Profit Leak 2 - is poor leadership holding your company back?

Employees and Leadership

Gallup, Inc. recently updated their well-known State of the American Workplace Report. From 2010 to 2012, they surveyed 25 million employees in 189 different countries and 69 languages, asking them their famous 12 questions for measuring employee engagement. The results essentially showed that only 30% of all workers could be referred to as “Engaged Employees”.

Engaged employees work with passion and feel a profound connection to their company. They drive innovation and move the organization forward. The scary part of the survey results was that these were the best results ever, and that the improved statistics were still ugly.

Employee Engagement

According to Gallup, essentially 70% of today’s workforce is being paid to be “not engaged” or “actively disengaged.” A staggering 52 percent of employees are “not engaged”, meaning they essentially do just enough so they won’t get fired – but not more. The remaining 18% who are “actively disengaged” employees aren’t just unhappy at work, they’re busy acting out their unhappiness. Every day, these workers undermine what their engaged coworkers accomplish.

What is clear by findings, leadership is causing the 70% who are “not engaged” or “actively disengaged.” The evidence is supported by the fact that the 70% was not spread equally across companies and there also were differences within the companies. The primary difference was to whom those employees reported. This is important because when employees you have invested in are not engaged, you get less return on your investment.

Poor Leadership

By allowing poor leadership, you are deciding that the person designated to lead has more to offer than everyone else put together… a fool’s bet. Your inept leaders cause everyone around them to perform at lower levels, and you lose access to a lot of great ideas. People are less apt to willingly give extra effort.

So if you have leaders on your team that are not able to get top performance out of their teams, stop harassing the front-line people and address your real issue at hand… leadership.

Improve Your Leadership and Team

If you are interested in addressing your “profit leaks,” let’s schedule a time to further discuss your business and how we might work together to patch up your leaky bucket. Contact us for a FREE consultation or give us a call at (305) 722-7213.

Profit Leak #1: Are You Losing Productivity on B and C Players?

Profit Leak #2: Is Poor Leadership Holding Your Company Back?

Profit Leak #3: Are You Too Focused on Tactics Rather Than Strategy?

Profit Leak #4: Are Vacant Positions Affecting Business Performance?

Profit Leak #5: Do You Have Retention Issues?

Profit Leak #6: Is Your Business Strategy Causing Lost Opportunities?

Profit Leak #7: Are Your Customer Attrition Rates Too High?

Profit Leak #8: Do You Know What Mistakes Are Costing Your Business?

Business Coach, Business Execution, Leadership

About Howard M. Shore

Howard M. Shore is a Certified Gazelles Coach, Certified Public Accountant Certified Executive Coach, Certified Behavioral Analyst, Certified Values Analyst, and Certified Attributes Index Analyst. He has earned Bachelor and MBA degrees from Florida International University, and completed advanced executive programs at Harvard Law School and the University of Chicago.