Knowledge Exchange

Employees

Search

Preparing Your Business for Sale: The Impact of Staffing, Retention, and Unemployment Tax

Marci Caudle of Tagro Solutions is a member of XPX Philadelphia
Marci Caudle
Tagro Solutions
2 months ago

Preparing your business for sale involves more than just financial tidying; it requires a holistic approach to optimize all aspects of the organization. By focusing on staffing and retention, and understanding the impact of unemployment tax, you can significantly enhance your business’s attractiveness to buyers. Leaders should be mindful of several key human capital implications beyond staffing and retention. Here are some additional factors to consider: 1. Leadership and Management Continuity ·      Stability at the Top: Ensure that the leadership team is stable and that there are succession plans in place. Buyers often look for continuity in leadership to maintain operational stability post-sale. ·      Management Depth: Assess the strength and depth of your management team. A strong, experienced management team adds value and confidence for buyers. 2. Workforce Skills and Competencies ·      Skills Inventory: Conduct a thorough assessment of the skills and competencies within your workforce. Identify any gaps and develop plans to address them. ·      Training and Development: Implement robust training and development programs to enhance employee skills and ensure they are aligned with the future needs of the business. 3. Employee Engagement and Culture ·      Engagement Levels: Measure and improve employee engagement. Highly engaged employees are more productive, loyal, and contribute to a positive work environment, which is attractive to buyers. ·      Company Culture: Foster a strong, positive company culture. A healthy organizational culture can significantly impact employee retention and overall company performance. 4. Compensation and Benefits ·      Competitive Compensation: Ensure that your compensation packages are competitive within your industry. This includes salaries, bonuses, and other incentives. ·      Benefits Programs: Evaluate your benefits programs to ensure they meet employee needs and are in line with industry standards. Attractive benefits can improve employee satisfaction and retention. 5. HR Compliance and Risk Management ·      Regulatory Compliance: Ensure that all HR practices comply with local, state, and federal regulations. Non-compliance can lead to costly fines and legal issues that could deter potential buyers. ·      Risk Management: Identify and mitigate HR-related risks. This includes having clear policies and procedures, proper documentation, and handling employee relations issues promptly and effectively. 6. Performance Management ·      Clear Metrics: Implement a robust performance management system with clear metrics and regular feedback. This helps in identifying high performers and areas needing improvement. ·      Recognition Programs: Develop programs to recognize and reward employee achievements. Recognition can boost morale and productivity. 7. Employee Communication ·      Transparent Communication: Maintain open and transparent communication with employees about the potential sale. Keeping employees informed can reduce uncertainty and maintain morale. ·      Change Management: Develop a change management strategy to guide employees through the transition. This includes providing support and addressing any concerns they may have. 8. Organizational Structure and Efficiency ·      Streamlined Operations: Evaluate and streamline your organizational structure to eliminate inefficiencies. A lean, efficient organization is more attractive to buyers. ·      Technology Integration: Ensure that your HR systems and technologies are up-to-date and integrated. This can improve efficiency and provide valuable insights into workforce performance. Minimizing Unemployment Tax to Maximize Your Sale Appeal When planning to sell a business, every aspect of the organization comes under scrutiny, from financial performance to operational efficiency. One often overlooked yet critical factor is staffing and retention, specifically how these elements impact unemployment taxes. Understanding Unemployment Tax Unemployment tax, a mandatory contribution that employers must pay, is influenced by the turnover rate within a company. Higher turnover rates lead to increased unemployment claims, which in turn raise the unemployment tax rate. For businesses looking to sell, a high unemployment tax rate can be a red flag to potential buyers, signaling underlying issues in workforce management and financial health. The Connection Between Retention and Unemployment Tax Employee retention plays a pivotal role in controlling unemployment tax rates. High retention rates generally indicate a stable and satisfied workforce, reducing the number of unemployment claims and, consequently, lowering the unemployment tax rate. Here’s how improving retention can benefit your business: 1.     Cost Savings: Lower turnover reduces recruitment, training, and onboarding costs. It also minimizes the administrative burden associated with managing unemployment claims. 2.     Increased Productivity: Long-term employees tend to be more productive, having accumulated valuable experience and knowledge over time. This boosts overall business performance, making your company more appealing to buyers. 3.     Enhanced Reputation: A strong retention rate reflects well on company culture and management practices. Buyers are more likely to invest in a business with a positive reputation for treating employees well. The Bottom Line When preparing to sell a business, addressing these human capital implications can significantly enhance the attractiveness of your company to potential buyers. By focusing on leadership continuity, workforce skills, employee engagement, compensation and benefits, compliance, performance management, communication, and organizational efficiency, you can create a solid foundation that not only improves your company’s valuation but also ensures a smooth transition post-sale.   Tagro Solutions is here to help you navigate this complex process, providing the expertise and support needed to position your business for a successful sale. For more information on how we can assist you, visit our website or contact us directly. Let’s work together to make your business an irresistible opportunity for potential buyers. info@tagrosolutions.com

Textualism Gets Liberal – A Unanimous Supreme Court Reduces Employment Discrimination Standard

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
7 months ago

In Muldrow v. City of St. Louis, the Supreme Court tackled a very important question: under Title VII (the federal civil rights law), when is a job transfer discrimination? The Background Title VII makes it unlawful for an employer “to fail or refuse to hire or to discharge any individual, or otherwise to discriminate against any individual with respect to his compensation, terms, conditions, or privileges of employment, because of such individual’s race, color, religion, sex, or national origin.”  42 U.S.C.S. § 2000e-2(a)(1) (emphasis added). Under Title VII, certain job transfers fall within the “otherwise to discriminate” catch-all. But not all job transfers are illegal. Most circuit courts have read in the requirement that a job transfer be “significant.”  This standard yielded some surprising results: An engineering technician is transferred to a new job site— a 14-by-22-foot wind tunnel. The court rules the transfer does not have a “significant detrimental effect.” Boone v. Goldin, 178 F.3d 253 (4th Cir. 1999). A shipping worker is transferred to a night shift position; a court decides the assignment does not “constitute a significant change in employment.” Daniels v. UPS, 701 F.3d 620 (10th Cir. 2012). A school principal is forced into a non-school-based administrative role supervising fewer employees; a court again finds the change in job duties was not “significant.” Cole v. Wake County Board of Education, 834 F. App’x 820 (4th Cir. 2021). The Ruling In Muldrow, Muldrow alleged she was transferred to a lesser position because she is a woman.  Both parties agree that the transfer implicated “terms” and “conditions” of Muldrow’s employment, changing the what, where, and when of her police work. The lower courts ruled the job transfer was not discrimination because the changes were not “significant.” The Supreme Court rejected the lower court’s analysis—asserting that “significant” is not statutorily derived and, therefore, is an improper inquiry. Moreover, “neither [the Statute] nor any other [law] say anything about how much worse [the transfer must be].  There is nothing in the provision to distinguish, as the courts below did, between transfers causing significant disadvantages and transfers causing not-so-significant ones.” What did the Supreme Court offer in the place of “significant?” The Court explained, “[t]o make out a Title VII discrimination claim, a transferee must show some harm respecting an identifiable term or condition of employment.” With the stroke of a keyboard, the past 60 years of common law was vacated, and Muldrow’s case remanded. What This Means Underlying this case is the concept that illegal discrimination must involve not only discrimination, but discrimination that causes harm. Lower courts will now duke it out over what is “some harm.” However, the result is clear: it is no longer safe to assume job transfers rarely cause any “harm.”  If you are considering transferring an employee who may claim discrimination, you should evaluate the “harm” caused by the transfer. Brody and Associates regularly advises management on complying with the latest local, state and federal employment laws.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560

