How To Change Your Corporate Culture So Your Profits Increase

Do you think you need to change your corporate culture?  If nothing is wrong, you may not think you need to change.  But just because nothing seems wrong, it doesn’t mean a change is not necessary.

Some time ago I worked with a company of about 300 employees who were spread across a number of different sites.

The Company had grown from a family owned and run small business and had built up a reputation for quality and innovation.  Sadly, to a certain extent, they were still relying on their good name and the culture had slipped in to one where people were just jogging along.  There was no innovation and productivity was getting lower.   Nothing was particularly wrong, but there was a general air of boredom and a lack of enthusiasm.

Additionally, there were petty squabbles among staff and people were quick to raise a grievance.  The rate of sickness absence increased for minor ailments.

Taking Action

The Board of Directors decided to combine the work done at the various sites.  Consequently they would move everybody to one site.  This was intended to decrease the overheads.  Additionally, productivity might be increased by bringing everyone under one roof.  Such was the thinking.

I was brought in to facilitate the site moves. I soon realised that these moves, in themselves, would not solve the productivity problem.  In fact, initially, things were likely to get worse.  Rebuilding teams from people who had worked in separate physical sites was a challenge.  Particularly as each site had its own, slightly different, culture.

Deciding to change your corporate culture

If you think you might need to change your corporate culture, then where do you start?

For us, the first step was for the Board to recognise that a change was needed. They could see that the different site managers had each had a different approach.  This had led to a stricter, slightly stifled regime at one site, whilst a couple of others had become lax and mistakes were creeping in.   The first need was to establish what the desired culture should look like.  Then we had to build a roadmap of how to achieve that, with milestones along the way.

Collaborating with employees

If you want to change your corporate culture, it is really important to talk to the employees.

We wanted to know what worked and what did not (and why).   The organisation was unionised and we worked with the Trade Unions.  But additionally, at each site, we set up a working group of volunteers to plan the site moves.  We sent out a survey, to be completed anonymously.  This was to gauge what worked and what did not.  We also used the Trade Unions to speak to their members and line managers to speak to their teams.

One critical factor was to communicate the plans and proposals.  We also provided some training on managing change.  Where individuals had specific concerns and issues, we held individual consultation meetings.  Along with practical issues about the move, we also communicated our desire to build a new, collaborative, culture.  We asked employees to work with us to outline our future direction.  Their suggestions contributed largely to our plans.

Accepting casualties

We found that not every employee shared our vision of collaboration and engagement.  Some decided that they did not want to move sites; some decided that they did not like the new “feel” to the Company.  We provided training and support, where applicable, to help people to adjust, but we also accepted that some would never settle and agreed to an amicable parting.

There were also a number of people who were content to continue jogging along at their steady pace.  They were doing a good job, but not an excellent one.  They were not disengaged from the Company, but were not actively engaged either.  We approached this by giving every opportunity for them to voice their opinions, give their ideas, get involved.

For many, we accepted that “a good job” was good enough and that these were the backbone of the company. We trained our line managers in spotting signs of disengagement.  We gave them the tools to engage with their teams.

For the minority of high-achievers, who were full of innovation and enthusiasm, we had given a chance to shine.   We subsequently found that the number of these high-achievers increased.

Walking the walk

The first step in this change had been to engage with the top team.  This continued to be an important step and is an ongoing need.  The team at the very top of a company needs to be the example they want to set.  The adage “be the change you want to see” is critical in business.

Whether or not it is a conscious decision, employees will always take their lead from managers. If your employees see you working long hours, they will do so too.  They will assume that is what you want from them.

If you fail to take a break, or if you send emails late at night, then that is also what your employees will do.  If you go into work even when you are obviously sick, then your employees will drag themselves in as well – and pass their germs to all and sundry.

Getting it right leads to other benefits

When we are shopping, we want to buy from responsible producers and suppliers. We want to feel comfortable with their ethos and approach.  In the same way,  employees want to work for companies which have a culture which they can fit into.  If you have a good reputation as an employer, then you will find that recruitment is easier for you.  You will be able to retain good employees.  You will have a lower rate of sickness absence.  It is likely that you will have fewer performance issues.  This will also have a positive effect on your marketing and will appeal to customers.

