Trending Now

Chinese E-Retailers Drive Surge in Air Cargo Prices to the U.S

New Articles

Supporting Mergers and Acquisitions in the Pharmaceutical/Biopharmaceutical Industry

mergers and acquisitions
Acquisitions, Archives, Banking on Global Trade, Global Trade Daily

Supporting Mergers and Acquisitions in the Pharmaceutical/Biopharmaceutical Industry

Leave a comment

In recent years, we have seen Pharmaceutical company megadeals that saw Takeda acquiring Shire for a total value of $81.7 billion, Bristol-Myers Squibb’s acquisition of Celgene for $74 billion, AbbVie’s $63 billion acquisition of Allergan and the proposed acquisition of Alexion by AstraZeneca for $39 billion. All of these acquisitions continue to have a lasting impact on the leadership and staff at these companies which collectively employ hundreds of thousands of employees worldwide. In addition, there have been a plethora of product transfers between organizations with larger multi-national companies pruning portfolios, adding gene therapy and biotechnology divisions, and consolidating core assets.

Mergers and acquisitions (M&As) in the Pharmaceutical/Biopharmaceutical industry are critical for organizations to implement strategic changes to their business. Whether it be to (a) future proof an organization’s pipeline by accessing innovation, (b) obtain additional manufacturing capacity or (c) to divest non-core assets (products, facilities, etc.), companies continue to grow, modernize and evolve to meet the targets set out in their strategic plans.

When two or more organizations reach the ‘deal’ and it is announced that ‘A’ will take over ‘B’ or that A and B will share in ‘A-B’, or indeed that ‘A’ will sell part of their organization to ‘B’, it is frequently followed by uncertainty and apprehension among internal stakeholders. This changing landscape tests an organization’s ability to communicate the distinct ‘win-win’ elements of the deal. The Kübler-Ross change curve (see fig.1 below) is always worth having in mind during this transitional period of M&A and never fails in tracking the internal stakeholder mindset, albeit with differing levels of severity.

Figure 1. Kübler-Ross Change Curve

The transition from pre-M&A to the post-M&A reality can be both fast and slow. The physical symbols of such transitions such as the company name, logo, and headed paper can be changed in a matter of minutes but the hearts and minds of management and employees can lag significantly further behind. It can take years before a post-M&A steady state is reached (sometimes never!) where full commitment to the change is obtained and all the anticipated ‘win-wins’ are realized.

Some acquired organizations are left to their own devices (pardon the pun medtech sector!) and they are run as true satellites whose contact with the corporate office is limited to communicating the positive financial results. In this scenario, the management team in-situ at the time of the M&A event are trusted to continue as-is and maintain the upward trajectory. Alternatively, and more commonly where there is a dominant merging partner, a strict cut-over timeline is applied for an acquired entity to morph into a fully incorporated affiliate. Typically, these sites implement corporate structures, policies and systems swiftly and assertively.

Where M&A becomes can be interesting is the cultural piece; everyone who has worked in an organization through a merger or acquisition knows that there can be a seismic shift in the objectives of the new organization… not so much what the objectives are but, how the objectives are expected to be met. Post M&A, organizations frequently change structure with new reporting lines, new titles, merged departments, increased/reduced layers of management with revised spans of control. Systems of work can also change where new policies are cascaded into procedures that are followed with varying degrees of success. Supporting systems, software tools and information flows are further material changes that tend to require extensive training and oversight in the early periods post-M&A.

When cultures collide in merging organizations, it has serious ramifications for business and its stakeholders. The industry is littered with mergers and takeovers that did not meet expectations simply because the cultural differences were too difficult to overcome. Naturally, organizations do not admit to failed mergers or acquisitions too often but some of the more interesting ones are referenced below.1 Very often the differences in personal and collective discipline, personified in the leadership differences in the two organizations, is challenging for the organizations to reconcile. Where rigid, structured and conservative management methods meet innovative and unorthodox management can be a recipe for M&A difficulties.2

At PharmaLex, we believe we have a unique understanding of the cultural challenges experienced during Mergers and  Acquisitions. Having merged ourselves in 2017 into PharmaLex, we have insight in how to overcome the challenges of maintaining agility while benefitting from working in a bigger corporate environment, having economies of scale with an increased resource pool. In addition, we have supported numerous Quality and Regulatory functions through these challenging periods through Gap Assessments, Benchmarking Studies, Cultural Assessments, Staff Augmentation, Organisational Optimisation and Leadership Coaching and Mentoring. If you would like our team to assist you or your organization with some of the challenges of changing culture, please connect with us to discuss on +353 1 846 4742 or contact@pharmalex.com

