Tag Archives: Roles

How Do You Boost the Performance of a Life Sciences Company? Six Suggestions

Situation: The CEO wants to improve the performance of her life sciences company. She has questions about the business plan and roles within the company. She is also looking for better ways to connect with current and potential customers. How do you boost the performance of a life sciences company?

Advice from the CEOs:

  • Assess both your own role and the company to ensure that there is good alignment between the business plan and the roles within the company.
  • Be strategic after assessing the company’s needs and situation. Too often companies jump to tactical considerations because they are action oriented. To be effective, tactics must align with the broader company strategy.
  • Build a foundation based on value and compliment this with effective models to communicate and leverage this value base.
  • Think outside the box. Consider options to use or increase the effectiveness of social networking. This has growing dramatically in importance as a way to reach and communicate with key current and potential constituencies.
  • Perception is important. Be aware of what others think of the company and work creatively to present the company in a light that will support objectives.
  • The visual cortex represents 75% of sensory awareness. Leverage this on web sites and in marketing campaigns.

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How Do You Use Metrics to Focus Your Team? Three Points

Situation: A CEO wants to improve company performance and is interested in how others use metrics to focus their teams. How do you use metrics to focus your team?

Advice from the CEOs:

  • Engage your employees in the development of metrics.
    • The team members are close to the customer and the company’s key vendors. What makes sense to measure? What metrics are tied both to performance and a healthy or supportive but competitive environment? What would create adverse conflicts within the business or with either customers or vendors?
  • Metrics need to be meaningful and applicable.
    • They have to directly pertain to day-to-day, week-to-week and month-to-month objectives and performance.
  • Factor in personal issues.
    • Everyone doesn’t need to have the same metrics – instead formulate metrics that are pertinent to the different roles and individuals within the company.

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How Do You Downsize Intelligently? Three Perspectives

Situation: A company has run into a rough patch and needs to cut costs. The CEO is considering a number of alternatives, but wants to hear input from other CEOs on how they have faced this challenge. How do you downsize intelligently?

Advice from the CEOs:

  • The key to intelligent downsizing is to take a different perspective. Look at the needs of the business in terms of a 3-5 year plan, not just at what is needed to do to survive today.
    • What key talent will be needed 3 years out? What key roles will need to be filled? Who is on-board today who will be needed in 3 years? How does this affect the decision on where to trim? Are there other options to simply laying off staff?
    • Answering these questions helps to consider options with a rational long-term view.
  • Establish a new paradigm. What do you want the business to become?
    • Is it the same as, complimentary to, or completely different from the current business model? Once the paradigm is developed plan personnel needs in line with this paradigm.
  • Look at all resources proactively.
    • For example, if you are considering moving your offices to a smaller space, look at your vision for the company 3 years out.
    • It may be more sensible to stay where you are and negotiate a new lease with your landlord that is more favorable short-term than paying for multiple moves.

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How Do You Build a Strong Team? Six Solutions

Situation: A CEO wants advice on how to strengthen her team. She is confident in her employees’ capabilities, but wants to see more teamwork and collaboration to add to the company’s culture. What have others done to encourage team building, and how has it worked out? How do you build a strong team?

Advice from the CEOs:

  • There are many options for team building activities. Look at the Discovery Channel for some ideas: Monster Garage, American Chopper, and programs like these. They feature some highly effective methods of building team camaraderie.
  • One CEO regularly conducts team building activities:
    • Taking the crew to the new Star Wars or blockbuster movie opening.
    • Go-Cart racing.
    • This is done during working hours, and the employees appreciate both the effort of the company, and the fact that they are not asked to do this after hours.
  • A caution – this type of activity may help morale, but it may not contribute to retention.
  • While team building functions are an essential part of building and maintaining company culture they are only part of the task of building a strong team. The group considered conditions at previous companies that prompted employee departures:
    • Lack of advancement or any clear path to advancement,
    • Ambiguity in roles and expectations,
    • Salary and advancement caps,
    • Poor managers,
    • Lack of consistent or clear feedback on performance.
  • Looking at this list, the converse represent the things that a CEO should do to build a strong retention culture and strong teams:
    • Clear expectations of employees in terms of performance,
    • Clear and public tracks for advancement in job and salary increases,
    • Frequent and consistent feedback on performance – both positive and as necessary corrective feedback – but always with considerate and constructive delivery,
    • Well-trained managers.
  • These factors parallel the findings of the Gallup Organization in their investigation of factors contributing to high levels of employee engagement and profitable growth.