So you might want to change your corporate culture, even if you don’t think it is bad.

If you think this article is useful and you would like any strategic HR support or information  on dealing with this  – or any other people-related issue in your business – contact us for a no-obligation chat.

Jill Aburrow runs an HR strategic consultancy business – JMA HR .  She provides strategic HR advice and support to businesses who want to improve loyalty, growth and profit. Why not join the JMA HR mailing list?  Jill has been a professional strategic HR advisor for over two decades. She is a Fellow of the Chartered Institute of Personnel and Development (FCIPD) and has a Post Graduate Certificate in Employment Law.

A Highly Engaged Workforce – The Secret To Increased Profits?

A highly engaged workforce is, of course,  a “nice-to-have” in business. But in these days of anxiety about Brexit and recruitment difficulties, you might feel that you have more important things to worry about.

You need to concentrate on the bottom line, making the money come in, paying your employees and keeping your customers happy.  Sure, it would be great to have a highly engaged workforce.  This has been an important topic in the business world  for years.   But some research carried out by Dale Carnegie shows that many organisations are not happy with the progress they have made in this arena. As many as 85% of leaders say that employee engagement is a priority.  But only a third of organisations actually take meaningful action.

Signs of success

The evidence is there that companies who have  highly engaged workforces are outperforming their competitors by a large margin in terms of earnings per share.

It costs approximately £30,000 to replace the average employee.  Surely, it is better to keep your employees happy so you don’t need to replace them so often.

But how and where do you start to raise levels of employee engagement?

“It ain’t what you do…”

I have talked in previous articles about the key factors of employee engagement.  It is easy to say that an organisation needs to increase trust and integrity.  It is easy to understand that employees need the chance to have their opinion heard, or to be thanked for an achievement.

But how can these principles be embedded within an organisation?

“….It’s the way that you do it”

How can you ensure that you have highly engaged workforce? The most important step for you to take  is to make it a strategic business priority.  Make sure that everyone knows the importance of employee engagement and the benefits of it.   This includes you, your managers – and everyone working in the organisation.  Start at the top and make sure that all of your managers are highly engaged.  Dale Carnegie’s research showed that only a third of senior leaders felt engaged with their organisation.   If your managers are not engaged, how can they inspire the people who work with them?

Once you make employee engagement  a strategic priority, you can put steps in place to enable your managers to achieve this goal.  Managers need some specific skills to help them build an environment of engagement.  See my article about management skills for more information.

If you think this article is useful and you would like any strategic HR support or information  on making employee engagement into a strategic priority – please  contact us for further guidance.

Jill Aburrow runs an HR strategic consultancy business – JMA HR .  She provides strategic HR advice and support to businesses who want to improve loyalty, growth and profit.  Jill has been a professional strategic HR advisor for over two decades. She is a Fellow of the Chartered Institute of Personnel and Development (FCIPD) and has a Post Graduate Certificate in Employment Law.

 

How Workplace Gratitude Can Inspire Productivity

Workplace gratitude is not a phrase which comes readily to mind.

Most of us are taught as children to be grateful for gifts and to thank people for kindness.  This carries over to adult life and many have a daily habit of gratitude.  Some keep journals of things for which to be grateful. Speaking from personal experience, this can have a profound effect on life and mental wellbeing.

But this does not often spill over into the workplace.  In many organisations it may not feel appropriate or comfortable to show gratitude.  Employers may be missing out, though, if they don’t encourage a culture of workplace gratitude.

Why should employers encourage workplace gratitude?

Gratitude in daily life can raise energy and positivity.  It makes us feel good – and makes the recipient feel good too.  In the same way, gratitude at work can raise productivity; help employee engagement and lead to a positive organisational culture.

In turn, these changes lead to better teamwork, higher productivity, staff retention.  Employers can see an increase in employee resilience.  This can lead to less sickness absence, more innovation, better performance.

Workplace gratitude is definitely a worthwhile investment.

Why don’t we encourage workplace gratitude?

It is, perhaps, understandable that many managers find it difficult to give negative feedback to employees.  But why is it so hard for us to say “thank you” at work?

Some managers cannot see why someone should be thanked just because they do their job.  But what I am suggesting is that we thank people for specific things they do, rather than just general thanks for doing the job.

