Balancing Humanistic Management and Profitability

This past week, I had the privilege of attending the opening session of the Greenleaf Center's Annual Conference on Servant-Leadership. I went to visit with my close friend Kirk Warren (VP of Men's Wearhouse, with whom I worked on the business philosophy section of the MW's web site, Common Threads), and to hear MW founder and CEO George Zimmer give the opening keynote address. As it turned out, I had the honor of working with George and Kirk on the speech itself. It was an extremely profitable exercise, one I am very grateful to have been a part of.

George's talk focused on an aspect of the servant-leader dialogue that is not often addressed in depth: balancing humanistic management methods with profitability and competitiveness in the marketplace. George believes - and I agree completely - that this is an area that should be discussed at greater length. Often, we in the servant-leader community think in theoretical terms without seriously considering the implications of those theories as they relate to the real world of business. As he pointed out, it's all well and good to focus on employee happiness and fulfillment, but if you don't pay attention to the bottom line, your company will eventually fail.

The true servant-leader knows that, in order to provide long-term happiness for her employees, the business must succeed and grow. This can sometimes require making tough decisions that can be difficult, even painful, in the short-term. Let me give you an example from my own career. Current clients and associates know that I spent two of my four years with Men's Wearhouse as a writer, and that much of that time focused on Common Threads. This was one of the most fulfilling and challenging opportunities I've ever had, and one that I was loathe to leave. However, due to business considerations, it was deemed necessary to trim the staff at the corporate level.

When attempts to find other writing assignments at the corporate level failed, Kirk had to make the painful decision to place me back in Store Operations as a store manager. He hated to do it because he knew that I was in the process of relocating to West Virginia and was depending on my telecommuting position for our family income. He also knew that I probably wouldn't be able to continue with Men's Wearhouse as a manager after I relocated. But he also knew this move would keep me on the payroll, and would allow at least one other person to keep their job, as well. It may not have been the perfect solution for me as an individual, but it was certainly far better than laying me off completely. Furthermore, in terms of the business as a whole, it addressed the need to cut expenses while doing the best possible for more than a single individual. It wasn't easy for anyone involved, but it was the best decision in light of the circumstances.

Like many other companies, Men's Wearhouse does its best to find the balance between profitability and humanistic management. It isn't always easy to do, but their success proves that, as George noted, there are times when you can have your cake and eat it, too!

Resource Review

Web Site - www.sba.gov

The US Small Business Administration offers a treasure trove on information about starting, financing, and managing a business. A visit to their web site can help the reader solve numerous problems small business face. Hey, if they can help save Chrysler, think what they can do for you!

Quick Tip - Plan for Success, Part Two

Virtually everything you do in business should be planned, if at all possible. Whether it's targeting a new market or purchasing new office equipment, you'll fare better if you write out a plan. Again, "Baldwin's First Law of Business": Plan the work, and then work the plan.

You've Got Questions

Q. - I'm an artist trying to sell more of my work. How can I do that?

A. - Do you have a web site yet? If not, it's time to think about putting one together. Even if you don't actually sell from the site, it will help advertise your work, and can be an integral part of your marketing efforts. Web sites don't need to be huge to be effective. A few well-designed pages can demonstrate professionalism, impart a sense of who you are, and distinguish you from the other artists in your market.

Thought for the Day:

Open your arms to change, but don't let go of your values.
Attributed to the Dalai Lama

End of Solutions V2003 #5 A Publication of:
Lane Baldwin Business Solutions
Our business is improving yours.™

Copyright by Lane Baldwin Business Solutions, 2003. Reprinting or republication of Solutions is prohibited without prior approval.

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