Holding employees accountable to their assigned tasks without micromanaging is a classic workplace dilemma that can be difficult to navigate.
The leaders of some of the best workplaces have turned the challenge on its head by building environments where people actually seek accountability and act as owners of the business, in turn eliminating the need for you to hover over them. As evidence, consider that 90 percent of employees in the organizations included in our 2010 Great Place to Work Rankings: Best Small & Medium Workplaces report believe management trusts them without looking over the shoulder and 92 percent say they are given a lot of responsibility. The report was released last September with Entrepreneur.
How have they accomplished this? Here are five insights from their approach to resolve a classic problem:
- Commit to hiring the right people. It's much easier to create a culture of accountability with accountable people. At RadioFlyer, the famous maker of children's wagons, accountability is a core value central to finding new employees. Prospective job candidates are screened on whether they proactively seek needed information and feedback, and whether they strive to accomplish team goals. The company remains doggedly loyal to this value, going so far to keep positions open for more than a year if they are unable to find an ideal match between the candidate, the culture and the position. Additionally, all 55 of RadioFlyers's employees, hiring managers and the executive team receive training on the selection process annually.
- Make people accountable to each other. There is nothing like peer pressure to drive behavior. At Bridge Worldwide, a Cincinnati-based digital and relationship marketing agency, employees are given the chance to give anonymous feedback to various teams in a quarterly satisfaction survey and an annual benefits opinion survey. Through these regular audits, employees have the chance to give genuine feedback on performance from other departments as it relates to their job. The goal is to create a productive community culture.
- Clearly and frequently articulate expectations. Entrepreneurs often find themselves micromanaging their staffs when they don't adequately communicate their expectations. Employees at Hoar Construction, a construction management firm, are evaluated twice annually, and receive personal, detailed feedback. New tracking measures, goals and developmental needs are determined during these evaluations. The frequency is even greater at FatWallet, the Illinois-based online discount clearinghouse, where employees and managers set "Key Performance Indicators" at the beginning of each quarter to re-evaluate goals, progress and successes/failures.
- Give employees decision-making power. Your employees are much more likely to "own" their work when they help create or have a voice in what they're doing. Bridge Worldwide puts many decisions to a company vote or suggestion. An example of this was the process of naming its conference rooms. Employees were asked to nominate a 20th-century icon who embodied the company's values. Based on these nominations and subsequent votes, the company now has rooms named after the people who inspire the dynamic culture -- including Henson (Jim), Parks (Rosa), Einstein (Albert), DiMaggio (Joe) and Coltrane (John).
- Give them an ownership stake. If you want employees to work like they own the company, then give them a stake in the game. For example, at Hilcorp, a sense of ownership is instilled through its long-term incentive "Buy-in Compensation Plan." Through this plan, the Houston-based energy company grants each full-time employee phantom participation interests in company projects (which essentially are stocks, except they are for a particular product or project, not the overall company). Employees also have the opportunity to buy additional interests using either their money or by taking advantage of company loans. Employees received cash distributions totaling more than $130.7 million between 1997 and 2008.
It's a large investment, and one that has paid dividends several times for the company. For example, when Hurricane Ike and Gustav disrupted 90 percent of the company's operations, Hilcorp employees scrapped together to secure scarce services, equipment and personnel which expedited repairs and allowed Hilcorp's oil and gas fields to get back on-line months prior to other operators in the area.
Striking the right balance between empowerment and accountability is not easy. But small business owners who set the right tone will enjoy the benefits of greater employee initiative and innovation, as well as the freedom to transition from managing to leading.
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Comments:
I agree with Ajeva, there are a lot more companies that allow their employees to telecommute now. A detailed written agreement is absolutely necessary for this to be successful. If you are trying to convince your employer to allow you to commute, you can show them how dependable you can be just by coming up with a telecommuting agreement and presenting it to them. I did this and my company ended up working with HR and adding the document to their resource manual. This agreement ensured them that I would still be accountable to them. And if I didn't hold up my end of the deal, I would no longer be able to telecommute.
As a small business owner whose company was nominated by Dun & Bradstreet to Inc. Fastest Growing list, I find No. 1 is #1 for ending micromanaging. For me to let go and delegate more I had to slow the company’s growth. I changed my interview and selection process. I learned how to find team players who enjoyed taking responsibility faster...and getting rid of those that did not play well with others quicker. I found that some of the most talented people were the most disruptive while some of the less talented people blossomed with increased responsibilities...and I sleep better at nights.
There has been much scientific research supporting all five of these domains for team success. Altering the micromanaging part is the hardest as that can sometimes be a function of basic trust or personality; two things that are most difficult to overcome under any circumstance. It's not impossible though and letting go one step at a time is an option. Point 5, in my experience, is best for smaller businesses. Unless you are an executive, the middle management and below are not usually "feeling" the profit sharing or lack of growth in the same way. In addition current economics have depleted morale in most places for the time being. This can be corrected for those willing to make the effort. Playing to one anothers strengths is also a key point with regards to accountability. If you want your team to work together to ensure each members success and subsequently the company's success having your team members bond is crucial. www.coachingforlifetoday.com
All great points, Marcus! I'll especially back you up on points 2 and 4- making employees accountable to each other and giving them decision-making power. Develop employees with the authority to think like you (the owner) and make decisions based on how either they would respond if it were their company or how they think you would respond if you were there. I had one particularly stellar employee who, through seven years of working with me, developed into one of the most effective decision makers in my company. She completely bought into my (and the company's ) philosophy of being dedicated to providing superior customer service, and she knew that she was authorized to handle issues however she felt best exemplified the level of service that our company strived to provide. An empowered employee with buy-in on the company's core values, who takes pride and ownership in her role with the company, is one of the most valuable assets you could ever hope to have in your business! Lisa www.StartYourOwnSmallBiz.com
I love your item on accountability and this is hard to achieve when your workers telecommute - as they are not bound by the office setup so slacking can be an easy thing to do. I think that in the end, it all comes down to communication and trust. Then, there's the 'attitude' or the human factor of things.
the problem is that this is usually just lip service. Leadership tries to put these into play, but typically a true micro manager knows how to play the senior boss- which leaves the junior team just as high and dry as before.
Empowering through decision-making allows us to be particularly effective. Each individual will not make the correct decision 100% of the time, but even a wrong decision serves as a learning opportunity.
On point 2 - making employees accountable to each other - that's what http://teamly.com was invented for. Everyone identifies and commits to their t priorities and goals and these are shared automatically with their colleagues and manager. We have great feedback from some companies who have taken part in our beta program and found it's really helped. Employees like it too because they can see the progress they are making.