__________________________________________________________________

References

https://www.fiercepharma.com/special-report/top-15-m-a-mistakes

https://hbr.org/2018/10/one-reason-mergers-fail-the-two-cultures-arent-compatible

employees
Archives, Commentary, Global Trade Daily

3 Tips For Leaders To Steady The Ship When Employees Lose Their Balance

Leave a comment

Company leaders and managers have a big responsibility in overseeing employees. But they can’t see everything, and sometimes there’s more going on in a worker’s life than meets the eye.

Employee disengagement or burnout isn’t always apparent, and some employers may be in for a surprise if and when the COVID-19 pandemic winds down. One study shows that 57% of U.S. employees say they are burnt out, with many likely to leave their job after the pandemic is over. And a Gallup survey reveals that the percentage of engaged employees – those enthusiastic about their workplace – is under 40%.

What the numbers mean is leaders need to learn how to spot and help out-of-balance employees, says Mark McClain, CEO and co-founder of SailPoint and the ForbesBooks author of Joy and Success at Work: Building Organizations that Don’t Suck (the Life Out of People).

“One challenge leaders and managers routinely face is to recognize when the people around them – peers, colleagues, but especially subordinates – are out of balance or are heading in the wrong direction,” McClain says. “Beyond the potential impacts on their personal lives, you want to try to head off the negative effects such imbalances can have on their roles in the company.

“This may seem imposing, but you have to pay attention as a leader. No employee can run at a crazy pace forever, yet some companies let people run themselves right out of the building. Other workers who are disengaged can be harder to spot initially.”

McClain offers these tips for leaders to spot, address, and help out-of-balance employees:

Make work-life balance part of your culture. “You can expect much from your employees, but you don’t want them to fry themselves,” McClain says. “You don’t want them to harm their health, their family, or their relationships. If you have good people, ideally you’ll grow them and help them work toward their vision of a healthy work-life balance. The sooner leaders confront imbalance in the equation, the more meat they put on the bones of company culture.”

Screen out for potential burnout. Some companies hire knowing they will overwork people or take advantage of their ambition to work extra hard and advance up the corporate ladder, McClain says. But that approach can lead to burnout and departure, which costs companies in terms of replacing them. “There are always going to be ultra-motivated climbers,” McClain says. “But exploiting them is beyond bad. Those who can’t stand it get out, and the HR departments plan on the fact that every four or five years, only 15 to 20 percent of those hires will be able to move up the ranks. These types of organizations instead should invest in pre-hiring assessments to screen out those who value a life outside of work. Doing so would save the companies money and turnover.”

Be a counselor. It’s not an invasion of privacy for a manager to show concern in an employee, McClain says, and probing is necessary to help the employee. “Like it or not,” he says, “being a counselor of sorts is part of managing people. Getting to know them as people, and their work styles, is what makes spotting imbalances possible. It’s why good managers pull employees aside and say, ‘Hey, you’re here, but you’re not engaged. Is something going on?’ Managers who take that step are able to uncover issues and steer their employees to the help they need.”

“Many companies talk about caring for workers until they’re blue in the face,” McClain says. “But when you put in place the pieces to help them succeed, leaders walk the walk – and everybody wins.”

___________________________________________________________________

Mark McClain (www.markmcclain.me), ForbesBooks author of Joy and Success at Work: Building Organizations that Don’t Suck (the Life Out of People), is CEO of SailPoint, a leader in the enterprise identity management market. McClain has led the company from its beginnings in 2005, when it started as a three-person team, to today where SailPoint has grown to more than 1,200 employees who serve customers in 35 countries.

leadership
Archives, Global Trade Daily, Special Reports

A Business Case for Servant Leadership Principles

Leave a comment

Many managers, on getting promoted or hired into their leadership position, believe it’s their time to shine. They’ve risen through the ranks, the spotlight is on them and they may get to have their voice carry more weight than has been the case before. It’s an exciting step in their career progression, one that they may have striven toward for years.  

While it’s true that a new leadership position typically means higher responsibility and greater decision-making power, it doesn’t set a leader up for success to think the light should shine on them alone. The better leadership philosophy is not to be the person standing in the spotlight; rather, choose to be a servant leader, the one holding the spotlight and shining it on your team. 

