Dear Joan:
Today my manager was called down for a meeting with his boss. His boss told him that he was being relieved of his manager duties and was supposed to focus on building up the sales volume of our Department.
My manager was only just recently allowed to hire myself and an administrative assistant, plus one additional new hire. For the past eight years, he was alone and built up $180 million book with almost no resources.
A new bank President was just hired. They are bringing in a new manager, who we all will report to. They did tell my boss that his compensation and job grade would remain the same and that he could even make better money if he went with a salary and commission option.
I can't help but feel as though my boss does not deserve this. He is a great manager and has worked so hard for this bank. It seems like a huge hurdle for anyone to get over, even if the money could be better. What do you think is behind this reorganization?
Answer:
Your manager must be doing something right if he has an employee who is indignant about how he was treated. Obviously I don’t know the details behind this situation, so I am going to wager a guess, in an effort to shed some light on why it might have been done.
Your boss was either replaced because they really need him to generate more business (which they feel is more important at this time than being a manager), or because his management skills aren’t where they need to be, or for changes from above that are unrelated to his performance.
It’s no surprise that banks are fighting for their lives. The financial turmoil has caused them to close, merge and reorganize in an effort to survive. You mention that a new bank president was recently hired. If the Board of Directors replaced the former president with someone they think can do a better job, he has likely been given a mandate for change.
It’s no surprise that some reorganization is going on, since changes at the top always mean more changes are going to be coming throughout the organization, as he or she brings their own solutions—and often, their own management team—along with them.
It is very possible that the new president, or someone at a senior level, is bringing in someone they worked with in a prior job, to replace your manager. They obviously value your manager’s ability to grow the business, and that is why he isn’t being fired. It’s a good sign that he isn’t losing his recent pay increases and job grade. It’s a sign that they don’t want him to leave and value his contribution.
The sad part, of course, is that your manager worked so hard over the past eight years to get where he is, and was just starting to build his department. I’m sure he feels like the rug was pulled out from under him. His ego has taken a hit—he has to face his colleagues, who know he has been removed from his position.
If the organization had been more astute, they would have positioned it to let him save face. For example, if his skills really are needed to focus on building the business, it could have been communicated to everyone that his skills were “vitally important and needed” in this area and the bank is grateful he is going to help in this way.
There is also the possibility that your manager was not performing in a way that met his boss’s expectations. You indicate that he is a good manager, but there may be more to the story. Sometimes people who are excellent in the sales or technical area don’t have skills that translate well into manager positions. In fact, sometimes managers voluntarily move back into sales or technical roles because they enjoyed that more than managing.
It would not surprise me if your manager left. A lot will depend on his ego strength, how much he likes the bank, how well he works with the new manager above him and his family circumstances.
He would be wise to take the high road as he sorts out his options. If he can stay positive and not become bitter about this situation it will help him, no matter what he chooses to do. If he does choose to leave, he has the advantage of picking his own path—either as an individual contributor or a manager. Now he has had experience in both and should be able to use those experiences to decide which way he prefers to go. So, even though he wasn’t a manager for long, he can still use that experience to his advantage in the long run.
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Joan Lloyd is an executive coach, management consultant, facilitator and professional trainer. Email your question to Joan at
info@joanlloyd.com. Visit www.JoanLloyd.com to search an archive of more than 1400 of Joan’s articles. (800) 348-1944 © Joan Lloyd & Associates, Inc.
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