Most organizations are stuck in a rut, with no apparent way out. The margin squeeze is getting tighter and tighter. Operational costs are stripped down to the bare bone and employees are sucked dry, tired and unmotivated and burn outs are on the rise. Paradoxically at the same time employees are getting asked to be even more productive, with less budget and less resources while to be “innovative” and come up with new ideas.
For a human being to be highly effective and efficient he/she needs to have a framework in place that supports such behavior. On Maslow’s Hierarchy of Needs a person who is innovative, has problem solving skills ets is on the SELF – Actualization level, the highest level. They need to feel respected, have the feeling their work has a direct impact and is of importance, they need to have the authority to execute and carry their own responsibility.
But let’s face it. Most organizations become more and more rigid due to tight budget to meet the ever rising margin growth figures. Procedures, process, paperwork and IT systems become a complete nonsense. And the higher up one is on the ladder the more paperwork he/she has to produce all day long to justify their decisions and or to cover their backs. Fear is on the rise and the ever increasing pressure becomes “inhuman”
People are almost paralyzed to make decisions and will do everything to push the decision making process somewhere else.
If organizations want to get out of this negative downward spiral they have to adopt a new business model. Away from being margin driven, but rather oriented towards customer and employee satisfaction as the main drivers. “In short: a happy successful employee will generate a happy customer. A happy customer will come back and is willing to pay a high price for great service, which in return will increase the profits.”
Basically the current path has become unsustainable and it is time for a change.