The Awesome Power of The Company Evaluation
by Barton Goldsmith

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The Awesome Power of the Company Evaluation, Los Angeles Business Journal, 11/27/00

"The only things that evolve by themselves in an organization are disorder, friction and malperformance"   -  Peter Drucker

How many of you have ever done a company evaluation? That’s where you ask everyone in your company what they think about how your company is running/doing. This process is the most requested and most valuable tool I have ever used in business.

What you can learn from the people in your organization, some of which you may never see, is astounding. One good idea from someone on the firing line can make you millions (remember Post-it’s?). Everyone from the janitor, to your Customer Service Professionals, to line management sees things that you don’t, and they all have ideas that they think will work. What we have to realize as leaders, is that their ideas are as valuable to us as the feedback and direction we get from our most trusted advisors.

This evaluation process makes team members feel that you care about what they think. If your people feel that their ideas are valued, they will perform better, and will more readily step outside their boxes to tackle your company’s current challenges. The sense of empowerment that team members get when they feel that their opinions are valued can put them on a productive high for weeks. This will give them more motivation and energy than a closet full of Tony Robbins tapes. There is an old saying: No one cares how much you know until they know how much you care. No only will your team feel that you care about them and their ideas, but your company will get a burst of creativity and intense activity in the bargain.

Leaders are always asking me how to get their team members to make a greater commitment, or how to get them to take ownership of their teams and assignments. Doing a company evaluation will not only reinforce commitment and allow them to feel ownership, it will assist you in creating teambuilding and progressive thinking as a company culture.

Below are eleven simple, generic questions that can give you valuable insight to your company. These are mostly insightful and introspective questions, giving your team permission to think of themselves in relation to their job sends a message. It also helps you understand how well you are communicating to your people. This is a starting point, you may want to eliminate some of these questions and create others that are specific to your company, but no more than twelve in all. You don’t want this to seem like a homework assignment.

I also recommend the option of anonymity; some people will fear reprisal if they "tell it like it is". I suggest you offer a reward to the team members whose ideas you use, this will also encourage them to identify themselves. For small ideas, the rewards should not be large; I like movie tickets or company logo wear (polo shirts, hats, etc.). For ideas that make you money; trips, vacation time or bonuses are appropriate. I believe that if a team member creates prosperity for my company, then that person should be taken care of. Look at it this way, if your brother-in-law introduced you to someone who became a large client, you’d probably buy him a set of golf clubs – Right? Rewarding your people sends a message that you care and that they can make their lives better by taking a risk and implementing their ideas.

Company Evaluation and Perspective

1. What are the most valuable things/goals I achieved in the past year?

2. What have I learned from my staff/co-workers and from working here?

3. What do I hope to gain from my company in the next year?

4. What I wish for my future with this company?

5. What does this company need to keep doing more of?

6. What would I like to see this company modify?

7. What are the most significant business challenges for the next year?

8. How can I improve the way I am dealing with the challenges in my job?

9. What have I learned about myself from working here?

10. How will I add joy to my job in the next year?

11. What I will commit to in order to make this company better and me better?

Your people will want to know what is happening with the evaluations; so be prepared to dive into these and get results back to your team within 30 days. Consider planning an event to announce the results and publicly reward those ideas you are going to use.

Use an evaluation at least once a year, what you learn will increase your bottom -line and pay off greatly in other areas such as the people side of your business. The results that follow will be enlightening, humbling and down right creative.