Category: Leadership

Leadership is an insanely important discipline. Here you’ll find the thought, tools and tricks of the trade of great leaders.

  • 3 reasons why forcing employees back to the office is doomed to fail

    3 reasons why forcing employees back to the office is doomed to fail

    Many CEOs are are currently nixing work-from-home programs and forcing all of their employees back into the office full time.

    And without fail, they all seem shocked and appalled when employees dare to question their decision.

    Jamie Dimon, the CEO of JP Morgan Chase, in particular was just outraged that thousands of his employees spoke against it and signed a petition to preserve flexible working. He went on an angry rant full of curse words in a town hall meeting where he claimed that being together in the office is the ONLY way to be creative and productive because there you can communicate and collaborate in person.

    He said that he didn’t care how many people signed the petition and added things like:

    Don’t give me this s— that work-from-home-Friday works. I call a lot of people on Fridays, and there’s not a goddamn person you can get a hold of.

    A lot of you were on the f— Zoom…and you were sending texts to each other about what an a— the other person is.

    Most recently, Danish pharma giant Novo Nordisk announced not only a massive round of layoffs but also that all office workers must be in the office full time going forward. This triggered a lot of pushback from employees because Novo has had a very flexible policy of letting people work from home when it makes sense for them and the team.

    So I thought I should do a public service for all of these CEOs and try to help them understand why their employees don’t just accept it and knuckle under when their freedom to work from home is taken away.

    There are three main reasons why.

    1: Loss aversion

    The work of Daniel Kahneman and many others has proven that we humans hate losing stuff. Taking something away from us – even stuff we don’t necessarily value very highly – can trigger intense negative feelings.

    If employees currently have the freedom to work from home, taking it away from them will absolutely trigger loss aversion.

    2: Working from home is amazing

    People who have the flexibility to work from home at least part time love it. Research shows that it has a large number of positive effects, including:

    Productivity – people get more work done, partly because they experience fewer interruptions than in the office.

    Better work-life balance – it’s easier to handle all of your responsibilities outside of work when you can work from home. You also spend less time commuting.

    Feeling of trust – employees feel trusted by the company and therefore more loyal and engaged.

    Of course they don’t want to lose all of this and of course they’re going to push back against any decision that would make their work lives significantly worse.

    3: Forcing people back to the office is meaningless

    If the company could demonstrate conclusively to employees that the only way the company can move forward and be successful is by stopping working from home, then I think people would accept it.

    For instance, if my job changed from an internal role to a customer facing role that required me to be physically present in a location, then it’s clear why I can no longer work from home and that decision would have a legitimate purpose to back it up.

    But companies never do that. Instead they make a lot of noise about “fostering collaboration” or “making faste decisions” or “strengthening the culture” while never actually demonstrating why that can’t be done while still giving employees the option to work from home some of the time.

    And here’s another thing: Even on days where people are in the office, a large percentage of the work or the coordination they perform is still digital through email, chat or video meetings. Even more so, if the company has people in different locations.

    You don’t go to a coworker’s desk and interrupt their workflow every time you need help with something. You don’t call a meeting every time you have a question. You don’t go to your manager’s office every time you need to make a decision. Or at least, I really, really hope you don’t!

    If 50% of your work day in the office is virtual anyway, you’ve gotta ask yourself why you couldn’t have spent 50% of the week working from home.

    And that’s why employees will see the decision to force them back into the office and thereby make their work-life significantly worse as a bad and meaningless decision.

    The upshot

    My video on how to make remote workers productive and happy.

    All of this of course also means that if the company doesn’t listen and reintroduce flexible working, employees are going to vote with their feet and go find better jobs. And who’s going to go first? The most qualified people as always will find it easiest to get new jobs. That leads to brain drain.

    Some people see this as a good thing. Just today I heard the dumbest argument I have ever heard for forcing people back to the office: It will help the company identify who is not committed to being in the office full time.

    Wow. Just wow. That rationale could be used to justify any mistreatment of employees; anyone who speaks out is just not committed to the organization!

    The good news is that many companies are deliberately choosing to be remote, like Spotify, Canva and Atlassian.

    Even Dimon has since apologized for his rant. Not for maligning his remote workers. Not for claiming that they’re all slacking when they work from home. No – he apologized for cursing.

    Jamie, Jamie, Jamie… the problem was not you dropping some F-bombs. The problem was your complete inability to trust your employees and to recognize that there are more ways of working effectively than the one you prefer.

  • How To Celebrate Mistakes At Work

    How To Celebrate Mistakes At Work

    Everybody makes mistakes at work. But many workplaces pretend like that’s not the case and tend to punish any mistakes in various ways.

