Business Education

Why NFL Teams Can’t Run the Pinkerton Play and Neither Can Your Small Business

Super Bowl LIX will pit the Kansas City Chiefs against the Philadelphia Eagles. During the game, both teams will vie to out strategize their opponent. Undoubtedly, there will be internecine struggles–and those internal conflicts will test their ability to operate and execute as a cohesive team.

Professional sports teams routinely face internal conflicts that test their cohesion and performance. Throughout the NFL season, many organizations struggle with discord between players, coaches, and management, impacting their success on the field.

Modern sports franchises handle personnel changes through established procedures, but this wasn’t always true in American business. Historically, labor disputes often turned violent, with companies hiring agencies like the Pinkerton Company to end worker protests or replace entire workforces forcefully.

While today’s labor relations are more sophisticated and regulated, tension between management decisions and worker interests persists across industries, including the NFL, one of America’s largest business enterprises.

This begs the question, “How do modern businesses deal with extreme employee pushback against controversial decisions?” Well, they certainly can’t return to the days of old and run the Pinkerton Play. So, just how do companies deal with decisions employees truly dislike or even hate?

Handling Employee Blowback: Navigating Unpopular Decisions & Preventing Mass Exits

Unpopular decisions in business can create significant tension, leading to employee blowback. When morale dips, productivity can plummet, and turnover costs can skyrocket. Navigating these tough waters is crucial for maintaining a healthy workplace.

The Impact of Employee Morale on Business Success

Employees are the backbone of any organization. When morale is high, productivity increases, and so does overall satisfaction. Conversely, low morale can result in a toxic work environment, which not only affects the bottom line but also the company’s reputation.

Statistics on Employee Turnover and Its Associated Costs

The average cost of replacing an employee can range from six months to two years of the employee’s salary.
According to the Work Institute, 77% of employee turnover is preventable.
Companies with engaged employees see 21% higher profitability.

Unpopular decisions are often necessary for long-term success. Whether it’s restructuring, layoffs, or changes to benefits, business owners must sometimes make choices that won’t sit well with everyone.

Understanding the Root Causes of Employee Resistance

Knowing why employees resist can help address their concerns. Common issues include fear of job loss, dissatisfaction with changes in roles, or dissatisfaction with new policies. Often, misunderstandings arise due to poor communication. If employees don’t understand the reasoning behind a decision, resentment can grow. Moreover, fear thrives on uncertainty. When employees feel insecure about their jobs, it can lead to blowback. Addressing these fears directly is key to overcoming resistance.

Strategies for Effective Communication During Difficult Times

Embrace transparency and open dialogue. Being open about the reasons behind decisions can promote understanding. Clearly share your vision and the expected outcomes.
Actively listen and address concerns empathetically. Make it a point to listen to employee concerns. Showing emotional intelligence breeds trust and can ease tensions.
Utilize various communication channels effectively. Use emails, team meetings, and one-on-ones to convey your message. Different channels reach different audiences, so consider the best ways to engage your team.

Mitigating the Risk of Employee Departures

Offer support and resources to employees. Help employees feel secure by providing necessary resources. Whether that’s career counseling or mental health support, demonstrating care makes a difference.
Implement fair and transparent compensation and benefits structures. Fair pay and transparent benefits can help retain employees. When workers feel valued, they’re less likely to leave.
Create a positive and supportive work environment. Foster a workplace where employees feel seen and appreciated. Recognition goes a long way in maintaining morale.

Addressing Threats of Resignation Directly and Professionally

Set aside time to openly discuss their concerns. Understanding their feelings can help find mutually beneficial solutions.
Use negotiation techniques to address concerns and find solutions. Focus on win-win situations. If employees feel like their needs are met, they are more likely to remain committed.
Develop a plan to manage potential departures. Create a system to handle potential resignations. This could include exit interviews or alternative dispute resolutions to understand underlying issues.

Preventing Future Pushback: Proactive Measures

Develop a culture of open communication and feedback. Encourage regular feedback and ensure employees feel heard. This can prevent misunderstandings and build trust.
Create a strong employee value proposition. Define what makes your company desirable to work for. A strong value proposition highlights the benefits employees receive, beyond just salary.
Regularly assess employee satisfaction and morale. Conduct surveys to gauge employee happiness. Knowing where issues lie can help address them before they escalate.

Turning Challenges into Opportunities

Navigating unpopular decisions doesn’t have to lead to chaos. By employing transparent communication and actively engaging with employees, businesses can turn potential blowback into an opportunity for growth.

