Employees Lack Confidence in Management

By Bruce L. Katcher, Ph.D., President DISCOVERY SURVEYS, INC.

Employees need to feel confident that senior management is competently running the organization and has solid long-term plans for the future. Otherwise, there will be an erosion of employee:

 

  • Motivation;
  • Job performance; and
  • Commitment to the organization.

What can be done to build employee trust in management?

 

  1. Communicate Successes

    Even when business is slow, there are small wins that should be celebrated. If employees only hear the bad news, they will quickly lose confidence in management.

     

  2. Practice Open Book Management

    Why can't management give their employees access to the organization's business plans, revenue, and expense information? They have every right to know how well the company is doing and the plans for the future. What better way to engender employee trust than to show them that nothing is being hidden from them?

     

  3. Admit to Failures

    Nobody is perfect and most employees will give senior management the benefit of the doubt if they know the truth. Employees would trust senior management much more if CEOs would admit that the organization made a mistake, was short sighted, or just screwed up.

     

  4. Tie Senior Management Pay to Success

    It is shameful that CEOs have been receiving such huge paydays even while their organizations crumble. How can employees trust senior managers who take no personal financial responsibility for the failings of the organization?

     

  5. Maintain a Long-term Focus

    Senior management focuses too much on short-term fixes that may lead to immediate results but cost the organization in the long run. Study after study has shown that knee-jerk reactions to current economic conditions such as laying off employees, cutting research and development funding, and merging with other companies rarely lead to long-term success. CEOs need to communicate to employees that, although the current woes their organization may be experiencing is troubling, the company has a long-term business strategy that will help it emerge after the storm.

CONCLUSION: Management needs to show employees through both their actions and words that it is committed to the long-term survival of the organization.


Provided by: Bruce L. Katcher, Ph.D., "The Survey Doctor" President - DISCOVERY SURVEYS, INC.
E-mail - BKatcher@DiscoverySurveys.com
Web - www.DiscoverySurveys.com

You may like these other stories...

From May 20-23, the Association for Accounting Marketing (AAM) held its annual conference. Frequent contributor Sally Glick picked up some ideas that she will be sharing with us in the coming days, as she has done in...
Success, for a practitioner in a busy CPA firm, requires the ability to handle multiple tasks effectively. To get everything done, CPAs typically track their agenda with a "to do" list or other open-item systems to...
Everyone loses clients. You've seen the statistics. Clients and heirs often change accountants, attorneys, and advisors after a death or divorce. That's understandable. What about ongoing relationships when the...

Upcoming CPE Webinars

Jul 23
We can’t deny a great divide exists between the expectations and workplace needs of Baby Boomers and Millennials. To create thriving organizational performance, we need to shift the way in which we groom future leaders.
Jul 24
In this presentation Excel expert David Ringstrom, CPA revisits the Excel feature you should be using, but probably aren't. The Table feature offers the ability to both boost the integrity of your spreadsheets, but reduce maintenance as well.
Jul 31
In this session Excel expert David Ringstrom helps beginners get up to speed in Microsoft Excel. However, even experienced Excel users will learn some new tricks, particularly when David discusses under-utilized aspects of Excel.
Aug 5
This webcast will focus on accounting and disclosure policies for various types of consolidations and business combinations.