NLRB Rules Dartmouth Men’s Basketball Players Are Employees and They Have Already Voted to Unionize

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
8 months ago

Last month, the Boston Regional Office of the National Labor Relations Board (the “NLRB”) ruled that members of the Dartmouth men’s basketball team are employees and as such have the right to unionize. Wasting no time, yesterday, the Dartmouth men’s basketball team voted 13-2 to unionize.  Many educational industry onlookers saw this as the necessary next step in granting employment status to all college athletes – not just the national powerhouses. Although the decision is expected to be appealed, there is no doubt the decision, if upheld, will mark a seismic shift in collegiate athletics.  Why?  Because if Dartmouth men’s basketball players are employees, then arguably all collegiate athletes, both men and women, in all divisions, should also be considered employees eligible for unionization and maybe even compensation. Why Does this Sound Familiar? For those of you who follow college athletics closely or who happen to be closet labor and employment law buffs, you will know the recent Dartmouth NLRB decision is not unprecedented.  In fact, a similar ruling was issued nearly a decade ago when the Northwestern football players were determined (by a different Regional Office of the NLRB) to be employees and able to unionize. However, back then, a unanimous NLRB overturned that decision. One of the reasons the NLRB overturned the lower decision was because the NLRB only has jurisdiction over private employers. Although Northwestern is a private school it competes in the Big Ten athletic conference, which, except for Northwestern, was comprised exclusively of public universities at that time.  The NLRB found it should not exercise jurisdiction over the matter because permitting one school in the conference to collectively bargain (and therefore pay their athletes) and not the others would be detrimental to college athletics because the playing field would no longer be level among different schools.  While some found this argument weak, it carried the day. What’s Next? Fortunately for the Dartmouth men’s basketball team, the above argument will not be an issue this time as Dartmouth competes in a conference composed entirely of private schools, the Ivy League. Likely even more important, the NLRB’s General Counsel (chief prosecutor), Jennifer Abruzzo, has previously come out strongly in favor of student-athletes being treated as employees protected under the National Labor Relations Act. Despite all of this, the process will not be a slam dunk for the basketball team (sorry, we could not help ourselves).  While the next step is a hearing before a pro-union, Biden-appointed NLRB, the following step(s) will be the federal courts and what happens there is uncertain. Both Dartmouth and the NCAA have come out strongly against the decision insisting that their athletes are not employees but rather unpaid amateur students. The NCAA also predicts dire consequences for college athletics if athletes become subject to the NLRA (and other federal and state employment laws). For example, if athletes are “employees” under the wage and hour laws, they are entitled to pay- which is a direct violation of the NCAA’s prohibition against “pay for play.” As a result, we expect an exhaustive legal battle that will take years to play out.  Unfortunately for Dartmouth and the NCAA, these legal challenges will work their way through a court system that recently delivered a major win to college athletes in an antitrust case that went all the way to the Supreme Court.  If that is where this latest case ends up, it will be heard before many of the same justices who unanimously found against the NCAA when it decided the NCAA’s imposition of strict limits on compensation for student-athletes for education-related benefits violated antitrust law. While the appeal is pending,  we expect to see an influx of other petitions filed by other student-athletes to have their teams unionized. Union activity on college campuses is already high; this decision will likely just make it higher. If the student-athletes are ultimately successful, these actions could lead to a complete upheaval of athletic programs on college campuses. Imagine if colleges can give their star athletes massive salaries. The smaller programs will almost never be able to attract top talent which means only the richest few will be competitive.  We may have seen our last Cinderella story. Closing Thoughts The time seems right for the NLRB to act on this issue. With the strong pro-labor tailwinds currently in Washington, D.C., it seems likelier than not that this ruling will be upheld by the NLRB.  What happens on appeal to the federal courts is anyone’s guess and could ultimately be decided by who wins the White House later this year. We will monitor this issue closely and provide our readers with updates as they become available.  Brody and Associates regularly advises its clients on union-related matters and provides union-free training.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560.

Is BLM a Protected Symbol? It Depends

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
8 months ago

On February 21, 2024, the National Labor Relations Board (“NLRB”) ruled that Home Depot violated the National Labor Relations Act (“NLRA”) by terminating an employee who refused to remove the hand-drawn letters “BLM” (Black Lives Matter) from their work apron. This employee was one of several employees who concurrently drew BLM on their work aprons. Notably, the employees began drawing BLM on their aprons after complaining about racial discrimination at Home Depot. The NLRA protects employees’ right to partake in “concerted activities” aimed at “mutual aid or protection,” irrespective of union representation. In this case, the Board decided the employee’s refusal to remove BLM markings constituted a “concerted” action. The Board emphasized that the BLM markings were in response to allegations of racial discrimination at Home Depot. Because of this, the BLM markings were viewed as an effort to communicate collective grievances to Home Depot management. Given that racial discrimination affects all employees’ working conditions, the action was deemed “for mutual aid or protection.”   The Whole Foods Counterexample In contrast to this case, in May 2020, Whole Foods informed its employees that wearing BLM attire violated the company’s dress code and was not permitted. In this case, the Board ruled that wearing BLM attire did not constitute legally protected activity. Why? The BLM attire lacked a direct link to efforts aimed at enhancing employees’ working conditions. The judge highlighted, “There is no evidence indicating any employee concerns, complaints, or grievances regarding ‘racial inequality’ or racially-based discrimination at Whole Foods Market before or during the adoption of BLM messaging . . . . The evidence convinces me that the employer simply sought to avoid controversy and conflict within its stores, which it believed would arise from BLM messaging.”   Now what?          Employers aiming to uphold uniform or clothing regulations should exercise careful consideration. When employees unite behind a symbol to voice their workplace grievances, regardless of its broader political implications, that symbol is likely protected under the NLRA. Conversely, if employees wear a symbol entirely unrelated to the workplace that is merely social commentary, employers can prohibit such conduct.   Brody and Associates regularly advises management on all issues involving unions, staying union-free, complying with the newest decision issued by the NLRB, and training management on how to deal with all these challenges.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560.  

