Increase Your Business Productivity

NoSpin Debunker #54: November 11, 2002

First, a word of thanks to all U.S. Veterans—living and deceased--on this special day of remembrance. As a boy I recall a friend of our family’s, Bill Stein, telling me about parachuting into Normandy on D-Day, but not giving a lot of the details. Riveted to my TV Saturday evening watching “Saving Private Ryan,” I understood why. Most of us—me included--take our freedoms for granted, but we shouldn’t. Even in my NoSpin Debunkers, I get to say what I what to say—no holds barred—in spite of what anybody thinks about them. Freedom of speech is a great thing, and it still doesn’t work that way in many other parts of the world. We are truly lucky.

Productivity—Are more gains possible?

Productivity is essentially the amount of output per hours of work. Last week’s business headlines reported that U.S. productivity in the 3^rd quarter (compared to 2001) was up 5.3 %--the largest gain in nearly 29 years.

Can businesses continue to become even more productive without over-extending their current people resources? Escalating numbers of workers report that they are frazzled, stressed, and over-worked. Is there room left to make significant gains? I believe there is: especially among mid and high level white-collar workers.

I’ve mentioned to a number of people over the past year that most businesses are lucky to get 50% of potential productivity from their middle and top management workers (who are not the focus of most governmental stats). One CEO looked at me askance like I flew in from another planet, but the others agreed that there is immense waste over the course of a typical workweek, whether that week is 40 hours or 60 hours. So are these folks just slackers? Some are, but the big issue is that their respective businesses have created corporate work environments that are not conducive to producing work that creates actual output.

You’re a Doubting Thomas?

Perhaps you’re a doubter that productivity is so low in many companies? You may work for one of those truly exceptional, high productivity businesses and/or you may be the exceptional, high productivity employee. But remember “busy” (and long hours) does not equal “productivity.” Check out the potential holes in businesses’ productivity buckets, especially at middle management and top levels:

The number of people who are not given clear directives and resources to get the job done (that is, a job that relates directly relate to making products/services, selling them or servicing them). Their alternative: looking busy.
The flip side: the number of managers who waste an inordinate amount of time babysitting employees who can’t manage themselves or their work—and who should be trained or terminated.
Excessive meetings and meeting time.
Information technology that, on the surface, may seem OK but is already old and worse, uncoordinated and unconnected.
Excessive travel time relative to potential results.
More and more bureaucratic rules instead of common sense and treating people like adults.
Rewarding of employees (job titles, raises, etc) for political correctness and butt kissing versus merit.
Not letting employees take vacations, time off when they want.
Lousy, noisy, non-private physical work environments—usually in the name of cost cutting
Stupid cost cutting of stuff like axing coffee, soft drinks, company get-togethers and other minor employee “perks.”

The list goes on and can include, of course, other unsavory activities like “spinning” (internally and externally spending a lot of time figuring out how to fool/lie to prospects/customers/investors versus tell it like it is), cooking the books, etc.

Productivity begets profits, begets more growth opportunities

I’m not talking about getting to “100% productivity” or developing corporate utopias, but rather taking reasonable steps for increasing productivity on the margin. More productive companies are more profitable and, in turn, are able to re-invest more in marketing and growing the business. If the shoe fits:

Ø Before you fire one more worker bee (in a cost cutting move), eliminate every top manager and middle manager who does not tangibly contribute to making products/services, selling them, or servicing customers. In fact, even if you are not cost cutting, make an example out of a well-known, unproductive nitwit (or do what refer to as, “kill a crony”--or two or more to show everyone that the game is changing).

Ø Tell people what you expect of them, and give them the resources to do their jobs. Otherwise, do them a service and let them work elsewhere.

Ø As a start remove a quarter of all bureaucratic rules—just go through your rules and regs and eliminate at least a quarter of dumb rules and regulations that aggravate employees and are essentially meaningless.

Ø On the other hand, institute some common sense/iron clad rules for meetings: time frame, agenda, objectives, no use of cell phones, tardiness, preparation, etc and stick to them—with painful penalties.

Ø Invest more in information technology equipment, software and expertise—and invest on a continuous basis. If you haven’t updated for 18-24 months, you’re probably out-of-date with your hardware and software. Just do it. As importantly, hire/outsource the expertise to ensure that information flows easily throughout your organization (and with your customers). Information technology is not the culprit—it’s still a major opportunity for productivity enhancement.

Ø Pay people for great ideas and especially ideas that turn into profits—not crummy few bucks,” but rather an eye-popping sum and/or extra couple weeks of paid vacation. Reward really key employees (at whatever level) with more year-to-year vacation time—your HR Department be damned for complaining that it’s not doable.

Ø Worry less about travel costs and more about travel productivity. An example, if a top Sales person consistently bags big profitable customers via in-person appointments, who cares if he or she flies first-class in order to have more time to prepare and/or relax.

Ø Let responsible people work at home any time they want. A change of venue is always good and there are fewer distractions than the office—even with kids around.

Ø Walk around and see if your office has become a kennel with phones and PC’s. Give people the human workspace they want and deserve.

Ø Add more/better perks for employees—and don’t take away the coffee.

Just a few suggestions for increasing business productivity. Let me hear your ideas, and I’ll publish them next time.

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Tom Ranseen NoSpin Marketing 615.383.7157