    That is destined to fail. When mistakes are punished, employees don’t stop making mistakes, they just hide the mistakes they do make or try to push the blame onto others. Or else, everyone starts playing it really safe and never take any chances or try new solutions and approaches for fear of getting it wrong.

    In this free webinar we showed how companies can instead CELEBRATE mistakes. It sounds crazy but it’s a brilliant tool to boost creativity and learning.

    Content includes:

    • Why punishing mistakes never works
    • How celebrating mistakes unlocks creativity, innovation and learning
    • How to celebrate mistakes at work
    • Great examples from happy workplaces around the world

    You can watch the whole thing here as well as get my slides + other links and sources.

  • How to identify and fix employees’ problems

    How to identify and fix employees’ problems

    No workplace is perfect. Even the happiest workplaces in the world have problems. But great workplaces are good at finding and solving their problems.

    If we want to build happy and successful workplaces, we can’t only focus on doing good things for employees, we need to be focused and strategic about identifying and fixing any problems employees see.

    In this free webinar we showed how to do it. Content includes:

    • Why it’s not just enough to do more good things for employees – we need to address their problems too
    • How to identify and solve problems in the workplace
    • How to handle problems without losing sight of the good things in the workplace
    • Great examples from happy workplaces around the world

    You can get my slides and other materials for the video here.

  • Cool quote: Leaders are made – not born

    Management thinker Warren Bennis says it clearly: Leadership is not an innate trait, it’s something you must learn and work at.

  • The world is uncertain (again). Happiness at work must be part of the answer.

    The world is uncertain (again). Happiness at work must be part of the answer.

    You can think what you want about Trump’s tariffs. Is it a genius 4-D chess move or a colossal blunder based on a fundamental misunderstanding of economics?

    Whatever your opinion, no one can deny that the tariffs have led to massive uncertainty in workplaces all over the world. Stock prices are cratering. Some countries are implementing counter-tariffs. Companies like Volkswagen have paused all exports to the US and announced layoffs.

    On the one hand, this is absolutely a tough situation for many workplaces around the world in all kinds of industries. On the other hand, instability and uncertainty have become more the norm than the exception here in the 21st century where it feels like the business world lurches from one massive crisis to the next: The dot-com bust, the financial crisis, Covid and now this.

    Even if the tariffs have now been postponed, are you willing to bet that there won’t come a new disruption to businesses again soon? Or maybe several in a row?

    Which raises the question: How does a company best weather a storm?

    And it’s clear what companies normally do: Slash costs and lay off staff. Until the crisis is over and the numbers look more reassuring, all talk of being a good workplace is put on hold and no jobs are safe.

    The economic downturn we may be entering is setting off alarm bells and panicked responses in many leaders. If you can keep your head on straight, you have a unique chance to steer clear of three classic blunders that many of your competitors are planning to commit.

    Blunder #1: “Times are tough, so we’re cutting back on all expenses on employees!”

    You start by decimating the education budget and then you continue by cutting social events, the free coffee, and everything else that is seen as “superfluous luxuries.”

    A Danish company decided to cancel the annual company Christmas party due to tough times. They saved about 100 bucks per employee, but it cost them dearly – very dearly – in hassle, negativity and trouble from employees who had been looking forward to the party. It is not difficult to calculate how much money the company saves by cancelling a party or the free coffee. But have you calculated what it might cost?

    And if you are forced to save money, it does not have to be worse because it is cheaper. Accenture Denmark had a tough year in 2003 and was forced to rethink the annual company summer party. Normally it was a big affair held at some fancy restaurant or hotel. That was completely out of the question in 2003, so what could you do?

    They held the party in the office instead and had the brilliant idea of ​​having the company’s partners (i.e. co-owners) staff the bar. At first, the partners weren’t very keen on it. They were known more for their long work hours, dark suits, and business manners than for their abilities as party animals.

    The party committee cornered a few senior partners and got their support, which convinced the others to give it a try. The party was a hit! Not only was it more fun than traditional parties, but suddenly the partners were available to all the employees who could just go up to the bar and order a gin and tonic from them. The employees loved it and, perhaps most surprisingly, the partners loved it. They had to be forced out of the bar when their shift was over!

    So it can actually be an advantage to have to save money – as long as you put good ideas and creativity into making sure that it is still fun for your employees to go to work.

    Crisis blunder #2: Layoffs

    The other classic crisis blunder is mass layoffs. In the early 2000s Southwest Airlines was the third largest airline in the world and the most profitable. After September 11, 2001, the entire travel industry was extremely hard hit, and many airlines quickly laid off 20% of their staff.