Why Can’t I Find the Right Salespeople?

Kevin Donovan of Fortis Sales Solutions is a member of XPX Hartford
Kevin A Donovan
Fortis Sales Solutions
9 months ago

It’s midnight. Your recycling bin is overflowing with rejected resumes. Your eyes can barely focus on the letters in front of you — and you have this uneasy feeling that you are about to invest in another candidate who just isn’t going to work out. This has been a vicious cycle over the past several years, and you find yourself asking yet again,” Why can’t I find the right salespeople?” You’ve spent an excessive number of hours and are well into six figures in budget dollars hiring, training, firing, and rehiring. You’re losing credibility in the marketplace because your customers are continually being introduced to new reps. With each salesperson that doesn’t work out, you can feel your employees questioning your leadership and the direction the company is headed. And this last candidate… they checked every single box. An ideal candidate with a promising start. Industry experience. Excellent references. High performance everywhere they went. You gave them everything they wanted only to discover they weren’t what they appeared to be. How could you have been so wrong about yet another candidate, a supposed “A-Player” who just couldn’t deliver the level of success they promised in the interview. Instead of burying yourself in another pile of seemingly perfect resumes, it might be time to take a step back. Key Article Takeaways: ·       Pitfalls that prevent A-players from performing in a new sales environment ·       How to lay out a sales roadmap to generate consistent results ·       Key sales leadership focus areas that pay dividends Time to Slow Down to Speed Up Some organizations seem to have it all figured out: low sales turnover; tremendous growth; happy employees doing what they love. Sure, when things go right, everyone is happy. But when issues continuously arise that take your top salespeople away from their outbound calls to chase down problems or they are struggling to know where to focus their effort, there’s likely a more significant issue at hand. By all means, keep searching for the best and brightest salespeople – the ones you know have the talent and desire to excel in your organization. But before you get too far in the process, take a step back and examine your sales readiness. · Are you setting your salespeople up for success right off the bat? · Are there things you know you could do better but haven’t had the time to fix? · Are you doing everything you should be to create a sales culture that allows anyone you hire the opportunity to see success? Structure: Another pitfall that can derail even the best A-Player is when an organization does not have the proper infrastructure to support its sales efforts. This encompasses a wide range of elements from staff structure to the necessary systems to measure and manage performance. For example, creating clear lines of accountability for all roles and functions that interface with the customer will bring clarity to performance expectations. This prevents time-consuming distractions and fosters a customer centric culture. Another area of structure involves the method in which your prospect and customer segments are designated and managed. This provides your customers with a consistent experience and enables your sales resources to be positioned in their areas of strength. These best practices create a solid platform for your salespeople to work from. Then, layering on the appropriate systems to capture sales activity, report on key metrics, manage sales pipeline, etc., allows you and your leadership team the critical visibility needed to keep a pulse on how the business is progressing toward its goals. As you assess your performance in this area, consider the consistency of your weekly one-on-one sales meetings for individual planning and mutual accountability. Given the reliance of the salesperson on their sales manager, powerful outcomes are produced when both sides are willing to be accountable to the other. Another important area to review is the level of value your sales meetings deliver to the team. Lastly, keep track of how often you participate in sales calls — both in-person and video calls, and how often you are creating powerful learning moments for your reps through these interactions. Are you struggling to find the time to apply this level of focus? Do you recognize there are times when you aren’t sure how to confidently lead and develop your salespeople? These common needs in small to mid-sized businesses were the driver behind my decision to transition my extensive VP Sales background to help top executives on a fractional or interim basis. If you’d like to have a preliminary discussion about the sales challenges you are facing, please feel welcome to contact me through any of these methods: 413-626-7040 , kdonovan@salesxceleration.com or book a call through my

DOL Enacts New Independent Contractor Test

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
10 months ago

On January 9, 2024, the Department of Labor (“DOL”) announced a six-factor test for determining whether a worker is an independent contractor or an employee under the Fair Labor Standards Act (“FLSA”). This new rule takes effect on March 11, 2024. Classifying workers as independent contractors or employees is extremely important—independent contractors do not receive the protections afforded by the FLSA such as overtime pay, minimum wage, and other requirements. The DOL’s six factor test considers: opportunity for profit or loss depending on managerial skill; investments by the worker and the potential employer; degree of permanence of the work relationship; nature and degree of control by the company; extent to which the work performed is an integral part of the potential employer’s business; and skill and initiative. In addition, the DOL utilizes a totality-of-the-circumstances economic reality approach, which allows consideration of other relevant, but not named, factors, which “in some way indicate whether the worker is in business for themself.” Consider the following checklist if your company engages independent contractors. It encompasses the Department of Labor’s (DOL) new six factors along with a series of questions posed by the DOL pertaining to each factor. Each question is accompanied by a parenthetical indicating whether it favors Independent Contractor or Employee status. Every instance where you mark a box designated as “Employee” or refrain from marking a box labeled as Independent Contractor increases the likelihood of your worker being classified as an employee. Keep in mind, this area of law is highly intricate, and the repercussions for misclassification are substantial. If you harbor any uncertainties, it is advisable to seek the guidance of competent legal counsel. The Factor Things to Consider Opportunity for profit      Can the worker negotiate the charge or pay for the work?  (Independent Contractor)      Does the worker accept or decline jobs? (Independent Contractor)  Does the worker choose the order and/or times in which the jobs are performed? (Independent Contractor) Does the worker engage in marketing or other advertising efforts? (Independent Contractor)   Does the worker make decisions to hire others? (Independent Contractor)  Does the worker independently make decisions to purchase materials? (Independent Contractor) Investments by the workers  Does the worker receive unilateral directions to purchase specific equipment? (Employee)   Does the worker have investments in a business that indicate the worker has an entrepreneurial investment their own company? (Independent Contractor) Degree of permanence   Is the worker working for the company for an indefinite period? (Employee)    Is the worker exclusively working for the company? (Employee)    Is the worker project-based or sporadic? (Independent Contractor) Nature and degree of control     Does the worker set their own schedule? (Independent Contractor)      Is the worker’s work supervised closely? (Independent Contractor)  Is the worker permitted to work for others? (Independent Contractor)    Does the worker have the right to discipline their own workers? (Independent Contractor) Does the worker get to set prices or rates for services and the marketing of the services or products provided by the worker? (Independent Contractor) Relation to employer’s business      Is the work performed by the worker “critical, necessary, or central” to the company’s primary business? (Employee) Skill and initiative     Does the worker use specialized skills for the work and “those skills contribute to business-like initiative?” (Independent Contractor)    Did the employer provide training for the worker to attain the requisite skills? (Employee)   Brody and Associates regularly advises management on complying with the latest state and federal employment laws. The subject matter of this post can be very technical. It is also an evolving area of law and very fact specific. Our goal here is to simply alert you to some of the new laws which may impact your business.  It is not intended to serve as legal advice. We encourage you to seek competent legal counsel before implementing any of the new policies discussed above.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560.  

