Creating a Climate for Change » recession-proof

Managing Change – What can this koala tell us about resilience in difficult times?

Di — Sat, 14 Feb 2009 04:32:02 +0000

Take a moment to consider the Australian state of Victoria. Over the last few weeks, the temperature was reported to be above 44 degrees with burning wind, out-of-control bushfires and catastrophic power outages. The toll in human life continues to rise, with record mortality rates amongst the elderly due to the heat and hundreds of lives lost in the firestorms. The hearts of many Australians are heavy as we come to terms with the scale of these losses.

We’re also reminded of the impact these events are having on domestic pets, livestock and the local wildlife population. Losses which cannot be calculated. But amongst all this, are stories of hope and inspiration – take this wild koala.

Koalas are relatively shy and retiring, rarely venturing by choice into human populations by day, let alone interact with them. In fact they can be highly aggressive and dangerous if disturbed or cornered. Yet, in the face of unrivalled heat, this koala’s survival instinct led it onto the verandah of a house to seek water. It overcame its natural aversion to humans, accepted their water, had a bath in it and posed for a photo.

What do we do when our back is against the wall in hard business or economic times? Just sit back and wait for our boss, our union, our government, or our bank to do something about it? Or are we dissatisfied enough to rattle our own comfort zone, make a change and try something a little or a lot different, before we get past the point of no return.

Why not improve your personal resilience to change by trying something different – Learn something new at a free seminar, network face to face with new people, ask someone you know for help, look through the on-line job sites, book an appointment with a career coach, try temping instead of permanent work, get to know how Linked In, Plaxo or Facebook can expand your networks.

You might want to try something different to improve the resilience of your business to change – control costs by cutting back on excessive policies or eliminating unproductive product lines. Look to your supply chain for partnerships and deals or improve your skills in managing uncertainty by attending a seminar, buying a book, listening to an expert.

You never know, there might be the hand of help or a door of opportunity just waiting for you to open. But only if you take the first step.

Di Worrall is an author, social commentator and change management consultant. For a FREE subscription to the newsletter – Creating a Climate for Change click on the following website http://www.worrallassociates.com.au/

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Beware the pitfalls of downsizing, restructuring and employee redundancy

Di — Sat, 31 Jan 2009 05:26:30 +0000

The last economic downturn to affect Australia saw a widespread cut back in apprentice training. While the effects weren’t experienced immediately, the absence of new talent entering the workforce on such a large scale meant that it was nearly 10 years before Australia returned to the same level of technical skill it enjoyed prior to the downturn. Arguably, the detrimental impact of the “solution” turned out to be far more serious to the country than the initial problem. This is just one example of the potentially harmful downstream consequences of downsizing and cutbacks that business is pursuing in the current economic climate.

Being mindful of the pitfalls of large scale downsizing and employee redundancy was the clear message that Heather Ridout, Chairman of the Australian Industry Group gave to business in a recent 7.30 Report Interview. Heather is not a lone voice in the wilderness on this topic. In the wake of weekly announcements that big business is shedding staff in mammoth proportions, other business and political leaders are joining a growing voice around the world warning of the consequences of these knee-jerk reactions to sustain short-term business viability.

One message is particularly clear. Forget for the time being who may be responsible for the current economic instability. While governments install bail out packages for the worst affected and revise monetary policies to encourage spending, the extent to which our economies travel headlong towards recession, is largely in the hands of business leaders.

Saul Eslake, Chief Economist of Australia’s ANZ bank is highly vocal on this issue when he reminds business that one of the definitive indicators of declining economic strength, is the unemployment rate. An indicator which is in the main controlled by the business sector.

While organisational restructuring and employee redundancies are a legitimate source of cost savings, there are a range of potential alternative measures to achieve cost control and efficiencies that business can explore before travelling down the path of downsizing and cutbacks.

This leaves us with 2 messages for riding out the short term economic storm, and leaving our longer term legacy in tact: cost control before cost cutting; and employee redundancy as a last resort strategy and not the first.

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http://www.aclimateforchangebook.com/

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