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

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.

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.

Additionally, in a stable situation, that feels quite comfortable, especially if you like to be 'in control'. You can almost set your clock by the expected output and, in the meantime, positively influence efficiency as well.

Moreover, there is nothing wrong with that, you might think, until you ask yourself: 'Does this make everything better?'

Furthermore, you realize there is a downside – it makes people dependent on you – meaning they are unlikely to do something extra of their own accord. More reactive behavior emerges, and they get stuck when situations become less predictable.

Moreover, processes lose momentum, and in times of crisis, like now, your company turns into a target for the competition.

So, how do you recognize this?
People wait for each other, wait for instructions, justify their behavior by applying and hiding behind rules (whether or not NEN-ISO certified).

As a result, they only get back to work on a new assignment, as it were, after the rattling of 'the letterbox' and mail on 'the doormat'.

Next, an assignment that still needs to be made 'formal' by the boss during the daily or weekly work meeting, followed by a trip through numerous counters for a stamp of approval (read: to departments for inventory), because 'certainty comes first, after all', 'we don't make mistakes', 'that's just how we work here', and 'rules are rules' as frequently heard (bullshit) justifications.

Also, or when it concerns a change: 'we have already tried that, that won't work'.

In short, what can be done about it?
Before I go into that in more detail, here are a few tough yet informative facts. Independent research shows that people do not like being told what to do; they experience stress as a result, and some become ill.

Incidentally, 'work stress' is the number one occupational disease in the Netherlands and accounts for 36% of all absenteeism. Work stress costs companies a total of 7.

For example, 555.000 days of absence, 1 million Dutch people suffer from burnout symptoms, of which 240.000 are young employees between the ages of 25 and 35. The costs of absenteeism amount to no less than 1,8 billion euros annually.
Source: monitorarbeid.tno.

After all, if you read further in the TNO overview, you see that 44% of employees would like more autonomy, 38% experience excessive task demands on themselves, 23% are victims of unwanted behavior from outside the organization, 16% are victims of unwanted behavior within the organization, and 8% are bullied at work.

In addition, I note that involving people much more and more intensively in the work and objectives of the company will lead to better collaboration and increased results orientation.

In short, do you want more continuity in your business? Are you aiming for improved revenue and/or profitability? Then involve your people! In addition to the so-called product and process, be sure to give the people component the necessary attention as well.

Incidentally, the people with their talents, possibilities, and their behavior. Whereby behavior is the least easy part to change.

Furthermore, that isn't going to happen overnight either. These are aspects I enjoy discussing with entrepreneurs, and for which I will provide some practical tools in my extensive blog.

Ultimately, 'working well together' sounds nice, but is it also a given?

When, as a company, you're used to, figuratively speaking, letting fish climb, and you suddenly shout: 'We're going to do things differently from now on, we're going to involve you more, we're going to listen to you, we're going to use each other's strengths, and we're going to collaborate more!

'then this will make people suspicious.

Moreover, as a result, they become defensive and start thinking out loud: 'Why didn't I do it right then?'

Yet they will say things like, 'Seeing is believing,' and unconsciously start exhibiting evasive behavior because they are temporarily lost.

So the underlying reason for this is that most people simply work hard – even out of sight of the entrepreneur – and want to deliver good work in good faith, in exchange for approval and appreciation.

In fact, wages or salary are naturally part of that too, but according to research, that monthly financial compensation never ranks first as the ultimate form of appreciation.

Moreover, 'working well together' sounds nice, but it is not always a given. If things are not running smoothly within a team, this will often become painfully clear during times of crisis. Conversely, strong teams are proving their worth precisely now.

Meanwhile, this applies to both the organization and the individual team members. Because then employees help and encourage each other and collaborate well, even remotely.

Additionally, Insights Discovery
Unfortunately, there is no fixed recipe for team development. You don't become a top team in one day, and if you are already falling behind, it is all the more important to address this carefully.

Moreover, Insights Discovery is a particularly functional tool for team development. With 'Insights', employees, and therefore teams, can develop further in a targeted manner and improve optimally.

Furthermore, suppose you discover that Insights Discovery is a great tool for further developing your people; then first take a step back to discover if there are any other pitfalls that could or will disrupt the various processes within the company.

Furthermore, while 'Insights Discovery' is certainly not a miracle cure, it is definitely a powerful tool to use in improvement processes where the people within the company are central to achieving better results.

So, 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.

Thereby first understanding, then being understood. People who trust each other, are flexible, and committed to their own organization and its objectives.

Next, people who work from there to achieve optimal results. However, the question you should ask yourself is: 'To what extent does my organization meet these requirements?'

Also '
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?

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

For example, I myself simply started on the shop floor and worked my way through all facets up to the executive level. This taught me that people and their performance form the foundation of every successful organization.

