Source | The Happiness Index
We live in a world where the future is increasingly shrouded in uncertainty. External factors can affect our businesses – Brexit, the results of the US elections and the ambiguity around impending world trade agreements can immediately shift the climate we work in. Recent evidence suggests there will be more change and shockwaves to our businesses over the next five years than there have been in the previous five.
It is not only external factors that can cause organisational turbulence – mergers and acquisitions, senior appointments, cutbacks and relocations will impact on your organisation and its people too. Business leaders need to effectively guide staff through periods of change to keep them engaged, motivated and able to deal with change.
The problem with traditional methods
When a change occurs, we often take the time to speak to our people to get an indication of how they are feeling. When we do this, we naturally filter information through our own experiences; therefore, our conclusions and subsequent action plans risk being skewed. Consequently, we only see part of the picture – which can lead to narrow and one dimensional action plans. Some people will follow our lead, but it’s unlikely everyone will be on-board.
Bearing in mind the time it takes to have the conversations, consolidate thoughts, build a report, create an action plan, then communicate and execute it all – the process can last for weeks. Think of the amount of time and energy to build a potentially one-eyed view.
When a senior leader joins a new company, they will generally receive all the necessary information to be able to immediately understand a company’s financial performance. They will know the P&L inside out and will be starting to devise strategies and action plans off the back off it.
Why shouldn’t we expect the same detailed insight on our people, culture, vision, leadership and engagement too?
Introducing the “2nd P&L”
The 2nd P&L is a measurement of your businesses’ greatest asset – its “People and Leaders.”
By implementing regular pulse surveys to help you gauge the 2nd P&L of your business, and combining the insights with the traditional P&L – you will get a staff–centred view of your entire organisation.
This insight will aid your ability to analyse your business culture and engagement – whilst helping you to manage organisational change more effectively. You can still do the meet and greet; but now it will be more focused on action and ideas, rather than fact–finding.