Sunday, February 5, 2017

Your BEST Business Investment Is Not What You Think!



The cold, hard math is that EVERY business or endeavor has finite resources. Even the most successful companies like Amazon or Apple must make decisions regarding how they will invest their resources (though I would like to have their limitations on what type of delivery drone to buy or whether to create a self-driving car or go with the IPhone chip that is implanted in our heads . . . just kidding about the IPhone chip in the head thing . . . I hope!). But what if the best investment was not on THINGS but on PEOPLE? This has got me thinking out loud about the Return on Investment for doing so.

For someone who is in the crowded marketplace of leadership development and personal effectiveness, it is important that I make my case for why individuals or organizations should redirect resources from THINGS to PEOPLE. According to the Carnegie Institute, 85% of FINANCIAL SUCCESS is due to your ABILITY TO LEAD, COMMUNICATE, and NEGOTIATE. Technical skills account for only the remaining 15%! But what do we spend most of our time and resources on?

Further, data on employee engagement generated from Gallup demonstrates that EFFECTIVE managers and leaders can decrease disengagement, double engagement among team members and drastically reduce staff departures among millennial employees. But again, very few of us come “factory equipped” to lead and manage effectively (I know I wasn’t!) so that requires us to INTENTIONALLY equip ourselves to do so. Further, employee SATISFACTION is not a sufficient metric for success. ENGAGEMENT only happens when team members are aware of their ROLES, confident of their CONTRIBUTIONS, have CONNECTIONS with other organizational members and are CONSTANTLY PROGESSING in their DEVELOPMENT. Again, no mention of expresso machines or bean bag chairs in the office! Finally, Gallup researchers have found that TOP PERFORMING organizations (as defined by measures such as profitability, innovation, staff retention, market share, expanded customer base, etc.)  make a STRATEGIC INVESTMENT in manager and leader development and hold those managers accountable for the DEVELOPMENT of their own teams!

So, what would constitute an effective leader development initiative? Whereas the specifics are more involved than a blog reader’s attention span (!), such an intervention would include content such as:
Managing Change
Collaboration
Effective Communication
Ethical Leadership
Sustaining Personal Development
Creativity
Organizational Values and Mutual Expectations
Leadership
Equipping Others and Developing Emerging Leaders
Resilience and Failing Forward
Team Building
Etc.
Etc.

Now I know that any business owner, college administrator, hospital director, non-profit board member or faith leader must make the tough call every day as to how direct their finite financial, human, time, and energy resources. Often in such calculus, leadership development often falls to the side. But in an environment where employee disengagement costs the U. S. economy $450,00 billion dollars a year (along with international disengagement rates that produce an additional $500,00 billion in losses annually per Gallup data), can we still afford to do so?!?!

As always if I can help you and the people you associate with Get Better, Be Ready and LEAD OUT LOUD, I would invite you to email me or to visit my website below and see if any of the training or coaching experiences I offer can provide an impact! Also, as a bonus, if you go to my Out Loud Strategies website (www.outloudinc.com) and enter your contact information, I will send you a FREE guide to establishing a mentoring initiative program in your organization! Such an initiative would be critical to add value to your organization!

Yours in Leadership (and still walking both roads!),

Bill Faulkner

Principal Consultant – Out Loud Strategies

Independent Coach, Speaker, and Trainer with the John Maxwell Team TM

Email = bill@outloudinc.com

Visit our website at: www.outloudinc.com

Feel free to “LIKE” our FB Page www.facebook.com/outloudinc

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