Key takeaways include the importance of open communication and addressing employee concerns head-on. Implementing the strategies discussed not only mitigates current issues but also fosters long-term loyalty and satisfaction among the workforce. Maintaining a resilient and engaged team will ultimately result in a thriving business environment.

For further insights on improving workplace dynamics, stay engaged with your employees and consider their perspectives in decision-making.

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You can call us for your free appointment at 480-210-9536, or, if you prefer, send us an email. You can also visit us at Waters Business Consulting Group to learn more about us and the services we offer.

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Big Benefits of Business Coaching

May 16, 2017 No Comments

It takes a lot of determination, grit, and optimism to start and grow a business in today’s environment. The duality of the web is that you can broadcast further than ever before, reaching more potential customers, but so can your competition. The internet certainly changes the dynamics of business, but it’s not your only tool. You have more at your disposal, and for many entrepreneurs, they don’t look to much else. That certainly creates a problem, but it’s one that can be overcome, with the right attitude and mindset. Put another way, business owners succeeded before the advent of the web, and, those who are now growing do so making the most of what’s available. These entrepreneurs understand that ultimately, business is all about people, and, having the advice of an experienced professional does so much. The Big Benefits of Business Coaching You’ve heard about business coaching but might wonder why companies utilize their services. One advantage is gaining insight into what growing a company looks like from someone that’s been through the process time and again. Often times, companies lack experience in dealing with problems not faced before. They simply don’t know where to begin, or, what tack to take. Business coaching is not just for entrepreneurs with small to medium sized enterprises. In fact, studies have shown that over 58% of large corporations have expanded their use of business coaching over the last few years. Why? Because it works. —Enterprise Hub That’s a really a bad place to be and decisions made with uncertainty rarely have good outcomes. It’s not just fear that fells companies and alters their direction, but also, lack of preparation and not having an adequate, workable system in place. There are still more reasons companies benefit from business coaching, including the following: Organization and time management. A huge problem for most business owners is that so many things compete for their attention. That can easily lead to becoming disorganized, and, to poor time management. With someone helping to set priorities, schedules, and boundaries, a lot more will get done with the most important tackled at the right time, with limited distraction. Setting achievable goals to build momentum. One thing that can weigh down a business and get an entrepreneur stuck is lack of achievement. The reason material is taught in a incremental, tiered fashion, practically no matter the subject, is because it works. People are naturally motivated to reach other goals when they’ve had success. Sure, there is always the possibility of failure, but when it has a small impact, it’s a lot easier to overcome. Making team members accountable. A hobgoblin of business is one the wreaks havoc both subtly and overtly: little to no assigned accountability. For team members, as well as owners, to be truly productive, creative, and deliver their best, everyone in the organization needs to be held accountable. The trouble with this scenario is those on the inside usually have difficulty seeing the forest for the trees. Put another way, it’s hard to assign accountability to each team member because you’re dealing with personalities and emotions. A third party will have a much more clear view. Smart financial projecting and planning. It’s not easy to make financial projections and plan for the future when you’re trying to run a business. While you likely have a grasp on potential, there will be contingencies. Here again, having an experienced hand will take off pressure and keep you from diluting the numbers for a variety of reasons. Creating a better, more open environment. When everyone in the organization feels valued and is encouraged to contribute creatively, there’s a lot of good that will come as a result. Tapping into those resources must be done in a positive, proactive, and genuine way. [shareaholic app=”follow_buttons” id=”26833294″]

My Small Business Manager didn’t Manage the Business Well and Now it’s a Total Mess…What Do I Do?