There may also be concerns that someone will expect more than just a thank you.  If we thank them for doing something well, will they expect a pay rise or a bonus?   That is another reason to build a culture where gratitude is an everyday occurrence.

Another fear is that gratitude is somehow “soft” or “cheesy”.  The emphasis is on being genuine and authentic.  Don’t say “thank you” unless you really feel gratitude.  But when you think about the effort involved – or the time saved, or other benefit – then it is easy to feel gratitude.

How to build a culture of gratitude in the workplace

It starts at the very top.  If the business owner and leaders take the time to notice the small things which ease the day and contribute to success, then it encourages everyone else to do the same thing. You might feel uncomfortable thanking someone for making sure the printer was stocked with paper but if you thank people regularly, it will become second nature.

The more specific you can be with your thanks, the better.  If you thank people in general terms for their work or their contribution, then it ceases to mean much.  They will think it is just so much “management speak”.  They may not see the real gratitude behind your words.

In the same vein of keeping it authentic, it is better to thank people at the appropriate time, rather than waiting to thank them in a team meeting every month.  And remember, some people don’t like to be thanked in public and may prefer an email or a quiet personal word of thanks.

Your thanks will be more authentic if you can show awareness of the small things, as well as major achievements,.  Of course it is good to celebrate big successes – a major sale or bringing a new product to market.  But it is critical to also thank the employee who took on extra work to cover for a sick colleague, or the person who worked so hard to turn around a complaint from a customer.

Encourage your employees to show gratitude

Encourage your employees to give back to charity initiatives, or to show social responsibility by contributing their skills or time to help others. You can lead the way with an organisational social responsibility agenda, or preferred charities which your company supports.

If you are trying to build a shift in your culture, then consulting with your employees is a good way to start.  Talk to them about gratitude and how it can be shown – and received.  They will have their own ideas and they will be able to tell you what works for them, and what doesn’t work.

Train your managers and employees to thank each other when things go right and to avoid blame when things are not so good.  Look on mistakes as learning opportunities.

But don’t force it.  If it is not authentic, then it will feel unnatural and people will be very uncomfortable. We all crave genuine gratitude when we have achieved something or had a success.  But that can very soon go sour if there is a lack of authenticity.

Random Acts of Kindness in the workplace

There is a movement afoot in the world to encourage people to carry out a random act of kindness, with no expectation of reward. This encompasses things like paying for a coffee for a stranger, or letting a vehicle merge into traffic from a side street.

As with other forms of gratitude, carrying out a random act of kindness  leads to more  empathy and compassion.  It  can help us to  connect with others and it brings a higher level of energy.

One way to increase workplace gratitude is to encourage random acts of kindness within the workplace.  Some suggestions:

  • Be on time – or let people know if you cannot avoid being late
  • Start and end meetings on time
  • Ask questions and really listen to the answers
  • Say thank you and mean it
  • Make time to chat with someone who needs it
  • Pay for someone behind you in the cafeteria, or buy for a colleague
  • Give someone a compliment
  • Give up a good parking spot
  • Smile
  • Leave change in the vending machine
  • Hold the door open for someone
  • Listen to someone else’s point of view without jumping in or judging them
  • Solve someone’s problem
  • Do something for someone without being asked
  • Make a recommendation about someone
  • Give good feedback on someone to their boss
  • Do a charity drive (for example, collect postage stamps for your favourite charity)
  • Clean up the mess in the kitchen (even if you didn’t make it)
  • Ask someone how they are and really be interested in their answer – show you will listen if they are not OK
  • Let go of a grudge
  • Admit your mistakes
  • Be friendly
  • Respect others

 

If you think this article is useful and you would like any strategic HR support or information  on dealing with this  – or any other people-related issue in your business – please join our mailing list, or contact us for further guidance.

 Jill Aburrow runs an HR strategic consultancy business – JMA HR .  She provides strategic HR advice and support to businesses who want to improve loyalty, growth and profit.  Jill has been a professional strategic HR advisor for over two decades. She is a Fellow of the Chartered Institute of Personnel and Development (FCIPD) and has a Post Graduate Certificate in Employment Law.

