Motivating employees is a serious business and every leader has their own ways of tackling the challenge. Entrepreneurs including Tom Chapman, Reid Hoffman, and Bob Bechek have all made staff motivation a top priority.
Left unchecked, demotivated employees can destroy your business, so it pays to look carefully at some of the causes. Here are just three of the top reasons.
Lack of transparency
Startups and small businesses don’t have a lot of employees. But in many cases, this does not increase transparency or communications. Bizarrely, it can actually reduce it. And in some cases, secrecy starts to become the company culture.
However, this lack of transparency often stems from good intentions. In a small firm or startup, employees have a stake in the success of the business. Their livelihoods depend on the company thriving and growing. Most leaders are acutely aware of this and that can mean they fall into the habit of keeping bad news close to their chest, which can lead to a breakdown in trust.
Trust is the cornerstone on which to build a motivated workforce – it gets you buy-in from employees, and gives you the flexibility you need in good times and in bad. But a Harvard Business Review study found that 58% of workers would trust a stranger more than they trust their boss. Try hard not to be one of them.
Lack of control is demotivating
Not having sufficient control can demotivate even the best of people. In small businesses it’s a particular problem. The pace of change, especially in startups, can be hard to handle and leaders are constantly stretched themselves.
When founders are overloaded they tend to start micro-managing, and worse, chopping and changing priorities without properly communicating the reasons. This can lead to employees losing trust in their leaders, which in turn makes it hard for them to keep motivated.
Thankfully, solving this issue is relatively simple. Sit on your hands and trust that your team can deliver, in their own way, without your constant involvement. Give your people room to breathe, room to make their own decisions and the time and space to execute their work in the way that best suits them. Remember, in a study done by the Center for Generational Kinetics, 80% of employees said they felt they could do their job without their manager.
According to Leigh Branham, author of The 7 Hidden Reasons Employees Leave, just 12% of people leave their job for more money, so you can bet that looming large on any list of reasons to quit is sheer, unadulterated boredom. Tolerating boredom is a life skill, but younger generations, brought up with entertainment and self-education on tap via the Internet, are less forgiving of a boring job.
This is a good thing. For too long, people have been expected to sit endlessly at desks in dull office spaces doing dull work. And many leaders have had an expectation that employees will act like components not like people. Even an entry-level job should be rewarding and worthwhile.
If staff are demotivated because they’re bored it could be because their work is not challenging them; they need greater responsibility or a new project; or they can’t see how their job fits in and why it’s important. But the number one reason is usually very simple: you’re not asking them what’s wrong and what you can do to help.
These are just three of the most common reasons. Crack the code on just one and you’ll have a happier, more productive team.
3 reasons To Turn Down An IPO And Remain A Private Business
Floating the company you founded on the stock market is the dream of many entrepreneurs. After all, what’s not to like? You can free yourself from the grind if you want, make lots of capital to reinvest, own shares that could be worth millions in the future, and potentially see your business go on to new heights.
But many great founders have resisted the temptation; entrepreneurs such as Johan H. Andresen founder of the Ferd Group, Andrew Nisbet founder of The Nisbet Trust and Fernando Simões, CEO of family-firm the JSL Group. All doubtless had the opportunity to go public, but for various reasons decided to keep their businesses privately owned.
Here are just three reasons to think twice about floating your business, however tempting it might seem.
You’re at the mercy of your shareholders
It might seem obvious but when you float you effectively lose control of your business and almost every big decision becomes subject to shareholder approval. This is a significant issue and most privately held companies understate the impact. It’s worth being very clear in your mind before you float that shareholders often have a very different view of how the company should develop in order to turn a profit.
Many companies that float have been turning a good profit for years but suddenly they have a whole new set of pressures to deliver short term. Most shareholders, certainly the smaller individual investors, want to see returns quickly, and they have considerable power to veto many strategic decisions that are designed for steady long-term growth.
This can undermine cash flow and reduce overall profits. As a private businesses, this is not such an issue. But when you have a bad year as a PLC everyone will know about it, which can lead to increased media scrutiny, and negative press. This is no small matter. As soon as you float, you become the public figurehead of your business, and many entrepreneurs have found themselves subject to unwanted attention.
You’re also at the mercy of shareholder activists, and if they feel like you’re making the wrong decisions, or even accidentally aligning your company with unethical suppliers, you can find that you’re subject to a takeover bid.
Costs and regulation increases exponentially
Floating is an incredibly expensive undertaking, costing up to something in the region of £300,000, or 25% of the cost of money raised in the IPO. It’s not an inconsiderable sum. Plus the paperwork is huge. One well-quoted executive of a company that listed its shares on the London Stock Exchange reckoned he had processed around 200,000 sheets of paper in the form of documents during the process.
Before you go public you’ll also need to undertake a whole raft of expensive procedures. These include in-depth due diligence reports, analysis of all your supplier contracts, disclosure of your financial forecasts and making public your directors’ pay.
But even if that’s doable, once you’re a public company you become subject to a huge amount of new regulation, which can trip you up at any point down the line. Your reporting functions will need to grow to accommodate statutory financial and governance reporting; every six months as well as ensuring any changes or events are reported on an ad hoc basis.
You are no longer running a private family business
One of the key reasons why firms do not float is that many founders think very long term, and are drawn to the idea of creating a legacy. In fact, the majority of private business owners are happy to keep things in the family.