NLRB and OSHA Join Forces for Investigations and Enforcement Actions

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
1 year ago

The Occupational Safety Health Administration (“OSHA”) and the National Labor Relations Board (“NLRB”) recently joined forces through a new Memorandum of Understanding (“MOU”). Their goal, to further enhance collaboration between the two agencies during investigations and enforcement actions against employers. The move is expected to further blur the lines between the two agencies and the laws they look to enforce. The likely result is increased unfair labor practice charges filed with the NLRB and citations from OSHA. In a joint press release, the agencies hailed the MOU because many worker efforts to improve safety and health in their workplaces are protected under both the Occupational Health and Safety Act (“OSH Act”) and the National Labor Relations Act (“NLRA”, the NLRA and OSH Act, collectively referred to as the “Acts”). The NLRB and OSHA have historically engaged in cooperative efforts and have entered into formal Memoranda of Understandings to engage in interagency coordination since 1975. Last month’s MOU allows the agencies to more broadly share information, conduct cross-training for staff at each agency, partner on investigative efforts within each agency’s authority, and enforce anti-retaliation provisions. Specifically, the MOU expands upon a previously proposed OSHA rule that allows employees to select an outside third party to accompany an OSHA compliance safety and health officer (the “CSHO”) during on-site inspections. Current regulations limit this choice of who can accompany the CSHO to only current employees or a third party with specialized safety knowledge.  However, the newly proposed rule will significantly broaden who is permitted to attend such an investigation by allowing any third-party representative “reasonably necessary” for the inspection. Does this mean any union representative is “reasonably necessary?” Time will tell, but you can be sure that is the union’s interpretation.   What does this mean to you and your Business?   It means, among other things, employees could designate a union official to attend the inspection as their third-party representative even if the employees are not currently unionized, and even if the union representative has no safety experience.   The MOU encourages the exchange of information between the agencies, including the referrals of complaints, as well as investigative files. Further, the MOU guides OSHA to advise employees who miss OSHA deadlines for claims (which are only a matter of days) to file a ULP with the NLRB instead (and use their six-month deadline).  This collaboration even goes as far as fostering cross-training each agency’s employees to enforce the other’s statute.   Additionally, the MOU goes on to have the NLRB and OSHA commit to coordinating investigations and inspections to “facilitate enforcement actions.”   This last piece is a real concern for employers as it poses the risk that the NLRB may be provided with information beyond its usual reach, which could lead to the potential of simultaneous filing of ULP charges and OSHA complaints.   For companies currently dealing with union activity, the MOU heightens the need to stay vigilant regarding workplace safety.  Companies with active or potential union engagement may witness employees leveraging OSHA as an additional pain point for owners.   We encourage all employers to familiarize themselves with their rights under both Acts and seek competent employment law counsel to best navigate and defend a coordinated investigation should one arise.   Brody and Associates regularly advises its clients on union-related matters and provides union-free training.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560.      

7 Powerful Tips for Salespeople on Setting Effective Personal Goals in 2023

Susan Powers of Sandler Training by PEAK Sales Performance is a member of XPX Hartford
Susan G Powers
Sandler
1 year ago

Happy New Year – and may 2023 be a prosperous and fulfilling year for you and yours! With that aspiration in mind, I’d like to pose an important question about goals, a big question we make a habit of sharing with our clients at this time of year. Every December, it seems, we set goals for ourselves (sometimes also known as “resolutions”) in a well-meaning effort to create sustainable positive change in our lives. And every January or February (or maybe March in a good year), most of us look back on those goals with a mixture of stress, denial, and regret because we know we didn’t follow through on them in the way we’d hoped we would. So the big question is, how do we break that cycle and set goals that stick? Here are seven powerful goal-setting tips we share with our clients that turn “resolutions” into results.   Tie the goal to something truly important to you as a person. (Spoiler alert: It isn’t money.) Each of us has at least one unique life goal that means a great deal to us on a deeply personal level. I don’t know what that goal is for you: it might be a trip around the world, a significant charitable contribution that helps you honor the memory and legacy of a loved one, a fabulous new present you and your significant other can enjoy together all year long – something you know will bring you closer together. The possibilities are endless. I do know, though, that we all work harder for our personal goals than we work for somebody else’s. This year, let’s make a change. Instead of setting a goal based on depositing a certain amount of money, instead of setting a goal based on attaining a business goal that someone else has set for you, why not take the time to identify a goal that motivates you personally in a profound way? Then you can find a way to connect that powerful personal goal to a financial or business goal. For instance: Don’t just make the goal to earn your bonus; make the goal to earn the bonus so you can take that trip around the world that’s on your bucket list. Take a well-rounded approach. There’s nothing wrong with financial goals, of course. All the same, it’s important to set goals in several different areas of your life. Think of multiple goals that will motivate you to change the status quo for the better in terms of sales, health, spirituality, work, creativity, friends, mindset, and family. And once you have a sales goal that motivates you, you will also want to consider setting sub-goals that support your larger sales goal (such as daily behavioral and activity goals, account management goals, upselling goals, and cross-selling goals). Do this for each of the categories. Take some time to create a list of goals that goes both wide and deep! Once you’ve set a specific goal, break it into actionable, measurable chunks. Breaking the goal into smaller numbers allows you to identify the activities necessary to achieve it and track your progress toward attaining it. For example: To make my bonus, I want to secure twelve new clients, each with an average sales of $X. That means I need three such clients each quarter, which, based on my current numbers, I need to talk to Y number of new decision-makers each week and deliver Z number of presentations each month. Write your goals down and speak about them often. This simple step dramatically improves the statistical likelihood that you will achieve the goal. Build accountability. Once you have identified goals that genuinely matter to you, it’s a good idea to share your list with others you trust and discuss it with them. You may also want to consider creating an accountability-partner relationship with someone willing to share their goals with you, hold you accountable, and be held accountable in turn. Adjust as necessary. If you reach a point where you’ve exhausted your motivation and willingness to attempt to reach the goal, or if you find the goal you set was unrealistic, revise your goal. In the present tense, what you’re after is a goal that makes you feel that you are working toward something important. Find a goal that inspires you and that yields measurable signs of progress over time. Reward yourself. Sheryl Crow once sang, “Making miracles is hard work – most people give up before they happen.” Those words are essential reminders that much effort goes into achieving a meaningful goal. When you hit one, be sure to do something to celebrate! Follow these simple guidelines, and your experience with ineffective New Year’s “resolutions” that start fading on January 1 will be completely transformed.

