Mergers & Acquisitions Advisory

A Neumann & Associates, LLC

September 14, 2018

5 Telltale Signs That A Company’s Workplace Is Turning Toxic

By Achim Neumann

There is a swathe of information out there about what businesses can do to improve their chances of success. We often hear of how a company can better maneuver in the market, hire better staff and seek out new opportunities, but rarely do we see people discussing the implications of a toxic workforce, how it damages success and what can be done to remedy this. Long before the workforce begins to slow down, get complacent or even turn on each other, there are plenty of signs that something dangerous is afoot, and here are 5 which could indicate that a workforce is starting to turn toxic.

Gossip Kings and Queens

The first signs that a workforce is unhappy will not take place in meetings or one-to-ones, but in the quiet of the cafeteria or the small gatherings taking place in common areas, where the gossip merchants are sharing their displeasure. The people who begin such a trend, are the ones who will need to be addressed. Perhaps they don’t consider themselves as having a future with the company, but their words and attitudes can quickly infect staff who otherwise have no issues.

Morale

Any smart leader can boost the morale of their team after just a few days of being a little more involved. Team members will be more receptive to their boss being move inovlved as they are unhappy to begin with, and by showing that you actually care, they will be very receptive. Morale can be low for a variety of reasons, but the one to weed out first is if team members feel undervalued. This can turn toxic very quickly and should be addressed as soon as possible.

Leadership Change

In a situation where the workforce lacks confidence and have low morale, we generally see those in a leadership role take on the attitude of a dictator, which can turn into a vicious circle between leadership and their staff very quickly. Regardless of what started first, this paradigm must be fixed with haste because if not, one will continue to feed the other until the levee breaks, resulting in staff or management departures, and a heavily damaged business.

Becoming Machines

Another early sign that the workforce is feeling dejected, is that the human spirit begins to disappear, the greetings carry less emotion, and there is a general feeling of despondency in the air. As soon as a member of staff feels as though they are a part of the machine rather than a key person within that machine, they will begin to act in a very different way, offering little emotion in their job, and showing less cordiality between their colleagues and management.

Absenteeism Starts to Increase

Very rarely do you see a large amount of absenteeism at the same time, which can ocassionally occur doing illness being passed around the office or something similar. But, if the rate of sick days and excuses for lateness or no-shows begins to increase, without such a healthbeing apparent, one can only draw the conclusion that the staff are losing faith in what they do in their job. Once this begins to happen, the workforce already has a certain toxicity to it, which must be resolved, both for the happiness of the staff, and for the sake of the business.

Any of these signs can be dangerous for a leadership team which is why they should always be on the lookout, and making sure that they are nipped in the butt before they grow, resulting in a team which is not working to the level that the business needs.

About A Neumann & Associates, LLC

A Neumann & Associates, LLC is a professional mergers & acquisitions and business brokerage firm having assisted business owners and buyers in the business valuation and business transfer process through its affiliations for the past 30 years. With an A+ Better Business Bureau rating, the company has senior trusted professionals with a deep knowledge based in multiple field offices along the East Coast and has performed hundreds of business valuations in its history. The firm’s competitive transaction fees are based on successfully completing transactions. For more information, please contact A Neumann & Associates at 732-872-6777 or info@neumannassociates.com

Comments are closed.

Any questions? Please contact us at 732-872-6777
Call Now

Client Testimonials

“I'm an attorney. I have represented the buyers and sellers of businesses for 20+ years. Recently I had the pleasure of handling a transaction where Richard Wilder of A. Neumann & Associates was the broker for the seller. Mr. Wilder was of great service to his client. He is very knowledgeable and organized. Thanks to his guidance the transaction proceeded smoothly and closed on time. He is highly recommended.”

Nick Ferrante

“Richard, you came to my office a few years ago and were wonderful in explaining your process and procedures. Our company is probably an anomaly in that we sold the majority to two long time employees and I financed them both. Our company is entering its 45th year and is still thriving. The purpose of the note is to thank you very much for the service that you provide. Thank you again.”

John Foug, Seller

“We had a great experience working with Richard Wilder from Neumann and Associates as the sell-side broker for Blade Runners. He was knowledgeable, professional, and clearly had his client’s best interests at heart. Richard helped keep the process smooth for everyone, and thanks in part to his efforts, we found a fantastic owner to partner with. We'd gladly work with Richard and the Neumann and Associates team again.”

Justin Martin

“Very happy with Richard and the entire process. I was on the buyer side of the transaction.”

Isaac Palmer, Jr.

“If you are looking for a professional and informative company that meets your needs, A Neumann & Associates is the company to go with. Ted Kantor went above and beyond to make our experience as easy as possible. Ted was helpful from the start of our process to the end. He was there every step of the way to guide us and answer all of our questions. He handled all of the in-depth communication and followed up on every detail. We strongly recommend Ted Kantor to help you whether you're buying or selling. It was a great experience. We never imagined it would go as smooth as it did. The Laluna's (Andy, Maria & Tony Jr)”

Maria Laluna

“A Pleasure to work with - I highly recommend them! Working with Richard Wilder was a pleasure, and he found us the perfect match.”

Laura Keith-Macario

“This spring we acquired a business that was represented by Richard Wilder at A Neumann & Associates. Small business acquisitions can be very emotional for the sellers and life-changing for the buyers, and Richard was keenly aware of this throughout the process. Although he was working for the sellers and not for us, he knew that most business owners see their business as their baby so the only way to have a happy outcome for his clients was to also have a happy outcome for the buyers. Knowing how nerve-wracking this process can be (think home buying x 10), he never dropped the ball on keeping everyone updated, anticipating potential snags, and guiding us along in the process. We highly recommend Richard.”

Shannon, Buyer

“My business was my baby for over 40 years. It is a tough and cruel world out there when it comes to selling your business. Neuman and Associates provided the professional guidance/protection to get the job done with care and no pressure. In my view a tremendous value. I would recommend them to anyone seeking to sell their business. Eric Storck, president of Blade Runners Inc.”

Eric Storck, President - Blade Runners Inc.

“I’m really impressed with how your firm operates. The focus on confidentiality, the thorough vetting process, and the use of third-party accredited valuations really stand out. It’s easy to see why you’ve built such a strong reputation over the years.”

Ann M., Investor

“Thanks for sending over such a detailed CIM.  While I have only reviewed a have dozen CIMs at this point, your company has put together the most comprehensive data and detailed presentation I have seen so far.”

Ben N., Investor
view all testimonials

Contact A Neumann & Associates, LLC

If you are considering selling your business, please contact us to learn more about our comprehensive service spectrum. Our experienced professionals will answer all your questions about selling a privately held business in complete confidentiality. Please fill out our contact form, or call us at 732-872-6777. We will contact you directly and will never identify ourselves to your employees.

call us now
Contact Us for a Free, Confidential Consultation

Experienced M&A Advisors available

Full Name
Email Address
Phone Number
Message