Think to your own career — who have been the bosses you appreciated the most or who were the best at motivating your team to perform at its highest possible level? I imagine it was the ones who viewed themselves as holding a position of trust rather than a position of authority. That’s not to say that they abdicated the responsibility of their role; instead, they recognized that their success was ultimately tied to the success of their team and the best way for them to do well was to empower their direct reports.  

Becoming a Servant Leader 

A servant leader is someone who seeks to elevate those in their charge, producing results by supporting the development of the people they lead. If you want to be a great leader, commit to serving your employees: develop their skills and nurture their career growth. 

If your team is consistently learning and growing, it will get noticed — by your peers and by your superiors, as well as your own team. Fostering a culture on your team of continuous improvement will drive results beyond just the company’s balance sheet. It will also pay off in employee engagement and job satisfaction, retention, and even hiring.  

You might fear that investing in the growth of your employees is just asking for them to leave for a more challenging job. But while this is a realistic fear, it rarely plays out like that. 

When you develop engaged employees, you’ll find they are more present and productive — and engaged employees will certainly desire to advance in their careers, whether in your company or a different one. But if you want loyal employees who will go far above and beyond for you in their role, you must offer something in return. That “something” is assistance in getting where they want to go, realizing their career dreams. Even if the place your employees want to go is not necessarily what you would choose, make your goal to be the kind of leader who wants only the best for those who willingly follow. 

Three Steps to Success 

Easier said than done? Here’s are three simple steps you can take to empower your employees to thrive. 

1. Build a Culture: Your organization absolutely must have a culture of engagement. That requires a strong vision, ways for your employees to connect with that vision, and frequent opportunities for your employees to feel like they matter — to the organization, to the team and to you, their manager. The culture you build directly impacts your employees’ ability to thrive. 

2. Make a Connection: Draw a clear line between your employees’ work and the purpose and vision of your organization. A disconnect between people and purpose results in employees who don’t feel they don’t have a role in the larger picture. But when the connection is recognized, employees will be driven to complete tasks — even the more mundane tasks — as they think about how and where they can grow with the company. 

3. Bring It All Together: When you can clearly articulate each employee’s role in achieving the company vision, they will be more fully invested in the organization’s success. Look for ways to unite your team, whether through group training, team-building activities or something else altogether. Individually motivated workers who can enjoy working together collaboratively will drive your team to greater achievement. 

A manager must wear multiple hats, and it can be hard to balance the various responsibilities you bear. It’s up to you to get results from your team, to meet the goals you set and the goals that are set by your own bosses. But even so, remember that it’s not all about you. Don’t look at your team as a group of people who answer to you; rather, see yourself as the support system needed to help your team reach its potential. When you do, you’ll make an impact that goes far beyond the bottom line.

This post originally appeared here. Republished with permission. 

customer
Archives, Commentary, Global Trade Daily

Keep Covid Stress out of Your Customer Communication

Leave a comment

Pandemic stress-related toxic communication can creep into your customer communication. Don’t let it! Set the example, nip toxicity in the bud, protect your team from incoming, build in rest, celebrate the good stuff, and codify that positive voice in your company style guide.

As we think about healthy communication at work, we’re reminded of the saga of Away. The direct-to-consumer luggage company experienced such massive growth that it couldn’t keep up with demand. As customer requests piled up despite the customer service team’s 16-hour workdays and canceled vacations, executives blamed the team for not keeping up. They reportedly became so toxic that the team virtually imploded, service quality plummeted, and the story unfolded in an unflattering media exposé.

This moment finds us with a different kind of anxiety. Pandemic-related stress is at an all-time high, and people are bringing it to work. It can show up in ugly ways, too. In a survey we conducted of 1,000 professionals, 38 percent said they experienced toxic workplace communication since shelter-in-place began. Yikes!

What about when that nastiness starts to seep into your interactions with customers? Even if underneath the surface, unhealthy customer communication can damage your satisfaction scores…and your brand.

Here are 12 steps you can take to help your customer success team stay positive and put all kinds of good vibes out into the universe.

Acknowledge the stress

Your customer success team are people, too. They’re dealing with the strain of a deadly pandemic, economic anxiety, and lots of “togetherness” with family members at home. Even if you can’t fix these problems, simply acknowledging the stress they undergo is a long way for their state of mind.

Care for your employees

Maybe it’s quaran-tinis every other Friday. Or a well-timed “wellness day.” Or a cupcake delivery to employees’ homes. Whatever your flavor, invest in ways to remind your employees that you value and care about them. In turn, they’ll value and care for your customers.

