(EOS Episode 27) How A 'State Of The Company' Aligns Every Team

This time, Certified EOS Implementer Michele Mollard unpacks why a quarterly "State of the Company" meeting creates clarity, trust and energy, and how a simple agenda aligns every person with the vision and the work that moves it forward. 

Michele share tactics to keep it fresh, involve more voices and stop rumors before they start. Thanks for listening - and please subscribe! - to EOS Traction for Your Workplace Goals.

Episode Resources
More Information
Email Michele

EOS-Traction for Your Workplace Goals is a Livemic Communications production.

Transcript

What A State Of The Company Is

Richard Piet 0:02

I'm Richard Piet. Welcome back to EOS Traction for Your Workplace Goals. This is a series with certified EOS implementer Michele Mollard, who helps business leaders, owners get through a process of growth and recognize what those goals are and give you the traction to get there. Hi, Michele. Hello, Richard. This one is sounds kind of uh stately. The state of the company. It sounds like uh, you know, state of the union address or something. Uh it can be like that, and it has a terrific purpose. And we're going to talk about that this time. What is the state of the company all about?

Michele Mollard 0:44

Yeah, you hit it right on. It definitely has a stately feel to it, hence the words that's in it. Uh, but it it is spun off of the state of the union, the state of the company, right? The state of the state of the state, right, with our governors. And so if you've ever heard of those, that's the idea. Let me talk about the execution, which might be different than how you perceive those other twos politically. Um, but the idea is to bring everybody on the same page, right? And so, unlike that, right, we do have, or not unlike that, that we do have people that may not understand where we're going and how we're gonna get there and how we're gonna execute it and how their involvement in it, right? And so that is the point of the state of the company is really making sure that we are all understanding where we're going 10 years from now. We're making sure that we are talking about our core values and we know what culture we're trying to bring uh into the organization. We are trying to communicate them how they can see how they can affect revenue or affect profit negatively or positively, hopefully positively. Uh, and so we talk about it as a keeping the circles connected, right? So if you can imagine two circles, right? And so smothering, right? Not good, right? Too far apart, not good. But what is this cadence of how much we communication we have with our staff? And so it's always, always, always all staff, all hands on deck, every single person, part-time and full-time that is in these meetings. Now, again, if you're remote, then we could do it on video. That's fine. Uh, there is 850, probably even more now, every day that changes, implementers out there, and we get it from our visionary by video every single quarter, every single time, and we know it. Most of us know it almost verbatim.

Richard Piet 2:32

It's the same page concept. We need to be on the same page.

Why Alignment And Transparency Matter

The Simple Agenda That Works

Michele Mollard 2:36

Same page, yeah. And the agenda is as follows. It's very, very simple. Where we've been, so going through last quarter, right? We're here at the uh end of a month, but what what was the last quarter? So, where we've been last quarter, revenue-wise, profit-wise, how did we do on our goals or our rocks? What were the big projects we worked on? How did we end up doing? Open and honest about that. So, if we didn't do it, let's talk about it and share with the team why. So, again, it's always full transparency. And this state of the company gives you that transparency with your boys. So, the first one is where we've been and then where we are. So, where are we right now? Our core values. This is where we are. Where are we at with our what we call our core focus, meaning why we do what we do and what we do and being really clear on that? Are we all on the same page that we are resellers of this kind of machinery? We're not over here doing this, or we're not over here doing this, making sure we're all clear on what our focus is, what our sweet spot is that we're great at. We're all clear on where we're going for 10 years from now. What's that big goal that we really can't see? But this is where we want to go. We're all clear on our marketing strategy. Again, where we are, who we're going after, where are we, right? What's going on in our three-year picture, right? All of those things. So, all of this is all about just making sure that they can see. Sometimes they can't really see that 10-year, but oh, I can really see myself in this three-year picture. Okay, good. They're latching on, they're engaging in, they're driving forward. And then where are we going? What does it look like in one year from now or less, right? If we're in the middle of a year. And then where does it look like we're going for this quarter? So again, revenue, profit, what are the goals and the things, the rocks we call them in EOS, that we're working on in this quarter that are driving our organization forward? And so when employees know what the leadership team is working on, they potentially see how their department affects that or how they directly affect that one way or the other. And that state of the company should start to tie those little, I said call them tidy bows, right? Like tie this, tie this together, see how this fits, right? And so we have to tell a story. That's why the state of the company is sharing that entire vision so that everybody is bought in and helping you row.

Richard Piet 5:00

Now, we talked about state of the union and state of the state. Those are annual events. This is quarterly. Because that's based on the notion that we could get off the same page in a quarter.

Michele Mollard 5:13

For sure. Yeah, I use an analogy, right? If we're trying to cut a road in a forest, right, and we climb a tree and we look up, right, and say, okay, we're going. There's due north. Great. Right. If we have no compass and we go back down and we just start cutting, we could literally be making a zigzag and we're not making a straight road. Right. And so once in a while we got to climb back up and go, yep, we're good. Okay, go back down, work. Climb back up. Where are we going? Good work. Right. And so that is the we we we've learned that in the 90 days that cadence is a really good cadence and that most employees start to feel a little afraid, a little frazzled, a little disconnected to the vision in about that 90 day period. We've we made them smaller in the very beginning, we've made them bigger, but we have honed in on that 90 days that is really about how the employees feel connected to it.