A Proactive Approach to Quiet Quitting

Chuck Cooper of WhiteWater Consulting LLC is a member of XPX Charlotte
Chuck Cooper
WhiteWater Consulting LLC
1 year ago

As we’ve discussed in previous posts, quiet quitting is a phenomenon that’s here to stay. This workplace trend has inspired millions of employees to “act their wage,” which is to say, setting boundaries and choosing not to go above and beyond their basic job description. Evidence shows that quiet quitting is common, and that it’s resulted in a significant erosion of engagement, productivity, and morale. But while managers and HR leaders may not have the power to end this phenomenon, there is much they can do to address it proactively. How to Address Quiet Quitting 1) Talk to your people. There are any number of reasons why employees might disengage, but often it boils down to the feeling that leaders don’t really care about them or don’t do enough to support them. Start by simply asking employees how work is going, and how the company can better support them. One-on-ones, town halls, and employee surveys may all be appropriate forums. Help employees to see that you care. As employees present problems or frustrations, it’s important that you show them that their concerns aren’t falling on deaf ears. You may not be able to solve every problem, but you can often provide greater resources. You can also invite employees to collaborate with you, working together to arrive at creative solutions. Again, the point isn’t so much to fix every problem. The point is to help employees feel seen, heard, cared for, and engaged in decision-making. 2) Recognize employees. Employees can feel disengaged when they feel like their contributions to the team aren’t seen or aren’t celebrated. We’d recommend creating a culture of celebration, where you take time on a regular basis to have team leaders and managers acknowledge the good work their personnel are doing. And when the whole team scores a big win (completing a major project, bringing in a huge new client, exceeding sales benchmarks), that’s definitely an occasion for a team lunch or some treats around the office. 3) Provide mentorship opportunities. Still another reason why employees succumb to “quiet quitting” is the feeling that their career trajectory is stalled, or that the organization doesn’t support their development or advancement. Creating an environment where each individual feels valued is paramount to a business and the level of success it achieves. Leadership who understands this and executes a strategy that pulls the best of each generation together, fitting it into the purpose of the organization, will become an employer of choice in the marketplace. A simple way to address this is by creating a mentorship program in your company that allows for a younger employee to learn from the more senior employee and through reverse mentoring relationships that allows for the younger employee to mentor a more experienced employee. The result often leads to a deeper personal connection and a more meaningful professional relationship between the employees. Take Action Against Quiet Quitting These steps may not put an end to the quiet quitting phenomenon, but they can go a long way toward keeping a majority of your team members fully engaged. Questions? We’d love to talk further about this. Reach out to WhiteWater Consulting today and pickup a copy of our book “Unprecedented” to learn more.  

California’s Corporate Board Diversity Laws Declared Unconstitutional

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
2 years ago

By Robert J. Brody and Luis A. Torres   California passed two laws that require diversity for certain corporate boards.  The first required diversity based on gender and the second for “underrepresented communities.”  The  effective date and required amount of representation varies based on board size.  In two separate actions, each law was found unconstitutional. The underlying challenge is these laws violate the equal protection laws since each law is declaring different treatment of equal people based on sex or other protected characteristics such as national origin or ancestry.  For these laws to pass muster, they must be found to correct unlawful conduct, not merely a societal history of unfair under representation. This issue is far from over.  California’s Secretary of State has already announced these cases will be appealed.  Regardless of what happens in California, other states are likely to follow suit.  Of course, if the laws are ultimately upheld, the number of states to follow suit will likely increase dramatically.  Time will tell. Brody and Associates regularly advises management on complying with the latest local, state and federal employment laws.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560

New York Expands Workplace Harassment Laws

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
2 years ago

May 20, 2022 By Robert G. Brody and Luis A. Torres As of July 14, 2022, New York will be launching a statewide toll-free confidential hotline that will provide counsel and assistance to individuals with concerns about workplace sexual harassment. Employers will be required to include the hotline number in any sexual harassment postings and policies. Employers should update any of their policies and materials to reference the Hotline prior to July 14. In addition to the new hotline law, New York State expanded the definition of retaliation for purposes of discriminatory practices by employers. The new definition includes employers disclosing employee files because the employee has (1) brought a claim of unlawful discrimination, including sexual harassment; (2) opposed a practice forbidden by the discrimination laws; or (3) filed a complaint, testified, or assisted in a discrimination proceeding. This law gives employees a private right of action if employers release personnel files to discredit the employee or for any other retaliatory purpose. Employers should update their policies to reflect these changes. Brody and Associates regularly advises businesses on handbooks and complying with the latest local, state and federal employment laws.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560

Going From Employee to Employer: Do You Have What It Takes?

Bill McDermott of The Profitability Coach is a member of XPX Atlanta
Bill McDermott
The Profitability Coach
2 years ago

In the Great Recession, I went from being an employee in banking to being an employer and launching my own business. Upheaval has become the new normal as the pandemic led many to reevaluate their jobs and more. In the Great Resignation, 4 million workers have quit their jobs so far. This could signal a change in thinking, which might lead many to transition to being their own boss. Currently, I’m working with a 4-person management team who have been together 15-20 years; they know, like, and trust each other. The owners, Baby Boomers, are ready to retire and are looking for an exit. This 4-person team is looking to make the shift from being employees to employers.  Not every employee wants to become an employer. So, what motivates someone to become a business owner?

