Every Company Needs a Good Map

Perhaps the analogy will be lost on those who are not familiar with winemaking. Maybe it should be trying to install a new operating system on an old computer. What about, bringing a Mac into a Windows world. Finally, I could go with, trying to get dial-up users to switch to iPhones is a more up-to-date metaphor.

As a company grows, struggles, or just passes through the normal stages of operating, managers, bosses, and leaders will come and go. Founders are often asked to step aside, step aside willingly, or are forced aside as a company matures, faces difficulties or the capacity of the founder is exceeded. The transition is often difficult because change is not usually a welcome event. People like consistency and change is typically viewed as the opposite of consistency.

1.    Entrenched territories
2.    Established ways
3.    Nepotism nooks
4.    Seniority concerns
5.    Pet projects

Smaller outfits have fewer individuals and so these issues are proportionately diminished in them. The financial condition of the outfit and the market also determine how well any of these can be used as leverage. Before "executing a few admirals" to get the attention of the rest, try to survey the landscape and see where the valuable points are. These can be used as reverse leverage to eliminate some of the less important items.

Entrenched territories - Over time, everyone tries to find where they feel comfortable. Good leaders put people on the tasks that they do best as often as possible. This may not always be possible since there are usually more jobs to be done than people to do them. If someone is left at a certain station too long, then they can become complacent and lazy. If the job is not challenging, then they may not be pushed to make improvements or innovations. To make changes for the sake of change is not usually a good idea, but to mix things up occasionally, to let others get a taste or see how they perform in a different role, can be useful

Established ways - Just because it has always been done a certain way is no reason to make a change or resist a change. If the reasons for a method are still valid then there is probably little reason to change. The world and competitors don't care about your history. Destabilizing established ways could be an area where a new leader makes a significant impact. It may be a good idea to transfer out a few people who are too set in their ways to be open to change. It sends a message that you are willing to do what is necessary to move things forward.

Nepotism nooks - This can be a very dangerous field to enter. Family members of senior executives, boardmembers, or investors can often be placed in a group to allow them to learn, develop, or to give them something to do. These individuals will at times feel that they have special privileges or rights. As soon as they are discovered, the appropriate executive should be consulted and the rules of engagement established. If this person does have special dispensations, it will probably undermine changes that need to be made. This is where the skill of the leader is tested the most. Learning to quarantine a pathogen is a special skill. Perhaps this person is ready to "graduate" to another department or position. If not, then finding the best way to expose the situation and make it as public as possible will at least help mitigate issues that will certainly arise.

Seniority concerns - If there are people who were passed over to bring in a new leader there will be hard feelings. There is no better way to deal with these issues than head on. A face-to-face airing of grievances will have to happen eventually. Sooner is better than later. You may find that the person has a legitimate beef or that they are over-estimating their own abilities. In either case, get this out and dealt with so that you both can take the appropriate actions. You may need to help them design a better career path. You may give them additional responsibilities to help them demonstrate their competence or lack of ability. You may need to nurse some hurt feelings and work to show you are aware of their particular situation.

Pet projects - These are often projects that had value to the prior leader, but you do not see the value any longer. They may have been intended to highlight someone or something, but because they were not completed, the reasons to continue them may no longer be valid. The best way to deal with them is to evaluate the time and costs of completion, then review the emotional impact or the people who are involved.

The importance and impact of each of these issues depends a great deal on why a new leader was brought in. That is the topic of the next post.