Seven tips to leadership communications during difficult times. Whether during downsizing, restructuring or other types of change; connecting and communicating truthfully with staff is paramount. 2009 Presentation to CEO Institute, Adelaide, Australia (Susan Stewart)

1. Leadership communications in difficult times Susan Stewart

4. Why? “ Increasing employee engagement during an economic downturn is akin to tuning up your car so it runs on eight cylinders instead of six. The car performs much more effectively and efficiently with the additional power. Understood correctly, engagement can improve performance, quality and productivity.” Shaffer J (2009). Playing to win . Communication World. March 2009. IABC publication 00

5. Managing difficult times “ Companies are on the whole sticking to the tactics they identified last fall as helping them manage the global economic turmoil. A higher proportion of companies are now taking longer-term actions such as restructuring, hiring talent, or leaving markets altogether, perhaps indicating that more see the turmoil as creating long-term structural changes.” McKinsey (2009). Economic conditions snapshot. McKinsey Global Survey Results. 20 February 2009. 00

6. The challenge Watkins M (2009). Picking the right transition strategy. Harvard Business Review. January 2009. pp. 47-53 00 Turnaround Realignment Saving a business or initiative widely acknowledged to be in serious trouble Reenergising a previously successful organisation that now faces problems Challenges Reengineering demoralised employees and other stakeholders Making effective decisions under time pressure Going deep enough with painful cuts and difficult personnel choices Convincing employees that change is necessary Carefully restructuring the top team and refocusing the vision Opportunities Everyone recognises that change is necessary Affected constituencies offer significant external support A little success goes a long way The organisation has significant pockets of strength People want to continue to see themselves as successful

7. ACTION 01: Understand the ‘who’ 01

8. 01

9. Eccelston R (2009). Day the gentleman’s game went to hell . The Advertiser. Wednesday 8 March 2009. pp.7 01

10. ACTION 02: Explain the ‘why’ 02 Innately we all want to know why … “Why should I”? Where are you leading me? Why are you leading me there? Why should I follow you? Why now? … and by the way, how do I get there? p.s. who else is coming?

11. ACTION 03: Communicate the ‘what’ 03 communications outcome A B 1-way inform or publicise A B 2-way asymmetrical persuade A B 2-way symmetrical mutual agreement

12. 03 effort to change critical to success Keep informed Woo and win Monitor and respond Maintain confidence 2-way asymmetrical 2-way symmetrical 1-way 1-way & 2-way asymmetrical Stakeholder communications

13. ACTION 04: Involve the ‘who’ 04 The IKEA effect

14. ACTION 05: Maximise the impact of leaders, social groups & peer pressure 05

15. ACTION 06: Celebrate short term wins 06

16. ACTION 07: Sustain the change 07

17. ACTION 08: The best laid plans 08