There are obvious signs that a company is being poorly managed, such as declining sales and revenues, the loss of important customers, or a falling share price, for example. Nevertheless, There are many warning signs that go unnoticed. Whether they are obvious or not, addressing them directly and forcefully is the best way to dirty a bad management of a negotiation. In this post we put them on the table.
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The 9 signs of poor management in an SME
Prepared? Toma wrote down the following tips for spotting mismanagement in a business:
1. Problems when delegating
Making someone work is confused with doing their job. As a consequence, while the employer is doing someone else’s work, no one is doing theirs. In other words, a serious problem appears at this moment in the way of thinking about delegation.
2. Ignorance of their functions
Many people really do not know what, ultimately, their own function is. and how their work relates to the rest of the process and the business. Therefore, they cannot make the decisions that they should make (and for which I assure you that they are usually very well trained), a situation that generates slowness and, above all, inaction.
3. Lack of clarity
The level of turnover, production and personal number on the payroll seem to be the measures to assess the growth of the company. It is assumed that the higher the turnover, the higher the profit. It assumes that with increased production, the company grows. It is assumed that if the number of employees increases, the company is more important. But are those assumptions valid? Obviously not. There is usually no clarity to distinguish the difference between “being bigger” and “being better”.
4. It is not questioned if the actions continue to work
Employees spend a great deal of time solving short-term problems. due to the lack of long-range shots. Because nobody knows why and why it is necessary to do things the way they are being done. Everyone knows their tasks and they justify them by saying that “they have always been done that way”, but no one questions whether they are still necessary. Jan Carlzon, in his book The Moment of Truth, says “whoever is not given information cannot be held accountable. But anyone who has the information can’t help but assume it.”
5. Bad managers
Not enough good managers, however in reality, we should ask ourselves if your company is real managers. I have no doubt that the people who support the businessman are of his absolute trust, loyal and committed to him. I do not minimize the fact that the vast majority of them have accompanied him since the company was just a dream. But paying off this debt of gratitude, making them responsible for critical functions for the future, comes at an incredibly high cost to the company, which, again, doesn’t show on their bottom line.
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6. Firefighting Employees
The will seems to be the way to solve all problems and the favorite motto, “let’s go… let’s go… let’s go”. But, in reality, many times the most advisable thing would be to take some time to rethink and make the corresponding decisions. They all live wheels running from one side to the other like hamsters in their and even end the day exhausted, due to the number of issues in which they ran, with the fantasy that they have really worked hard. Do customers pay their companies for their ability to put out the fires caused by this impulsive way of working or because their products provide value and satisfaction? Again, another subtle difference: working hard is not synonymous with working well.
7. Bad work environment
Usually, those responsible for the sectors (including the employer) are too busy to wait for people. It is both the time demands and the anguish of keeping the wheel turning that, furthermore, long faces and tension are commonplace in driving levels.
8. Poor internal communication
Each management, or department, is a fief. It is not strange to notice, at this time, how little the managers or managers talk to each other. Case if the problem is the other and all their simple victims of the situation.
9. Failure of realism
In short, to detect bad management in a company, it is necessary to think about whether this is true. Many times make a commitment with internal and external clients, plus all the real capacity to fulfill them. It is very motivating to take out a new deal or account of a client. But, is it evaluated whether the company is in a real position to satisfy these needs?
These dots are red lights turned on daily for anyone with the attitude and aptitude to see them. The entrepreneur has a unique opportunity but must bring about the most difficult change in his working life. He must accept that the organizational model that has reached that point is no longer viable and that the first thing he must change is his way of seeing and carrying out his business.
What did you think of this article about the signs to detect a bad management of a company? Already your comments and share!
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