considered a success since both candidates are still with the organization. It has been five years for one! Of course good management is a large part of this success!

Top of Page

Training Cuts Equal Profit Cuts

When the economy is down, typically training is the first thing cut. This happened again with the recent recession according to the American Society of Training and Development (ASTD).

U.S companies cut training by 12% in 2001 as compared to 2000. It was also noted that companies who invested $1,595 on average on training per employee/year have a gross profit margin 24% higher than companies that spent just $128.

Top of Page

Web Site

Our new website is up! Check it out and let us know what you think.

Top of Page

More Information

For more information about any of these topics contact us at 505-922-1973 or email BresGroup @ 4u.net.

Newsletter Archive