Strategies To Create A Positive Organisational Culture

As business owners, we all like to think that we have a  positive organisational culture.  Ideally, we want the  people who work for us to be happy and see the organisation as positive and supportive.

If our employees work well together and collaborate with each other, we will see increased profitability and growth.

In previous articles, I have talked about sharing your vision so that everyone is working towards the same goal and can understand their own part in that journey.  Where people are trusted and appreciated, they have the impetus and the freedom to be innovative and creative.

Avoiding blame

Where communications are clear and leadership is strong and collaborative, then the climate is right for people to develop and grow.

So how can a blame culture creep into our organisation?   However much we work on sharing our vision and values and communicating our goals, organisational culture is defined by the people who work for us and their interactions with each other.

It is critical, therefore, that we learn to recognise the signs of a less than positive organisational culture and that we act to change the direction before there is a downward spiral.

Benefits of a positive organisational culture

Harvard Business School professors John Kotter and James Heskett did some research in the 1990s over a 10 year period.  Their findings showed that positive organisational cultures were linked to financial growth (a four fold increase).

A positive culture aids recruitment and retention of employees .  It can have an impact on customer service and it gives public credibility to your business.

Reviewing the situation

You may think your company culture is positive, but it is always helpful to review the situation.  Even if your employees are happy and motivated, you may find underlying trends which are less than positive.  If there is no conflict at all in your business, that could be a warning sign.  This can indicate complacency or a lack of confidence in suggesting a change to the status quo.  If you have a lack of diversity in your workplace,  you might find this will lead to stagnation.

On the other end of the scale, what happens when people cannot work well together?  This can lead to bad decision-making, loss of confidence, financial loss – even public embarrassment (remember the recent Ted Baker scandal?).

Warning signs

Many business problems are down to people issues.  You may be concerned about financial slowdown,  governance and legislative difficulties or other business-related difficulties.  But when you drill down into these, they are often rooted in difficulties with employees.

If you struggle to get new products to market, the fault may not be the organisational processes.  There might be a human aversion to risk which is at the bottom of the problem.  If you are finding it difficult to comply with governance or legislative imperatives, have a second look at your employees.  There is likely to be a problem with decision-making, ownership or understanding.

You may be proud of the fact that you collaborate with your employees, and allow them to collaborate with each other.  But have you given any thought to your consultation processes?  The real problem might be that people are spending hours of their time in large, unwieldy and unproductive meetings.

Alternatively, you may be very clear that you do not have a culture of blame in your organisation.  But have you listened to what people are saying to each other?  There might be implied criticism, even where it is not explicit. This can have a really detrimental impact on the confidence and abilities of the person on the receiving end – especially where there is a difference in position within the company.

Putting it Right

It is a fact that most of the problems in business are “people problems”.   We all have our own ways of doing things, our own unpredictability.  We are complex and we are all different.  This can make it difficult to resolve problems, but where you are able to create a positive organisational culture, you will reap the rewards.

The key to successfully changing your organisational culture is based on the same principles I have been writing about recently.  If you can engage with your employees, you will be well on the way to a positive culture.

As a reminder, those principles are:

Have a strong vision which you share with your employees and they can understand their part in helping to achieve the vision;

Give your employees a voice, so they can be confident in giving opinions and making suggestions in a blame-free culture, where they know they will be heard.

Show appreciation  of your employees and recognise their skills and achievements, so they are encouraged to give their utmost.

Build an environment of trust and integrity as a two-way street so that your employees feel confident in your leadership.

Achieving a positive organisational culture

The dictionary definition of culture is as follows: the ideas, customs, and social behaviour of a particular people or society.  In business – your business – culture is based on your values and behaviours.  When those align with your business strategy, then your employees will be engaged and your customers will be happy to buy.

A positive organisational culture allows each person to take responsibility for their own work, their own achievements and successes, their own mistakes.  It allows others to recognise that we all do things differently and the only “right way” to do something is the way that works for the individual and the organisation.  Where people make mistakes (as we all do), there is no blame.

So it is in your hands to create a positive culture within your business and to ensure that it stays that way.   If you can achieve that, then you will find it easier to deal with those business problems and difficulties and you will achieve productivity and growth.

If you think this article is useful and you would like any strategic HR support or information  on dealing with this  – or any other people-related issue in your business – please join our mailing list, or contact us for further guidance.

