Reference no: EM133189905
One thing that's always hard for managers/executives to do is deliver bad news to employees. However, that's all the more reason to be sure to think through those decisions. And not every CEO or executive has done that! Here are some recent examples. See what you think! Choose your CHANNEL wisely!
1. IBM CEO Ginni Rometty, after a disappointing earnings report, publicly reprimanded all the company's 434 000 employees through a five-minute internal video message. She specifically pointed to the sales staff for missing out on several large deals. When the press heard about it, many referred to it as a public spanking.
2. AOL's CEO, Tim Armstrong, broke the news about the company's decision to cut employee retirement benefits on television network CNBC. Only after informing Wall Street did Armstrong hold a companywide conference call with employees to discuss the announcement and explain the rationale. Employees complained about "secret" cuts on Twitter and other social media sites. And Armstrong only added fuel to the fire after he tried to blame the change on the new federal healthcare law and medical expenses associated with two "distressed babies" of AOL employees. After a week of bad publicity, Armstrong informed employees through e-mail that he was reversing his decision and apologized for his controversial comments.
3. Some 90 workers at a Ford Motor Company's Chicago assembly plant got an automated phone message announcing they had just been laid off. Although each of the managers involved in these communications probably thought they were doing the right thing, the choices they made led to an outcome they weren't expecting.
Principles to Remember:
Do
• understand why the decision was made before sharing the news
• prepare and rehearse what you're going to say
• explain the rationale and the process for making the decision
Don't
• sugarcoat the news-be clear and direct
• let your body language belie your words
• allow people to debate the merits of the decision - focus on moving forward
Questions:
1) What's your impression of what took place in the scenarios of managers delivering bad news to employees? Did the manager in each scenario communicate effectively? Why or why not?
2) For each of the scenarios of managers delivering bad news to employees, discuss what might have been a better way to communicate the message.