Could your business use a fresh perspective?
Businesses are under a lot of pressure to stay relevant, with rapid changes in technology, regulations and employee desires testing the adaptability of companies.
These changes can put a strain on the important parts of your workforce if effective processes are not put into place. There are steps that can be taken to ensure you are getting the best out of your employees, such as bringing in a fresh perspective, through either HR consulting or with leadership changes.
The University of Missouri has produced a study that found businesses that are struggling in some way may benefit from advice from outside sources. While the research specifically refers to seeking the assistance of external CEOs, such drastic measures are not always necessary.
Seeking external advice sends the message that the company is aware of existing problems and are making attempts to remedy them, according to the university. This can contribute to the company being seen as innovative, as they are prepared to adapt to change in an effort to succeed.
Decisions made by previous new CEOs led to this conclusion, with researchers noticing they often behaved in different ways to those hired internally. Professor and Director of the Financial Institute at the University’s Trulaske College of Business Stephen Ferris explained that new hires often focus more on research and development in an effort to prompt the their new workplace into a state of growth.
In contrast to this, internal hires tend to represent stable companies, and may not have the drive needed in more desperate times.
“We found that forced turnover drastically increased the likelihood of external selections, and that external CEOs tend to make different business decisions than do internal candidates. Change clearly is needed in those situations, so it makes sense to look outside the company for someone to rejuvenate the firm,” said Mr Ferris.