Tough times in the economy

by Jennifer Mackin, President & CEO, The Oliver Group

As we face a deteriorating economy, there are many concerns for businesses. Leaders are asking questions: Will our products and services sell? Can we maintain our people costs? What changes do we have to make to survive?

During recessions, companies focus on conservation more than growth. Leadership development, hiring decisions and ensuring current employees performing at maximum capacity are vital. Tough times create stiffer competition, and the right leaders can pull through these times, creating the most efficient work environment possible.

When changing your strategy during the recession:

Focus on the quality of your product
Communicate the organization´s needs to employees and find ways to fulfill services with fewer resources
Ensure the right people are in the right places
Retain your top talent
Make careful hiring decisions—don´t just fill a spot

The Predictive Index® assessment tool can continue to work in your organization even as your strategy has changed. For so many, the PI has been used for hiring and in times of growth, the value of the PI is easily seen. With talk of a possible recession, businesses may look at cutting costs. So why shouldn´t you cut a cost that in the past may have been used exclusively for hiring? Here are three answers:

Tough times make competition even stiffer
The right leaders can get you through this time
Your current employees need to be as productive as possible

The Predictive Index can become a key part of your differentiation. By using behavioral benchmarks for your key leadership positions, companies can ensure that the right person is in charge. The leaders during tough economic times must understand the needs of the organization and be able to communicate this to the employees. They must be able to take the strategic vision of the company and find ways to fulfill with fewer resources.

Leaders can only create success with a productive employee base, and the Predictive Index can help with this as well. Leaders must recognize the motivating needs of employees in order to maximize their production. The Predictive Index can help identify what types of work are going to make them more productive. Managers may find that responsibilities or the PRO for certain responsibilities needs to adjust. Jobs within an organization during a growth period and jobs within a survival mode may be drastically different.

This is the time to prepare for when the economy turns around. Concentrate on communicating with employees and ensuring your people are in the right spots, and you will differentiate your company. The result will be a team of dynamic leaders and employees motivated to improve bottom line results. After the recession, your company will emerge stronger.