3 Ways to Simplify Your Company Culture and Build Trust

The 2015 books are closed and the 2016 kickoff meetings have concluded. Now is the perfect time to take one final look at what went well last year and what we could have done better. It’s also a great time to review our 2016 priorities. Which areas demand better performance? Which programs will we emphasize in the coming months?

Simplification is a major initiative for many organizations, including SAP. By reducing complexity and striving for simplicity, we know that companies can develop new opportunities for competitive advantage. In contrast, firms that cling to complex processes, structures, and tools hold themselves back. In a recent Knowledge@Wharton study, 74 percent of respondents said that complexity hurts their ability to meet goals.

And the cost of complexity is significant. Authors Simon Collinson and Melvin Jay characterize complexity as one of the biggest challenges facing modern business. They write that complexity “is slowing companies down, costing them on average 10 percent of their profits and harming employee morale.”

Complexity also has a negative impact on employees. Studies have shown that trust, diversity, and innovation suffer when employees are overwhelmed by complexity. In contrast, trusted leaders experience greater innovation and better performance. Yet only four in 10 employees trust their boss. I view this as a huge gap that can potentially shrink when we reduce complexity.

Leading by example.

Some leading executives of highly innovative companies clearly understand the need to share their authentic selves as a way to build trust. In 2014, Apple CEO Tim Cook publicly came out in an opinion piece published in Bloomberg Businessweek. In an essay advocating for human rights, Cook said he set aside his privacy and publicly declared that he is gay in the hopes that he could help others who might be struggling.

Facebook’s chief operating officer Sheryl Sandberg wrote movingly about her grief over the death of her husband Dave last year. In discussing her painful loss, she talked about how she decided to be open about her feelings with employees. “I realized that to restore that closeness with my colleagues that has always been so important to me, I needed to let them in,” Sandberg wrote on Facebook. “And that meant being more open and vulnerable than I ever wanted to be. I told those I work with most closely that they could ask me their honest questions and I would answer. I also said it was okay for them to talk about how they felt.”

Closer to home, our own SAP CEO Bill McDermott recently suffered an injury that led to the loss of his left eye. He reached out to SAP employees and spoke from the heart about the accident, his gratitude to family and colleagues and his optimism about the future. SAP employees responded with heartfelt wishes for his recovery, many inspired by his willingness to be so open about such a tragic accident. The tragedy inspired him to increase his focus on individualized healthcare and the role SAP might play in making it better -- and simpler -- for people around the world.

Getting started on simplification.

These executives turned difficult situations into opportunities to build trust. But you don’t need a tragedy to begin simplifying your company culture. Why not consider ways to begin simplifying your corporate culture as one of your key 2016 initiatives?

Let’s define our terms. A simplified corporate culture strives to:

• Do things in the way that creates the most value and engagement for all, with the least effort for all
• Make it easier for people to be their best and do great work

According to a report by The Jensen Group, a simpler environment gives employees the power to get their work done, to make a difference, and to control their own destiny. Simpler workplace cultures also make it easier for employees to do their best and be their best selves. But how can you create an ideal balance of deep trust, real inclusion and maximum engagement within your organization?

There are three key steps that can help you simplify the company culture:

