5 Key Problems That Cost Organisations In The Long Run

The fact is undeniable that the life of a leader or manager of the organisation is an infinite series of decisions. These decisions might range from simple and tactical task to an extremely complex and strategical decision making. Where simple and tactical decisions are not that troubling for the leaders, the complex and strategical ones surely drive them crazy. They can also become one of the very reasons that jeopardize the success of the organization, teams, and even the careers of the leaders.

In this article, I have narrowed down the five head-scratching aspects of the organisations that give the leaders sleepless nights and affect the bottom line of organisations, morale, culture, cutting edge, etc.

5 Problem-Causing Aspects for an Organisation Leader

The five problem-causing areas that are mentioned below might seem like a gag to you, and you might be thinking that they are the easiest sectors to deal with. However, these are the five major problem-causing areas that can become your worst nightmares.

1.     People

One of the major problems that arise while dealing with the people in the organisation is to convey clear directions to your employees. A leader needs to be effective in their communication and deliver the effectual message so that they should take you as their leader instead of ignoring to what you say.

Poor management will cause the leadership failure that directly affects the employees’ encouragement to do the work. It has been shown from the study and research that approximately three-fourth or 73% of employees show their support with their senior leaders; only because these leaders show their involvement and commitment to the well-being of their employees.

2.     Process

Process management is one of the major issues that can raise a question on your leadership skills. Many time process management issues arise when the leader does not take time out to adequately map out the entire process and as well as select the appropriate person to manage it after when it is designed.

Secondly, it has also been noticed that the inability to access knowledge problems arises with process management. According to a survey, 19% of the senior executives believe that budgeting and forecasting is the core part of the strategic planning process. However, only 27% of senior executives say that innovation must be integrated with it for the betterment of the company. With such diverse opinions, it is essential for a leader to gain better knowledge to obtain profits and reduce the process management problems in their organisation.

3.     Planning

Poor planning can also become a nightmare for the leaders and cause sleepless nights. It is imperative that you should include long-term and as well as short-term planning in your organisational plans to avoid any catastrophe. Failure in the planning will damage the efficiency of the company and can also lead the business to a complete break-down.

Three most essential things that as a leader you need to plan and maintain are the outcomes, timetable, and resources of the organisation so that there will not be any problem related to the planning sector. With healthy organisational planning, a company can easily reach the dazzling height; else it will become one of your worst nightmares.

4.     Productivity

Management has a very robust impact on the overall productivity rate of the organisation. If the leadership is ineffective, then it is given that productivity will go lower eventually. According to a study, lousy management is considered as a culprit for poor productivity. After a survey, it has come forth that 32% of the employees struggle in order to improve productivity, whereas the rest or at least 16% of them blame the management for lower productivity.

Other main issues that affect the productivity of the organisation includes a miserable and unfriendly work environment and flexibility at work.

5.     Performance

Performance is the product of the employee’s motivation to do the work and their ability or aptitude to carry out the work. It is important that the employee must be entirely motivated towards their work and only 75% of the performance ability can help them achieve their goals. However, if the employee has only 25% ability, they will never be achieved to meet the organisation goals. This can conclude that the performance of an individual employee can become an enormous issue for business leaders and affect the overall organisation’s performance.

Moreover, the culture of the company can also become of the major reason that impacts the performance of the employee that can eventually affect the organisation’s performance causing low productivity.

Message to Take Home

In order to grow your business to a sustainable stage, you need to understand all the trouble-causing areas of your organisation. Learn about these problems comprehensively and try to gather information about the possible solutions for these issues. By getting a hand over the solutions to these problems, you can easily give a boost to your firm and let’s not keep aside the fact that as a leader of an organisation you will never have to spend a sleepless night in the future.

Another most important thing that you need to fix is to accept all the challenges and make sure that they are dealt with appropriately. However, in order to handle the challenges, you need to ensure that all the five areas, as mentioned above, operate in a highly suitable manner.

Over the next few weeks, I will be going into each of these 5 areas more in-depth and recommending solutions.