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Category: Leadership
Why layoffs should be the last resort
You may have heard the expression, “Don’t throw away the baby with the bath water”. This is a saying we may want to keep in mind when considering layoffs during this Covid-19 crisis. If we are at this crossroad, here is an example we may want to keep in mind.
In their 50-year history, Southwest Airlines has never laid off a single employee. Remarkably, they have also made a profit for 46 years in a row. When Southwest faces an industry-wide crisis, layoffs are the last thing they do. For many companies, it is the first action taken to cut expenses. Who is right? That is a judgment call. If we want to operate a business that makes a profit for 46 straight years, maybe we should tune in to Southwest’s philosophy about layoffs. Here they are, as outlined in a Business Week article in October of 2001:
Consequences of layoffs:
- Severance and rehiring costs
- Potential lawsuits from aggrieved workers
- Loss of institutional memory and trust in management
- Lack of staffers when the economy rebounds
- Survivors who are risk-averse, paranoid, and political
Benefits of not laying people off:
- A fiercely loyal, more productive workforce
- Higher customer satisfaction
- Readiness to snap back with the economy
- A recruiting edge
- Workers who aren’t afraid to innovate, knowing their jobs are safe.
As illustrated in these bullet points, if we are considering layoffs, this situation should be carefully weighed so that we don’t look back and say “OOPS!”
Thoughtfulness can live forever
“My favorite person in the whole world is my grandmother. She always has time for me”
-5-year old on Art Linkletter show
During this virus crisis, many of us have more time to spend at home with our family. This unique situation can provide opportunities to strengthen relationships and make good memories. Most of us can recall a special memory from our childhood that we treasure. For me, the first one that comes to mind is when I was 4. Like most 4-year olds, I lived in a world of 95% creativity, and spent my time observing, trying, falling, and learning.
One day I decided to play with a piece of chalk. I had just learned how to draw arrows, and I began doing so on each sidewalk square. It was fun as I was experimenting with my new-found skill. I just kept going with no idea of getting lost or hurt. After doing 20 squares or so, I paused to look at my surroundings. I was lost! I had no idea where I was. Just as I was about to panic, round the corner came my 6’3″ dad, smiling from ear to ear. Dad was there! I asked him how he found me. I should have figured it out. He followed the arrows.
As you might guess, this story is packed with meaning for me. Dad was looking out for me and showed me once again that he was here to help me grow. I realize now that this moment could have gone much differently. Instead of taking the loving and smiling approach, what if he had yelled at me or scolded me for leaving the yard or crossing the street? I am sure we talked about that later, but all I recall is him being there and looking out for me. What special memories can you create with your loved ones in this extra time? There is one to be had every day…even if it is only a tiny one. It may be huge to someone else.
Finding the hidden objection
“There are two reasons that people do something…The real reason and the one that sounds good”
-J.P Morgan
One of the most frustrating challenges a sales professional faces is getting to the real reason that prospects hesitate to commit. Brace yourself for a harsh reality: Prospects don’t always tell the truth.
Years ago I worked for a training company that specialized in leadership and communication skills. Much of the training involved presenting in front of a group of 35 people – something that many adults fear.
One day I was meeting with a candidate for one of our extended courses, and we came to the point where it was time for this person to say “yes” and commit to the training. We hit a stalemate. Here is how the conversation went:
“So John, is this something you would like to go ahead with?”
(John) “Well, that class is on Tuesday evenings, and that is not a good night for me.”
“I can understand why you would want a night that works for you. What night would be better?”
(John) “Thursdays are OK”
“So if we could find a class on Thursday evenings, that would work for you?”
(John) “Well. No”
“John, it sounds like there is something that is causing you to hesitate. Can I ask what it is?”
(John) “Well, you said there was a lot of speaking in front of a group. I am very uncomfortable with that”
Now I had the real objection, and I could deal with it. I talked through the process of how the presentations are done, and when I got through explaining, he was comfortable going ahead. If I had not kept “peeling the onion” and reach the real objection, he would not have gotten involved in the training, and that would have been a shame.
Remember, with gentle persistence, make sure you are addressing the right objection, and be prepared to defend your position.
The way you can tell a leader…
A few weeks ago I was meeting with the owner of a manufacturing company. Before I could even ask, she asked me if I would like to have a tour of her plant. I could tell she was eager to show off. I knew they had the most updated equipment and state-of-the-art technology, but I soon found out that wasn’t what she wanted to show off: She wanted me to meet her people. As we passed each work station, Kim introduced me to the heads of each section. She talked about their talent and had something special to say about each one. Tell me: What level of trust do you think she has with her team? You are right! A bunch.
In three separate studies conducted by the training team of Patterson, Grenny, and Maxfield, it was discovered that the “single best predictor of satisfaction with supervision is freqeuncy of interaction. And if your actions are infrequent and only about problems, you’re really doomed. Others only hear your position: They never see you as a person.”
When we show a genuine interest and listen well, we connect at a personal level. Once this happens, every subsequent discussion in problem solving, re-direction, and accountability becomes much easier, and we can have more direct conversations without creating resentment. Leaders care!
The most underused fundamental of leadership…
Dale Carnegie spent over 40 years working with teams and individuals in their efforts to become stronger leaders. As he reflected back on his career, it was his belief that giving honest and sincere appreciation was the most overlooked principle of leadership. When we fall short in this area, relationships can suffer. Here is an example.
I know someone who loves to do little things for others. If she goes on a trip, she buys something for each of her co-workers. She remembers birthdays, and takes pride in giving special cards and a little gift. She is also involved in a group, and just two weeks ago made cupcakes for a member who was celebrating their birthday. She was excited going in, but not coming out. She did not receive one thank you for the cupcakes of her efforts to make them. Had this been the only time this had happened, she could have probably shrugged it off. She reflected on all the things she the little things she had done this year, and could not recall one person saying thank you. She also realized that not saying thank you is a new trend. Just think of your own experience: For me, when I buy something at the store, about half the time the clerk says thank you. Where I come from, forgetting to say thank you is rude.
Now that many of us have some extra time brought about by this Corona virus, how about making a goal to strengthen our relationships? Did you enjoy the musical performance? Take the time to say thanks. Did someone take the time to smile at you today and brighten you day? Let them know it. Did someone make something for you or send you a card or nice email? Take the time to thank them sincerely. Your star will shine. Let’s end with the immortal words of Dale Carnegie referring to those who take time to appreciate:
“The rare individual who honestly satisfies this heart hunger will hold people in the palm of his or her hand and even the undertaker will be sorry then he dies”