In its original Latin, “Scientia Potentia Est,” the saying is attributed to Sir Francis Bacon’s writings from the 16th century. Although centuries old, the sentiment has critical applications for today’s business world.
Open-book management, financial transparency, and open-book management are the newer forms of this old Latin phrase. Transparency in the workplace is essential.
Employee MoraleMany managers overlook employee morale. However, this is a mistake. It has a direct impact on the bottom line. Absenteeism and high turnover are not the only issues that can cost you money and time. Motivated employees will work harder, put more effort in and be more productive. What is one of the best tips to boost employee morale? Keep your employees informed, and that includes finances.
Share Your Vision
The cliche “the blind lead the blind” is true. Being transparent with your employees and providing them with the necessary information will give them an understanding of the metrics critical to your company’s success.
Share your vision with your employees to connect them emotionally to your business. By giving employees a good reason to be engaged, you can encourage them. You can’t sell anything–whether a service, product, or idea–without understanding how much and why you must sell. Don’t let your team members be in the dark about what you want them to do.
The Business Climate Today
Today’s business climate has as little in common with a shoebox phone with the previous business climate as an iPhone does with a 20-year-old business environment. Although the idea remains the same, the way it is executed is vastly different. Why would business leaders keep employees in the dark about information that could affect their goals? You can encourage trust by being honest with your employees and ensuring they are heard.
Set Goals and Move Ahead
Transparency helps employees understand how they fit into the company’s overall goal. Remembering transparency fosters trust among employees and their managers are essential. According to a study by the American Psychological Association, nearly one-quarter of Americans do not trust their managers. A third of Americans don’t believe their employers are being honest and open with them. It’s harder to achieve realistic goals without trust.
Your employees are one of your greatest assets. They were hired by you to perform the necessary work to generate a profit. Your business plan should incorporate the human element, which is to be able to relate to and trust. Do not rely on monetary rewards as motivation. Transparency and trust are strong forces that will help to open the doors of communication between management and employees.