What your company truly believes about managing people is visible everywhere in your organization – even though it is often not disclosed. You can find clues to the prevailing leadership philosophy in a company’s approach to performance management, in its compensation practices, in its decision-making and in the organizational culture. At each end of the spectrum of what employers believe about staff are opposing views:

A) Left to their own devices, people are not capable of working together productively and getting the job done. (This is a close cousin of the belief that people are an expense and can be easily replaced.)

B) The great majority of people are not only perfectly capable of working together constructively but are also keen to do so. (This belief gives rise to a commitment to hire the right people with the right skills and invest in their development.)
While no employer readily admits to the first belief, employees too often experience practices that demonstrate an easy-come, easy-go approach to staff. How do you know which leadership philosophy your employees are experiencing? Ask yourself some key questions.

Is your performance management system a disciplinary discussion masquerading as professional development?
Performance management is a process designed to align employee goals with the organization’s goals, to discuss progress and to plan development. In a high-performance workplace, this discussion should motivate employees to learn and grow.

A food services manager shares an example of an employee who was not demonstrating acceptable customer service. The manager told her, “I’ve observed that you often refer resident inquiries to other staff rather than making an effort to resolve the issue yourself.” This was the beginning of a powerful conversation that resulted in the employee being able to evaluate herself and commit to a change.

A happy ending like this is fuelled by the belief that people are capable and eager to do the work.

On the other hand, a common example of using performance management as discipline arises when a financial target is not met. Is the follow-up in your organization a coaching discussion or disciplinary action? Is practical help offered or are employees left to sink or swim? If the performance management process is used as a way to discipline and terminate people, you are demonstrating the leadership philosophy of replacement over development.

Do managers tightly control decision-making and the activities of those reporting to them?
Are people at senior levels telling staff what to think instead of how to think? Consider some everyday examples of managers controlling decisions that aren’t appropriate to their level: executive directors dictating to rather than coaching their managers; scheduling that does not allow for discussion among workers; and budgeting with no input from department heads.

An experienced executive director tells the story of a newly hired environmental services manager who was missing every milestone in the plan to renovate a suite for occupancy. Rather than hovering – or worse, picking up a paintbrush – she kept her distance and allowed the new manager to experience the process. This feels very risky for most executive directors, yet micromanagement prevents others from learning and growing. It creates an environment of low self-esteem and sends the message that the organization does not believe its people are capable – ultimately, a self-fulfilling prophecy.

Is there transparency in your compensation system? Or are salary ranges inconsistent and arbitrary?
When people are not valued by an organization, compensation is based on what individuals will take and not aligned with competitive salary scales and pay grades. This short-term thinking is consistent with the belief that employees are an expense and soon to be replaced.

What is it like to come to work for your organization?
A director of nursing who recently joined a new company says she was actually shocked when her boss let her know he appreciated her work. She had never received any kind of recognition from her former employer. This silence says bad things about that organization’s leadership philosophy.

Have you ever heard a manager make a mean remark about an employee who reports to them? If you believe that your employees can’t do anything right, disparaging comments are all part of the package. Managers who gossip demonstrate sure signs of an immature approach to leadership.

What do your actions say about what you believe about people?
If you want to test your company’s real leadership philosophy, the behaviour of both individual managers and senior managers in the organization (including you) needs to be assessed. A good starting point, if you care to ask the hard questions, is an employee engagement survey. Ensure that the survey includes plenty of room for comments, and be prepared to hear brutal truths.