LEADERSHIP: DO YOU RUN THE BUSINESS versus DO YOU RUN THE BUSINESS?

Koos Minnema | 21-10-2020

Entrepreneurs, CEOs, enterprising managers, managers, department heads - for ease of reading from here on referred to as 'entrepreneurs' - have quite a lot on their plates. 'Managing the company' or 'the department' is often part of the job. In most cases they simply work hard in the business (especially within SMEs/SME+) and see themselves as 'cooperating foreman'. They do this with a lot of passion and pleasure, but certainly also for the result. When results suddenly disappoint, internal processes run slower or worse still 'when your cheese is stolen'*, it quickly seems as if you have to do everything at once, running out of hands, brains and time. Nothing seems to work anymore.

Header image

What causes this?
Many entrepreneurs like to be quick on the ball, so they know exactly what is happening. They are involved down to the last detail and that is where the first challenge lies. Because; tell people what to do and 80% do exactly what you ask them to do; according to figures from Gallup research from 2014.

In a stable situation this feels comfortable, especially if you want to be 'in control'. You can almost set the clock to the expected output and at the same time positively influence efficiency. You may think there is nothing wrong with that, until you ask yourself: 'Will this make everything better?'. You realize there is a downside; – it makes people dependent on you - and they will not easily do anything extra on their own. More reactive behavior arises and they get stuck when situations become less predictable.

Processes slow down and in times of crisis, like now, your company turns into a target for the competition.

How do you recognize this?
People wait for each other, wait for instruction, justify their behavior by applying and hiding behind rules (whether or not NEN-ISO certified). As it were, they only start working on a new assignment again after the clatter of 'the letterbox' and mail on 'the doormat'. An assignment that still has to be made 'formal' by the owner during the daily or weekly work meeting, then at many counters for a stamp of approval (read: along departments for inventory), because 'after all, security comes first'. , 'we don't make mistakes', 'that's just how we work here' and 'rules are rules' are frequently heard (bullshit) explanations. Or when it concerns a change: 'we already tried that, it won't work'.

What can be done about it?
Before I go into that in more detail, here are a few tough but informative facts. In independent research, people indicate that they do not like it when you tell them to do something, it causes them stress and some become ill. In the Netherlands, 'work stress' is occupational disease number 1 and accounts for 36% of all absenteeism due to illness. Work stress costs companies a total of 7.555.000 days of absenteeism, 1 million Dutch people have burnout complaints, of which 240.000 are young employees between the ages of 25 and 35. Absenteeism costs amount to no less than 1,8 billion euros annually.
Source: monitorlabor.tno.nl

If you read further in the TNO overview you will see that 44% of employees would like more autonomy, 38% experience too high task demands for themselves, 23% are victims of undesirable behavior from outside the organization, 16% are victims of undesirable behavior within the organization and 8% are bullied at work.

I conclude that involving people much more and more intensively in the work and objectives of the company will lead to better cooperation and increased focus on results.

In short, do you want more continuity in your company? Are you aiming to improve turnover and/or profitability? Then involve your people! In addition to the so-called product and process certainly also the part people your necessary attention. The people with their talents, possibilities and their behavior. Where behavior is the least easy part to change. So that won't happen overnight. Aspects about which I would like to exchange ideas with entrepreneurs and for which I will provide some tools in my extensive blog.

'Working well together' sounds nice, but is it also self-evident?

When as a company you are used to, figuratively speaking, letting fish climb and you suddenly shout: 'We are going to do this differently from now on, we are going to involve you more, we are going to listen to you, we are going to use each other's strengths, and we are going to more collaboration! 'then this will make people suspicious. Then they become defensive and start thinking out loud: 'Why didn't I do it right?'. They will say things like: 'Seeing is believing' and, unconsciously, they will show evasive behavior because they have lost their way for a moment. The underlying reason is that most people simply work hard - even out of sight of the entrepreneur - and want to do good work to the best of their knowledge, with approval and appreciation in return. Of course, a wage or salary is also part of this, but according to research, that monthly financial compensation is never in the first place as the ultimate form of appreciation.

Moreover, 'good collaboration' sounds nice, but is not always self-evident. If things are not going well in a team, this will often become painfully clear in times of crisis. Conversely, strong teams are proving their value now. This applies to both the organization and the individual team members. Because then employees help and encourage each other and work well together, even remotely.

InsightsDiscovery
Unfortunately, there is no fixed recipe for team development. You cannot become a top team in one day and if you are already behind, it is especially important to approach this carefully. A particularly functional instrument for team development is Insights Discovery. With 'Insights', employees and therefore also teams can develop further and optimally improve in a targeted manner.

Suppose you discover that Insights Discovery is a great instrument to further develop your people, then first take some distance to discover whether there are other pitfalls that can or will disrupt the various processes in the company. 'Insights Discovery' may not be a panacea, but it is certainly a powerful tool to use in improvement processes in which the people within the company are central to achieving better results.

How do you avoid the pitfalls?
In my opinion, our rapidly changing knowledge and data-driven economy requires people who make a difference in a natural way. People who do not immediately 'shout the horn', but can and dare to ask sharper questions, think together and research together.
First understand, then be understood. People who trust each other, are flexible and committed to their own organization and its objectives. People who work from there on optimal results. However, the question you can ask yourself is: 'To what extent does my organization comply with this?'
So before you start a change process, it is smart to look at your own company and its people with some distance. Just observe clearly and check the facts: what is going well, what could be improved and what should people do differently?

