International Cosmetics Manufacturer

The Challenge

Our client, an international cosmetics manufacturer and supplier was confronted with an executive management team with poor communication skills resulting in employee moral erosion and increasing staff turnover.

Challenges facing the business included:

  • Inappropriate communication styles (top-down) throughout the organisation;
  • Management inability to resolve team and personal conflict;
  • Inability to undertake performance appraisal management;
  • Autocratic management style; and
  • Embedded culture increasing resistance to change involving cultural diversity and gender issues.

Our Solution

An initial review of the business was undertaken by Phalanx Consulting using our Strategic Business Profiler to ensure all issues faced were recognised. Findings were presented to the Managing Director to ensure involvement from the highest level.

The solution proposed was to develop and run a customised Performance Management Training Program for the executive management team. Great care was taken to ensure the program was suitable and sensitive to all cultural and gender needs. Assistance from a partner University was also sought; extracting modules from their MBA program.

Results Delivered

The programme was conducted through a residential retreat weekend ensuring minimal disruption to the business. Employee opinion surveys were conducted pre and post the program to measure and evaluate results and ensure continuous improvement to the leadership team was achieved. Results, as rated by employees included:

  • Increased cohesion and cooperation amongst executive management team;
  • Increase frequency of staff communication concerning key business milestones and issues;
  • Complete adherence to procedures when it came to performance appraisals;
  • A change of management style from autocratic to one of facilitation and openness; and
  • Empowerment of staff with increased decision making powers.

Staff turnover reduced from 22% to 8% over an 8 month period and the Performance Management Training Program has now been integrated into an annual event across all senior management in all divisions, ensuring long-term change.