June 23, 2022 No Comments

Some business owners run their company for many years, only to discover that they can’t do everything on their own. Once this inevitable realization materializes, most start to hire others to help them with various aspects of the business. Some even aspire to be largely absentee owners, leaving the day-to-day operations to a professional manager. So, they train someone up, giving them the responsibility of managing the company and then take a more offhand role, sometimes into a completely new venture or, to focus on one particular area. Typically, this goes fairly well, especially when said manager has been well trained. However, it sometimes ends in utter disaster and the manager winds up making a mess of everything. So, what do you do if you’re stuck in the latter nightmare scenario? What Good Managers bring to Small Businesses Before we get into how to fix a bad situation, let’s first look at why business owners hire managers in the first place. Usually, managers are brought on to handle all of the day-to-day activity. This allows the owner to put his or her efforts into expanding the business and even exploring new opportunities. A good manager will bring a nice return on investment, easily paying his or her salary, all while adding to the company’s bottom line. Bad management can impact employees and a company’s overall operations. Incompetent managers exist, and they can have challenges relating to staff members and keeping them motivated. In addition, substandard supervisors may not be able to balance budgets, increase revenues or capably perform other crucial tasks. —Houston Chronicle Small Business A good manager can really be an invaluable asset, being able to oversee employees, carry out projects, order materials and inventory, assign employees to various tasks and projects, and a whole lot more. In the end, the manager is also responsible for the public face of the company, particularly when the owners aren’t on site. Of course, there’s a great deal of trust involved here and unfortunately, that trust is sometimes betrayed. How Business Owners can Fix Mismanaged Companies If your small business has been mismanaged by an incompetent or uncaring manager, you’ve got your work cut out for you. The amount of damage he or she may have done may not be immediately apparent and will materialize over time. But, you can’t just wait to find out, you’ve got to leap into action immediately and do the following after letting him or her go: Talk to the employees. The very first thing you want to do is get a sense of the employees’ perspectives. You’re likely to learn a lot and some of it may take you completely by surprise. But, you’ll probably also get a kind of consensus and that will help you to know precisely what’s most important and how to prioritize what to fix first. Speak with vendors. This may sound a little odd but it’s probably worthwhile. Since vendors interact with the managers routinely, they will have different stories to tell and just like the employees, will probably give you some type of consensus. At the very least, you’ll find out how your former manager interacted with the vendors and if he or she had good or bad business relationships. Consult your customers. If you haven’t really heard any complaints from customers, this would be highly unusual. Although, your former manager may have been great in providing excellent customer service, while still mismanaging the business’ finances and/or mismanaging the team members. Regardless, getting your customers’ input is very important because it will let you know the reputation of your company. Lastly, you’ll have to go through the slow and meticulous process of piecing the operation back together. This might include having to make other personnel changes, establishing new relationships with different vendors, and possibly, having to repair customer relationships. Fortunately, a good business consultant can walk you through this very difficult process step by step. Interested in learning more about business? Then just visit Waters Business Consulting Group.

Should I Sell My Business During the Downturn or Wait until the Economy Rebounds

July 22, 2020 No Comments

If you run a successful business — and have for many years — it’s understandable that during such an uncertain time as there is now, you might consider just getting out. This is particularly true for individuals who’ve enjoyed a good amount of success but just don’t want to go through another cycle that again puts them emotionally through the wringer. However, because of all of that’s going on in the economy, with things largely down, is it best to sell now or wait until the economy recovers? The Downsides of Selling During a Recession That’s really the million-dollar question. Of course, a recession will naturally be a more tough environment in which to sell. There will be fewer buyers available as small business credit tightens and even larger organizations avoid potential risk. So, you’ll probably find it a bit challenging to find a suitable buyer. The Great Recession ended in 2009 and impacted the lives of many. Now as the economy appears to be headed into another downturn, it’s a good time to review how to take advantage of the recession instead of letting it take advantage of you. —Investopedia Then, there’s another fairly obvious factor — will your business bring the amount you expect? Put another way, can you sell it for the same amount or near the same amount you would be able to during normal economic times? Also, how do you effectively market your business in order to attract the right type of buyer? (This is where an experienced business consultant/coach would come in very handy.) The Advantages of Selling During a Recession Conversely, there are some distinct advantages to selling during an economic downturn. Here are some benefits you should know about: You might be able to leverage a slight discount. Okay, so that’s probably not what you want to hear, but this doesn’t mean giving your company away for an undervalued, low-ball price. What it does mean is being able to attract qualified buyers with the promise of a fair deal. By taking this approach, you may be able to sell it faster and move on to something else, or perhaps retire, in a shorter period of time. You can separate out time-wasters from serious buyers. This is something just about any business that’s for sale encounters. People who talk a good game but never really follow through and actually take action. On the flip side, serious buyers will understand the overall economic circumstances. Therefore, they’ll be more sincere and eager to get the deal done. In other words, they’ll likely have their ducks in a row and be ready to proceed because they’re serious. Remember that you’re in control. Very few business owners who decide to sell are completely comfortable with their decision. The majority will second-guess themselves over and over again, even after they go through with a transaction. The bottom line is, if you are able to get a fair price, it’s probably not worth risking waiting any longer, because the economic environment could worsen and that will most definitely hurt your chances of selling. What other advice do you have? Please take a moment to share your thoughts and experiences by commenting and giving others valuable feedback! Interested in learning more about business? Then just visit Waters Business Consulting Group.