In a competitive market, having a degree of complexity in the business can give it added resilience and adaptability. But more often than not, complexity that isn’t properly managed will lead to decreased productivity, higher operating expenses, loss of profit and reputational damage. Over 40% of C-suite executives agree that complexity is one of the top barriers to a business’s success.1
Businesses don’t always add complexity intentionally – it can inevitably infiltrate operations over time, as they grow and respond to environmental changes. Sometimes, the very systems and processes implemented to simplify operations can end up causing even more complexity.
One of the biggest detriments of complexity is lowered efficiency, with employees often bearing the brunt and having to work harder to compensate for this deficit. Anyone who has dealt with problems like siloed business units, convoluted processes and unnecessary protocols can attest to the endless frustration they cause.
We’ve helped businesses of all sizes simplify complexity, and some of the issues we often encounter across industries include process constraints that prevent staff from being able to do their job effectively, as well as suboptimal processes resulting in wasted time and resources. Notably, these two factors are key reasons that cause employees to resign.3
A high rate of turnover in an organisation further decreases productivity and increases burnout for its remaining employees. Furthermore, constantly having to replace staff and train new ones can be time consuming and costly.
It’s imperative to recognise how unnecessary operational complexity might be causing employees to leave. Simplifying your operations will go a long way in protecting one of your business’s most important assets – its talent.
References
1https://businessrealities.eiu.com/in-brief-operational-complexity
2https://www.cio.com/article/250918/9-reasons-good-employees-leave-and-how-you-can-prevent-it.html
3https://hbr.org/2019/09/8-things-leaders-do-that-make-employees-quit