Be ground zero

As a leader in your company, you set the tone. Consider yourself “ground zero” for the kind of communication you want your customers to experience. The empathetic, upbeat, and kind words and messages you model to employees are the same your employees will use with customers.

Know what it sounds like

Know what unhealthy and toxic communication sounds like. Unhealthy communication includes words and turns of phrases that are exclusive, condescending, or passive-aggressive, and toxic communication.

Tool for it

There’s a raft of new tools out there to measure customer interactions, including Gong, Chorus, and Writer. Outfit your teams so you can address unhealthy or toxic communication. But give them a heads up so they know you’re doing it, and approach the oversight with sensitivity.

Nip it in the bud

As soon as you see or hear ugliness, call it out immediately. Approach the person in private. They may not be aware of their behavior, so be specific and help them understand the customer impact. Later, anonymize the example and discuss the topic more broadly with the team.

Enforce the rules

If the toxic communication persists, take action. Taking a hard-line right away sends a clear message and ensures compliance from the rest of the team. Let them know that, even if they are on the receiving end of ugliness, it needs to stop with them – no exceptions.

Protect them from toxicity

Any customer-facing team knows what incoming feels like. Equip yours with the appropriate responses and escalation processes to remove themselves from an abusive situation. They need to feel empowered to set boundaries and know that you have their back.

Create a pressure valve

Acknowledge the absurd and lower the team’s stress. Bill Gates describes a “Mail Merge couch” from Microsoft’s early days. Team members sat (or laid) on it while taking support calls related to the product’s frustratingly complex feature. The inside joke helped them blow off steam and laugh at their situation.

Let them rest

As we learned from Away’s cautionary tale, the stress of being on the front lines is exacerbated by lack of sleep. Prepare and plan for people to get the rest and downtime they need, even if you have to bring in temporary reinforcements or other teams need to chip in.

Recognize key moments

Just as you suss out the nastiness, find and recognize the good stuff. Amplify and celebrate examples – large and small – of the behavior you want. Especially call out positive responses in the face of negativity. Create a “good karma” award and make a big hoopla out of it.

Make it stick

Make healthy communication a thing in your company culture. Get on the same page with the other executives about the voice, tone, and behavior norms you want to promote internally and externally. Then, make them stick by codifying them in your employee guidelines and brand style guide.

____________________________________________________________

May Habib is co-founder and CEO of Writer, an AI writing assistant for teams. 

company's culture
Archives, Commentary, Global Trade Daily

Here are Six Factors that Comprise a Company’s Culture

Leave a comment

“Corporate culture” is a buzz phrase that’s been going around for over a decade now, though the actual meaning behind this hot topic is often lost. A company’s culture goes far beyond celebrations, perks, and the office layout. In fact, it reaches the very core of a business.

Here are six factors that comprise a company’s culture.

Heritage and Vision

Every business has an origin story, and this narrative has the potential to be a driving force for success. It’s important to incorporate your organization’s heritage into your culture. Sharing your business’s unique history connects your employees to the “why” behind your organization’s conception. By celebrating your business’s roots, you connect your staff to the company’s original purpose and encourage them to embody it in their work.

Values and Practices

Companies often define their core values for their employees, but those mean very little if accepted corporate practices don’t align. It’s important to ensure that communication standards, leadership structure, workplace environment, etc. all promote your company values.

Contribution and Recognition

Sometimes it’s hard for employees to see how the work they do affects the big picture. You never want a member of your staff to feel small or insignificant. Celebrate individuals’ accomplishments, hard work, or great ideas. Make a habit of telling your employees how much you appreciate them and how important their contribution is to the overall success of the company.

Promote Growth

No one wants to stick around at a job they feel is stagnant. It’s important to encourage professional growth so employees feel they are improving themselves and their lives while working for you. This can be through continuing education courses, seminars, a book club, or even just built-in flexibility to explore new topics.

Positive Work Environment

This may seem like a no-brainer, but in order to keep employees happy, they have to want to come to work. Take steps to create a positive workplace that’s fun to come to every day.

Stay Consistent

After you’ve decided on the elements that make up your company’s culture, enstate them across the board. Consistency helps build employee trust. If your staff sees inconsistency in your culture, they’ll know it isn’t genuine.

Remember, each company’s culture is unique, and the perfect culture doesn’t always come right away. Don’t be afraid to reflect and revise as you go.

