If you are starting fresh with your venture, or even if you’re knee deep in a startup, it’s good to ask yourself: How healthy is my business at this point? According to Patrick Lencioni, an organizational health guru and author of several books on the topic, organizational health is the single greatest factor in determining the success of your startup.

An unhealthy organization is a stressful place to work, mired in confusion and conflict, and under-producing. An organization cannot survive for long under these conditions. Lencioni claims that the health and the ultimate success of an organization rely on two main components: a cohesive leadership team and communication clarity. Does your leadership team:

1) engage in productive, unfiltered discussion and debate?

Or do they stay quiet, nod but secretly disagree, or fear reprisal for pointing out             problems? 

2) leave meetings with clear, specific and agreed upon next steps?

Or, do people leave meetings with unresolved issues, confusion or partial buy-in?  

3) hold each other accountable to commitments and behaviors that reflect the company’s core values? (Have you established core values to behave by?)

Or assuming that you have established core values, do your team decisions and             behaviors deviate from those core values?   

4) put the company’s priorities ahead of their individual department’s needs?

Or do department heads compete with each other, establish goals that are personally expeditious versus company-focused? 

A founder who builds a healthy organization looks first to his or her leadership team − whether it be two of you or twelve of you. It’s easy enough to hire smart leaders (experts in strategy, finance, technology, and marketing) than it is to change unhelpful attitudes and behaviors after they’ve seeped into the guts of the organization. When gossip, sham participation and confusion abound, exceptional (and expensive) talents cannot be fully utilized. Much time and money is lost in rehabilitation. In my experience coaching communication in companies, a healthy organization saves time and money allowing leaders to perform to their potential.

In the next blog post, I’ll address the second distinctive feature of healthy organizations − communication clarity.

Need more simple and time-saving ways to improve your company’s health. Send your comments and questions to me at [email protected]

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