Heard it on the grape vine – a sign of weak management

Information is the currency of management.

In rich companies information flows across the company funding collaboration and fact based decisions. Managers make decisions with a clear understanding of reality and a way of measuring performance. In these companies information is a resource for the

Poor companies hoard information. Managers hold information and ‘spend’ it to get something in return. Adages such as ‘its not what you know, its who you know’ reflect this information as an asset view.

However, rich or poor information does flow through a company. In an environment of weak management, information flows through informal relationships unevenly across the company and with unexpected consequences.

That is the grapevine.

The grapevine is inefficient. Managers spend time combating false or misleading information. If you have to tell them what your going to tell them, tell them and then tell them what you told them you will be less efficient. People make decisions based on what they know. In the vacuum of clear flowing information, they will use the information they have from the grapevine and in a vacuum of reality and data. This leads to work, errors and re-work.

The grapevine is ineffective. An active grapevine undermines official communications channels and builds cynicism across the enterprise. In a perverse way, the need for clear and reliable information feeds the grapevine. Managers feel the compulsion to wait until ever “i and t” are dotted and crossed before releasing information. The result is official communications that read like a G8 resolution in that they either don’t say much or they are so late in coming out that they are irrelevant.

Weak managers fight the grapevine. Weak managers see any flow of information that they do not control as a threat. They turn up the volume on their own communications, the remove authority from their teams.

Effective managers recognize the grapevine, but they strip its power through information clarity and transparency.

• That starts with having a single version of the truth based on a reporting system.

• It strengthens through frequent communication and application of information and data in meetings and decisions.

• It is complete with the use of measurements and metrics that demonstrate value and results created by their actions.

Without good information, a grapevine weakens management and restricts enterprise performance. People will talk. They will share information. Grapevines are a fact of life in every company.

Weak managers seek to control the grapevine and in the process become controlled by it.

Strong managers leverage the energy in the grapevine through increasing the flow of good information across the enterprise.