Surviving the Economic Tsunami: Leading Employees through Difficult Times

by Rodney J. Sanders 

October 2010

And in a blink of an eye, they were no more: Lehman Brothers and Washington Mutual Bank, global financial powerhouses, washed away by the economic tsunami that shook the planet at the end of 2008. During this time, the automotive industry standing in the nation's heartland began to hemorrhage even more jobs. All the while, more consumers began to bail from their homes and mortgages in an increasingly futile attempt to make ends meet.

It goes without saying that the past couple of years have brought a great deal of pain to companies worldwide. The old adage, "the only thing constant is change," has taken on newfound relevance as existing corporations struggle to make their businesses relevant and profitable in this new world economy. For many companies, changing how they do business is the only option if they intend to exist in the near future. Anyone who has worked in business for any length of time will recognize that it takes the winning combination of solid business solutions and effective execution to realize meaningful change. What is oftentimes overlooked, however, is the critical need to recognize the human dynamics of change management. Getting work done through people takes an exceptional appreciation for the energy capacity required of employees. It is critical and necessary for effective leaders to recognize this capacity.

Think of energy as occupying three fundamental categories- mind, body, and spirit. Given the respective employee and the point in time, these three buckets may be filled at different energy levels. An employee may have the mind and cerebral capacity to absorb the change initiative underway; however, their spirit capacity may be lacking. Failure to recognize deficiencies in any of their energy categories may pose a barrier to the realization of change, and ultimately the future success of the company.

Mind

When change initiatives are announced and rolled-out, it takes a while for some employees to process the proposed solution and even the need for change. This resistance to change is oftentimes veiled in comments like "This is not going to work", "This is stupid", or "We are changing yet again". And let's face it; many companies have trimmed their workforces to such low levels that remaining employees oftentimes feel overworked such that they no longer have the mental capacity to absorb change while performing their regular jobs. This burnout can breed negativity, which can be contagious in a workforce.