Keep in mind that your people are responsible for the company's results. That your people are the only 'resource' that the competition cannot copy and that you therefore hold the key to success in your own hands.

I once started on the work floor and went through all facets up to management level. This taught me that people and their performance are the basis of every successful organization. Selling, managing, doing business, but also mutual cooperation is like 'walking a tightrope uphill'. One mistake and you can fall very hard and yes, don't worry, I also fell quite a few times.

Resilient people learn from falling, get up and keep going. Even when it hurts, when it makes you insecure, when the message is less pleasant and change proves difficult, but necessary.
However, they will only do this if they have sufficient trust in each other, commitment to the company and its objectives and they are given sufficient time to learn to change while working. This also requires time and, above all, patience from you as an entrepreneur. Something that many entrepreneurs do not always excel at.

And what is the biggest pitfall?
I also want to protect you from a major pitfall, because change starts on 'the board'. It's not just for the employees, it applies to everyone. So if your management team doesn't want to go along, or they or you think it's all nonsense, then you don't even have to start. Then continue as usual, which can be very successful, but the fact is that nowadays many entrepreneurs are concerned about the continuity of the company and that action is required. On the other hand, investigating 'why' you think air cycling and 'what' it can bring you as an organization can provide a lot of clarity.

I know from practice that this process is difficult for many entrepreneurs. After all, past behavior is what made him or her so successful. Unfortunately, 'past results are no guarantee of future results'. In addition, most entrepreneurs are real decision makers and, above all, doers; they are like an accelerator and want to keep going. They like to work hands-on on a job, set a good example, work hard, naturally take charge and quickly tell people 'what' they need to do to keep the momentum going. However, sometimes it is smarter to let people make mistakes, let them discover it themselves so that they get a headache, then ask them 'how' they are going to solve it and then not immediately come up with the solution themselves. Or speak to people instead of paying, with the aim that they learn from it and so do not make the same mistake again.

Of course, tolerating mistakes does not continue indefinitely. People who persistently make the same mistake over and over again will not survive in the long run, because the group exposes them. They can no longer hide behind excuses, embarrass others or grow their moustache, simply because the group does not accept it and thus help you as an entrepreneur to achieve a better result. It will lead to situations where it is better to say goodbye to each other.

Now I know entrepreneurs who figuratively speaking occasionally bite their tongues or even literally bite their lips when they see a (potential) failure because they don't want to frustrate the process. I received the following tip for these entrepreneurs from one of my relations. An entrepreneur who I would describe as a 'reforming decision maker'.

He is very direct and also a keen observer who understands things very quickly. He can see things going wrong a mile away, but he absolutely wants his people to take the lead in the daily operation, otherwise there is a danger of reverting to old behavior. He says: 'I give my people plenty of space. They can and even have to make mistakes so that they can improve, but after '3 serious failures' it is really 'bye' and we say goodbye.

Finally, an illuminating exercise to do as a board or management team.

As indicated, changes start in the boardroom. As an executive team or as a management team you must have a clear Vision, Mission and Strategy, and I like to work with the so-called '1A4 Business Plan'. In itself an interesting process to create more cohesion in the board or management team.

As a kick-off, I ask entrepreneurs: 'To what extent have you, within your management team or management team, ever asked each member to write down his or her vision, mission and strategy of the company on a maximum of one A4 sheet prior to the meeting? Just as he or she sees it. No complicated PowerPoint, Excel sheets, external studies or anything else.

You have everyone present these thoughts to colleagues in a maximum of five minutes, without others being allowed to 'hurry up', but they are allowed to make notes so that they can ask each other questions after all presentations.

How many similarities in the presentations do you think there will be and how many differences? I guarantee you a robust discussion, so make sure you have a good chairman, because it can get intense. I am curious.

Finally, back to the title of my blog: LEADERSHIP: DO YOU RUN THE BUSINESS versus DO YOU RUN THE BUSINESS?

To what extent do you run the business and to what extent does the business run you? A pitfall for many entrepreneurs is direct management of people or teams. What is right or wrong is not up to me, but research it, discover what is good for your company and get started with it.

On the other hand, you also have entrepreneurs who focus purely on figures and have completely lost contact with the floor, while that is precisely where the money is earned. The golden tip for this entrepreneur is to get out of the Ivory Tower and return to the workplace. Just watch, help, see what happens, follow an order from start to finish if necessary. We bet you'll learn a lot from it...

Okay, if you've stuck with my blog this far, thank you. If you have any tips or would like to discuss matters, let us know and we can become wiser together and help other people.
One thing is certain, if you start with it, you will discover during the implementation that things can be done slightly differently or smarter than planned in the plan, simply because you have the focus on it and are doing well with it. That's fine, wasn't it a certain Johan Cruijff who said: 'You won't see it until you realize it?'.

Koos Minnema

*"Who stole my cheese?" is a funny book by Spencer Johnson about dealing with change. It is about 2 little mice (Snel & Snuffel) and 2 mini people (Peins and Pieker) who live in a maze and look for new cheese every day.

Most chosen workouts

0
0
In your shopping cart
Shopping cart is emptyBack to site

Request information

Interested in becoming a partner?

Leave your details to get acquainted without obligation. If you have a question or would like more information, please fill in your details and we will contact you.

Request information

Request information