1. Develop senior executive alignment and commitment to the cause. Business leaders need to embrace the idea that ease of use and ease of effort can help create corporate return on investment. For example, at SAP, we have a shared aspiration to "make the world run better and improve people's lives." This is a bold but simple statement - and a sincere goal -- that is at the heart of everything we do and every business decision we make. Our executives and leaders are unified behind this goal. It is repeated and shared often so there is no doubt about our commitment.
2. Train mid-level managers to make simplicity for all a priority. Ensuring that managers on the frontline understand their role in simplifying, communicating, and exemplifying the organization’s messages and goals is critical. At SAP, we are proud of the training we offer to address the needs of those colleagues. There is often no greater representative of a group’s goals than the mid-level manager with whom you interact on a day-to-day basis.
3. Design work tools, communication, training, and development using simplicity criteria. SAP’s own CEO, Bill McDermott, sets the tone for simplified communication -- starting with our internal communication and meetings. He rarely relies on typical tools such as PowerPoint to share a message. Instead, Bill prefers to speak directly to audiences when possible (often via global broadcasts), engage in open Q&A sessions, or to send a simple one-paragraph mail -- no “bells and whistles.” We offer programs to help colleagues break messaging down to its most basic components, conduct “design thinking” training to enable out-of-the-box approaches to innovation and encourage simple storytelling whenever possible. While there’s still work to be done, I’m proud of my company’s commitment to be more engaged “human to human” -- and less reliant on slides or fancy presentations that can often complicate things.

Simplification won’t happen overnight, but with proper planning and commitment, you can begin moving your organization in the right direction. Resolving to simplify your company culture is a great first step toward meeting your 2016 goals.

Anka Wittenberg

6 Best Practices for Managing Unhappy Employees

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Leading a team isn’t easy, and it requires specific skills that not everybody has. Even if you have these skills in spades, at some point, you’ll find yourself faced with the challenge of dealing with an unhappy employee.

If you handle this well, you may be able to turn an unhappy performer into a star employee who just needed a little attention and care. If not, you could lose that same would-be star performer due to job dissatisfaction, or worse, find yourself facing legal action from a disgruntled employee.

While it’s rare for things to get that serious, it’s still important to protect yourself by learning the six best practices for managing unhappy employees.

1. Assess the situation thoroughly.

Though only a few letters different in spelling, assess and assume are two very different words. Before you jump to any conclusions, take the time to dig in and really find out what’s going on with the individual. Find out why they’re upset. They could be upset with you, their current job status or another member of the staff. It’s also possible that they are unhappy due to something unrelated to their time at work.

If the issue stems from something within your company, gather as much information as you can before deciding how to act. But even if it’s a lifestyle factor influencing your employee’s behavior, don’t ignore it just because it comes from outside your four walls. Use it as an opportunity to show them that they’re more than just a name on an HR folder.

Offering assistance, whether through a formal employee assistance program or other means, will build their loyalty to your company.

Related: 5 Ways to Make Your Employees Happier and More Productive

2. Don’t wait.

The best time to address the situation was yesterday. The second best time is today. The longer you wait to address the issue after it’s been identified, the more time it will have to fester, adding fuel to the fire. It may not be a fun-filled conversation, but it needs to happen sooner rather than later.

Additionally, after confronting the situation, it may be necessary to address the rest of the staff. If there is talk amongst your employees, nip rumors in the bud. A short, concise statement letting other employees know that a situation has been addressed can save you a lot of meeting time and HR heartache in the long run.

3. Privacy is key.

While the staff as a whole may need to be addressed after the situation is resolved, initially, it’s best to meet with the unhappy staff member one on one. This option not only protects you from the employee voicing their complaints for everyone else to hear, but also provides a perception of safety to the employee. They may be willing to disclose their real reason for unhappiness and a resolution may be reached in private, one that would not happen without the confidentiality found behind closed doors.

In addition, this privacy will protect both you and the employee legally. Thoroughly document the conversations you have with the employee, as well as the details of any resolutions you come to. Type up your notes, print them out and have the employee sign them to prevent “he said, she said” confusion from affecting your working environment in the future.

4. Cool is the best temperament.

Working in a hot office is uncomfortable, whether you’re referring to the temperature or to the level-headedness of the bosses. It’s more important than ever to keep your head on straight when handling an unhappy employee. If they begin to get upset, simply speak gently and allow them time to calm down. If the situation escalates, ask them kindly to remain professional.

If nothing seems to help, remove yourself from the situation and allow them space to express their anger privately, without you there. Employees who aren’t comfortable handling their emotions may need some time to process them alone before they’re able to come back and have a professional conversation.