_____________________________________________________________

Joel Patterson (www.JoelPatterson.com) is the founder of The Vested Group, a business technology consulting firm in the Dallas, Texas area, and ForbesBooks author of The Big Commitment: Solving The Mysteries Of Your ERP Implementation. He has worked in the consulting field for over 20 years. Patterson began his consulting career at Arthur Andersen and Capgemini before helping found Lucidity Consulting Group in 2001. For 15 years he specialized in implementing Tier One ERP, software systems designed to service the needs of large, complex corporations. In 2011, Patterson founded The Vested Group, which focuses on bringing comprehensive cloud-based business management solutions to start-ups and well-established businesses alike. He holds a bachelor’s degree in Business Administration from Baylor University.

leadership
Archives, Commentary, Global Trade Daily

How Your Leadership Style Affects Company Culture

Leave a comment

When you think of company culture, many things may come to mind. Of course, there are the flashier aspects of company culture (think in-office happy hours or team bowling outings). There are also more subtle elements, such as how workspaces are arranged. While these are undoubtedly parts of a company’s culture, they are not what is at the core.

The culture of a business starts at the very top. The leadership styles of executives set the tone for a company’s internal culture. Leadership affects all aspects of business, including perceived values and goals, communication norms, and employee engagement.

Aspects of company culture are most effective when they solve a problem that employees care about. When improving your company’s culture, think about the issues that affect your staff and the solutions that could be implemented to resolve them. Then, sell this idea to your team. If they truly believe in the “why” that backs up an idea, they are more likely to get behind it.

________________________________________________________________

Joel Patterson (www.JoelPatterson.com) is the founder of The Vested Group, a business technology consulting firm in the Dallas, Texas area, and ForbesBooks author of The Big Commitment: Solving The Mysteries Of Your ERP Implementation. He has worked in the consulting field for over 20 years. Patterson began his consulting career at Arthur Andersen and Capgemini before helping found Lucidity Consulting Group in 2001. For 15 years he specialized in implementing Tier One ERP, software systems designed to service the needs of large, complex corporations. In 2011, Patterson founded The Vested Group, which focuses on bringing comprehensive cloud-based business management solutions to start-ups and well-established businesses alike. He holds a bachelor’s degree in Business Administration from Baylor University.

culture fit
Archives, Global Trade Daily, Special Reports

Who’s the Best Person for the Job? 5 Tips to Find ‘Culture Fit’ in a Candidate

Leave a comment

Many factors go into a company’s decision to hire someone: the candidate’s experience, talent, skills, and ability to communicate, for starters.

But while a sparkling resume and impressive job interview are still important considerations, a job prospect’s ability to fit the company’s culture has never been more critical in the hiring process, says Joel Patterson (www.JoelPatterson.com), a workplace culture expert, founder of The Vested Group and ForbesBooks author of The Big Commitment: Solving The Mysteries Of Your ERP Implementation.

“Companies head into a new year full of uncertainty and are coming off a year of so much change and disruption,” Patterson says. “These challenges test the strength of a work culture, and as companies seek stability, adaptability, and growth, finding the right culture fit is the most crucial factor in choosing a new hire.

“An aligned team will work far better together, be more productive individually, and feel more satisfied in their roles overall. And with more people working remotely, keeping your culture strong and your workflow cohesive is imperative. Adding new people should only serve to enhance it.”

Patterson offers five tips on how to hire for culture fit:

Define and document core values. “First of all, ensure that your company has a set of values, which are the foundation of the culture,” Patterson says. “Company values show what the founder and management hold as important and the behaviors they expect employees to uphold. Spend time analyzing and fine-tuning your company values and document them into clear, specific words.”

Display company culture on the website and social media. “When researching the company, job candidates should get a glimpse of the work culture before the interview and decide if it fits them,” Patterson says. “The company needs to be clear about its core values and promote its environment so it can appeal to the best candidates. Value statements conveyed in content, slides and videos should appear in the company’s careers section, corporate blogs, and social media posts.”

Ask culture-focused questions during the interview. It’s vital for those interviewing candidates to have a firm grasp of the work culture and to ask questions that relate directly to it. “The interviewer should build a picture of who this candidate is both inside and outside the office,” Patterson says. “Ask them things like, what’s their most positive personality trait and their worst, and why for both. What type of team do they thrive in? Have they read our values? Which one resonates the most with them? What have their past relationships with co-workers, managers, and clients been like?”