After all, selling, managing, and entrepreneurship, but also mutual cooperation, is like 'tightrope walking uphill'. One small mistake and you can fall very hard, and sure enough, don't worry, I too have taken quite a tumble many times.

Moreover, resilient people learn from falling, get up, and carry on. Even when it hurts, creates uncertainty, when the message is unpleasant, and when change proves to be difficult but necessary.

However, they will only do so if there is sufficient mutual trust, commitment to the company and its objectives, and they are given sufficient time to learn and change while working.

So that also requires time and, above all, patience from you as an entrepreneur. Something that many entrepreneurs do not always excel at.

Furthermore, ultimately, what is the biggest pitfall?
In doing so, I want to immediately warn you against a major pitfall, because change starts at the board. It is not just for the employees; it applies to everyone.

So if your management team doesn't want to go along with it, or they or you think it's all pie in the sky, then you don't even have to start.

Consequently, by all means continue as before—that can be very successful—but the fact is that in the current climate, many entrepreneurs are concerned about business continuity and action is required.

Yet, on the other hand, investigating 'why' you consider it wishful thinking and 'what' it can yield for you as an organization can provide a great deal of clarity.

So, I know from experience that this process is difficult for many entrepreneurs. After all, he or she has become so successful due to past behavior. Unfortunately, 'past results are no guarantee for the future'.

Most entrepreneurs are real decision-makers and, above all, doers; they are like a gas pedal and want to keep going.

Moreover, or rather, they enjoy working hands-on on a job, lead by example, work hard, naturally take the lead, and are quick to tell people 'what' to do to keep things moving.

In the meantime, however, it is sometimes smarter to let people make mistakes, let them discover it themselves so they get a headache, then ask them 'how' they are going to solve it, and not immediately come up with the solution yourself. In other words, address people i

Additionally, to settle the score, with the aim that they learn from it and thus do not make the same mistake again.

Moreover, of course, tolerating making mistakes does not go on indefinitely. People who persistently make the same mistake over and over again will not make it in the long run, because the group exposes them.

Furthermore, they can no longer hide behind excuses, make fools of others, or simply shirk their responsibilities because the group won't tolerate it, thereby helping you as an entrepreneur achieve a better result. It will lead to situations where it is better to part ways.

At the same time, I know entrepreneurs who, figuratively speaking, bite their tongues off every now and then, or even literally bite their lips, upon seeing a (potential) mistake because they do not want to frustrate the process. For these entrepreneurs, I received the following tip from one of my contacts.

Therefore, an entrepreneur whom I would describe as a 'reforming decision-maker'.

As a result, he is very direct and also a keen observer who catches on things very quickly. He sees things going wrong from a mile away, but absolutely wants his people to take the lead in daily operations, because otherwise there is a risk of relapsing into old behavior.

Next, he says: 'I give my people plenty of room. They are allowed, and even required, to make mistakes so that they improve, but after '3 serious 'shame on you's', it really is 'bye' and we say goodbye.'

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

As indicated, change also starts in the boardroom. As an executive or management team, you need to have a clear Vision, Mission, and Strategy, for which I personally prefer working with the so-called '1-A4 Business Plan'.

In short, it is in itself an interesting process to create more cohesion within the executive or management team.

For example, as a kick-off, I ask entrepreneurs: 'To what extent have you ever asked within your executive or management team if each member would be willing to write down their vision, mission, and strategy for the company on no more than a single A4 page prior to the meeting? Just as he or she sees it.'

In short, no complicated PowerPoints, Excel spreadsheets, external studies, or anything like that.

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.

By the way, how many similarities do you think there will be in the presentations, and how many differences? I guarantee you a lively discussion, so make sure you have a good chairperson, because it could 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?

However, to what extent do you run the business, and to what extent does the business run you? A pitfall for many entrepreneurs is directing people or teams. What is right or wrong is not up to me, but investigate it, discover what is good for your company, and get to work on it.

On the other hand, you also have entrepreneurs who operate purely on figures and have completely lost touch with the shop floor, while that is precisely where the money is made.

Therefore, the golden tip for this entrepreneur is to come out of the Ivory Tower once again and return to the shop floor.

Just watch, help out, see what happens, follow an order from start to finish if necessary. I bet you'll learn a lot from it...

After all, okay, if you've stuck with my blog this far, thank you. If you have any tips or want to brainstorm, let us know so we can become a little wiser together and help other people in the process.

One thing is certain: if you start with it, you will discover during the implementation that things can be done differently or smarter than planned, simply because you are focused on it and working on it well.

Nevertheless—and that’s fine—wasn’t it a certain Johan Cruijff who said: 'You won’t see it until you understand 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.

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