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Increase business productivity in poor economic times
This is according to Tjaart Minnaar, MD of OIM International, one of South Africa's leading business consultancy firms. "In poor economic climates, employers must understand that the destiny of the company, to a large extent, is in the hands of its employees. The only way to manage costs, quality, service levels and commitment, is with the buy in and determination from employees," he says.
Clear understanding of business direction
"In order for employees to identify areas where they could improve, they must have a clear understanding of the overall business direction and critical success factors, as well as exactly what is expected of them. Only then can they visualise their role in the organisation and how their daily output affects overall results," says Minnaar.
Even if employees do know exactly what they should focus their energy on each day, they cannot deliver on this unless they have access to all the necessary resources and skills. Often people are willing to do a good job, but are restricted due to ineffective processes, inferior equipment and a lack of appropriate skills. Training can be an expensive exercise - but not nearly as costly as the ultimate cost of incompetence.
Leaders must set the example
A crucial requirement in challenging times is credible leadership. Difficult economic realities will always create insecurity and dependable leadership will go a long way towards creating stability and trust among employees. It is essential that employees observe that leaders are serious about living the values and driving the strategic goals within the realities of the external business environment. Set an example and be positive, yet realistic and communicate honestly and directly - both about positive and negative aspects.
Create communication forums
Coupled with credible leadership, line managers must create an environment that inspires employees to actively participate in business performance. According to Minnaar managers should create operational communication forums where they effectively and sufficiently engage employees so that they own their jobs and have a willingness and incentive to continuously improve on cost, quality and service.
Employers must ensure that performance discussions are conducted as an integral part of the company's daily operations. Managers should provide regular feedback on business, team and individual performance and hold people accountable. Give recognition and reward for good performance and decisively improve substandard performance with support and/or consequence management.
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