Let candidates interact with staff. A prospect can say all the right things during an interview, but how they interact with employees can be more telling about whether they’re a culture fit. “Those who do well in interviews and make the short list should be brought back for extensive interaction with staff members,” Patterson says. “You can determine a lot by how engaged they are, what questions they ask, and how employees react to them generally in normal conversation.”

Research your process. Between hirings, Patterson says it’s a good idea to ask around and see if your process reflected your company culture. “Ask recent hires what worked and what didn’t,” he says. “If possible, track down candidates to whom you offered jobs but they turned them down. Find out why. You can always improve your hiring practices so they better align with the company culture.”

“Company culture provides your team with direction and is effectively the glue that binds the team,” Patterson says. “To keep improving it means hiring with culture fit top of mind. Employees who embrace your culture boost morale and productivity and positively impact future recruiting.”

___________________________________________________________

Joel Patterson (www.JoelPatterson.com) is the founder of The Vested Group, a business technology consulting firm in the Dallas, Texas, area, and ForbesBooks author of The Big Commitment: Solving The Mysteries Of Your ERP Implementation. He has worked in the consulting field for over 20 years. Patterson began his consulting career at Arthur Andersen and Capgemini before helping found Lucidity Consulting Group in 2001. For 15 years he specialized in implementing Tier One ERP, software systems designed to service the needs of large, complex corporations. In 2011, Patterson founded The Vested Group, which focuses on bringing comprehensive cloud-based business management solutions to start-ups and well-established businesses alike. He holds a bachelor’s degree in Business Administration from Baylor University.

business culture
Archives, Commentary, Global Trade Daily

5 New Year’s Resolutions To Make Your Business Culture A Winner

Leave a comment

New Year’s resolutions are not only for individuals but businesses too. Company goals leaders set for the year ahead are usually measured in data tied to categories like revenue production and expense reduction.

After a difficult 2020 due to COVID-19, many enterprises’ bottom-line numbers will take on extra importance in 2021. And business culture will be just as crucial. Any resolutions that company leaders make are an effective way to measure their work environment and help their teams meet performance metrics, says Mark McClain (www.markmcclain.me), CEO and co-founder of SailPoint and the ForbesBooks author of Joy and Success at Work: Building Organizations that Don’t Suck (the Life Out of People).

“Meeting individual, team, and company goals begin with employees and managers working well together in a vibrant environment,” McClain says. “And given the changes and challenges of these times, culture and how leaders pay attention to it have never been more important.

“The bottom line falls into place when everyone is on the same page. But even if leaders have established a strong culture, it bears constant vigilance to ensure everyone is rowing in the same direction, especially now when a volatile world can threaten to throw even the most solid companies off course.”

McClain offers these business culture resolutions for the New Year that leaders could consider:

Focus on shared values. McClain thinks it’s misleading to frequently state that a “family atmosphere” exists in a company. “The bigger a company gets or the more it grows in capability and value, the less it’s going to feel like a family,” he says. “Creative friction and disagreement on processes and concepts are inevitable. Smart companies leverage broader, shared values as common ground on which workers can connect. I’ve found one of the best places for doing that is through service to the community beyond company walls. If your culture encourages people to work together for some greater good, they’ll continue to appreciate each other as humans and fellow workers.”

Avoid prima donnas. “Talented people are essential for a successful business,” McClain says, “but don’t fall in love with a gifted person if they are constantly letting you know how special they are. Watching them work can be breathtaking, but not when they’re the ones sucking the air out of the room.”

Double down on integrity. “Large legacy companies are often loaded with people who are just taking up space and collecting a paycheck,” McClain says. “It’s a significant issue, and it goes hand-in-hand with integrity. Effective workers know the difference between busywork and producing value. Everybody in the organization must be clear on what success looks like. The role of management is to be clear on objectives and then let people run.”

Don’t stop innovating. McClain says many companies stagnate in this area and should learn how to expand their innovations while encouraging the cultivation of new ideas. “Innovation is an amalgam of product marketing and product management skills, of listening to the market, and of engineering people who can take a problem and figure out how to solve it,” he says. “But innovation should apply in every direction – in how a company contracts, how they sell, how they market.”

Be the first to own mistakes. “Anyone who has been involved in conflict directly knows there’s always the sense that both parties have some responsibility,” McClain says. “The sooner you own yours, the more likely the other person will own theirs – and the project can move forward.”

