But it doesn't have to be this way. Next Generation Companies are bringing governance of the workplace into the 21st Century. St. Luke's gives its workers – all of them – a real say in the business. They are not only owners with financial stakes - but proprietors, with all the privileges and obligations that go along with it. Each year employees elect a board of representatives called Trustees, who act much like a condo association board to represent the interests of all workers in enterprise decisions and policy making. Says Andy Law –St. Luke's CEO: "I don't think of St. Luke's as an exercise in empowerment. It is an exercise in responsibility through ownership."
W. L. Gore, the maker of Goretex fabric, has created an innovation factory, largely by letting workers choose the projects on which they want to work. It operates as an internal free market – people and resources dynamically gravitate to the most promising ideas and projects. Employees, regardless of their position, regularly propose ideas for new projects that they get to lead if their idea is accepted. The result – workers feel deep commitment to and real accountability for pursuing company goals.
Do your workers feel their interests and views are listened to and represented in your organization?
Here's a simple test - pick the description that best describes your organization:
- Workers feel neglected and abandoned. (Disenfranchised)
Begin immediately to communicate with your staff. Listening is critical – make sure workers believe you are genuinely interested in their needs and views. Take time to communicate competitive and operating strategies via multiple media to all employees.
- Staff are given basic information about strategy and decisions but have no say in shaping them or how they are implemented. (Informed)
Move away from distributing information about business performance on a "need to know" basis. Solicit their ideas in groups and one-on-one. Dispatch managers to engage in discussions with staff and provide aggregated feedback to demonstrate that you listened to what staff said.
- Workers are kept informed but not involved in strategic decisions. They have significant discretion to act and make decisions regarding operational matters. (Empowered)
Explore ways of bringing workers into the strategy making and governance processes. Experiment with self-managed teams and employee representation on high level committees and boards.
- Staff is responsible for strategy, governance and operating decisions and their execution. (Self-Directed)
It requires that everyone stays aware that it is both their right and obligation to exercise authority with the collective good in mind. Keep things fresh by rotating leadership where possible and by limiting the size of self-directed teams and groups.
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