I see three significant reasons why companies don’t grow and fail to improve profitability:
- Lack of Focus — This takes many forms including no strategy, weak strategy implementation, and everyone doing their own thing. You have to have clear direction, a distinctive strategy, and an organization that sharply-focused on delivering it.
- Weak Accountability — It’s not enough to know what to do. If people don’t follow-through, don’t get the needed work done, then the strategy will fail.
- Staying with people beyond their level of competence — Over and over I’ve seen presidents struggle with this. They know good old Joe or Mary is under-performing, but they simply cannot take the necessary action to replace weak performers with upgraded talent. This is most notable at the level of managers and above. I cannot stress enough the dramatic improvement in performance that comes from finally owning-up and making a change.
What’s holding back your organization’s growth and profits? Why aren’t you taking action?
© Copyright 2016 Bob Legge
Bob Legge provides organizations with the ability to exceed their most ambitious goals. I work with leaders of Fortune 500 companies, small and mid-size companies, nonprofits, education, and government. Together, we drive strategy, lead successful change, develop high performance cultures, improve individual and organizational performance, and produce faster, sustainable growth and value. Contact him at firstname.lastname@example.org