Richard Piet 6:02

And the reset button that's provided with that 90 days. I mean, I might have inferred that you redo all of the where you've been and where you're going, and that may or may not happen. But uh generally the the just the energy reset that that provides is integral. Yeah.

Michele Mollard 6:22

Yeah, we definitely don't reset, uh, we only reset one of the eight sections. So one of eight parts, uh, maybe two because you got some issues that got cleaned up. Uh, but really we're focusing on every single quarter, the rocks part, uh, the one part of that that's just quarter by quarter by quarter. And so where we've been, good, quarter done. What did we learn? Got it. Now, where are we going? What's the new stuff? And then everything in between, where we are, pretty much stays the same. Uh, not pretty much, it stays the same, but people have forgotten it, right? Because they're in the weeds cutting the tree, or they're in the, you know, get down cutting the trees. And so they've forgotten there's a forest around them, right? There's a saying, forget the forest with the trees, right? Like, and so they've forgotten the forest around them. That doesn't change. And so, what is our core values, right? What is our core focus? What is our 10-year target? Just reminding them that all of this is driving towards that.

Richard Piet 7:13

And that reminder is a big part of the reset button, the energy reset. Because now we see what we've done, we see what we have to do. And I think if you're like me, you see progress, so that gives you fuel.

Quarterly Cadence And Reset Energy

Michele Mollard 7:29

Yes. Yeah, absolutely. And I think not only do you see progress on the good side, uh, I do love, and again, sharing this with you, sharing what we didn't do so well, right? And so it builds transparency. And so, you know, some leaders are like, oh, I can't tell them that. And I'm like, oh, well, they already know it. And they're like, they do not. And I'm like, go ask them. Right. And so many employees know when you didn't hit a mark, right? Then you didn't hit something or get something done or see, like, hey, we were supposed to have, you know, 64,000 shipments. Um, they're not counting every day, but they know we didn't get there, right? Or they're close, or we're way off and there's no way, right? Because we had to let 10 people go and we know we didn't hit it. And so, you know, I think we think, oh, they don't really know, or they don't want to know. Uh, maybe they don't want to know, but I think driving towards that and under having them understand that they're an integral part of this boat, right? This rowing of this boat for us to get there, they do want to know that and they do want to feel that.

Richard Piet 8:31

So the state of the company quarterly, I was inclined to say, should not be a surprise, whatever is reported, but maybe should is the wrong word. It it may not be a surprise to them.

Michele Mollard 8:46

It it definitely may not, right? And depends on how many levels deep into the organization, right? So somebody that might be part-time working two hours may not know the person that is second in charge or right at that leadership team level, right? There's a there's just a divide of knowledge, a divide of in the know. But 100% the person that's working two hours a week should have just as much energy, just as much input, just as much buy-in to that state of the company, to where we're going. Our vision um and our, you know, we call it a VTO, our vision traction organizer, uh, bought into that tool fully just as much as anybody else.

Richard Piet 9:25

Yeah. So these quarterly resets become an impetus to push off and move ahead and keep focused on the goal. But do people run the risk of wearing out on those? We get we gotta stop and and talk about it. Yeah, some people probably think that way. Yeah. But how do you barrel through that noise and keep focused?

Michele Mollard 9:53

Yeah. Um, so yes, that is 100% true that people are like, well, we just heard this 90 days ago when we're doing the core values, right? Let's use core values. And so I challenge you guys as you're doing the state of the company that they shouldn't be the same every time. So if you record the state of the company, don't, because we don't change some of those things, but annually, don't just record that and be like, oh, and then here's the new section. Like tell new stories about core values, right? And so if I have a new example of Bob doing this core value, right? And so then I love getting in leadership team members, right? And so other people that are on the team, have them take a section and say it, right? Because then there's a different energy about them that could be sharing it, right? And so there's so many ways to do that. Um, but to your point, is do not keep it stagnant. Uh, they definitely will get bored. Um, and then also engage them. Like I have a team that they prepare the person, but they say, hey, I would like you to pick a core value and I would like you to come up on stage and share with it what stage, right? Whatever that is, um, to share with that with the team about a core value. So whether you did it or whether you saw somebody else do it. And so now we're getting employees talking about that. That takes a level of time, right? Because as leadership teams, we don't have always that. But as time goes on, three or four years into this, um, absolutely having the employees come in and saying, Hey, I just want to let you know that this is how I feel like the sales team can affect our 10-year target and blah, blah, blah, blah, right, whatever that might be. And so there's so many ways to not make that stale and to get them to be bought in. Um, and that's the way to, you know, I always say, put me in, coach, right? Like put them in the game and they'll, if they're good, they'll play.

Richard Piet 11:36

Now, there's some notion for the idea that, oh, uh, I'm not a public speaker. I don't want to do that. But on the other hand, just by virtue of being asked, this has tremendous value. True. For sure.

