As with your own health, organisational health impacts performance. Poor health means the various parts of the organisation do not work in tandem and some areas simply do not perform. In extreme circumstances it can even cause real employee health issues (i.e. rise in concern with regard to mental health issues at work) and severe damage to organisational reputation.
The end result is sustained poor business performance.
Mirroring personal health again, prevention is far better than cure. Poor health can creep up on an organisation and the impact can take many years to overcome, if you manage to address it at all.
Surveys identify that organisational health issues start some time before it is obvious to see. Poor leaders put people under stress or simply manage an environment badly. This behaviour, if not checked, is replicated and there is a knock on effect across the organisation which leads to a general degradation of “happiness” - and weaker performance. The organisation can rapidly lose its “mojo” even though, initially, business results are OK. Knee-jerk reactions often just accentuate the problem.
Before you know it, results start to dip and key individuals are jumping ship to a competitor. Turning things around then becomes a major challenge.
Don’t think it can’t happen to you.
We can all think of cases of successful large organisations losing their way and becoming a shadow of their former self.
Preventing this requires a continuous programme to develop the right leaders who build and support the desired culture. It also requires engagement with all staff, to ensure they understand the vision and culture of the organisation and feel part of its success. The programme also needs to be flexible to changing market dynamics. Now, more than ever, great new business ideas come from all over the organisation.
Having a comprehensive programme of activities like this in place attracts the right kind of employees who are motivated to deliver and improve, and this provides opportunities for development as well as the all-important retention of key staff. The right programme puts you into a cycle of improvement and growth rather than one of weaker health and poor results.
Take a good look around - which cycle are you on?
If you want to improve your organisational health then contact us to discuss leadership development and employee engagement.