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Category: Team Building

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!”

The key to navigating through contentious times
Our nation has been going through a storm the past three months. First came the Corona Virus, then the civil unrest sparked by the George Floyd tragedy. We are all stirred up, and each day are compelled to choose the right thinking that keeps us moving forward.
Just this week, Suzanne Corr, Executive Director of the Barrington, Illinois Chamber of Commerce, wrote a column billed, “Listen with the heart”. She talked about some things we can do to have conversations that are valuable rather than divisive.
This reminded me of an interview I heard nearly 20 years ago. It was on a morning news program, and former Education Secretary William Bennett was being interviewed. He had just written his book, “Death of Outrage”. It was in reference to then President Clinton and the political scandal that led to his impeachment. It was a book critical of the President. At the same time, Robert Bennett (William’s brother) was the defense attorney for President Clinton. The interviewer pointed this out and said, “I take it you and your brother don’t get along”. William immediately replied, “That’s wrong. My brother and I love each other, are very close, and we spend as much time together as we can. We were both brought up to be our own person. That is who we are. Just because you have different views doesn’t mean you can’t be close”
Both of my boys are in their early 30’s, and they have different political views. They love each other and spend a lot of time together. Caution: I am by no means recommending that you go around getting involved in political discussions. In both the case of the Bennett brothers and my sons, you have to have built a solid base of love and trust. Have a quality conversation with someone you love, trust and respect. Listen to understand. Expect to learn something!
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 soft side of accountability
Years ago a colleague and I were facilitating a session in management training. We were working on accountability, and my partner made a statement to the class that I have never forgotten:
“It’s like being a good parent: If we are too strict and allow no latitude, we often find that the child can be rebellious and resentful. If, on the other hand, we are too lax, and have no rules, we end up raising a child that no one wants to be around”
So how do we find a happy medium? Assuming we have clearly defined roles and expectations, we will eventually come to a point where we have to re-direct a team member who has strayed from the standard. How rigid should we be? It can depend on the situation, the severity of the error, and many times the temperament and track record of the person we are addressing.
Just recently, a manager I know had to fire an office assistant. He and his partner had hired Sue. His partner, Jim, was like a drill sergeant, and one day Sue came in one minute late. He approached her about it, and she became very defensive. From that point on, things were not the same. Sue’s work began to suffer, and the on-time conversation seemed to mark the beginning of the decline. Should Jim have spoken up? How did he approach her? Should he have let it go? I wish I could give you a “silver-bullet” answer. Instead, I will leave you with another favorite quote from an old mentor of mine from many years back:
“Better to let a little wrong live than a lot of love die”
Rule #1 in problem-solving
You may have noticed a couple of pervasive buzz words going around in the business world today: Synergy and/or collaboration. It means teams getting out of their silos, putting all their heads together, and solving problems. The first and most important step is defining the problem. By defining a problem, it means that you have simply stated the situation in a factual, non-blameful way.
As simple as this sounds, I find that people struggle with this step. Too often in problem-solving team members start out with blame or just a symptom of the problem.
Several years ago, I was teaching a management class, Ralph was one of the class participants, and he decided to apply this fundamental with his team. He asked for a statement of the problem, and he heard comments like, “Sam didn’t do the quality check in time”, or “the belts were not changed in time and the machine broke down”. Ralph stopped them right there by saying, “That’s not the problem”. He stuck with it, and they finally came up with a simple statement they could all agree on: “The problem is we had a late delivery to a key customer”. Now we are cooking! Instead of getting into blame and finger-pointing, we can work through the next three steps of the problem solving process.
2. What are the causes of the problem?
3. What are the possible solutions?
4. What is the best possible solution?
The team agreed on the best solution, laid out their action steps, and were well on their way to making the changes to improve delivery time. Ralph said that had he not insisted they define the problem, they would have gone round and round. Remember, if you have a problem to solve, begin by defining it. Consider the old maxim, “A problem defined is a problem half solved”
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