jueves, 26 de mayo de 2016

Mauro Libi: How do we move from crisis to control?

An article wrote by Michael Stanleigh give us a guide for driving into the crisis and controls the situation. Here you have the list of steps.

1. Accept that change is a process
First, recognize that change is a process and to move from crisis to control, we must follow the process. We must engage everyone in the change. It is not complex but it is a journey.There were a number of sub-committees identified:

2. Move forward step by step
When companies strive to restructure or gain greater efficiency, experts warn that moving too quickly or failing to carefully implement changes can be detrimental to the process and ultimate result. But in the words of John Kotter, “Skipping steps creates only the illusion of speed and never produces satisfactory results” and “Making critical mistakes in any of the phases can have a devastating impact, slowing momentum and negating hard-won gains.

3. Assess potential risks and generate motivation


First, executives or other players in the organization need to assess potential risks and stir up a sense of urgency among workers and stakeholders in order to generate the motivation to spur change within the firm. However, this sense of urgency has to be strong enough and perpetuated by outside analysts, consumers, and other voices in order to propel change forward.

4. Form a powerful guiding coalition
Once change is identified as the best solution to market share, profit losses, or other catalysts, leaders throughout the organization have to band together to guide the transformation process, and these leaders can include board members, consumers, union leaders, executives, chairmen, and others.


5. Create a shared vision for corporate change
The group then coalesces to create a shared vision for corporate change, and this vision should go beyond the normal five-year forward looking plan generated at most firms annually and be easily communicated and clear. A clear vision should also include transformation steps that are coordinated and propel the organization toward the overall goal, and these visions should be communicated in not only words and speeches, but also actions of managers, supervisors, and executives. The transformation of a company should also include short-term goals that can be tracked to show executives and workers that progress is being made toward the ultimate vision and that the long journey will be worth it, even in spite of short-term job cuts for instance. Experts warn, however, that transformations can take between five and 10 years to complete, and should not be declared as complete until the company culture has transformed to meet the vision. Leaders will know to tackle other processes and structures reflecting the old culture of the firm and to engrain the new behaviors and procedures into workers in order to make the change complete.

6. Communicate that vision
Leadership should estimate how much of the vision is needed, and then multiply that effort by a factor of ten. A transformation effort will fail unless most of the organization understand, appreciate, commit and try to make the effort happen. The guiding principle is simple: use every existing communication channel and opportunity.


7. Empower others to act on the vision
Remove obstacles there may be to getting on with change. This entails several actions. Allocate budget money to the new initiative and free up key people from existing responsibilities so they can concentrate on the new effort. Allow people to start living the new ways and make changes in their areas of involvement. Nothing is more frustrating than believing in the change but then not having the time, money, help or support needed to effect it.

8. Plan for and create short-term wins
Real transformation takes time therefore; the loss of momentum and the onset of disappointment are real factors. Actively plan to achieve short-term gains which people will be able to see and celebrate. This will provide proof that efforts are working and adds to the motivation to keep going.Once change is identified as the best solution to market share, profit losses, or other catalysts, leaders throughout the organization have to band together to guide the transformation process, and these leaders can include board members, consumers, union leaders, executives, chairmen, and others.

9. Consolidate improvement and keep the momentum for change moving
A premature declaration of victory can kill momentum, allowing the powerful forces of tradition to regain ground. Keep in mind that new approaches are fragile and subject to regression. Use the feeling of victory as the motivation to delve more deeply into the organization: to explore changes in the basic culture, expose the systems relationships of the organization that need tuning, and to move people committed to the new ways into key roles.

10. Institutionalize the new approaches
At the end of the day, change sticks when it seeps into the bloodstream of the corporate body and becomes “the way we do things around here.” This requires a conscious attempt to: show people how the new approaches, behaviours and attitudes have helped improve the organization and when the next generation of leaders believe in and embody the new ways.

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viernes, 20 de mayo de 2016

Mauro Libi: Positive attitude and productivity


By Mauro Libi. Most executives agree that their companies spend too much money on low-priority initiatives and cut costs indiscriminately, says new Strategy & Survey of over 500 executives warns companies may be diverting money away from strategically important projects

Executives worldwide say low-priority initiatives get too much funding, cost-cutting isn’t strategic and budgeting isn’t tightly aligned with strategic planning at their companies. Cost-cutting is haphazard and weakens the business; it should strengthen it.

There has to be a balance between investment in initiatives and in keeping cost down. If a business does not initiate new initiatives and ideas it will lose in our competitive society to that company that does. So how does a corporation in such a competitive environment survive without investing a hefty sum on change initiatives ?

The answer is lies in part in the problem.   More than 70% of change initiatives fail. That means 70% of the investment in change initiatives turn to failure. Many have worked on trying to solve and bring down this failure rate.  A company can invest much less in change if it did not have so much cash investment lost to failure.