    This presented Southwest with a challenge. They had never had a mass layoff in the company’s history, and they would go to great lengths to avoid one. Top management held an emergency meeting at their headquarters in Dallas, where they drank buckets of coffee and analyzed potential cost-cutting plans. They first scrapped a number of growth plans, deliveries of new aircraft and a renovation of the headquarters. But they rejected any idea of ​​mass layoffs.

    Their then-CEO James F. Parker said, “We are willing to suffer damage, even to the stock price, to protect the jobs of our employees.” The result was that Southwest was the only airline in the industry to emerge from 2001 with a profit. At the same time, they created an unprecedented level of loyalty, motivation and job satisfaction among their employees, which continues to give them a competitive advantage.

    Frederick Reicheld confirms this line of thinking in his book The Loyalty Effect, where he states, among other things, that mass layoffs “only deepen the crisis. They destroy employee trust, repel customers, and slow down growth.”

    Southwest Airlines has since turned into a poor example. A capital fund bought a significant number of shares in the company, put their representatives on the board of directors and have now forced the company to do their first layoffs ever with totally predictable results: Employee engagement is gone and even many loyal customers are abandoning the airline.

    In many companies, it’s a pure reflex: The crisis is coming, so they get rid of some people and cut back on everything that’s fun. It feels really good here and now because it gives the illusion of action, but in the long run it hurts the company’s competitiveness and the bottom line.

    In this video I go over all the research on why layoffs actually make a company take longer to recover from a crisis.

    Of course, sometimes a company is in such dire straits that layoffs are unavoidable. Then what do you do?

    Hal Rosenbluth had made a provocative decision: As CEO of Rosenbluth International, a corporate travel agency employing 6.000 people, he decided that his company would put the employees first. Where other companies aim first to satisfy customers or investors, Rosenbluth made it their first priority to make their employees happy.

    The results were fantastic. Record growth, record profits and, most importantly, customers raved about the service they got from Rosenbluth’s happy employees. Hal Rosenbluth explained the company’s approach in a book whose title elegantly sums up his philosophy: “Put The Customer Second – Put Your People First And Watch’em Kick Butt”.

    A company’s commitment to its values is most thoroughly tested in adversity and Rosenbluth hit its share of adversity right after 9/11. Overnight, corporate travel was reduced to a fraction of its former level and it recovered more slowly than anyone predicted.

    Rosenbluth tried everything in their power to avoid layoffs. They cut expenses. Staff took pay cuts and so did managers and executives. But in the end they had to face it: Layoffs were inevitable and they decided to fire 1.000 out their 6.000 employees. How do you handle this situation in a company that puts its people first?

    In his book’s most moving chapter, an epilogue written after 9/11, Hal Rosenbluth explains that though layoffs don’t make employees happy, not doing the layoffs and then going bankrupt at a later date would have made even more people even more unhappy.

    Hal Rosenbluth recounts how he wrote a letter to the organization explaining the decision and the thinking behind it in detail. The result was amazing: People who’d been laid off streamed into Hal’s office, many in tears, telling him they understood and thanking him for their time at the company.

    Rosenbluth’s letter also contained a pledge: That those remaining at the company would do everything they could to bring the company back on track so they could rehire those who’d been laid off. Six months later, they’d hired back 500 out of the 1.000 and the company was solidly on its way to recovery.

    Blunder #3: Giving up on employee happiness

    Crisis blunder number 3 is very simple: Giving up. Many people believe that when a crisis hits a company, it becomes impossible to create job satisfaction.

    Don’t fall into that trap. It’s precisely when a crisis hits that your company needs everyone to do their best, and studies document that happy employees are more innovative, efficient, loyal, and motivated. So cut back on everything else, but don’t cut back on employee happiness.

    Of course it’s easier to be happy when everything is going swimmingly, but people can still be happy at work in a crisis. It takes determination and focus, but it can be done. Surprisingly, a crisis can make people happy at work, provided that it becomes a reason for people to focus and pull together – rather than an excuse to give up.

    How do we create employee happiness in a crisis?

    Economist Paul Romer has wisely said that “A crisis is a terrible thing to waste.” Companies that can maintain their focus on employee happiness in hard times can not only weather a storm better, they can come out of tough times stronger and with even higher levels of productivity, innovation and employee engagement.

    I have previously written about some great examples – my favorite is absolutely how Xilinx used the dot-com crisis to increase their market share and employee loyalty.

    Here are the three ways to do it.

