the workplace is changing…… are your managers...

The Economics of Leadership™

The workplace is changing……

Are Your Managers Ready…..?

Pre-1945 1946-1964 1965-1980 1981-1996 1997 -

The Importance of Our Birthyear!

Copyright © 2019 Career Potential, LLC All Rights Reserved© Level Up Leadership, Inc.

2019 All Rights Reserved

Pre-1945 1946-1964 1965-1980 1981-1996 1997 -

The Workforce Has Indeed Changed Alot!

Copyright © 2019 Career Potential, LLC All Rights Reserved© Level Up Leadership, Inc.

2019 All Rights Reserved

First Personal Computer - 1981

First Cell Phone 1983

First Commercial Computer - 1951

First Blackberry1999

First iPhone2007

First Android2008

Hidden Figures 1962

ElectricityTelephonesTypewritersAutomobiles

NBC Broadcasts Color TV - 1966

The Future of WorkResponding to the Changing Demands of the Workforce

© Level Up Leadership, Inc. 2018 All Rights Reserved

Past Future

My Paycheck My PurposeMy Satisfaction My Development

My Boss My CoachMy Annual Review My Ongoing Conversations

My Weaknesses My Strengths


6 Scary Numbers for Any Organization’s C-Suite**

**Gallup – 6 Scary Numbers for Your Organization’s C-Suite, October 20, 2018https://www.gallup.com/workplace/244100/scary-numbers-organization-suite.aspx

1. Only 22% (of employees) agree their leaders have a clear direction for the organization.

2. Only 26% believe their organization always delivers on its promises to customers.

3. Only 12% agree their organization does a great job of onboarding.4. Only 14% agree the performance reviews they receive inspire them

to improve.5. 67% say they are sometimes, very often or always burned out at

work.6. 51% say they are searching for new jobs or watching for new job

opportunities.

https://www.gallup.com/workplace/244100/scary-numbers-organization-suite.aspx

© 2013 – 2016 The Ken Blanchard Companies. All Rights Reserved

Only 12% agree their organization does a great job of onboarding.

That means 88% think their organization does a poor job onboarding.

How might this impact your profitability?

Fully Competent and Confident in all

Critical Tasks

Building Competence in all Critical Tasks but

Still Unsure

Still Learning but Becoming Frustrated and

Disillusioned

Excited and Enthusiasticbut not yetCompetent

15% 50% 25% 10%

© 2013 – 2016 The Ken Blanchard Companies. All Rights Reserved

How Might More Effective On-boardingImpact Your Results?

85% of Critical Tasks


67% say they are sometimes, very often or always burned out at work.

So What are the Primary Sources of Burnout?**

Unfair Treatment at Work

Unmanageable Workloads

Lack of Role Clarity

Lack of Communication or Support from their Manager

Unreasonable Time Pressures

Unreasonable Deadlines and Pressure

**Gallup – 6 Scary Numbers for Your Organization’s C-Suite, October 20, 2018https://www.gallup.com/workplace/244100/scary-numbers-organization-suite.aspx

https://www.gallup.com/workplace/244100/scary-numbers-organization-suite.aspx

Burnout and frustrationcomes from:

With better leadership,we can create better:


Burnout, Frustration, Ambiguity and Uncertainty and their Impact on Productivity

From Tor Dahl, former President of the World Confederation of Productivity and Board Member for the American

Productivity and Quality Center:

From the Microsoft Productivity Challenge (A study of > 38,000 people

in 200 countries)

“Although … people are working very hard … we’ve found that each …. can

increase productivity by 30%.”

“Though people are working an average of 45 hours per week, they consider ~ 17 of these hours to be unproductive.”


Can Anyone, Anywhere Work at

100% Productivity Everyday?

A Ken Blanchard leadership initiative … 300 managers with 1,200 direct reports … financial

services firm … achieved a 5% to 12% increase in productivity

among direct reports of managers who attended a leadership

development program and began

using the new skills they learned.

Understanding the Connection Between Changing the Status Quo and Increased Profits

Recruit, Select, Hire and Train

Quadrant 1Engaged but

Not Yet Competent

Highly Productive and Effective

Quadrant 2Fully Engaged andFully Competent

Quadrant 3Disengaged and

Still Somewhat Competent

Recruits others to join in.Requires a significant

amount of manager time.