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How Do You Improve Delegation? Three Solutions

Situation: A company is growing rapidly. As it grows it is important to build the management team needed to support this growth. A few talented potential managers have a tough time letting go of previous responsibilities. How does the CEO help them to let go of previous responsibilities. How do you improve delegation?

Advice from the CEOs:

  • Don’t teach method. The individuals to whom responsibilities are to be delegated may feel like trained monkeys, not the bright creative people that they are.
    • Set goals. Give them the information that they need to get there. Let them know that there is a procedure, and they are welcomed to use or adapt this as they wish. If they can find a better way that is more efficient – Wonderful!
    • Empower them. This is an investment. Like many investments, it may take time to generate a return, but be patient and wait for this return.
  • Look at the required roles and prioritize them as most to least critical to the company.
    • Start delegating the less critical roles, as well as the roles that are less time sensitive.
    • This will make it easier to maintain patience.
    • Also, delegate roles that play to the strengths of those to whom new responsibilities are being delegated. Those taking these roles will be happier and will do a better job.
  • Create an organizational chart for each department and responsibilities.
    • Make sure that all of the roles for which a department is responsible are included, but group these into similar roles so that there are, for example, 3-5 role delegations.
    • Prioritize each role for importance and urgency.
    • Take the least urgent and significant role and delegate it. Either assign it to an existing individual, or hire someone to take it on.
    • Once this has been done this and those to whom roles are delegated are used to them, do the same with the next least important or urgent role.
    • Do this over time until all the needed roles have been delegated, and managers are comfortable managing the individuals now responsible for them.
    • A valuable resource is the EMyth Revisited by Michael Gerber. It is a quick read and provides guidelines for how to delegate and let go of responsibilities the organization grows.

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How Will Your Personal Plans Impact the Company? Six Points

Situation: A CEO, for personal reasons, is planning to move to another state. While he will remain CEO, he is concerned about the potential impact of this decision on the company, particularly the fact that he will not be present personally to handle matters that arise. What can he do to alleviate this concern? How will your personal plans impact the company?

Advice from the CEOs:

  • Put a stake in the ground. Set a date for the move and work backwards to see whether this is attainable.
  • Have a discussion with the company’s key managers.
    • Empower them to challenge the date.
    • Discuss this as a brainstorm to plan the future and what must be done to get there. Once a plan is established retest the timing.
  • Consider this as a gradual transition. Start 3 weeks here / 1 week there, and gradually transition to 1/3. This will help you to determine how the company performs absent the CEO’s daily presence.
    • Move family but keep a small place here. Start the transition now and figure out balance. Do what is necessary.
  • Have the key managers transition their roles before initiating the move.
    • This will provide confidence that they can handle this transition.
  • As part of the process, look at areas where the company can use more support. For example, is HR up to snuff? What about information services or financial management? Prior to initiating the transition take steps to fill any gaps.
  • Does the company have a formal metrics structure?
    • If not, establish one and in preparation for the transition see how the two managers manage this.

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How Do You Manage Succession Planning? Seven Considerations

Situation: The founder and CEO of company needs to find a successor. She is ready to reduce her role but wants to assure the ongoing operation and future growth of the company, as she will remain the principal shareholder. How do manage succession planning?

Advice from the CEOs:

  • Options for management succession and growth.
    • One option is to create an employee stock option plan (ESOP) to expand ownership of the company and to help recruit new managers to support growth.
    • A second option presented itself through a broker who has approached the company to help them find a buyer for the business. The broker suggests finding a customer who is a potential buyer and also the right fit.
    • A third option is to purchase a smaller company with a good CEO and then do an ESOP transaction to allow the CEO to reduce her role while providing new incentives for management.
  • Options for maintaining continuity of the business.
    • The CEO has identified an individual with the background to lead the company and identify the talent to fill key roles.
    • In addition to a leader, what other key roles must be filled? Look at the current and planned organizational charts. Determine which roles must be filled, the order of priority to fill them, and management succession plans for each.
  • When and how should the CEO’s plans and options be communicated to staff?
    • One approach is to say nothing until either a successor has been identified or an actual deal is in place. This will avoid unnecessary disruption that will accompany and news of the plans.
    • On the other hand, if an ESOP is the option, let current staff know early, along with anticipated specifics of the ESOP Plan.
    • It is best to be straight with staff once the timing has been determined. Complement disclosure of plans with assurances that the change will be good for staff and that there will be financial incentives for them to remain with the company.
    • Be sensitive to what drives and motivates staff – build this into plans to inform them of what is happening.

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How Do You Get the Right People on the Bus? Six Points

Situation: A small company is growing nicely and needs more people. However, the CEO is struggling to find the time to properly interview and hire additional people. In addition, he is not comfortable in this role. Hiring the right people will be critical to the future success of the company. How do you get the right people on the bus?

