Company in difficulty, how to manage its teams?

A drop in activity, the emergence of new competitors, an economic or health crisis; these are just some of the factors, both internal and external, that can impact the financial health of a company. During these periods of instability, managers face new challenges and must redouble their efforts to maintain employee commitment. Here are some tips for good team management for a company in difficulty.  

Inform your teams of the company's difficulties

During periods of financial instability, it is vital to maintain close communication with teams to maintain their trust. The manager must inform employees of the situation in real time and be transparent about the extent of the difficulties and the challenges encountered. More than ever, they must display active listening, empathy and relational intelligence. It is also crucial to follow-up closely with teams through regular team and individual meetings, in order to open up a dialogue. This will be an opportunity for the manager to keep employees informed of the evolution of the situation and the measures being taken by the management (collective procedure, safeguard procedure, recovery plan, bankruptcy, judicial liquidation, dismissals, etc.). This will also help to quell any rumours and allay unfounded worries.  

Adopt a positive and reassuring attitude

Although it is imperative to communicate with teams in a transparent manner without playing down the situation, the manager should take care not to be too alarmist or defeatist. In a company experiencing cash flow difficulties, for example, it is not uncommon for a wave of anxiety and questioning to overwhelm employees. To assuage the situation, the manager must demonstrate a serene and positive attitude, employing an empathetic and reassuring dialogue. Listen to the fears of each individual concerning the future of their job, without committing yourself or making any promises that you cannot keep.  

Maintain a leadership posture

Although it is vital to adapt a suitable management style in a context of economic instability, the manager must also maintain a leadership posture. It is not uncommon in such circumstances for motivation and productivity to decrease, for conflicts to arise and for respect for the line manager to be impacted. To avoid this, ensure that your maintain your leadership posture and continue to display natural authority in your management style.  

Motivate teams when the company is in difficulty

In an organisation in difficulty, a drop in morale and a loss of meaning are often inevitable. To motivate teams, it may be wise to organise company events (team building, seminars, conferences, etc.) or informal meetings to help maintain team cohesion and boost collective morale. To encourage during this delicate phase, be very present in the field and support your employees in their daily tasks. These various initiatives should help instil a mutual support and resilience state of mind in the face of the challenges encountered.  

The interim manager, a powerful ally for companies in difficulty

Faced with the multitude of managerial and organisational challenges encountered by a company in difficulty, it can be highly beneficial to outsource all or part of company management to an interim manager. This natural leader, familiar with crisis situations, emergencies and change management, will be an ally of choice to support team management and even to turn the company around. At WAYDEN, we have a network of more than 8,000 highly skilled leaders and managers with 15 to 25 years of experience in strategic positions in complex environments. Thanks to their boldness, leadership, interpersonal skills and operational excellence, these seasoned managers are able to help companies in difficult situations and activate the appropriate levers to ensure the survival of the business and the commitment of employees.