Quadrant 4Disengaged and

No Longer Competent

This too requiresA LOT of manager time and

often required HR input

Requires

manager

time re-

training and

reengaging

the

employee

and moving

them back to

Quadrant 2

Time

and

expense

required

to bring

on new

hires.

The Evolution of Employee Engagement and Productivity


Calculating the Cost of the Status Quo

Total Number of Employees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 150

x Percentage of Employees in Quad. 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . x 66%*

Estimated Number of Employees in Quad. 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99

x Average Monthly Compensation of Emp. In Quad.3. . . . . . . . . . . . . . . . . . . . . . . . . . . $2,500

Estimated Average Monthly Payroll for Emp. In Quad. 3 . . . . . . . . . . . . . . . . . . . . . . .$247,500

X Percentage of Lost Effectiveness (100% - 70%) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34%**

Estimated Monthly Cost of the Individuals in Quad. 3 . . . . . . . . . . . . . . . . . . . . . . . . . $84,150

Estimated Annual Cost of the lost productivity of theIndividuals in Quad. 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,009,800

* Based on Gallup’s most recent findings on employee engagement in the US, June 20, 2018. **Based on the average percentage of employee productivity from Tor Dahl’s work with lost productivity % from Tor Dah’s work with the World Confederation of Productivity and the American Productivity and Quality Center (30%) and the findings from the Microsoft Productivity Challenge (38%)

Amy Cuddy, author of Presence:Bringing your Boldest Self to your Biggest Challenges


51% say they are searching for new jobs orwatching for new job opportunities


The Top 5 Reasons EmployeesLeave Companies*

Limited career/promotion opportunities

Lack of respect/support from their

manager or supervisor

Compensation

Lack of challenges or boring job duties

Ineffective leadership skills

* 82% of departing employees leave their manager not the company!

Why WouldYou Leave?


So, What are the All-in Costs of Turnover?

Conservative estimates suggest the total cost is ~ 1/5 of the worker’s annual salary.

At $8/hour - $16,640 per year - $3,328

At $16/hour - $33,280 per year - $6,656

At $75,000 per year - $15,000

At $100,000 per year - $20,000

What do these costs include?


Direct Costs such as:Separations Costs – Exit interviews, severance pay and higher unemployment taxes

Cost Temporarily Cover Essential Duties

Replacement Costs – advertising, drug testing, background checks, time screening, interviewing, etc.

On-boarding Expenses

Indirect Costs such as:

Lost Productivity

Reduce Morale

Team Member Frustration

On-boarding Expenses

Lost Institutional Knowledge

Potential Lost Clients or Lost Client Opportunities

Taking a Look into the Cost of Turnover

https://www.managerinstantfeedback.com/SHIFT/viatech_attrition_calculator.php

The Future of WorkResponding to the Changing Demands of the Workforce


Past Future

My Paycheck My PurposeMy Satisfaction My Development

My Boss My CoachMy Annual Review My Ongoing Conversations

My Weaknesses My Strengths


What CanYou Do?

Train your leaders, managers & supervisors to Set motivating and relevant goals. Effectively diagnose where people are on their competency and commitment to achieve those goals. Coach people to higher levels of motivation, confidence and capacity.

Create a clear vision and mission for your organization, engaging as many of your employees in the development of both as you can.

Coaching skills are trainable skills. Make the investment to train your managers to conduct on-going coaching conversations and minimize your emphasis on annual performance reviews.

Commit to developing your employees hard and soft skills and providing opportunities for growth for those who want it.


Improve Your Hiring Analytics

Motivation: What’s their drive for achievement?

Workstyle: How do they approach their work and does that fit with what you need?

Initiation: Do they initiate action and inspire others to succeed?

Collaboration: Do they build and nurture quality partnerships?

Thought Process: How do they assimilate new information and solve problems?

In Summary, Looking at the


Efforts made to improve

The management and leadership skills of your supervisor, manager and leader skills andImprove your success in screening and hiring the best possible talent for your team

Should be viewed as an investment, not an expense, and when implemented effectively should be recovered within 12 – 24 months.

the workplace is changing…… are your managers...

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