Advice from the CEOs:

  • Particularly if the CEO does not feel that hiring is a strength, hire an outside HR firm or consultant to screen and select candidates for interviews.
  • It is critical to decide, in advance of any search, exactly what the company needs in the individuals that are hired. A good HR consultant can help the company work through this.
  • Structure the agreement with the HR professional so that they are paid based on successful integration of the individual into the company. It may cost more on the back end for this type of agreement, however, it will save the CEO and the company valuable time and money far in excess of what the company will pay for this assurance.
  • Plan to only see the final candidates.
  • What does the company look for in an HR consultant relationship?
    • Generation of a job description and the key traits of the individual that the company seeks. This helps the HR consultant to select the right candidates for the business and situation.
    • Candidate recruitment, screening, and selection of final candidate(s) for company review.
    • The HR consultant will also prep the candidates to succeed in the company’s environment.
    • Assistance in identifying the key objectives and metrics that will be used to assess the success of the individuals hired during the first quarters or year in the company. If the HR consultant’s compensation is structured so that they are paid well for long-term success, it may cost the company more for the successful hires, however the company will only pay for success and will save considerable cash by averting failures.
  • In addition to making sure that the right people are put on the bus, work diligently to assure that they are also in the right seats, and that they change seats as necessary to complement the company’s growth.

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How Do You Train New Employees? Five Suggestions

Situation: A young company is in the process of hiring new employees. Good customer service, including excellent communication skills and empathy are the most important qualifications. Good follow-up skills are more important than educational background. How do you train new employees?

Advice from the CEOs:

  • Training new employees may be putting the cart before the horse. The first task is to solidify the company’s business model. The next task is to determine what roles and positions fill that model. Only then can the company determine how best to train employees.
  • Build an organizational chart for a $1 million company.
    • Who will the company serve?
    • What are the positions and roles?
    • This is future that the company will be building and determines how to select and train people to fill the positions.
    • Suggested Reading: The eMyth Revisited by Michael Gerber – a guide to envisioning the future of the company and how to build it.
  • A word of caution. As CEO, you don’t want to be training people like yourself. This is both difficult and risky. You may be training future competition. 
    • As an alternative, think of a series of distinct roles or functions that make up the business, then select and train different individuals to handle each role. It’s difficult to find people who can do it all. It’s much easier to find people who can bring in new clients, establish and nurture relationships with partners, network to develop a referral base, or counsel new clients on alternative solutions to fit their needs.
    • Organizing this way means training and creating experts in segments of the business, but nobody knows the full business the way that the CEO does.
  • Each position within the company will need individualized objectives and performance evaluation criteria. What are the key metrics for each position? This helps to build efficiency.
  • Think about both one-time and recurring income models. This may call for different employees or at least a different sales activity to build each business segment.

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How Do You Handle A Loyal Employee Who No Longer Fits? Three Thoughts

Situation: A company has a long-term loyal employee who has served in a number of roles. The company is growing, and no longer has a clear role for this individual. This individual can’t and doesn’t want manage either other employees or projects. The CEO wants to be compassionate with this individual to honor their loyalty, but finds himself in a quandary. How would you handle a loyal employee who no longer fits the company’s needs?

Advice from the CEOs:

  • Your desire to treat this individual compassionately is commendable. This individual has been loyal and has served you well. There are a couple of questions to ask: is there a valuable function that this individual can serve within the company, and is this individual essential to the company?
    • What happens when this individual goes on vacation? Are there gaps in service or function?
    • Who handles this individual’s duties while they are on vacation?
    • If the answer to these questions is that others fill in easily and not a beat is missed, particularly when this individual is absent for long vacations, then either they have made excellent preparations prior to their vacation absence, or they may not be essential to the team.
  • As a business grows, it changes. Not everyone who came onboard early will have a place as the company grows. Think of a pick-up basketball team on the local playground. In pick-up basketball, you play with whoever is available. Let’s say that the team starts to improve, and they decide to join a competitive league. Now the game starts to change, and some of the buddies who played pick-up ball won’t be able to make the shift to competitive ball. They aren’t bad people; they just no longer fit the game that the team is playing.
  • You may need to sit down with this individual and have a heart-to-heart discussion about the needs of the company and their ability to serve these needs. This is difficult, but if there is truly no longer a role for this person, then you need to be honest with them while at the same time honoring their past contribution.

Key Words: Company, Growth, Needs, Roles, Manage, Function, Value, Essential, Honesty, Contribution

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