Related: 6 Ways to Improve Your Management Style

5. It takes time.

As business professionals, we want to fix things immediately. While this is a great attitude to have overall, it doesn’t work in every situation. A quick turnaround in employee morale can really drive efficiency and productivity, but it isn’t always possible.

Keep in mind when dealing with an unsatisfied staff member that it may take more than one meeting to iron out the problem. If someone has been unhappy for a month, it may not be possible to bring the sunshine out from the rain in just an hour.

This can be frustrating to entrepreneurs who are used to moving quickly, but during these times, remember that you owe it to your company and your employee to continue to work through the situation.

6. Keep records.

Above and beyond all else, document your conversations, meetings and outcomes. This is for your safety and the employee’s, and it just might save you from a lawsuit. We all hope to resolve meetings with everyone wearing a genuine smile, clapping our hands and admiring our dedication as they tell us, “Thank you for everything you’ve done.” Productivity picks up, and everybody goes back to being one big happy working family.

Unfortunately, efforts to address and resolve the issues of unhappy employees don’t all end this way. Instead of a positive outcome, you may find yourself in the position of issuing a performance improvement plan or laying the groundwork for an eventual termination.

Whatever the case may be, make sure to keep records of any warnings given or actions taken. These records may be vital later if the employee takes legal action against your company. As a business owner and leader, it’s important to create and keep handy a number of different standardized human resources documents (such as a disciplinary action form) that you can pull from and use on an ongoing basis. Doing so will help you excel in tough situations where clear processes and documentation are key to bringing about change.

Not every job is right for everyone. Although it’s your job to coach and develop the employees who are the right fit, it’s equally your responsibility to recognize the ones who aren’t and figure out the best time to part ways. If you can’t save a disgruntled employee, it may be time to move on.

Have any other suggestions for handling unhappy employees? Share your experiences by leaving a comment below.

Sujan Patel

Good Communication Skills Will Help You Find Long-Term Success

Learning how to effectively communicate with others while choosing the right words can literally make or break your growth in the marketplace.

If you are a business owner, having the ability to communicate and point out small successes to your employees is a vital key for long-term success. If you are an employee, knowing how to become a more skilled communicator will increase your value to the company and marketplace.

Related: 7 Powerful Public Speaking Tips From One of the Most-Watched TED Talks Speakers

Let’s take a look at three ways why mastering the skill of communication can improve your business and increase your success rate.

1. Expand your reach in the marketplace

You can know everything there is to know about your business, services, mission statement and vision, but if you can’t express it with the right words out in the marketplace, chances are your growth will be very minimal.

Think of all the great business leaders in the world. I can almost guarantee that they are poised and excellent communicators. If they have an idea or plan, they know exactly how to effectively communicate that idea or plan to the world.

Expand your reach in the marketplace by mastering the skill of communication.

2. Leading and educating employees

Over the years, I have come across and realized that the best educators not only have exceptional communication skills, but they make sure their employees walk away with new skills and abilities.

Think of it this way: You can have the most crafted and thought-out job description, but if you can’t verbally express to your employees what your vision, goals and plan of attack is, your growth rate will be hindered.

3. The ability to motivate

One of the most valuable aspects of mastering the skill of communication is having the ability to inspire your employees. The best business owners out there know the importance of finding the time to inspire their employees and help them see past the roadblocks and setbacks that may be present in their lives.

Related: 7 Tips to Get Your Team to Actually Listen to You

The hustle and bustle of everyday life confronts everyone on different levels, such as when an employee is going through a divorce and may need some words of encouragement. The list goes on, but the bottom line is mastering the skill of communication vastly increases your ability to motivate employees.

When employees are motivated and inspired by your simple, heartfelt words, they are willing to go the extra mile and work even harder. Just like parents encourage and give words of empowerment to their children, the same applies to business leaders.

Improving the skill

Now that we have listed three ways as to why mastering the skill of communication is so important in determining business success, what are some ways you can improve your communication skills?

