Pac-West powerhouse, LaborWorks, overcomes this challenge and experiences incredible growth.
SHERMAN OAKS, Calif., Jan. 25, 2007 — Can a business manager ever trust his or her employees too much? "Absolutely!" says Scott Sabo, who learned this tough lesson when his industrial staffing company, LaborWorks (http://www.laborworks.com), took a serious hit after the dot-com crash and tragic events of 9/11.
Based in Gig Harbor, Wash., LaborWorks opened in 1998, expanded with six Pacific Northwest branches, and boasted revenues of $6.5 million within three years. However, when the economy stumbled, LaborWorks needed to shrink its employee pool and close two of its newest branches. Scott hated shutting down the offices but found it even harder to cut his staff. Personally attached to everyone he'd hired and a very trusting sort of leader, Scott had never measured employees' performance or held them accountable for work. Firing his "friends" was a gut-wrenching, emotional undertaking.
Knowing that he needed some real objectivity and change, Scott recruited Management Action Programs (MAP, http://www.mapconsulting.com). MAP is a veteran business-consulting firm that has accelerated sustained growth for over 12,000 companies and 150,000 executives since 1960.
"Like many new entrepreneurs facing a quickly growing business, Scott lacked a solid recruitment or management plan; he'd bring people on board and just trust that they'd do a good job," says Lee Froschheiser, MAP's president/CEO, and author of "VITAL FACTORS: The Secret to Transforming Your Business – and Your Life" (2007, Jossey-Bass/A Wiley Imprint, $27.95). "LaborWorks suffered because some staff members weren't motivated or productive. Fortunately, Scott is a very humble leader and, with MAP's help, he put a solid plan in place and got the right people on board."
How did Scott transform his staffing company into a Pac-West powerhouse? Using MAP's customized principles, he improved his delegation skills, empowered his staff, and established accountability through the Vital Factors process.
"In adopting this system, it took the emotions out of management," Scott says. "People now see in advance if they're not making the grade, and they tend to get out before we have to do anything about it, or, even better, they improve upon their weaknesses!"
The proof is in the profit: With MAP's program and Scott's commitment to change, LaborWorks' earnings have soared from $5.6 million to $14.4 million in just over two years. And as a bonus, Scott has profited from a newfound trust in himself as a more empowering, productive type of leader.
About MAP
MAP offers business leadership training to organizations nationwide through its western U.S. offices. Since 1960, MAP has been sharing its expertise by helping more than 12,000 organizations and 150,000 individuals reach their professional and personal goals through its Management Development Programs. MAP delivers business leadership training through consulting services and on-site programs. MAP has an active alumni network, providing its supporters online seminars and value-added communications.
INTERVIEW OPPORTUNITY: MAP's CEO, Lee Froschheiser, is speaking to Seattle business leaders the week of Jan. 29, 2007.
Contact:
John Manning
Marketing Director, MAP
949-608-0339