“New Year’s resolutions are often easily discarded because of a person’s lack of commitment,” McClain says. “For business leaders and their workforce, they reflect company core values and can create or improve a culture that everyone will appreciate and aspire to uphold and deepen.”

___________________________________________________________________

Mark McClain (www.markmcclain.me), ForbesBooks author of Joy and Success at Work: Building Organizations that Don’t Suck (the Life Out of People), is CEO of SailPoint, a leader in the enterprise identity management market. McClain has led the company from its beginnings in 2005, when it started as a three-person team, to today, where SailPoint has grown to more than 1,200 employees who serve customers in 35 countries.

culture
Archives, Global Trade Daily, Special Reports

How To Keep Your Culture Thriving Outside The Office During COVID

Leave a comment

Despite the economic havoc COVID-19 caused, the work culture of some companies has stayed solid. But amid big changes and continuing uncertainties, that foundational element of business is an ongoing concern for many heading into 2021.

The massive shift to remote work on a regular basis dramatically changed how companies interact internally, and some have adjusted better than others.

Work relationships, processes, and production are vulnerable to slippage, so businesses with remote workforces must deal with the challenge of preventing their culture from fraying while at the same time making it stronger, says Mark McClain (www.markmcclain.me), CEO and co-founder of SailPoint and the ForbesBooks author of Joy and Success at Work: Building Organizations that Don’t Suck (the Life Out of People).

“Crisis doesn’t build character; it reveals character and it reveals culture,” McClain says. “As leaders, we have to determine how our culture works from home and works from anywhere.”

“The pandemic has introduced significant challenges around how we work together, and how to keep teamwork and company culture intact. The events of 2020 have given business leaders a critical opportunity to step back and take a hard look at all aspects of their business, starting with their culture.”

McClain offers five ways business leaders can keep their culture alive and make it stronger as the pandemic puts them to a prolonged test:

Lead with intention. Hybrid workforces – some working from home, others from the office – have been implemented and could be the new normal for many companies post-COVID. Keeping everyone on the same page requires clarity of message from the top, and a detailed review of how success is defined in these different times. “This pandemic has made it crystal clear that operating in unity does not require us to physically be near one another, but it does require us to be clear about our culture and our shared business goals,” McClain says. “Leaders and managers need to be more intentional about how they structure meetings involving remote workers and those in an office.”

Don’t micromanage. “There can be a tendency to micromanage when everybody’s working from home,” McClain says. “But then what kind of culture do you have without self-starters and people whom you trust? Never micromanage a competent professional. Treat them like adults. To have them working hard and confidently in pressure times, they don’t need managers on top of them or constantly checking on them.”

Embrace your core values. “This is where a solid culture starts,” McClain says, “and in crisis times, core values gain meaning if you emphasize them to the team. There’s pride in everyone pulling in the same direction and being proud of what they’ve accomplished based on those values. Repeated from time to time, core values serve to encourage and strengthen.”

Provide a forum for expression. “The pandemic far transcends the workplace into the home,” McClain says. “People have been experiencing many emotions. As a leader, if you haven’t done so already, reach out to your people individually or in groups and let them get out their feelings about this difficult year and anything they want to discuss. When the workforce knows everyone, including their leaders, truly care, your culture is stronger.”

Host virtual socials. People in a good work culture get along well, and as the pandemic spirals into months and months, people miss seeing each other in person. “Loneliness is a factor, even for the busiest person,” McClain says. “Set aside some virtual team happy-hour meetings just for fun and non-work conversation, no-pressure contests, music, etc.

“Each company has a unique culture, a reason why people like working there and why it’s successful,” McClain says. “The best companies are very intentional about their culture, and it’s more important than ever.”

______________________________________________________________

Mark McClain (www.markmcclain.me), ForbesBooks author of Joy and Success at Work: Building Organizations that Don’t Suck (the Life Out of People), is CEO of SailPoint, a leader in the enterprise identity management market. McClain has led the company from its beginnings in 2005, when it started as a three-person team, to today where SailPoint has grown to more than 1,200 employees who serve customers in 35 countries.

expenses
Archives, Global Trade Daily, Special Reports

Expenses and Company Culture in the New Normal

Leave a comment

A clearly documented corporate expense policy should eliminate any confusion about what employees can and cannot submit for reimbursement. In the context of the current pandemic, travel and meetings have substantially decreased, while other categories that support employees who are working from home (such as home internet and home office equipment) have increased. This shift gives companies the opportunity to create expense programs that go well beyond travel and expense, and shape the broader company culture moving forward.