Popular

What's Trending

Explore more

New Years Resolutions: Why They Miss the Mark, and What to Do Instead

Maria Forbes of FIREPOWER Business Catalyst, LLC. is a member of XPX Atlanta
Maria C Forbes
FIREPOWER Business Catalyst, LLC.
3 days ago

Entrepreneurial business owners, is it time to consider a new approach to setting goals in the New Year? We’ve all been there. January 1 rolls around, and we set resolutions with the best intentions. “This will be the year I double my business,” we say. An article in Forbes 1 states by mid-February, 80% of people have made their resolutions a distant memory. Why? Because we have high ambitions hinging on mostly unrealistic and unsustainable methods, setting broad, lofty goals without a roadmap is like trying to sail a ship without a compass—directionless and daunting. There is a simple fix for this problem.  Start the road map with some pre-work. The root issue? New Year’s goals should always start with who you are, how you want to serve, and what you want to enjoy. If you start a New Year’s Resolution with what is trending in the world, in business, or in society, you will leave some or all your resolutions behind as you realize there is a misalignment between who you are and what is trending. It’s all one path! As business owners, we are bombarded with tasks that can be exhausting and lack enjoyment. Goals should be derived from envisioning a picture of your personal world: God, business, family, your unique personal desire to share creatively, and the core of who you are, so your business and your world are synced within a set of goals. What should your world look like in the New Year? Don’t compartmentalize! Your business cannot be separated from all the rest; successful business owners know who they are and how they intend to serve.  Get reacquainted with who you are, your personal talents to serve (clients, friends, family), and how you can get back to enjoying your life. Now we can talk about Business Resolutions You know what you want to achieve for your business. Now, make it a team effort. Go beyond your own efforts to engage your team in goals that are well aligned with their strengths and do it in a doable fashion that engages the spirit of growth together. The Problem with Most Resolutions Resolutions lack specificity, accountability, and, most importantly, our teams’ collective firepower. Transformative change doesn’t come from wishful thinking but from actionable, measurable steps involving everyone on deck. So, what’s the game plan? Shift from solo resolutions to team-powered actions. Set Specific Goals: Break down that big vision into smaller, achievable milestones. “Increase sales by 10% in Q1” beats “Double my business” for clear targets. Harness Team Strengths: Every member has unique skills. Use them to your advantage by assigning roles that match their strengths and watch motivation soar. Perform Regular Check-Ins: Make accountability a team effort. Frequent updates keep everyone on the same page and moving forward together. Celebrate Wins: Whether you hit a small target or make significant progress, celebrate as a team. This will help you feel more united and keep the momentum going. Making Sustainable Resolutions Remember, a sustainable resolution starts with the core of who you are as an owner, how you want to serve, and what is enjoyable to you.  Once you know what you want to achieve for your business your team can help you get there. With some pre-work, a New Year resolution might spark the fire, and then your team’s day-to-day actions will keep it blazing.

Quantum Computing Investments: Key Players, Risks, and Opportunities for 2025

Billy Amberg of Bloomwood is a member of XPX Atlanta
Billy Amberg
Bloomwood
4 days ago

Listen to this post as a podcast: www.adviserinfo.sec.gov). Please read the disclosure statement carefully before you engage our firm for advisory services. The information provided is for educational and informational purposes only and does not constitute investment advice and it should not be relied on as such. It should not be considered a solicitation to buy or an offer to sell a security. It does not take into account any investor’s particular investment objectives, strategies, tax status or investment horizon. You should consult your attorney or tax advisor.   The views expressed in this commentary are subject to change based on the market and other conditions. These documents may contain certain statements that may be deemed forward-looking statements. Please note that any such statements are not guarantees of any future performance and actual results or developments may differ materially from those projected. Any projections, market outlooks, or estimates are based upon certain assumptions and should not be construed as indicative of actual events that will occur.    All information has been obtained from sources believed to be reliable, but its accuracy is not guaranteed.  There is no representation or warranty as to the current accuracy, reliability, or completeness of, nor liability for, decisions based on such information and it should not be relied on as such. Bloomwood is a registered investment advisor. Advisory services are only offered to clients or prospective clients where Bloomwood and its representatives are properly licensed or exempt from licensure. 730 Starlight Lane, Atlanta, GA 30342.

What to Expect in 2025: Changes to the Three Branches of Government

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
1 week ago

As we enter 2025, businesses face a rapidly evolving employment law landscape shaped by dynamic shifts across all three branches of government. With a new president set to take office, significant developments at the Supreme Court, and the Republicans securing control of Congress, 2025 is shaping up to be a year defined by upheaval. Each branch of government will be different than any of us have seen in decades. The Executive Branch First and foremost, Donald Trump’s second presidential term is set to begin on January 20. Over the last four years, the Biden administration, known for their pro-employee policies, ushered in a wave of regulations aimed at expanding worker protections. Conversely, the Trump administration is expected to continue their pro-employer, laissez-faire approach that prioritized deregulation and employer flexibility during his first term. (Interestingly, the Trump Administration has started supporting more union issues and no one knows how that will impact his second term.) Significantly, labor and employment law developments often arise from action on behalf of various agencies such as the National Labor Relations Board (“NLRB”) and the Department of Labor (“DOL”). Because these agencies are part of the Executive branch, the president is effectively charged with overseeing them, and therefore plays a significant role in the implementation of their policies. Employers should expect Trump to utilize these agencies to implement his pro-business agenda. It is worth noting, however, that a 2024 Supreme Court decision (Loper Bright Enterprises v. Raimondo) overturned the long-standing Chevron doctrine, a legal principle that directed courts to defer to federal agency’s interpretations of law that agency is empowered to enforce. As a result of this decision, the Executive branch was effectively weakened, shifting greater interpretative authority to the Judicial branch. It will be interesting to see how much impact this change will have on the balance of power among our branches of government. The Judicial Branch Loper was not the only Supreme Court decision in 2024 that contributed to the shift in power in favor of the Judicial branch. The Supreme Court’s decision in Dobbs v. Jackson Women’s Health Organization, overturned the landmark abortion decision Roe v. Wade. Historically, courts, including the Supreme Court, follow precedent created by earlier decisions. But now the Supreme Court showed its willingness to overturn longstanding precedent based on a difference in their opinion of what is right or wrong. This shift away from strict adherence to precedent allows the Supreme Court greater latitude to reinterpret past decisions. With more flexibility to pursue a wider range of cases, as well as greater interpretive authority, the Judicial branch is shaping up to be much more powerful than it has been in the past. The Legislative Branch Lastly, in the 2024 election, the Republicans secured a majority in both the House of Representatives and the Senate. This means that the Legislative branch will have broad authority to enact their agenda over the next two years. Additionally, with Donald Trump in the White House, the likelihood of presidential vetoes decreases significantly.  This alignment will increase the likelihood that Congress will pass more new laws than is typically seen under a divided legislature. As a result, employers should closely monitor what new laws Congress enacts. Employer Takeaways Overall, the three branches of government are all undergoing significant changes. Donald Trump is likely to resume his pro-employer agenda, albeit with a slightly weakened Executive branch in the wake of the Loper decision. The Judicial branch is as powerful as ever, exemplified by the Supreme Court’s willingness to overturn longstanding precedent. Lastly, with Republicans in control of both the Senate and the House, the Legislative branch is primed for significant activity through 2026. With all these changes taking place, it is crucial for businesses to keep abreast of developments in labor and employment laws to ensure compliance and minimize legal risk in the new year. Brody and Associates regularly advises management on complying with the latest local, state, and federal employment laws. If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560.

