During uncertain economic times when workforce reductions and other cutbacks may be necessary, employers that proactively reach out to their multiple constituencies – including their employees, communities in which they do business, suppliers, and opinion leaders – emerge better from such situations than organizations that do not, according to Sirota Survey Intelligence, specialists in attitude research.

Organizations that adopt a true partnership culture – where relationships between the employer and its multiple constituencies are based on mutual trust and benefit – endure over time, according to Douglas Klein, president of Sirota Survey Intelligence (www.sirota.com).

Organizations are never separate from the communities in which they are based; aside from the labor pool from which organizations draw employees, each company has an impact on the community in many ways, according to Klein. “That impact – beneficial or negative – is quickly understood and communicated to other places these days, via the internet and media. Wise organizations understand this ‘partnership’ and the reciprocal nature of the relationship,” Klein added.

Employers should not forget that employees’ job security, and the degree to which workers perceive that their employers have a genuine interest in the welfare of the communities in which they do business, have a direct impact on employees’ overall satisfaction with their employer, according to Sirota’s research:

– 83% of employees who feel secure about their jobs are also satisfied overall with their employer

– Only 50% of employees who feel insecure about their jobs are satisfied overall with their employer

– 82% of employees who feel that their employers have a genuine interest in their communities are satisfied overall with their employer

– Only 49% of employees who do not perceive their employers to be good “corporate citizens” are satisfied overall with their employer

“The true manifestation of corporate social responsibility (CSR) in practice is attending to the needs of each constituency so there is alignment and consistency between the way the organization behaves, and all of those affected by its actions,” said Klein. “During uncertain times, decisions about the workforce, and how these actions affect communities, should mutually reinforce one another, rather than be adversarial,” Klein added.

“An employer that treats its employees as true partners makes every effort to avoid layoffs. When it becomes necessary to reduce costs, many steps can probably be taken as an alternative to involuntary layoffs. These are known as ‘rings of defense,’ or defense against involuntary terminations,” Klein said.

Alternatives to layoffs include:
– Normal workforce attrition
– Hiring freezes
– Reduction in temporary employees and overtime
– Cutbacks in expenses
– Improved process efficiencies
– Bringing subcontracted work back in-house
– Across-the-board pay cuts
– Shortened work weeks
– Voluntary unpaid leaves of absence

If these steps are not enough to avoid involuntary layoffs, the input of employees, surrounding communities, and other constituencies needs to be measured before, during, and after taking action, according to Klein.

“Surveying employees to assess their views provides important information to assist in managing through the process, and their involvement is an excellent example of partnership in action. Employees themselves can be a source of many useful suggestions about how to best handle the situation, and they are one of the best monitors of the effectiveness of steps taken,” Klein said.

According to Sirota’s research, an organization’s relationship with its communities is as important in uncertain times as is the relationship with its employees. “Involving key community members to seek their views about proposed changes, such as cutbacks in charitable contributions, can alert companies to any unintended consequences. Input can come from opinion leaders, community organizations, and the general public. The key is to make needed changes in alignment with the needs of the community, rather than trying to decide what’s best for them. Then, measuring again after the changes have been made provides feedback as to whether these changes are actually having the desired impact,” Klein said.

Changes and plans that affect one constituency must be communicated to all other stakeholders as well. “It is vital that the organization is viewed as engaging in even-handed, participative efforts that minimize any negative impact,” Klein said.

Copyright 2007. Reprinted with permission from www.hr.com,  your community for knowledge, expertise and resources.

Need help in this area? Try: Taking Charge of Change
Change is going to happen now more than ever. HR’s challenge is to show people how to deal with it. This program teaches employees the three “phases’’ of accepting change and how to perform at their best through all of them.

By Tiza Pyle

Change is the Only Constant

Change is upon us, and we no longer doubt that it has become the way of life in our decade and beyond. In the real world, change occurs only when people embrace it, champion it, and have the courage to move onto uncharted paths. Successful change is about discovery and resistance, and attending to the needs of the people who are an integral element of the process.

Mentoring As Support for Change
Effective mentoring is a powerful way to address people’s needs during change, thus reducing resistance, and opening the path for the new desired future.

Mentoring Competencies That Support Growth
The ability to guide people through successful change is linked to specific mentoring competencies.

Successful mentoring relationships act as vehicles that enable people to develop the new behaviors that are necessary for change. These relationships are based on simple, but powerful principles:
• Mutual trust, developed as a result of mutual respect;
• Commitment to growth and discovery, through support and challenge;
• Openness to give and receive help and feedback;
• Commitment to action and results, the ability to make it happen.

Examples of Mentoring Help during Change
Each phase of transition offers different mentoring challenges. The following examples illustrate how mentoring behaviors can be tailored to meet specific needs.

Phase 1. Optimism
Early in the change process people may have an unrealistic view of what is required. Mentoring can provide a direction that keeps people on an even keel, and helps them understand the full impact of what is needed during change.
The mentor accomplishes this by asking good questions that help people identify their individual reactions to the change. This questioning process looks at both positive and negative aspects of the change, and helps identify future needs. By also sharing his/her own experiences with change, the mentor makes the change experience real and possible.

Phase 2 – Pessimism
As change begins to take shape, support and understanding of emotions are essential. As people experience the difficulties associated with change, they start questioning and doubting the process.
The mentor’s role is to open the doors to possibilities, and to help people explore and understand their feelings. This phase involves taking risks in the mentoring relationship. Open and honest feedback can help people look at their own behavior, and help develop increased trust through genuine caring and mutual respect.

Phase 3 – Resistance
This is a powerful phase, and the energy generated here needs to be channeled into creative ways that lead to buy-in for the change. People’s reactions can take various forms, and the dominant theme is an unwillingness to embrace the change. Fighting resistance is not productive.
The major role of the mentor in this stage is to listen, and to help people recognize their reasons for the resistance. The key mentoring behaviors are a combination of support and challenge that shows respect for the person’s position, but at the same time provides growth-oriented feedback that can help him or her move beyond resistance. The mentor does not see resistance as a negative, but as an opportunity to better understand the real impact of change on people an the organization. Some of the most creative solutions for problems have been generated from resistance.

Phase 4 – Acceptance and Commitment
In this phase, there is a great deal of positive energy and commitment to the future, as people are starting to believe in the process and feel a part of it.
Here, the role of the mentor is to empower people to move to action that will sustain the change, and to help people reflect on the various steps of the journey. Change is a dynamic process, and learning from past experiences increases people’s ability to better deal with future changes. The mentor plays a key role in enabling people to formulate and commit to action plans for making the transformation work. The ability to celebrate success, and the insight to recognize both individual and group contributions are other key behaviors that contribute to the success of change.

Tiza Pyle is a senior consultant at Perrone-Ambrose Associates Inc. in Illinois. Copyright 2003 by the International Mentoring Association.
Reprinted from the International Mentoring Association, www.mentoring-association-org.

Need Help in this Area?  Try: Pygmalion Effect: Managing the Power of Expectations
This program shows how simple it can be – expect great things of your employees, and they’ll internalize the message and beat your expectations.