The other day I addressed the topic of making sure that when you lose employees you lose them from the bottom
and not the top. I ran across the statement I used for the title of
this post again today and it reminded me how true it is that we as
managers determine who stays and who goes by the culture we foster in
the company.

As I reflected, I thought about one company I’ve followed closely
over the years. The company is one you would probably have heard of, as
they are very successful in their field. They’ve enjoyed phenomenal
growth for the last 10 years, and they would probably be considered a
successful company by all measures — except one. They have the highest
senior manager turnover of any company I’ve ever seen anywhere.

The CEO of this company is very bright. He knows how to make money.
He understands marketing and finance. He is a charismatic person whom
many (on the outside) look up to. He’s one of those people who can tell
you the sun’s shining when you’re outside at night in the inky
blackness, but somehow you want to believe him. Sort of like
Venezuela’s Hugo Chavez.

But he has a dark side. This CEO is a brutal tyrant and he rules
with an iron fist. Fear is his friend, and he fosters fear in every
employee from the smallest to the tallest. He micro-manages every
little detail to the point that senior managers can’t make any
substantive decision without his written (not just verbal) approval.

What would you predict is the average time people stay with this
company (CEO?) You’re right. Most stay less than three years. This CEO
is a charismatic recruiter. He spends a huge amount of time, energy and
money recruiting the absolute best talent, then treats them as though
they have no value whatsoever to the company until they finally leave.
(Then he sues them for leaving.)

When you consider how much you invest in bringing in the best people
— particularly the recruitment and training of high-caliber managers,
it can take years to get your investment back. Why would you create an
environment where they want to leave? These people are the future of
your company. If they were good enough to put all that energy into
recruiting, wouldn’t you want them to be happy? Wouldn’t you want them
to stay long enough to get your money back?

The kind of company you are, the kind of employees you have and the
kind of reputation you enjoy (?!?) are all a reflection of your
corporate culture. You as CEO or as a senior manager are responsible
for the culture that exists in your company.

When it’s said that employees don’t leave companies, they leave
managers, that’s true not only for good employees but for the bad as
well. Think about your company culture and whether it causes the good
or the bad to flourish. Those that don’t flourish in your environment
will leave soon enough — either from the top or from the bottom. It’s
up to you.