Tuesday, October 6, 2009

How to Communicate to Your Employees in Turbulent

By Wendy Mack

As companies struggle to deal with the worsening economy, employee communication is often neglected. Yet ignoring employees concerns can be costly in more ways than one. If not addressed, employee anxiety reduces productivity and may ultimately impact the bottom line via stress-related illness, absenteeism, and decreased employee engagement and loyalty.

Here are five tips for communicating effectively in turbulent times.

#1: The C-Level Needs to be Seen

In general, the more unknown factors that exist in a company, the more important it is for the companys leadership to be seen and available to the employees. Share the process by which senior management is weighing options and making decision before all of the decisions have been made.

#2: Clear the Tension Silence Produces

Unfortunately, many presidents and CEOs are reluctant to hold town hall meetings or webinars in times of uncertainty. They may be thinking, What on earth could I say when I dont even know for certain how the financial situation will impact us or what we will do about it? The temptation may be to hold off on communicating until you know more.

Unfortunately, silence only leads to rumors. If concerns and rumors are left unaddressed, momentum builds and leads to distrust. For employees to trust their management teams, leaders need to communicate openly and honestly about whats happening.

#3: Recognize the Tension

If you arent sure as to what you will do in a situation, share the options and possible courses of action you will take. TJ and Sandar Larkin, communication experts, indicate that employees lost trust in senior management not because they are hearing about difficult situations from them, but because they are hearing little or nothing at all.

William Bridges agrees with this philosophy, based on his experience as an organization transitions expert. Bridges has discovered that staff members typically prefer to hear that there is no news at all, but they will be the first to be told when there is.

#4: Communicate Practical Optimism

The bankruptcy of Lehman Brothers last fall caused stress and anxiety in financial industry employees regardless of their employer. The President of the Navy Federal Credit Union in Vienna, Va. recognized this concern among his employees and sent them a letter immediately. The letter reminded employees that the credit union operated very conservatively, and had never participated in the types of lending practices that got Lehman Brothers in trouble. However, the president did acknowledge that in uncertain times, it would be foolish not to admit that the credit union stood some possibility of risk due to the financial crisis.

This blend of realistic optimism is something that leaders should strive for. Employees dont want the truth to be sugar-coated. Communication expert Robert Holland urges leaders to consider a message like: I know the financial crisis has touched each one of you in very personal ways. These are troubling times, but let me tell you what our company is doing to weather the storm.

#5: Reach out to Remote Employees

In turbulent times, employees in remote locations or in the field can feel forgotten and anxious. One Denver director of a West Coast company in the midst of a large restructure has implemented a system for delivering information to remote employees which consists of:

1. conduct a short phone meeting first thing each week with all staff in order to communicate any new information that has happened since the prior week.

2. conduct a more structured all-hands meeting half way through the week, with an agenda including addressing those rumors going around the organization and sharing what is known and not known by senior management.

3. A Friday afternoon e-mail to all employees summarizing the weeks news regarding the reorganization.

The beauty of such a plan comes from its consistency and openness. People trust that they know what is really happening and feel comfortable raising their concerns. The portion of the all-hands meeting that addresses the rumors results in some good laughs. The whole office feels connected and supported.

However they ultimately choose to do it, successful senior management will take the time to recognize their employees anxiety and be open to honest two way communication. Successful leaders know that when tension is at its highest, good communication is a must for a smooth running organization.

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