Increasing Employee Performance in an Economic Downturn

Let's face it, today you probably have less peoplein a recognition program. Also make sure you know
working for you than you did this time last year. Timeshow they want to be recognized. Try to publicly
are tough right now. Unemployment is over 9%. All yourecognize people for their work, if that's what they
hear on the radio and on the nightly news is how badwant. Recognition doesn't have to be expensive, just
the economy is. Well there are pockets of positive ...sincere. Some of the best recognition programs that I
signs that things are getting better. And I much like youhave seen are free.
want to be ahead of the competition when we get out3. Don't Tolerate Poor Performers. Just because times
of this "Economic downturn".are tough, don't tolerate sub par performance.
More than likely you are seeing a few things in yourEmployees will see your change in the standard. This
business because of this economic downturn. Acould lead to resentment from employees who are
decrease in the number of employees you have inreally working hard. In these times it is important to set
your shop and this challenging economy can lead to:realistic goals for your teams and hold them
accountable. Ensure you celebrate wins frequently and
1. A decrease in morale, because of uncertainty andset smaller more frequent goals.
the economy.4. Don't Change Your Management Style. Just
2. An increase in the amount of work your employeesbecause things are challenging doesn't mean you
have to do. There is a solution to these challenges thatshould change how you manage your team (unless of
if you implement today you can pull yourself out of thiscourse you manage them poorly). Recently I read a
downturn on top.quote that I think sums this up nicely. "Don't forget that
A Decrease in Morale - Morale...the silent and not sohow well you manage (or how your organization
silent killertreats people) in tough times sends a powerful
Employees are on edge. With the down turn in themessage - that may well matter when times get
economy it's likely that your organization has had to dobetter. Act accordingly." Dr Allen, University of Western
some downsizing. Millions of organizations have. WhatOntario psychology professor.
we often don't hear is the negative effects of layoffsAn Increase in the amount of work your employees
on morale and the productivity of the remaininghave to do. Didn't Johnny used to do this?
employees.Employers have fewer resources in their business, but
According to a recent CareerBuilder survey:often times, there isn't less work to do. According to a
- 30% of employees say they are burned out.recent CareerBuilder survey:
- 34% of workers who kept their jobs report they are- 47% of workers reported that they have taken on
working longer hours and more weekends. As a result,more responsibility because of a layoff within their
management is responsible for reenergizing theorganization.
employees and helping them cope with the changes.- 37% say they are doing the work of two people.
Additionally, employees need help managing stress. NotThis is an excellent opportunity to provide training to
only are they affected at work, but the recession hasthe team to help them focus on the top priorities. Ask
likely impacted their home life as well as spouses havelower level employees to step up and show what they
lost jobs, stress of the financial markets, etc. And theare compatible of. Training your employees to be
media certainly isn't helping by trying to scare themore efficient will help them increase productivity.
bejesus out of you each day. These challenges canDuring an economic downturn, budget constraints often
lead to turnover, which can be very expensive forhinder our ability to hire new employees even when it's
companies. I worked with a company recently thatreally needed. This is a great opportunity to invest in
calculated it cost them $30k when an employee leftyour current team of resources and determine who is
and needed to be replaced. This loss of productivecapable of learning some new skills.
time and resources required to get the new employeeSo what can you do to ensure you get the most out
up to speed is a killer in most organizations. Limiting thatof your employees:
unproductive time and high expense should be a focus
on many organizations.1. Set Clear Objectives. Make sure your team knows
Employees feel more stress and overworked. Trainingwhat is important. Setting clear objectives can help
during these times is the key to keeping morale up andthem prioritize their work and make a much more
employees motivated. The American Society ofmanageable experience.
Training and Development says that traditionally2. Share Work Fairly. It is critical to share work evenly
companies will spend more than $134 Billion on training.across the organization. Managers tend to continue to
That equates to about $1103 per employee per year inassign new projects to the people that are the hardest
most companies and in the Fortune 500 we see thatworkers. Thus giving them more work and in turn
yearly spending increase to $1609 per employee. Howsetting them up for burnout.
much more could you get from your employees with3. Ask Employees to Take on More. This is great, but
that kind of investment in their future?you have to set them up to succeed. It would be like
So what can you do to increase employee morale?asking your barber to cook you a gourmet dinner, he
could do it, but if he didn't have the proper training more
1. Communicate and Stay Positive. It is very importantthan likely you would not get what you wanted.
to motivate employees by making sure they know4. Cross Train. This is a great opportunity to cross train
they are a valuable resource. Make sure they knowyour team. The employees will like the challenge of
they are still needed and valued. Be sincere. Let themlearning other areas of the business and will feel more
know that you understand this is a difficult time.valuable to the organization. Be careful to not just add
Communicate clearly with a well thought out messagewhen you are cross training but truly give the
letting the employees know what is going on and whatemployee time to learn the new task, by pulling things
is expected.off their plate to ensure they are not learning in addition
2. Reward and Recognize Performance. This is ato all of their other work. What would it do for your
great time to institute or revive an employeebusiness if you could get one more sale per person, or
recognition program. Make sure you talk to yourbuild one more client relationship per person?
employees and understand what is important to them