Improving organizational performance through transparency

Improving organizational performance through transparency

Improving performance through transparency

Create an organizational culture of transparency

Building a culture of transparency. Make transparency part of organizational culture

Transparency is a popular buzz word on Wall Street these days, and many investors are demanding it.

However, transparency doesn’t only serve outsiders trying to understand the strengths and weaknesses of a company, transparency can play a valuable role inside the company walls, as well and is an important element in performance management.

Increase employees’ sense of ownership

Organizational culture can make or break business success. A viable product is only as good as the people who possess the aspiration and drive to make it better – for the company and for the customers. Without a employees giving it their all, organizational culture can quickly morph into more of a social toxin than a social treasure.

But in many cases great organizational culture has become synonymous with free/subsidized lunches, fitness and parties. But these kind of benefits are never what truly engages employees over the long-term. Research has found a stronger correlation between happiness and transparency.

By sharing numbers with employees, not just executives, leaders can increase employees’ sense of ownership.

Improving organizational performance through transparency - Building a culture of transparency

However, being open is not enough. Leaders need to be sure that employees are trained to understand financial statements and have enough insight into their own jobs to know how to affect the numbers.

The more a company shares information, the more employees feel like a team and have a shared responsibility over the success of the company.

Celebrate milestones

Do remember to celebrate milestones once they have been reached. Taking the time to celebrate is important because it acknowledges people’s hard work, boosts morale and keeps up the momentum.

High performance and success are not dependent on one simple factor or as a result of one or two things. The entire context you operate in greatly impacts your results.

Short URL & Title:
Improving organizational performance through transparency —
Share it:
If you enjoyed this article, please take 5 seconds to share it on your social network. Thanks!

About The Author

Torben Rick

Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement, development and change management. International experience from management positions in Denmark, Germany and Switzerland.

Blog Comments

Transparency builds trust, confidence and authenticity of leadership. Transparency ensures leaders lead with high moral and ethical standards, which can be seen in their relationship building practices. You pointed out the importance of affirmation of successes and milestones. Accomplishment of organizational goals is a team effort and accomplishment, and it should be recognized and rewarded in some manner.

Thanks for your thoughts.

Add a comment

*Please complete all fields correctly

Related Post

Culture change is key in digital transformation
Posted by Torben Rick | September 9, 2017
Culture change is key in digital transformation
Culture change is key for any digital transformation initiative. The hardest part of a successful digital transformation is the cultural piece. Digital transformation isn’t really about technology, it's about organizational...
Important parts of the culture are essentially invisible - Corporate culture
Posted by Torben Rick | September 7, 2017
Important parts of the culture are essentially invisible
The important parts of the organizational culture are essentially invisible. The importance of addressing organizational culture in transformational change.
Acquisition management and organizational culture clashes
Posted by Torben Rick | September 3, 2017
Impact of organizational culture clashes – Culture shock
Organizational culture is central to the success of mergers and acquisitions. This organizational culture clashes cannot simply be swept under the carpet or ignored. It has to be managed.