Developing Leadership Depth for Business Exit Readiness

Marci Caudle of Tagro Solutions is a member of XPX Philadelphia
Marci Caudle
Tagro Solutions
2 weeks ago

A robust leadership pipeline is crucial for any business, but it becomes particularly vital when preparing for a business exit. Whether you’re planning a sale, merger, or leadership transition, ensuring that your leadership depth is strong can significantly enhance the attractiveness and value of your business. This HR Insight explores how strategic human resources management can cultivate leadership depth to support a smooth business transition. The Importance of Leadership Depth in Exit Planning Leadership depth refers to a company’s ability to fill key leadership roles from within, ensuring business continuity and operational stability. For businesses considering an exit, strong leadership depth reassures potential buyers and investors of the company’s resilience and future performance potential. A well-prepared leadership team can effectively manage transitions, uphold company values, and drive growth, even during periods of change. Strategies for Developing Leadership Depth Leadership Development Programs: Implement comprehensive leadership development programs tailored to your company’s needs. These programs should focus on nurturing high-potential employees with critical skills such as strategic thinking, decision-making, and change management. Methods might include formal training sessions, mentorship programs, and leadership retreats that emphasize real-world business challenges and leadership responsibilities. Succession Planning: Effective succession planning is essential for ensuring that key positions can be filled quickly and competently. HR should work with current leaders to identify potential successors for each critical role. This process includes assessing the skills and readiness of potential leaders and providing targeted development opportunities to prepare them for future roles. Talent Identification and Management: Use talent management tools and assessments to identify employees who have the potential to become future leaders. Once identified, provide these individuals with customized development plans that align with their career aspirations and the company’s strategic goals. This approach not only prepares them for leadership roles but also helps retain top talent by actively investing in their career growth. Performance Management: Align performance management systems to leadership development goals. Regular performance reviews and feedback sessions help potential leaders understand their strengths and areas for improvement, ensuring they are on the right track to taking on more significant roles within the company. Cultivating a Leadership Culture: Foster a culture that promotes leadership from every level of the organization. Encourage employees to take initiative, lead projects, or mentor others. This environment supports leadership development organically and can identify and elevate hidden talents within the organization. The Impact of Leadership Depth on Business Valuation A strong leadership team can significantly enhance a company’s valuation during an exit. It demonstrates to potential buyers and investors that the company is well-managed, has a clear direction, and is capable of sustaining growth without the original owner or current leadership team. Additionally, companies with effective leadership transitions are more likely to maintain performance levels during and after the exit process, reducing risks associated with the transition. Developing leadership depth is not just about filling positions but about creating a sustainable framework that supports the company’s long-term goals and ensures a legacy of success. As businesses prepare for exit, the role of HR in cultivating this environment becomes a cornerstone of strategic exit planning. By investing in leadership development, companies not only enhance their marketability and potential sale value but also secure a stable and prosperous future for all stakeholders. At Tagro Solutions, we bring our deep expertise in Human Resources consulting to the table, aligning HR strategies with business objectives to enhance company performance and prepare for successful transitions. Our approach integrates seamlessly with the philosophy of the Exit Planning Exchange, which fosters collaborative exchanges of information and experiences among its members. Together, we aim to empower business owners through strategic insights and actionable solutions, making the journey from business operation to exit as profitable and smooth as possible.

New York City Mayor Signs Legislation Regulating Hotel Safety: What Employers Need to Know

Robert Brody of Brody and Associates, LLC is a member of XPX Tri-State
Robert G. Brody
Brody and Associates, LLC
1 month ago

On November 4, 2024, NYC Mayor Eric Adams signed into law the Safe Hotels Act (Int. No. 991-C) aiming to promote hotel safety and boost tourism. The Act, taking effect May 3, 2025, requires hotel licenses, restructuring of employment agreements, and a number of new staffing requirements. Hotel License Requirements Hotel operators defined as persons who own, lease, or manage a hotel, and control day-to-day operations, must obtain a hotel license from the Department of Consumer and Worker Protection (DWCP) to legally operate a hotel. Hotel operators must file an application with the Commissioner of the DWCP to obtain a license. The application must contain contact information as well as details of safeguards and procedures which show the hotel is in compliance with the Act’s staffing, safety, employment, and cleanliness requirements. The application will differ if the operator has a collective bargaining agreement (CBA) with a union. If the operator has a CBA which contains the required information and references the CBA in their application this may satisfy the Acts notification rules. The notification requirement will be satisfied for the term of the CBA or 10 years from the date of the application (whichever is longer). The commissioner must be notified if there are changes to the CBA which remove references to the Act’s requirements. The hotel license may be denied or revoked if operators fail to comply with the Act, however there are a number of notice requirements for the Commissioner prior to revoking a license. The Commissioner must notify the licensee of a potential revocation in writing. The licensee must be given 30 days from the notification to remedy the violation and this notice must be in writing. A license will not be revoked if it can be demonstrated that the condition has been resolved in the 30-day period. Evidence of this correction can be delivered electronically or in person. Upon the Commissioner’s decision, the licensee has 15 days to request a review of the decision. A license will not be revoked in the following situations: service disruptions such as construction work noise; conditions that the hotel is aware of and treats within 24 hours such as bed bugs, rodents, etc.; unavailability of hotel amenities for a period of 48 hours; unavailability of utilities for a period of 24 hours; and importantly any strike, picketing, lockout, or demonstration at or by the hotel. Hotel operators must display their license in a public area.   Employment Agreement Requirements The Act requires hotel owners, with 100 or more guest rooms, “directly employ” all “core employees”, except a single hotel operator to manage operations on the owner’s behalf. This rule effectively eliminates intermediaries such as staffing agencies or management companies. Core employees include those whose work relates to housekeeping, front desk, or front service. Valets, maintenance workers, parking security, and employees mostly working with food and beverages are not considered core employees. This provision greatly impacts employers who utilize subcontractors; however some contracting agreements may be grandfathered in if they are entered into prior to the effective date and have a specific termination date. Violating this provision may serve as the basis of license revocation. Staffing Requirements In order to maintain safe conditions for guests and hotel workers, the Act implements a number of new staffing requirements. One employee must provide front desk coverage at all times (during night shifts a security guard who has received human trafficking training may take this employee’s place). Hotels with more than 400 guest rooms must have a minimum of one security guard providing continuous coverage while any room is occupied. Hotels must maintain cleanliness and not impose fees for daily room cleaning. Core employes must receive training on how to identify human trafficking within 60 days of employment. Hotels must not accept reservations for less than 4 hours. Penalties and What Else Employers Need to Know Hotel operators are strictly prohibited from retaliating against any employee who discloses a potential violation or assists in an investigation. Hotel operators are also prohibited from retaliating against employees who refuse to partake in a dangerous activity that is not part of their job. As previously discussed, noncompliance can result in a hotel operator’s license being revoked, but that is not all. Anyone alleging a violation can seek a civil action within 6 months of the alleged violation. Furthermore, the Act provides for civil penalties which vary based on the number of violations: $500 for a first violation, $1,000 for a second, $2,500 for a third, and $5,000 for subsequent violations. The Commissioner is expected to issue rules by which this law will be enforced. A timetable for their issuance has yet to be set. Brody and Associates regularly advises management on complying with the latest local, state and federal employment laws.  If we can be of assistance in this area, please contact us at info@brodyandassociates.com or 203.454.0560  