The first step is to take out a sheet of paper and list what you feel are your strengths, along with where you need to improve. Do you feel you can effectively go out in the marketplace and talk all day and night about your services, but your ability to motivate employees is lacking? Whatever it is, write it down. You can then start to develop a plan of action to increase your communication skills. Here are three ways to get started:

• Enrolling in a speaking class is a powerful way to improve communication skills. There are many classes throughout the country to help aid in communicating effectively.
• Putting a dictionary in the bathroom is another way to slowly but surely increase your vocabulary, which always will help with boosting your skills.
• Hiring a speech coach is another route you can look into. Working one on one with an expert can quickly speed up the process.

Do you know of any good practices to improve communication skills? Let us know in the comments section below.

Related: Public Speaking Tips to Maximize Your Reach and Revenue

Matt Mayberry

6 Key Tips for Leading by Example

Leading is all about influence. How you present yourself in a leadership role affects your ability to successfully leverage authority and motivate others. Do you inspire people to follow your lead? If not, consider evaluating your performance and addressing crucial gaps.

Tweaking a few key behaviors can make a huge difference in how others perceive you. Many people don’t take this point seriously enough and damage relationships, reputations and careers in the process. Be proactive. Here's the deal: Leading can be a rewarding, yet challenging undertaking. Follow these six tips to model excellence and gracefully inspire others to follow your lead:

1. Establish an impeccable standard of excellence.

Set high expectations at the outset and raise the bar on any crucial factors. The best way to establish a standard is by modeling the expected behavior yourself. Showcase excellence. When your actions have the potential to affect everyone around you and the bottom line, don't dabble in mediocrity. Reflecting excellence is critical to exercising effective leadership. This is ground zero for establishing influence.

2. Deliver on results promised. 

Able leadership requires an ability to deliver results. Rhetoric has little value  if outcomes are what's essential. Instead of touting wins from past performances, focus on capturing tangible gains now.  

Harness the power of chunking, a process for organizing tasks and breaking them down into bite-size pieces to avoid stress and burnout. Remember to follow up and follow through, too.

Engage experts if necessary to timely and competently pull projects forward. In the end, only substance and the final sum will matter. Excuses won’t.

3. Value people and nurture relationships.  

Top-notch people skills are vital to sound leadership. Develop premium listening, communication and decision-making skill sets. Demonstrate integrity by being open, honest and fair.

Your transparency will reap clear rewards. If you treat people well, most will be encouraged to return the favor. By elevating the importance of people and relationships, you enhance your ability to relate to others in an authentic and meaningful way.

4. Promote strategic cooperation.

Collaboration is an indispensable component of leadership as captured in John Donne's line “No man is an island." This is especially true if you can build high-performing teams, according to the Harvard Business Review's site. Isn’t it fascinating that no matter how brilliant people are as individuals, they are often far more effective when working with others?

People often produce higher quality, more efficient work products when collaborating. Commit to this by actively embracing opportunities for healthy cooperation. Make teamwork an attractive aspect of workplace culture. Less burnout, increased trust among peers and enhanced interpersonal relationships will result. 

5. Resolve conflict quickly and effectively.

Approach conflict proactively, which means the sooner you resolve things, the better. As a core leadership competency, conflict resolution is a delicate process that requires thoughtful intervention. Disagreements naturally occur. But persistent hostility should not be tolerated. The bottom line? Conflict gets in the way of everything else. Thus your ability to quickly and effectively facilitate resolution will undoubtedly boost your ability to lead.

6. Freely develop and support others.

Professional development is an extraordinary mechanism for facilitating growth. Demonstrate your commitment to expanding your reach and your team's by prioritizing opportunities for enrichment. Allot time and resources to make the process stress free. Challenge yourself and your team to overcome shortcomings at regular intervals throughout the year. Then acknowledge and reward proactive participation to build enthusiasm and encourage continued progress.

 Karima Mariama - Arthur