Transparency and Open Communication

Beth Steinberg • Monday, November 30th, 2009

I have been very fortunate in my career to work with some very talented people and some exceptional companies. Through my own experience and observations, I have found a few key areas that a company can commit time to that can have a significant impact on company culture. For the next several weeks, we will examine these components and look at some simple steps you can take to improve and enhance culture, productivity, and satisfaction in your company.

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Part 1: Transparency and Open Communication

Photo Credit: EduardoZ

Photo Credit: EduardoZ

Systems and processes at companies are often not known to employees. Employees’ trust increases the more they understand how and why things are done. The philosophy behind a company’s management (compensation practices, performance management criteria, resource allocation, and project ‘green lights’) should be as clear and as consistent as possible. When practices are not clear, it leaves employees wondering what went into the decision-making process. Lack of transparency by a company’s leadership can directly impact employee effectiveness and productivity.

This type of culture comes from the top down. Communication cannot be optional. It must be built into the fabric of the company.

A few things you can do:

  • Develop a cadence of communication for your company and/or your department. Schedule all of your meetings (1:1s, team meetings, all-hands, etc.) in advance and out for the quarter so people know these are times to give and receive information. Don’t cancel them. Make spending time with your team a top priority. My guess is it will be the best part of your job.
  • Be honest. Leaders love sharing good information, but sometimes the news is bad. Trust your employees to handle it. Sugar coating conversations does not benefit anyone. Withholding information erodes trust. When information is confidential, make sure employees understand that.
  • Be as open as possible about company systems and processes. People should understand the company’s compensation philosophy, the criteria for promotion, how requisitions are approved, how and why projects are approved or cancelled. Allow people to ask questions, be open to feedback and don’t be afraid to give it. It’s much easier for people to accept a decision they don’t agree with if they understand how and why it was made. In the absence of information, people will speculate that the motivation was ‘politics’, and nothing poisons a culture faster.
  • Make presentations, white papers, etc. available to employees. It is not reasonable to invite employees to every meeting on every subject, but you can make the information available. Where appropriate and possible, make it part of the company culture to post information and presentations post important meetings.
  • Have open forums and engage in Management By Walking Around (MBWA). Not everything needs to a PowerPoint presentation. Walk around and talk to people. See what they are doing and how you can support them. Schedule open forums with company thought leaders with no agenda. Use it as way to get to know what is on people’s mind, hear ideas, and get to know your team.

These practices are nothing new or complex, and are low cost and high impact. Give them a try — they’ll  make a big difference.

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One Response to “Transparency and Open Communication”

  1. [...] Culture refers to the values of the company, the way people get their work done, the way decisions are made, and the way people treat each other, their customers and their shareholders. I have written a lot about the importance of company culture in my previous posts. [...]

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