According to the Institute for Family Business, as it stands today 85% of all the private sector firms in the UK are family owned and operated, and they account for 50% of private-sector employment in the country. In the US, the figures are similar: there are more than 5.5 million family businesses and they employ more than 63% of the workforce.
These numbers speak for themselves. Most business owners are happy with the state of play, they don’t want to float their companies and they don’t want to lose the ability to create a multi-generational business that they can pass down through the family.
So at the same time as you consider the obvious positives surrounding taking your business public, and there are many, don’t forget to factor in what you’ll lose too.
A warm thank you to Sharon Fishburne for this contribution.
What A CEO Learns from An Executive Coach
A CEO’s task is flexible. They are often the voice of investors, both internal and foreign, liaising with leadership, the committee of directors, and the audience. They are also accountable for the company’s long-term approach and product principles for staff.
Newly assigned CEOs require proper guidance for them to do their job correctly. A startup CEO coaching course provides the needed assistance for a CEO to develop and form positive decisions.
Values You Can Gain from A Coach
With a startup CEO coaching course, you’ll be able to gain crucial benefits and lessons that will help you become an active CEO for the company. Here are some of the learning you can get after a successful coaching session:
- Receptivity Is Vital. It is essential in listening to others’ opinions about you. Fellow CEOs and business managers can give you recommendations based on their knowledge. It is critical to accept their feedback in decision-making. Demonstration of excellent hearing abilities and a real interest in others encourages your picture externally. It also increases your knowledge of how a company works every day and leads to stronger company choices.
- Stay Motivated. A successful CEO must have the capacity to achieve an objective with passion and to instill this same approach in others. To get the full results from your company implies to get the maximum help from your people.A company-driven and engaged co-workers will operate easier and will want to move the company ahead. Determine how you and your team can produce meaningful actions.
- Show Adaptability With Continuous Changes. Advances in your company or enterprise can cause a drastic effect on your approach, goals, and decision-making. It is a reliable instrument to acknowledge these changes and alter course if needed. A CEO must also stand in a position where they can adjust their performance to the needs of the company. It doesn’t matter whether it’s for an international or a startup company.
- Have A Clear Vision. A CEO must have a definite path to guide the company. Ambition and optimism are good things, and the head of a company must have faith in those goals. Being capable of inspiring others to purchase into your dream is a significant management instrument.
- Gain Trust with Honesty. Inspiring confidence and respect is a sign of an efficient CEO and an essential element of being a reliable leader. Investors must have confidence in your capacity and trust to delegate to those with whom you operate. A trustworthy CEO must have the time to concentrate on the broad outline – CEOs who gain trust benefits from the positive working atmosphere they created.
A Coach Helps You Attain Your Goals
Reaching your objectives is the ultimate step towards sufficient coaching involvement. An excellent trainer can assist you in understanding your objectives, aspirations, and what you can do to accomplish them. Your coach isn’t dependent upon you for success, unlike your family or your staff.
They are honest about how you do and provide unbiased opinions. Finally, and most significantly, your coach can educate you about new methods to think and operate as an excellent CEO. At the end of their coaching, you will develop abilities to help you achieve your objectives.
Things to consider when finding an office space for rent Dallas
The high demand for office spaces in Dallas, Texas has become very difficult for one to identify a space that is suitable for their organization. If you have a small employee count, you can share your office spaces among various other companies to cut on the costs.
When looking for an office space for rent Dallas, you should always make sure that you consider:
- The geographical location of the office. The location should be strategic to make sure that your clients, suppliers, and employees can access it easily.
- The building that you rent your office space from should be designed in such a manner that it is able to attract clients for you, depending on the type of business that you carry out.
- The price of the rent should be well within your budget, which makes it easy for you to afford the place without running down your business or compromising on quality.
- The premises should be designed in such a manner that there is a receptionist that will be able to direct your clients, suppliers, and investors to the office space. You don’t want your clients to show up to your office feeling confused about what to do next.
- The building in which you decide to rent out your office space should be able to provide 24- hour security as this makes sure that you feel secure while running your business.
- The building should also provide maintenance services that make certain that your office premises are tidy and well kept. Without this, your clients and employees would have to deal with an untidy office and that could lower productivity.
- You should keep in mind the number of staff that you want your office to accommodate. The space should be sufficient enough to accommodate your entire team.
- There should be enough parking spaces that will make sure that your visitors are not stranded.
When getting an office space for rent Dallas, there are various methods in which you can pay for it: through hourly rates, daily rates, monthly rates, or even yearly rates. The office spaces are available for rent and lease, depending on your preferences and needs. The Office Finders guarantee that you get the office space you want at the right time and at an affordable cost.
The office spaces are available for companies or individuals who need conference rooms, co-working with another team on a particular project, meeting room, private office, cubicles, training rooms, presentation rooms, personal workspace, temporary space, document review, project space, satellite office, desk space, and board room.
Office Finder makes it easy for you to negotiate the rental agreements and for you to get a suitable office location for your company. All you have to do is approve the spaces that are available and make it easy for you to compare so many office spaces before you settle on one.
Some of the rental office spaces Dallas include:
- Dallas – CBD office market
- Dallas – North office market
- Dallas – LBJ freeway office market
- Dallas – Uptown office market
- Dallas – Preston Center office market
- Dallas – West End office market
- Dallas – Stemmons freeway office market
- Dallas – Victory center office market
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