Victim or victor?

Fleet Equipment, Mar 2001 by Birkland, Carol

When facing economic challenges, fleets need to position themselves to succeed.

We seem to be mired in an economic lull that is enough to make even the most optimistic person show signs of concern. Keeping morale up-in fact, just keeping employees-during these times of unpredictable change can be a real challenge.

Addressing the challenge might require some pro-active responses from fleets. First on the list of tasks might be to ensure that good employees stay and are happy, this is especially important if layoffs have occurred, and those that are left feel at risk or if slow downs cut hours and/or benefits.

Recent research conducted by the Hagberg Consulting Group indicates that employees' decisions to stay at or leave a company are based more often on cultural factors than monetary ones. While people like to feel that they are being adequately rewarded for their efforts, money is not the primary reason to make a job decision.

The research also shows that employees are likely to stick with a job in which they feel that they are acquiring valuable managerial or other leadership skills. These learned skills are perceived as important by employees since they often gives them more opportunities within a company or are good training for another job in case they need to leave. Training and, the opportunity to use new skills can increase a person's feelings of self-- worth and accomplishment.

No matter how challenging a job is, or how many new skills an employee is acquiring, working for a supervisor who is disliked or not respected is frequent reason employees may leave a company. Managers, or executives, set the tone for the entire workplace. If they are not engaging in the best leadership practices, the entire company will suffer. Hagberg research shows a direct correlation between companies that make investments in the leadership training of their executives and managers and employee retention rates.

Offering flexibility to employees is another way to add value and appeal to a job. When money is not readily available to give workers perks and incentives, flexible hours or other "time off" considerations are a way of showing appreciation. Another sign of appreciation might be to bring in a meal or snacks when technicians have to work overtime.

Often job retention comes down to whether or not the employee likes the environment, or company culture, in which he or she works. Employees in the Hagberg study reported that liking the workplace, the environment and their co-- workers was essential to their decision to stay with a company. In an era when people are spending more time on the job, the people they work with become a secondary family, and maybe the link that keeps employees from making a job change.

While we are on the subject of improving the workplace, let's talk about leadership and company culture. Leadership, especially in times of economic tension, needs to be strong and well-developed. Company culture, which takes its cue from leaders, may be headed for adjustments when employees are faced with budget cuts, slow downs and other forces that change the workload or diminish the workforce.

Now may be a good time to take a look at strengthening leadership to ensure a healthy company culture that can not only endure the stress of economically poor time, but also find ways to prosper despite it. Survivors in today's economy are going to be those companies that have solid core values and processes as well as the ability to change and successfully manage the changes they make.

The Hagberg Group says that changes in structure and practices are relatively easy to accomplish, but changes to a company's culture are more complex. An example of a structural or practice change might be when a fleet lays off a number of technicians to cut costs, and those remaining on the job must pick-up some extra workload. Employees can adjust to those types of physical changes, but there may be a negative effect on the "company culture," that is the attitudes of and interaction among the remaining workforce.

At its Web site, www.hcgnet.com, the Hagberg Consulting Group has a number of resources that might be of interest to fleets.

Change is a given. Everything that impacts the trucking industry is constantly changing. Everything from more advanced vehicle technology to escalating fuel prices impacts your decisions, But fleets don't need to be a "victim" of change they can be "victors" because of it. Take the time to look at your business from the service bays to dispatch and beyond, and look at what is being or needs to be changed and how to capitalize and manage the change. Remember, one of the basics of successful management of change includes keeping employees happy and loyal.