    1: Create and maintain positive workplace relationships

    Good workplace relationships are the foundation of happiness at work and in hard times we need more than ever to feel that the people we work with see us, support us and care about us.

    We know from a tremendous amount of research than when people feel alone and isolated, it really hurts their mental health, happiness and resilience.

    So in hard times it is especially important for managers to take time to check in with their employees, listen to them, help them and generally show them that they are valued.

    2: Appreciate employees for the great work they do

    In tough times, individual employees and teams are still doing their best and working hard. Company results are down because of the latest global crisis, not because of a lack of effort from employees.

    And managers should recognize those efforts and clearly

    If employees experience that their hard work goes unnoticed and unappreciated because the company is not achieving its financial goals (due to the market, not due to their work), they quickly lose all motivation and pride in their work.

    3: Communicate, communicate, communicate

    Employees deserve to know exactly what’s going on – the good and the bad. Leadership

    That’s exactly what they did at Xilinx when they were facing the company’s biggest crisis ever.

    CEO Wim Roelandts organized meetings with his entire management staff and the managers below them as well. He knew, that when employees had questions, they wouldn’t come to him or the VPs, they would come to the managers closest to them, so it was important that they knew what was happening and remained optimistic.

    This is not easy, as Wim readily admits. “I didn’t know any more than anybody else what was coming and so the tendency is to close your office door and don’t talk to anybody because if you talk with someone, they can ask questions that you don’t know the answers to.

    But that’s actually the wrong thing to do, you have to get out there. You have to talk with people and even more important you have to force your management to get out and talk, talk to people, tell them when you don’t know but also tell them all the things you know and good friend to give people some hope that things will get better soon.”

    Incidentally, these types of events also help maintain workplace relationships because they give people a chance to connect and talk openly.

    The upshot

    Every single company in the world is going to face tough times. And not just once but again and again.

    And when that happens, most companies fall into crisis mode and abandon all attempts to be good workplaces.

    This is a mistake. Not only does that hurt employees, research shows that it actually makes the company recover more slowly. Or not at all. Losing employee loyalty and innovation can absolutely kill a workplace.

    The best workplaces on the other hand find a way to keep employees happy and productive in tough times and they can not only survive a crisis, they can emerge stronger, more profitable and with more loyal and engaged employees than before the crisis.

    That’s what happened at Xilinx. I asked CEO Wim Roelandty what his proudest moment in the whole process was and he said that one day, about two years after the crisis when Xilinx was back on track, Wim was just arriving at the office when he was approached by a female employee who happened to arrive at the same time.

    She told him this story:

    “My husband got laid off and so yesterday evening we had a family meeting with the children. We had to tell them that their father had been laid off and that we had to do some savings and had to be very careful how we spend money, to make sure that we get through this tough time until dad finds a job again.”
    One of my children asked ‘but mom what is going to happen if you get laid off’. and I was so proud to say that I work at Xilinx and Xilinx doesn’t lay off people.”

    Your take

    What do you think? How is your workplace handling the current uncertainty? Is there any attempt to keep employees happy and productive or has that been left by the wayside?

    Links

  • Free Webinar: How To Keep Remote Workers Happy And Productive

    Free Webinar: How To Keep Remote Workers Happy And Productive

    How do we make remote work work? What are the specific, effective ways to ensure that employees can still do great work and connect with each other even though they’re not in the office in person all the time?

    And how do we convince company leadership that remote work is good for business in a time where many companies are forcing people back to the office? We’ll reveal all about that in our next free webinar. Content includes:

    • The most relevant research around remote work and employee happiness and productivity
    • How to define and preserve the company culture when people are not in the office full time
    • 5 innovative tips that make remote work work
    • Great examples from happy remote workplaces from around the world

    Time: Wednesday April 2nd 2025, 3PM CET / 9AM ET.

    We’ll keep the whole thing snappy, informative and fun and be done in just half an hour. Read more and sign up here.

  • All Remote Work Haters Ignore One Crucial Point

    Jamie Dimon became the latest billionaire to CEO to rail against remote work and seek to force employees back into the office full time.

    He went on an angry rant in a JPMorgan Chase town hall meeting where he claimed that being together in the office is the ONLY way to be creative and productive because there you can communicate and collaborate in person.

    He also rejected a petition signed by thousands of his employees looking to preserve hybrid work, saying that he didn’t care how many people signed it and adding this:

    Now, you have a choice. You don’t have to work at JP Morgan. So the people of you who don’t want to work at the company, that’s fine with me. I’m not mad at you. Don’t be mad at me. It’s a free country.

