In the world of business, progress often hinges on conversations we'd rather avoid. Awkward, uncomfortable, yet crucial discussions are the unsung heroes of organisational success. For business owners and leaders, these moments are not just inevitable but transformative, and there's a method to mastering them that can drive your company forward.
Imagine this scenario: it's the end of the financial year, and your management team gathers to plan the coming year. These meetings often expand to include more voices - sometimes a dozen or more. As strategies are crafted and goals are set, one critical question surfaces:
How is our team performing?
This question is a springboard to a deeper dive. Which employees are excelling? Who needs support or improvement? What's causing frustration within the team? These inquiries often uncover a stark truth: the greatest challenges in executing a strategy stem from communication breakdowns and unclear expectations.
Take, for example, a manufacturing business. Here, the sales team is responsible for passing vital specifications to operations for production. When this information transfer falters - say, due to one salesperson's habitual negligence - the ripple effects are enormous.
Mistakes multiply.
Deadlines stretch.
Teams downstream spend countless hours chasing missing details, cleaning up messes, and covering for others' lapses.
Why does this happen? Often, it's because no one has addressed the issue head-on. Leaders hesitate to confront poor performance or lack of communication. But here's the crux: as a leader, it's your responsibility to define and enforce standards.
If expectations aren't clear or consistently upheld, inefficiencies and frustrations will persist, sapping productivity and morale.
Here's the secret sauce: candid conversations.
When team members underperform, it's essential to sit down and lay it out. Explain what's expected, why it matters, and how their actions impact the broader team.
This isn't about chastising - it's about clarity and alignment. It's about ensuring everyone knows their role in the company's success and has the tools to meet those expectations.
In our manufacturing example, leadership could have pulled the salesperson aside and said, 'This level of communication isn't acceptable. Here's what we need from you moving forward'.
Setting clear, actionable standards is step one.
Step two, is following up to ensure compliance.
If improvement doesn't follow, leaders must be prepared to make tough calls. Every minute spent compensating for someone else's inadequacy is time lost to innovation and growth.
Ultimately, the value of these awkward conversations lies in what they protect: your team's cohesion and productivity. Businesses thrive on collaboration, and when one person's shortcomings disrupt the process, everyone pays the price.
By addressing issues directly and constructively, you're not just solving a problem - you're fostering a culture of accountability and respect.
As you plan for the next financial year, remember this: awkward conversations are the foundation of meaningful progress. They're the moments where standards are reinforced, trust is built, and your business's potential is realised.
So lean into the discomfort.
Your team's future depends on it.
1. Objective Perspective
As an external partner, an outsourced CFO brings a fresh, unbiased perspective to team dynamic and performance issues. CFO Dynamics can help identify inefficiencies or challenges in communication without the emotional ties that in-house leaders might have, making it easier to address sensitive topics.
2. Data-Driven Insights
With access to financial and operational data, an outsourced CFO can pinpoint the root causes of performance bottlenecks. For example, if inefficiencies are traced to poor communication between departments, CFO Dynamics can present evidence that justifies a tough conversation. This objectively transforms the discussion from being personal to being data-backed and professional.
3. Facilitation of Conversations
Outsourced CFOs are often skilled facilitators. As you’d expect from operating for over 10 years, CFO Dynamics has had its fair share of awkward conversations (and not all are for clients…) and have learnt the best ways to navigate them - which you might’ve guess by the video. We really give a sh*t about what we do and improving business financials, these are objective data driven conversations about business improvement.
4. Establishing Standards
An outsourced CFO can help define and communicate clear performance standards, particularly when they align with financial goals. CFO Dynamics can work with leaders to set measurable KPIs and provide a roadmap for accountability, ensuring that conversations about underperformance are based on agreed-upon benchmarks.
5. Strategic Focus
Because an outsourced CFO is involved in high-level strategic planning, the can emphasise how individual roles and behaviours impact broader business goals. CFO Dynamics can frame awkward conversations within the content of achieving organisational success, which helps align the team around a common purpose.
6. Follow-Up and Accountability
After the initial conversation, an outsourced CFO can monitor progress and follow up on commitments. CFO Dynamics involvement, could ensure the outcomes of these discussions are tracked and that improvements are sustained over time.
By leveraging CFO Dynamics' expertise, objectivity, and strategic insight, an outsourced CFO transforms awkward conversations into opportunities for growth and alignment, ultimately strengthening the business.
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