Traditionally, companies have thought of their expense program as “travel and entertainment” programs, and indeed that was the bulk – but not all – of employee expenses. However, if your expense policy only focuses on how the company can save as much money as possible, it’s not enough. A corporate expense policy is an effective way to communicate how employers value their employees’ time and happiness.

When designed with a clear direction in mind, your expense policy can strengthen your organization’s values and avoid unnecessary anxiety and mistrust, resulting in higher employee job satisfaction and productivity.


The spectrum of expense policy enforcement

Expense policies at organizations can range from very strict to very lax. An overly-strict expense policy may require manager approval on each expense and refuse reimbursement on anything out of policy, no matter how trivial the dollar amount.

On the other hand, some expense policies are extremely lax. Netflix, the streaming giant, is an example of an expense policy written in a high-trust environment that reflects the company culture. Their company expense policy is only five words, “Act in Netflix’s best interests.” They expect their employees to spend the company money thoughtfully as if it were their own. After implementing this policy, Netflix found it actually saved money on employee expenses. Employees spent company money extremely carefully because of Netflix’s high-performance environment. Also, by letting employees book their own travel without using travel agencies, they found better deals on flights and hotels.

Although this worked well for Netflix, depending on your company culture, an unclear expense policy may result in bad behavior. Palantir, a Silicon Valley decacorn valued at $20B, came under scrutiny after reports of engineers expensing lavish meals at the office, including lobster tails and sashimi, dubbed by media outlets as “Palantir Entitlement Syndrome.” Under Armour was criticized for “being run like a frat house” after it was revealed that executives regularly expensed strip club visits, gambling, and limousines.


Design the expense policy that’s right for your company culture

A carefully crafted expense policy can help reinforce company values and commitment to employees, giving companies a competitive advantage. For example, Starbucks offers 100% tuition coverage for its employees, promising to reimburse any out-of-pocket tuition costs its employees accrue at the end of the semester. Genentech, the San Francisco-based biotechnology company, offers a range of perks ranging from tuition assistance to counseling and legal advice. Other companies reward their employees for spending money wisely – for example, if an employee usually selects the lowest airfare cost, they’ll be rewarded with a free upgrade on a future flight.

Expense policies can also be critical for attracting and retaining talent. LinkedIn, headquartered in highly competitive Silicon Valley, has very generous benefits, including education reimbursement, donation matching, student loan repayments, house cleaning, and personal trainers.

Employee perks in the “new normal”

These types of perks are even more critical to employee happiness in today’s environment, where the majority of office employees are working remotely for the foreseeable future. Google has already announced that it will allow employees to work from home through June 2021. Some tech companies such as Twitter and Square have announced that their employees can work from home permanently if they choose to.

This huge change in the way we work has forced companies to rethink company perks. There’s been a dramatic shift due to the pandemic, and most previous company policies are irrelevant now that employees are working from home. As an organization, how do you make sure your policy is resilient to the changing climate?

Companies that usually bolstered morale with happy hours and catered lunches now need to rethink the needs of their employees at home. Some companies are offering food delivery services to their employees via services like GrubHub and DoorDash to replace the catered meals in the office. Facebook gave a $1,000 stipend to each employee to use at their discretion. Slack is offering childcare reimbursement to employees with children, who are now juggling working full-time with their kids at home. Many companies are allowing their employees to expense keyboards, monitors, desks, chairs, and office equipment to build their home offices. Salesforce is giving an extra six weeks of paid vacation for employees with children, to acknowledge the struggle of having to work from home full time while also caring for their children.

Another important consideration is tracking these new types of expenses. With artificial intelligence solutions, companies have better visibility into where employees are spending. Is there a sudden, unexplained spike in Starbucks or food delivery expenses that doesn’t reflect your policy? AI can give you near real-time and up-to-date information on T&E trends so you can make accurate, timely decisions and update your policy where needed.

Conclusion

Setting clear expectations and guidelines around expenses is critical for fostering a healthy company culture. Expense policies around what can and cannot be expensed is reflective of company culture as a whole. Building an atmosphere of trust, transparency, and efficiency around expense reports helps contribute to a similar atmosphere throughout your organization. To learn more, check out our webinar or download our whitepaper.

 _________________________________________________________________________

Anant Kale is Co-Founder and CEO of AppZen the leader in AI software for finance teams to automate manual finance processes, reduce expenditures, and gain real-time insights into their business spend trends.