    But here’s what Jamie’s ignoring: While there are definitely some advantages to in-office work he’s completely forgetting that even when employees are physically present in the office, most coordination and collaboration still happens over virtual channels like email, chat, phone calls, discord, slack, zoom or whatever.

    You don’t go to a coworker’s desk and interrupt their workflow every time you need help with something. You don’t call a meeting every time you have a question. You don’t go to your manager’s office every time you need to make a decision. Or at least, I really, really hope you don’t!

    So when some people rail against remote work arguing that there’s just no way people can collaborate well and be productive, they’re completely ignoring just how virtual the physical office already is.

    The most hilarious part of Dimon’s rant is that he has since apologized for it. Not for maligning his remote workers. Not for claiming that they’re all slacking when they work from home. No – he apologized for cursing.

    Jamie, Jamie, Jamie… the problem was not you dropping some F-bombs. The problem was your complete inability to trust your employees and to recognize that there are more ways of working effectively than just yours.

  • Book Review: Any Dumbass Can Do It by Garry Ridge

    Book Review: Any Dumbass Can Do It by Garry Ridge

    What does it say about me that out of the (literally) hundreds of business books I’ve read, two of my all-time favorites have the word “ass” in the title?

    Do I just have a juvenile sense of humor? Do I tend to enjoy profanity? Do I like it when people are brave enough to stick out from the crowd? Guilty on all counts!

    Almost 20 years ago Stanford professor Bob Sutton wrote “The No Asshole Rule” and in March Garry Ridge’s new book “Any Dumbass Can Do It” is coming out and I was lucky enough to get to read an advance copy.

    In some ways these two books are polar opposites. The No Asshole rule looks at bad management from a research-based perspective and reveals all the ways toxic bosses hurt us and gives tips on how to deal with them.

    “Any Dumbass Can Do It” on the other hand is a practical real-life guide to how to be a good leader from a man who has done it himself for decades with spectacular results.

    Garry was CEO and president of WD-40 Company for over 25 years, and is also an adjunct professor at the University of San Diego, where he teaches the principles and practices of corporate culture in the Master of Science in Executive Leadership program.

    I probably don’t need to talk too much about the company. I’m willing to bet that somewhere in your home there is a blue and yellow can of WD-40 – I know exactly where mine is! But with Garry at the helm it grew to a multibillion-dollar company while maintaining a culture where 97% of employees say they love to work.

    I have a special insight when reviewing this book because I have seen the results first hand. Garry and I first met 20 years ago and have since then spoken at the same events many times. I invited him to speak at one of my conferences and he brought me in to present to his leadership class. I also got to tour the WD-40 facilities and see for myself all of the amazing initiatives that build and sustain their culture.

    Watch Garry’s amazing speech at my conference.

    When you read “Any Dumbass Can Do It” (and you absolutely should) you will get access to so many of Garry’s ideas and tools that you can apply in your own leadership. He has been there and generously shares exactly how you can do it for yourself. You’ll get ideas both for building a better culture in your own organization and for how to connect better to your customers’ needs and build an inspiring external brand.

    All of these ideas are gold but for me, the deepest value of this book comes from its most foundational message: That we are all just here in this world to make each other happy and if we can build a business based on that, then employees will be happier and the company will be much more successful.

    It’s a rare business book that explicitly uses the H-word (Happy) but in this book it shines through every page. The book is also highly readable and at times hilarious, which only makes me like it even more.

    The management guru Warren Bennis once said this:

    The most dangerous leadership myth is that leaders are born – that there is a genetic factor to leadership. This myth asserts that people simply either have certain charismatic qualities or not.

    That’s nonsense; in fact, the opposite is true. Leaders are made rather than born.

    I could not agree more. Any leader willing to put in the effort can turn their organization into a happy and successful culture. And using all the many many fantastic tips in Garry’s book means that even a dumbass can do it.

    The book comes out in March 2025 and you can preorder it here.

  • How Companies Keep Getting Motivation All Wrong

    How Companies Keep Getting Motivation All Wrong

    All companies want their employees to be motivated but traditional tools like rewards and punishment just don’t work very well. In fact, they usually backfire. So how do we REALLY motivate employees?
    In my latest webinar I revealed exactly how to effectively and sustainably motivate employees according to research. You can watch the whole thing right here.
  • Research Reveals The Surprising Links Between Compensation And Happiness

    Research Reveals The Surprising Links Between Compensation And Happiness

    How exactly does compensation affect employee happiness? I covered that in my latest webinar… where I also proposed something HIGHLY controversial 😲

    Watch the full webinar and get my slides and other materials here.