MOTIVATING AND ENGAGING YOUR TEAM

Let's return one more time to our example of needing to reduce division expenses by 10 percent. The team needed to come together around a clear, elevating goal. The ground rules were that all discussion would take place in front of everyone in the conference room without any sidebar commentary on how much “fat” there supposedly was in someone else's budget or how uncooperative another team member was being. People either said what they had to say in the room in front of everyone as part of a productive debate, or they wouldn't say anything at all.

As the leader of the discussion, I knew that my colleagues had to stop engaging in turf battles around how they couldn't cut expenses—or if they did, that they would not reduce them more than anyone else's department. As leaders in the division, they needed to grasp the big picture—to see the importance of the cost-cutting initiative from the perspective of the entire division. They had to buy into the fact that when overall expenses were reduced by 10 percent, the division would be much better off, which would also benefit the company as a whole. For example, by making certain cutbacks now, we would be healthier during the downturn and preserve jobs in the future.

As I led the discussion, I could see the transformation in process. It was as if the proverbial light bulb came on for each of my colleagues. As a shift in their thinking occurred, I could see, for example, that Fred, who had already laid out his arguments for why cuts in manufacturing should be minimized, was beginning to look at the situation realistically in terms of the entire division. With a broader perspective, he and the other department heads saw that it wasn't a matter of the “pain” being shared equally; they needed to look at what made the most sense for optimizing the entire division.

To get to this point, my job was to help people climb out of their bunkers and drop their defensive positions so that they could cooperate with their peers to come up with a workable plan for the benefit of the entire division. I reminded them of the alternative: presenting the problem to our boss, the division president, and leaving it to him to prioritize how the expense cuts should be allocated. No one saw this as ideal because, as the department heads, they were the ones who knew which expenses were absolutely necessary and which were more discretionary. I reminded my peers that as the head of the finance department, I was making my own cuts.

The reality of what we faced—declining sales and earnings within the business unit—mandated that we do something. As discussions ensued about what was most important from the perspective of the entire division, people began to see their departments not as discrete entities but as parts of a whole. This led to some amazing concessions for the good of the division that would have been unthinkable when the process first began. First, Fred in manufacturing spoke up: “You know, Joe in R&D should not cut anything because we're going to need new product development for the future. And Tim should not cut the sales expense. In fact, I think we should increase the sales expense by 5 percent so that we can pursue new opportunities while our competitors scale back. Although I don't like the idea of cutting manufacturing expenses by more than 10 percent, I think we'd all be better off if I reduced manufacturing costs by 20 percent in order to fund these important initiatives.”

Donna in supply chain then stated that she thought her department could also reduce expenses by 20 percent. Mary in marketing, though she needed to support the sales effort, suggested that there was a way to cut expenses by at least 12 percent. In the aggregate, the expense cuts for the division amounted to 10 percent. On a departmental level, however, the adjustments in spending varied depending on what promoted the good of the organization. This was possible only when the group of individuals truly became a team.

As idealistic as this kind of team transformation might seem to some people, it really does happen. In fact, I've experienced these shifts in thinking throughout my career. Motivating people means empowering them to lead change. If a company has the right atmosphere, attitude, and openness, many people at any operating level can add valuable insight into key business issues. People with no management experience can provide solutions to critical business problems, be it streamlining a process, improving quality, or identifying areas to reduce costs. As the leader, you can tap into these creative ideas only when people know that their input is valued.

Learning to motivate and engage a team is so important you will want to get your arms around these strategies early on in your career, even before you have people working for you. Remember, people will always have competing priorities. Your responsibility as the leader is to get them to see the big picture and to understand the importance of what needs to be done. The motivation and engagement of your team will multiply your effectiveness as a leader. You don't have to be a superhero, nor do you have to spend an inordinate sum of money. What you must do is relate to others by letting them know who you are and the values you stand for. At the same time, you need to understand what matters to them and establish a respectful environment that allows them to contribute fully. Then you will create a team that produces extraordinary results. Now, with a united understanding and a strong commitment to the organization and to each other, your team is ready for the next step—execution.