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3 Reasons Why C-suite Executives are Fed Up

In recent weeks, more and more executives are voicing frustration, and it’s been building for a long time. COVID forced remote work when most organizations had no idea how to design and implement virtual work, and managers were ill equipped for managing it. Since then, companies have had to grapple with various hybrid models and employees demanding more pay, more flexibility, and more perks. Now, declines in productivity, shrinking profit margins, layoffs, and cost-cutting are bringing levels of frustration to the breaking point. In recent client conversations, executives tell me there are several factors that contributed to this situation, but three are key: [Read more…]

How Cost Cutting Misses the Mark

In the current turbulent, uncertain business climate, countless organizations are belt-tightening and laying off employees. Because of how the business environment has evolved in recent years, traditional forms of cost cutting may not “cut it.” While cutting costs, organizations need to be more agile, resilient, and innovative as they face the future.

One question we should be asking is, “Are we cost cutting in the traditional way, with an eye to the short term?  Or are we cost cutting to yield long-lasting results, allowing us to be innovative and nimble?” Too often we cut costs for short-term gains. We need to rethink how we approach cost cutting so that we can accelerate growth, foster innovation, and bring enduring results to our businesses. [Read more…]

Rethinking Layoffs

This morning’s headlines in my news apps included an item about McDonald’s closing its US offices as preparation for layoff announcements. Many companies across industries are planning or have already executed layoffs; but there can be significant downsides, and we’ve seen some play out. Thoughtful approaches to cost cutting or layoffs are vitally important because trimming the wrong people or functional areas may undermine your strategy or cripple future innovations. How can you know you’re cutting the “right” people?

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5 Ways to Make Change Stick

With crippling inflation, global competition, disrupted supply chains, geopolitical upheaval, and complex demands from the workforce, never has the need for rapid, enduring organizational change been stronger. Whether we are redesigning how we work, implementing ESG, exploring virtual employees, or making large scale improvement, we need to be as efficient and cost effective as possible in planning change and in making sure it sticks.

Even when change is well planned and implemented, that does not necessarily mean that the change will stick. [Read more…]

4 Vital Reasons for Clear Strategy

On more than one occasion over the past 6 months, mid-level managers have voiced their frustrations to me about various performance obstacles, but one conversation took me by surprise: Post-merger, a director-level manager was asked by his boss to create a structure for the functions and processes that report to him. He asked his leader, “What is our current strategy? Having a clear picture of that will help us develop the best structures to support it.” His leader could not answer that question. Common sense may dictate that the merger itself should have been part of a preexisting strategy that is satisfied by the merger. But the current reality is this: A year post- merger, there is no clear strategy that anyone knows of; and if there is one, it is not being clearly communicated. [Read more…]

How to Utilize Middle Managers in Planning Strategic Change

How to Utilize Middle Managers in Planning Strategic Change

When it comes to planning and implementing strategic change initiatives, there may be fewer important roles than that of middle management. Whether you’re implementing an important operational change, a new structure, a significant process improvement, DEI, etc., middle managers will be charged with making it work by coaching employees, holding people accountable, providing input up the organization, pleading for resources, offering just-in-time training to employees and mid-course corrections. Because of this critical role, middle managers’ input and participation in planning the change are critical.  As we evaluate past major change initiatives that have not “stuck,” we need to ask the question: Could it be that we have undermined our own success by not adequately soliciting middle managers’ input when planning the change?

In my 20+ years of helping organizations plan and implement strategic initiatives, three key principles stand out pertaining to the role of middle managers in planning change. [Read more…]

An Overlooked Aspect of Operational Improvement

In the face of inflation and a likely economic downturn, organizations are announcing potential layoffs and other belt-tightening plans. Regardless of industry, leaders are seeing a need for cost cutting, efficiency, and focused improvement. To wisely invest limited operational improvement resources, organizations often create a set of criteria to drive the selection of improvement projects and determine how best to allocate time, people, and financial resources. In doing so, beware of one common pitfall. [Read more…]

Translating Strategy into Performance

In reading various resources on Leadership, you may get the sense that it is some mystical combination of traits, competencies, and skills. For many of us, it may appear that no one person can possibly possess them all. And even if it were possible, a brilliant, charismatic leader may not be able to overcome key obstacles standing in the way of translating strategy into reality. [Read more…]

Are We Stretching Middle Managers to the Breaking Point?

In recent years, many businesses made significant organizational shifts to survive and adapt to the upheaval of the COVID era as well as subsequent hiring, retention, and organizational performance challenges. Now, as we are grappling with inflation and a potential recession, companies are fine tuning their focus on improving margins and operational efficiency. Mid-level managers perform an important role in our companies: they are the key conduit for aligning strategy, culture, and operational performance. They are pivotal in balancing strategy and operational goals and bringing them to fruition. However, according to a recent Korn Ferry article, over 25% of them report that they are overwhelmed, and research shows they “are the most stressed management group” with historical job satisfaction ranking in the bottom 5%. Many mid-level managers are now considering roles where they would no longer supervise people, just when we most need them to bring people together. [Read more…]

A Forgotten Step in Operational Improvement

In the current economic environment, organizations are looking for rapid, yet enduring ways to improve operations. Most of the companies I talk to have experienced a wide spectrum of business conditions over the past three years, and right now they are grappling with run-away inflation and are looking for every opportunity to identify and reduce or eliminate losses. At the same time, many of our companies have seen unprecedented employee churn at all levels of the hierarchy, including front line and middle leadership.

During the pandemic and “The Great Resignation,” smart organizations promoted from within to cope with employee turnover–and continue to do so. This is a great strength. However, there is a significant downside: in this scenario, even though front line leaders may be experts at processes and operations, many are not strong leaders. This poses a threat to improving operational performance. [Read more…]