Jill Aburrow runs an HR strategic consultancy business – JMA HR .  She provides strategic HR advice and support to businesses who want to improve loyalty, growth and profit.  Jill has been a professional strategic HR advisor for over two decades. She is a Fellow of the Chartered Institute of Personnel and Development (FCIPD) and has a Post Graduate Certificate in Employment Law.

Collaboration, Collaboration, Collaboration – Implementing A Positive Employment Culture

In recent articles we have looked at how to implement a positive employment culture in business.  This will help to increase employee loyalty, business growth and profitability.

But who is responsible for introducing employee engagement into an organisation?  And how can trust and engagement be maintained?

Can a strategic HR partner – such as JMA HR – implement employee engagement for you?  The answer to this is that –  whilst we can support, advice and facilitate –  we cannot make it happen.  The change in the organisation’s culture has to come from within –  from the top –  and everyone in the company has a part to play.

Living the dream

It is a bit of a cliché that you need to model the change you want to happen.  You would probably like to have a workforce which is actively engaged in improving your business.  You want them to work towards achieving your business vision and to be an advocate for your organisation.  Your attitudes, behaviours and approach  will all filter down throughout the organisation.  If you are invariably polite, helpful, and friendly to people, then you are a positive role model for your employees.  If you lock yourself in your office and discourage others from interrupting you, then you cannot blame your staff if they do not make an effort to engage with your customers.

In previous articles we have looked at positive ways of interacting with your employees.  If you show trust in people, recognise their efforts, listen to their ideas and concerns and share your vision with them, you are a model for the behaviours and attitudes you want them to demonstrate.

Implementing a positive employment culture

The individuals who have people management responsibilities (including you if you manage others) are key to the successful introduction of a positive employment culture.  Like the senior team, they are role models for the workforce.  But their role is more critical.  They will hear employee views, concerns, ideas – and ensure implementation, or answers.  They are the people in the ideal position to recognise – and highlight – small successes.  You need to provide training and development for line managers, so that they know and understand their role in achieving a high level of engagement.

Other stakeholders

There may be others within your business who have an impact on the levels of employee engagement.

If you recognise Trade Unions and have Union representatives within the organisation, then you need to partner with them. Again, they may need some training or development.  At the very least, you need to consult and collaborate with them on the best ways to achieve success.   Even if you do not recognise Trade Unions, you may have employees who are members of a Union.  Those employees will want advice and support from their Union and if you are aware of such a link, then you may want to inform the relevant Union of your intentions and the (positive) impact you are intending.  In my experience, relationships with Trade Unions work much better where the Union is considered as a partner with the business.  Everyone is (or should be) aiming for the same goal – fulfilled, engaged and happy employees.

The most important player

The lynch pin to all of this effort is, of course, the employee him/herself.  You can implement as many positive practices as possible but if the employee does not engage with you, then you cannot force that to happen.

In my experience (and reinforced by recent research), there are relatively few actively disengaged employees.  These are the ones who are seeking other employment and who are taking every opportunity to give negative views of your business.

It is far more likely that your workforce is largely made up of people who come to work every day, do an “OK” job and are not really terribly interested.  They may take another job elsewhere if the opportunity arises, but they are not actively seeking a change and may stay with you, jogging along, for years.   Think how much your business could grow and thrive if you could catch and maintain the interest of even some of these people.

Where do we start?

The key to a positive employment culture is to actually start engaging with your employees.  It sounds obvious and simple but it is, surprisingly often, the missing ingredient.   You can start by telling your employees what you are trying to achieve and why – and emphasise the benefits for them.  If you collaborate with them on ways and means to achieve their engagement, then it will start to happen.

If you think this article is useful and you would like any strategic HR support or information  on dealing with this  – or any other people-related issue in your business – please join our mailing list, or contact us for further guidance.

Jill Aburrow runs an HR strategic consultancy business – JMA HR .  She provides strategic HR advice and support to businesses who want to improve loyalty, growth and profit.  Jill has been a professional strategic HR advisor for over two decades. She is a Fellow of the Chartered Institute of Personnel and Development (FCIPD) and has a Post Graduate Certificate in Employment Law.