Sabotage Minimization Within the IT Company
Company’s Profile: the IT-company, over 300 employees.
Major Challenges the Business Faces:
Low profitability with concurrent high level of effort of the company’s director. Development and sales plans were not met.
The owner had the feeling of being in the midst of a morass and of his inability to change anything. Managers were receiving great salaries while the owner was incurring losses.
AFB’s Opinion:
The investigation has revealed actual sabotage by the company’s employees due to the fact that tasks have not been clearly explained; the responsibility for the same functions has been poorly delineated between units. As consequence, employees and heads of departments have got used to the fact that sabotage is a normal thing.
Tasks:
- To determine the most reliable and loyal team in the company that is able to generate profit.
- To minimize sabotage by applying special measures against employees who spread out negative thinking and deteriorate the general corporate culture.
- To enhance loyalty and performance discipline of employees via the corporate culture encouraging the growth of employees as such and the business in general.
Work carried out by AFB:
- Interviews with key employees and managers of the company under the guise of psychological tests have been carried out.
- Accounting and reporting systems, management order fulfillment policies and cases of assignment completion by employees have been analyzed.
- Personnel loyalty and loyalty decrease factors have been monitored. The so-called masterminds, employees who influence formation of staff opinion, have been revealed.
- Implicit personnel interaction schemes have been studied, such as arrangement between the heads of departments in contravention to general rules (client share-out).
- Assistance has been provided in implementation of recommendations for improving performance.
The Result:
Reasons of non-loyal conduct of employees have been established. Incentive schemes with respect to a number of employees have been changed to more fair ones. Decisions on a number of key employees have been taken. Several managers have been dismissed one by one without any detriment to the business and new more loyal and motivated managers have been appointed. Plan making and control regulations have been implemented. Strategic sabotage minimization plans have been drawn up.
The result after six months upon completion of the project:
- Personnel expenses decreased by 20% without reducing the revenues.
- The business started to steadily gain profit.
- Performance discipline and the company’s controllability has been improved