Navigating Business Exits: An HR Roadmap

Marci Caudle of Tagro Solutions is a member of XPX Philadelphia
Marci Caudle
Tagro Solutions
1 month ago

The Role of Culture in M&A Success: Navigating Integration with HR Insights In the dynamic world of business, effective exit planning is crucial for ensuring a smooth transition and securing the legacy of a business owner’s life’s work. Mergers and acquisitions (M&A) are more than just financial transactions; they are a fusion of values, people, and aspirations. Amid the complexities of these business maneuvers, the significance of company culture cannot be overstated. It is the glue that holds an organization together and can be a make-or-break factor in the success of M&A activities. This post explores the pivotal role of company culture in M&A success and how HR can drive positive outcomes through strategic cultural integration. The Importance of Cultural Compatibility: Cultural compatibility is crucial in M&A scenarios. When two companies merge, they bring together distinct cultural identities, which can either harmonize to drive the company forward or clash and impede integration efforts. A study by Deloitte found that nearly 30% of M&A failures could be directly linked to cultural issues, illustrating the need for a deliberate focus on cultural alignment during the merger process. HR’s Role in Cultural Assessment: Human Resources departments play a strategic role in assessing cultural fit before a merger is finalized. HR professionals can conduct cultural audits to identify the values, beliefs, and behaviors that define each organization. This assessment helps predict potential areas of conflict and synergy, enabling informed decision-making during the merger or acquisition. Strategies for Cultural Integration: 1. Identifying Core Cultural Elements: Before any integration can begin, HR needs to identify the core cultural elements of each company. This involves understanding not only the explicit elements like company values, mission statements, and codes of conduct, but also the implicit elements such as communication styles, decision-making processes, and the level of formality or informality prevalent in the workplace. 2. Evaluating Compatibility and Areas of Divergence: With a clear understanding of each culture, HR should evaluate which aspects are compatible and which are divergent. This step is crucial because it highlights potential areas of conflict that could disrupt integration efforts. 3. Designing the Blended Culture: Once key elements have been identified and evaluated, HR can begin designing a blended culture. This doesn’t mean creating a culture that is merely a mix of pre-existing ones; rather, it involves selecting the best aspects of both cultures based on how well they align with the merged company’s new strategic goals. 4. Developing Transition Plans: With a design in place, HR should develop detailed transition plans to implement the blended culture. This includes setting up cultural integration teams, conducting training sessions to introduce and reinforce the new cultural norms, and using change management techniques to help employees adjust to the new environment. 5. Monitoring and Adjusting: Cultural integration is not a one-off event but a continuous process. HR should monitor the implementation of the blended culture using predefined metrics such as employee satisfaction scores, retention rates, and feedback from leadership. 6. Celebrating Cultural Milestones: To reinforce the new culture, celebrate milestones that reflect cultural integration. This could be through company-wide events, recognition programs, or internal communications that highlight success stories and examples of the new culture in action. 7. Communicate Transparently and Frequently: Regular, clear communication from HR and top management about the integration process can alleviate employee anxieties and build trust. This involves not just sharing what is happening and why, but also how employees can contribute to the integration efforts. Measuring Success and Adjusting Strategies: Post-M&A, it’s important for HR to measure the success of cultural integration efforts through employee feedback, surveys, and other metrics like turnover rates and engagement levels. These insights should inform ongoing adjustments to integration strategies to ensure long-term success. The role of company culture in mergers and acquisitions extends far beyond the initial deal-making phase. It fundamentally affects employee morale, retention, and ultimately, the success of the new entity. By placing HR at the helm of cultural assessments and integration strategies, companies can enhance their chances of a successful merger or acquisition. For businesses preparing to embark on this journey, understanding and proactively managing cultural integration is not just advisable; it is imperative.   Navigating Business Transitions – The Strategic Partnership of Tagro Solutions and the Exit Planning Exchange At Tagro Solutions, we bring our deep expertise in Human Resources consulting to the table, aligning HR strategies with business objectives to enhance company performance and prepare for successful transitions. Our approach integrates seamlessly with the philosophy of the Exit Planning Exchange (XPX), which fosters collaborative exchanges of information and experiences among its members. Together, we aim to empower business owners through strategic insights and actionable solutions, making the journey from business operation to exit as profitable and smooth as possible. This partnership enriches our weekly roundtables, where I, alongside other business owners, delve into discussions that span the spectrum of exit planning. These conversations are not just theoretical but are grounded in the real-world challenges and successes that define the business exit landscape. Through our collaboration, Tagro Solutions and the Exit Planning Exchange bring a unique, holistic perspective enhancing both our insights and our impact. As we unfold this series of insights on how HR strategies integrate with and support successful business exits, we invite you to engage with us. Whether you are contemplating the future sale of your business or are in the process of shaping the strategic direction of your company towards a transition, this series will provide you with the knowledge and tools essential for navigating these complex waters. Join us as we explore the critical role of HR in business exits and how strategic HR planning can significantly influence the outcomes of mergers, acquisitions, and business sales—ensuring a legacy that endures beyond the sale. Interested in learning more about Tagro? Email info@tagrosolutions.com Interested in learning more about XPX or joining a Roundtable?

Previous
Next

Explore the Knowledge Exchange

Search
Make XPX Part of Your Business Plans
Attend an event
Join a chapter
Start a chapter
Find an advisor
Explore
Learn
Account
Connect
Help & Support

© 2025 XPX Global LLC.          Privacy Policy         Norms & Principles          Site Map           Terms of Use

Paper-plane Linkedin Youtube

© 2025 XPX Global LLC. All Rights Reserved.