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Overcoming the biggest obstacle to success

by Stephen Hawley Martin
for Virginia Business
Sept. 12, 2006

What is often the biggest impediment to the success of a business? Management by fear and intimidation. A company that's ruled by fear not only has difficulty holding on to people, the people who do stick it out are less motivated to work, and they are certainly not motivated to take initiative.

It's also highly unlikely they will report the true cause of problems that arise. Yet when autocratic management is withdrawn, workers will not suddenly change and begin taking initiative. Typically, the old saying "when the cat's away the mice will play" goes into effect. The result is that changing a corporate culture to empower and motivate workers is almost always a long-term proposition.

The fastest I've seen it happen was six months. In this case, an enormous change was brought about primarily because the top executive at the facility, one who'd been a heavy-handed autocrat, was replaced by an individual who managed by walking around. The new guy not only got out of his office and talked to people, he was a good listener.

One thing is certain:Change won't take place if the person in charge doesn't really want it. It might sound like a cliché to say that the culture of an organization starts at the top, but that is the truth. If the top people do not change their ways, nothing will happen. And when they do change, training and coaching are likely to be required. That kind of reprogramming can be expected to continue for a year or more before significant results are seen.

The quick transformation I observed occurred at a facility that had been run by a man who intimidated everyone. He'd dress down his subordinates in the presence of others. Everyone was afraid of this man, afraid to volunteer information, afraid to make suggestions. But even if they had, it wouldn't have mattered. He made all the decisions, and he demanded his orders be carried out to the letter. The board of directors of the business realized the only way to transform the operation was to replace him.

The man who succeeded the former boss was very nearly his opposite. He was approachable, open, thoughtful, and a good listener. From day one he spent most of his time talking to employees, finding out what was on their minds, listening to their suggestions, and implementing those that seemed to make sense. People responded to this, and they soon realized things could be different. The oppressive atmosphere lifted like morning fog on a summer day.

The workplace had been so cluttered it had been almost impossible to walk through. Trash, empty boxes and scrap were everywhere. The floor was covered with oil drippings. Now, the entire production floor has been revamped. Everything was scrubbed and painted. Lines were reconfigured for continuous flow production. A third of the space formerly used for manufacturing was freed up and could now be used for material handling. It wasn't long before everything was up to speed.

You might even say it was more than up to speed. Output increased by a whopping 50 percent even though the number of workers remained the same. Before, the factory had been struggling to keep up and often had fallen behind. Now, its capacity exceeds demand, and management has actually taken steps to pace the rate of production.

This remarkable turnaround happened because people wanted it to happen. They wanted the transformation to be successful and were committed to it because they like their new boss. They have given him their support because they want him and the company to succeed. There's no doubt in my mind this never would have happened if the old boss had remained in his position.

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Stephen Hawley Martin is a former principal of The Martin Agency in Richmond and the author of more than half a dozen books including his newest, Lean Enterprise Leader: How to Get Things Done Without Doing It All Yourself. He is editor and publisher of The Oaklea Press, a book publishing business dedicated primarily to helping business executives increase productivity.