Money can be an uncomfortable thing to talk about. It’s ingrained in many of us to not talk about money and keep the numbers – what we make, what we spend, etc. – close to the vest. This can be particularly true in business. Most businesses don’t want to broadcast their earnings or expenditures with employees or with anyone else. But at GL group, we have the exact opposite approach.
We practice open book management, and we mean exactly what we say – the books are literally open. We share our financials and long and short-term planning with all of our employees. We believe this encourages our employees to take ownership of their job and think like an owner. When everyone has all of the information, it allows us to make decisions together.
We ask all of our employees to think critically about every financial decision they make. We find that this helps our business grow, both in good times and in bad. If times are good, we can all work together to determine the best way to spend the extra money, make improvements, and make investments in our people and company. If times are hard, we can think critically about every expenditure and ask ourselves the hard questions about ways we can save money and cut down costs or identify new revenue opportunities. In this way, we make every financial decision a conversation and ensure that we are properly managing our spending. We make sure we’re doing what’s right.
In order for this to succeed, we ensure that all of our employees are given the tools and training necessary to confidently make business decisions to improve our company. We set goals and monitor the numbers closely. That conversation is happening on an on-going basis and we can make real-time decisions that make the most sense for the business, our employees, and our customers.
It might sound like a radical idea, but it has resulted in success for GL group. Not only are we on track to hit $100 million in revenue in 2016, but we have also created an outstanding culture for our employees to achieve success. There is a true team culture here at GL group and a large part of that is due to transparency from leadership about both the financials and goals for the future.
WRITER: Mark Rygelski