Before change is attempted and large sums of cash invested, the question should be - how is the mental health of the business? This may seem like a strange question to ask on a corporation. But let's think. It is known that many of the failed initiatives have to do with the management and employees that need to put those initiatives into effect. It's not just having a good idea that leads to success but that good idea needs to be acted on. Action by the employees is needed to see this initiative succeed.

In many cases this comes down to the attitude that is pervasive in the company when a change initiative comes down from management. A positive attitude toward this idea and the company in general are the key to success.

Positive attitude manifests in the following ways:

Positive thinking, Constructive thinking, Creative thinking, Optimism, Motivation and energy to do things and accomplish goals.

By having a positive attitude management and the employees will expect success and not failure. Making  then feel inspired. and it will help them have the strength to not to give up, if you encounter obstacles on your way.

Investment to change is essential to a company but so is the need to create a work environment and hire people with the positive attitude to see it through and succeed.( Mauro Libi)


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martes, 10 de mayo de 2016

Mauro Libi: Productiveness increases the overall efficiency of an organization


Business Productivity is the ability of an organization to utilize its available resources in order to produce profitable goods or services as desired by customers or clients. It is the productivity that measures the performance of an organization, and it can also be used for companies themselves in order to assess their own progress. 

Productiveness increases the overall efficiency of an organization. When the efficiency of the organization increases, the production capacity of the company is utilized to the optimum level. Thus, all resources are used in an effective and efficient manner to get the best possible results.  As is often indicated by business, the more products you make, the lower your overhead, and the higher your profits.

Enhanced production lowers the cost per unit of a product which in turn, results in lower prices for better quality, which enhances a business’ competitiveness in the market. In the current turbulent world, every organization faces stiff competition from their counterparts. Hence, lower prices as a result of enhanced production give an edge to businesses to sell products at more competitive prices. If the rates are competitive, the business is in a better position to attract more customers and make more sales. This is the primary motive of any business organization.

Increased production due to efficient utilization of organizational resources leads to a lower cost production resulting in better sales and profits. If the profits of an organization shoot up, it increases the confidence of investors in the organization. Moreover, the share value of the company increases. Due to this, the reputation and goodwill of the organization increases.  

Similarly, the business can share a portion of its profits as a result of enhanced production with its employees. This boosts the morale of the employees as they get to enjoy a part of the profits and the satisfaction of a job well done. As a result, their working efficiency tends to increase which in turn, further increases the production of the company. As you can start to see, there is a snowball of business success that starts with increased productivity.

Productivity is much more important than revenues and profits of the organization because profits only reflect the end result whereas productivity reflects the increased efficiency as well as effectiveness of business policies and processes. Moreover, it enables a business to find out its strengths and weaknesses. It also lets the business easily identify threats as well as opportunities that prevail in the market as a result of competition and changes in business environment.



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martes, 3 de mayo de 2016

Mauro Libi: What are the skills that business leaders should have?

By Mauro Libi. Every time we refer to the environment of turbulence currently residing in the business world, we have to discuss the leaders and their capabilities. Companies seeking to cope with volatility in the markets, technological progress and the constant demands of competitiveness and globalization requires that managers are prepared to face the enormous challenges of the XXI century.

Leadership is without doubt- a decisive factor when being a good manager for companies. These new leaders must know the business in depth and have many other qualities of management, administration, communication and should be able to understand its internal and external environment and ensure that both act in accordance with the objectives of the companies.

If you are in the dilemma of selecting a leader for your company, the first thing to observe is the internal thinking of the candidates. How it relates with himself, with others and with the world ?. That person must know what you want to be, what their life professional goals are. Only in this way you will know where you want to take the organization and its members.

In parallel, the leader must have strategic thinking, a clear vision of the company. What and where it is now and the way forward to achieve your intended goals. Proper planning and insight requires self-knowledge that will help you be alert to all sources of information that has to be fed around and strategic thinking.

Another aspect to be taken into account is that you must have a dynamic view of business. You must know the operation of all internal information systems, technical market research and all available internal and external sources to know where to look to capture information. You must have a systemic thinking that allows you to see the organization in relation to all parties that form internally and externally with related.

A leader must know he is not alone but has a management team that supports. A good leader you should motivate them to achieve their goals and achieve develop as professionals and as people. You must learn well the technical meeting management, networking, creativity, innovation, etc. Another aspect to be considered is communications skills, usually protruding leader is an excellent communicator and make effective presentations, like knowing how to negotiate to get the best results for your company.

You should also know how to implement strategic initiatives and how they are developed. It requires a  sound knowledge of management control in basic functional areas (mk and commercial, production, systems and technology, human resources and eco-financial) to know the outcome of their management and undertake the necessary improvements.


Experts recommend an enormous amount of emotional and social intelligence, crisis management and conflict.

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