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Derrick Woolfson

Derrick Woolfson Business Development

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Top Reasons Your HR is Affecting Your Leadership Development.

Leadership development is not limited to your sales managers on the dealer level. Your HR department can have a profound impact on your entire organization as they, in theory, are assisting your owner in defining the vision for your company. And in doing so, they are to facilitate an environment in which you are able to perform as a leader. But this is not always the case as the HR department can actually cause damage to the organization. 

Here are the top ways your HR department can affect your Dealer’s Leadership. 

HR Is Not on the Same Page With Your Sales Managers. They Are Playing Sides With Upper Management. 

Albeit, it is not easy to manage an organization or the way in which your employees communicate on the dealer level. However, one of the most significant issues a dealer faces is the degree of “playing sides,” that occurs on a daily basis. In which case, the HR director will often speak with the GM or Owner agreeing with their thoughts on what is occurring on the dealer level. That is everything from the manager's performance to how the employees view them as a manager. What the HR director often neglects to mention - when speaking with the GM or Owner - is the “managers” side of the story. Wherein, because they agree with the owner - despite having agreed with the sales manager regarding the issue a few moments ago - they offer a new story that can and will impact your career. A Manager cannot lead a staff if their GM or Owner does not believe in their capabilities. This also destroys any trust that was built with HR. Wherein, if you - as a manager - went to HR to discuss infrastructural issues thinking it was a confidential conversation - to then find out it was not only discussed with upper management but now HR was no longer on your side. This is not your HR director being a leader. This is a lousy HR Director. 

Bad Performance Reviews. Putting Words Into Your GM’s Mouth. The Aftermath You Did Not Anticipate. 

One of the worst things your HR department can do is put words into the GM’s mouth for an employee review. This can cause for bad morale and issues on the dealer level. For example, if the HR director has a problem with a said employee, and they “feed” into a misconception with the GM or Owner - not only does this reflect poorly on your HR department, but it can also cause for mistrust with your employee as they feel sandblasted for something that is not even related to them. 

The other issue with this is that it is very easy for the employee to decipher - within the context of the review - if it was from your GM or HR director. And if your manager is able to see that the criticism came from someone that does not manage them and or is not aware of their work it can create mistrust. Where your sales manager loses their trust and respect for the HR director as they have - in essence - stabbed them in the back. Don’t be this HR director. This is not how you build a department or assist in the overall management of your companies morale. 

100% Turnover. Same Management. Where is the Insight? Where is HR Director? You Can Only Point the Finger So Many Times Before Pointing it Back at Yourself. 

While your sales managers have a direct impact on their team regarding turnover - the same is said for your HR department. Wherein, your HR department needs to be an integral part of the on boarding program. That is ensuring that the new hire has a space to set up. I cannot tell you how many times I have witnessed a sales consultant starting, but they do not have a computer, desk, or any of their logins. And instead of calmly explaining that we will get them their information, the Management staff would run around frantically - looking horribly disorganized - which put a very bad taste in the new hires first day. That said, it is best to avoid this approach and make sure that your staff has the right logins they need. The other thing to note - beyond the onboarding - is asking yourself, why there is so much turn-over? Is it the manager? Is it HR? Is it the GM? Turnover of any kind is not good, but when your turnover reaches nearly 100%, there is a much larger issue at hand. That is what is HR doing - on the dealer level - to both work with and develop the sales managers. If HR is working directly with the sales managers than the turnover ought not to be at levels, we deal with. 

Bottom Line: HR is just as responsible for curating the companies morale and ensuring that the owner’s vision is translated on the dealer level. This cannot happen, however, if the owner does not have a vision and or the HR director is unable to connect the dealers. Working towards developing the leaders on the dealer level providing them the necessary resources. And no longer can HR simply offer that it is not up to them to work with the managers on Pay Plans or Job Descriptions. And while this is not to say that it is HR’s direct responsibility, they have to be able to facilitate an environment in which case the sales managers are allowed both approach and work on said projects. All of which will have a positive impact on the dealer level. 

Do You Have an HR Department? If so, what challenges do you face? 

Kelly Kleinman

HR both protects and stifles, it all depends on who you hire and how badly you may have been stung by a past hire that didn't work out.The smart executive hires an HR person but gives them very limited power and very specific functions. 

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