Open and upbeat communication is critical to keeping your teams confident and excited about the inevitable business transitions.
Phillip Windham
President and CEO, Nortek Global HVAC
Nortek Global HVAC manufactures high value heating and air solutions for residential and commercial HVAC markets.
They expanded the spherte of influence for key leaders and associates across the business
For more information on this story, contact
Philip Windham, President and CEO, Nortek Global HVAC: [email protected]
Goal
Nortek Global HVAC (GHVAC) wanted to effectively manage the launch and communication of 80/20 and segmentation across the business without allowing misconception or speculation to run rampant.
Process
Prior to 80/20 training, Nortek GHVAC immediately scheduled interviews and data pull training to establish a stable baseline. Then they assigned a couple of people who were great with data and a few people who were on the radar as potential segment general managers to work on the data. Those people then chose teams to grab natural data breaks. Over the next two weeks, the 80/20 data shifted the team’s focus to product and customer line simplification (PLS/CLS).
Nortek GHVAC got around the bias that can creep into PLS/CLS data analysis by involving people from multiple areas or parts of the business. For example, it had its residential group reviewing Reznor data; its manufactured housing team looking at residential data; Reznor employees assessing manufactured housing data; and demand planners and sales, inventory, and operations planners (SIOP) examining parts data.
During the entire process, communication was key. Nortek GHVAC shared the why behind 80/20 before the training and explained how the process would include multiple business groups. They sent out updates and held multiple live chats with the business to keep it top of mind and maintain momentum. Throughout, they were open and honest about the possibility of PLS and CLS. They let everyone know that as long as they were committed to the mission and conscientious
and diligent in their roles, they would have the ability to excel in the business. Nortek GHVAC thought it extremely important that no one saw 80/20 as a force reduction in disguise.
Once they were ready, segments and general managers were announced to the entire organization. Then, after zero-up and segment draft, Nortek GHVAC celebrated the announcement of segment teams. Finally, any associates left without a team post-draft were treated with dignity and respect.
Results
By overcommunicating and pulling teams together across the business, Nortek GHVAC maintained a positive buzz through the PLS/CLS, segmentation, draft time window, and launch segmentation. They expanded the sphere of influence for key leaders and associates across the business. Keeping the mystery out of the madness, they let leadership control the message instead of allowing fear and innuendo take over.
Key Learnings