What Changes And What Stays Put

Michele Mollard 11:50

Yeah, for sure. I mean, I think it's, you know, it it's it's showing trust, right? That I trust you to be able to present this to them, right? And so there's a leadership ability that you're tapping into or pulling the thread of uh and saying, I I want you to step into this leadership role, whether they are a true leader or just a leader, right? By title, right? Let's just be leaders within. We don't need a title to lead, right? And so this is a leadership ability that I can pull out of somebody and say, hey, you've got this. I believe in you, I trust you, I what, right? Whatever those uh feelings that come from that, that we can do a really good job at um pulling on those threads to be able to um share that. And then, you know, you'll see other people and being like, oh, I want to do that next time. And so they will come to you and say, hey, I would like to do a core value um presentation. And so there's some work to do, some prep work to do and things of that sort. Because you don't want them to look silly in front of their peers and you want to make sure that they do it properly. Uh, but again, set them up to be successful uh and in that way to be able to get them to join in. And of course, if somebody does is absolutely terrified of doing it, don't. That's not even funny. Uh, that's not even fair. It's not their unique ability, it's not what they love and great at. Um, if you're on the leadership team and you don't, then I would say, you know, get get some public speaking skills and some things of that sort that you got to do, because that really is a skill that you'll need uh going forward. But there are some people that will never want to get on stage, as I say.

Richard Piet 13:15

Well, maybe those folks are the ones who help support those who do in some way. Maybe they come up with some of the talking points.

Michele Mollard 13:24

Maybe. That's a great point, Richard. Yeah, I never thought about that. So thank you for adding to that to there. Um, but yeah, it's a it's a team, it's uh running an organization is a team sport. Uh and so many um leaders potentially have a smaller team than actually the full team, right? So if you have staff of 50, your team is 50, right? Instead of just thinking this the team is only 25 people. It's not, it's a full 50, good, bad, or ugly, right? If your second string is hard and tough and not good, well then we gotta make that second string better, right? So they can come alongside and support us.

Richard Piet 13:56

And the quarterly all staff meeting might have a hand in that. It probably does. That's the point. The state of the company, quarterly discussion has some underlying effects that I think we've begun to allude to here that could be uh useful and very often is in the core value discussion and the rocks, the goals you're after.

Michele Mollard 14:24

All of it, right? And I think about too, I think I shared this when we were uh chatting before we started recording, was that employees in this day and age really one of their top five things, uh along with money, right? But the one of their top five things is in the know. They want to be in the know. And so if you're looking at this, and I I'm in my 50s. Um, and so if you are that generation or older, the younger generation, the the young people younger than us really want to be bought into this. They really want to know how they can affect it. And and they really, you know, that we we talk about them, oh, they're pushing the limits of, you know, they want to be CEO in a week or, you know, jokingly, tongue in cheek. But it's not. They just want little micro uh improvements, micro engagement, micro uh involvement. And so these are the steps that we can do to keep these circles connected and people on the same page. Uh, and so embrace what they want, give them what they want, uh, and often do this quarterly conversation and let them ask questions, right? This isn't just a dictator, let me tell you what it is, is like, so why are we doing it that way, right? Well, then this is why we're doing it right there. So they're asking questions and learning. Um, and so there's a part of that that they're learning to be able to get on the boat with you, to get to help you row this ship. Um, and so that's a whole other level of just being in the know is a thing right now. And it it's a good thing. Really good thing.

Richard Piet 15:46

Imagine the opposite. If they don't know, and and I think a lot of us have witnessed this, whether we're in our 50s or not, uh, we've witnessed the opposite where someone's uh they hear through the side channels, oh, this is what's happening. Oh, I didn't know that. You know, and and and we know the negative effects of what that feels like. This is the opposite of that.

Make It Fresh With Stories And Voices

Michele Mollard 16:12

Yeah, and often those things that are negative talk are not necessarily even true, right? And we don't hear about it, right? And so it's just like, oh, well, the company is not doing great. That's crushes that, right? Uh the the leader doesn't want to grow, that crushes this. Like there's nothing that's just a part of it, right? And so in the absence of information, people make up stuff, right? And so this is the way to fill them with the correct knowledge and get them to be able to ask questions to fill themselves with the knowledge they need to be fully in the know as opposed to making up stuff or listening to sod conversations, drama, incorrect information, whatever might be permeating through the walls of your business.

Richard Piet 16:52

I have a friend who likes to say, tell your story or somebody else will. I think there's another example of it.

Michele Mollard 16:58

Absolutely, Richard. That is a great saying.

Richard Piet 17:01

There you are. State of the company quarterly has lots of benefits. We just heard about some of them. Maybe you have some questions about that. In the show notes, Michele's information, reach out and ask. It's there. We also invite you to subscribe to EOS Traction for your workplace goals, so you can be alerted when the rest of these pop up. And there are others too. So check it out. Michele Mollard, certified EOS implementer. We shall seek knowledge from you again soon.

Michele Mollard 17:34

Sounds great. Thank you.