The Hidden Cost of Asking Teams to Do More with Less
In today's challenging environment, many companies are adopting the “do more with less” approach. This strategy, driven by financial decisions, has become increasingly common across industries. However, its ripple effects on teams and organizational culture are profound and deserve attention.
The Financial Disconnect: What’s Really Happening?
Many professionals in my network express confusion about current business decisions, especially when financials appear positive. "Why are we tightening our belts when we’ve been profitable for so long?" they ask. The disconnect between financial health and decision-making leaves teams in a constant state of uncertainty. Many employees are dialing into earnings reports
Impact on Teams: The Cost of Not Hiring
A significant consequence of budget cuts is the inability to hire, leading to managers retaining low or even bad performers. In some cases, a body is better than no body. However, this short-term solution has long-term repercussions. Teams are acutely aware of underperformers, and the old saying holds true: one bad apple can indeed spoil the bunch.
The Decline of High Performers
When high performers see their hard work go unrecognized while low performers stay on, morale plummets. There’s a huge difference between working for an organization you believe is invested in you and one that doesn’t communicate the reasons behind its decisions. Layoffs that seem random and continuous breed fear, resulting in employees doing the bare minimum to avoid standing out—in essence, quiet quitting.
Managers may retort with, “Well, you still have a job.” While there’s comfort in receiving a paycheck, the quality of work from an unmotivated employee will be vastly different from one who feels supported and valued.
A new Gallup report finds employee engagement in need of a rebound, finding only 32% of U.S. workers to be engaged with their work.
The "Quiet Quitting" Phenomenon
The term "quiet quitting" has gained traction, but it’s not new. I've personally always enjoyed my work, but like anyone, I’ve had moments of misalignment with managers or team directions. Thankfully, I’ve had the opportunity to move on when needed. Unfortunately, many people don’t have this luxury. Clients I mentor often feel stuck in roles they can't escape, doing just enough to fly under the radar. It’s understandable but concerning.
Stress Beyond the Workplace
The current economic, political, and social climates compound workplace stress. Racism, privilege, and divisiveness are prevalent, and many people feel weighed down by these global issues. It’s no wonder so many feel disillusioned and disconnected.
Finding Balance in a Chaotic World
In a world where we’re constantly connected through mobile devices and social media, finding balance is harder than ever. Social media, ironically named, often leads to superficial interactions. Keyboard warriors thrive, while others are addicted to the dopamine rush of likes and followers.
I’ve found that consciously disconnecting helps me maintain peace. At dinner, whether alone or with friends, I put my phone away. It’s liberating to engage in face-to-face conversations without distractions. When was the last time you had an uninterrupted, meaningful conversation?
Entrepreneurship as an option
Entrepreneurship offers a powerful alternative for those looking to break away from traditional career paths. Instead of relying on an employer’s vision, entrepreneurs create their own opportunities, allowing them to pursue their passions and build businesses that align with their values. In an environment where job security can feel uncertain, entrepreneurship provides the autonomy to take control of one's financial future. Whether it’s starting a small business or launching a startup, entrepreneurship allows individuals to leverage their unique skills, creativity, and problem-solving abilities to create value in ways that corporate structures may not always allow.
Additionally, entrepreneurship enables greater flexibility and the chance to innovate without the constraints of corporate hierarchies. For those frustrated with being asked to "do more with less" in their jobs, launching a business can offer the freedom to scale at their own pace, set their priorities, and build a team culture that reflects their own leadership style. While entrepreneurship comes with risks and challenges, it also brings the reward of personal growth, financial independence, and the potential to make a lasting impact on the market or community.
Entrepreneurship continues to grow significantly in 2024, fueled by a variety of factors ranging from economic pressures to the increasing availability of digital tools. According to recent analyses, small businesses have created more than 70% of net new jobs since 2019, and in 2024, the U.S. is seeing an average of 430,000 new business applications per month—50% more than in 2019. This growth is being supported by government initiatives such as the State Small Business Credit Initiative, which aims to provide critical funding to new businesses. The pandemic, which reawakened entrepreneurial ambitions across the country, has driven people to seek out creative solutions to economic challenges, particularly as inflation and rising costs continue to affect personal finances (Fit Small Business )(U.S. Department of the Treasury ).
Many aspiring entrepreneurs, particularly from younger generations like Gen Z, are increasingly motivated to start businesses due to inflation and the desire for more financial control. This trend is underscored by a rise in the adoption of digital tools like e-commerce, social media, and automation, which make launching a business more accessible than ever. Interestingly, about 57% of small business owners say that inflation was a key driver for them to start their businesses in the wake of the pandemic. Younger entrepreneurs, especially Gen Z, are prioritizing hiring skilled workers and expanding their digital presence, positioning themselves for growth in 2024 (QuickBooks)(ASBN Small Business Network).
Reclaiming Your Power
We’re living in challenging times, and stress levels are at an all-time high. However, we have the power to reclaim our peace. Here are a few steps I try to follow:
The Price of Peace
The economy and job market are tough, but they shouldn't steal our peace. Stress, anxiety, and worry are inevitable, but by taking control of our time, building strong relationships, and advocating for ourselves, we can regain our voice and our power.
The real challenge lies not just in doing more with less, but in preserving the mental and emotional health of our teams and ourselves as we navigate an increasingly complex world.
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Insightful post! The 'do more with less' mindset can indeed have tough consequences for teams and morale. At Manifestly, we focus on streamlining processes and boosting team efficiency without adding to burnout, helping teams stay aligned and productive even in lean times. Excited to read your full article on how entrepreneurship can offer new pathways for those seeking more control over their work!