Providing employees with relevant financial information is another common method to create the motivation to change. Considering how Tush Nikollaj used this approach to unfreeze his organization. In January of 2004 he gathered his upper managers in a conference room and confessed that in the space of six months, the company had gone from turning a profit to losing $130,000 a month. He drew one stark, startling graph on a whiteboard. The graph, which depicted sales, recurring revenues, and expenses, showed that Logical Net Corp., an $8 million Internet service provider based in Albany, NY, was likely to go bankrupt by April. . . . He realized that the only way he could avoid bankruptcy would be if all his employees moved to cut costs and raise revenues—drastically. To motivate swift action, Nikollaj knew he’d need buy-in.
The key to this benchmarking is for the Leadership to foster information sharing and facilitate employees to make informed decisions.