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Most organisations fail

The rate at which, and the levels to which organisations – including civil society organisations, charities, political parties and governments – fail or otherwise underperform is unbelievable!

Global statistics show that 80 out of 100 businesses fail within their first 5 years. Of those that survive, 80 percent still fail within the subsequent 4 years. Out of those that remain after these 9 years, only 15 out of 100 make a significant profit; the remaining 85 percent just hang in there.

Start-up Business Survival Rate

That means if 100 businesses start today, in 9 years only 4 of them will be surviving; and of the 4, only 1 will be making a significant profit. This is a major cause of the rampant unemployment and the under-employment or low remuneration, job losses and other poverty-related issues that is plaquing society.

These alarming levels of economic hazards prevail mostly because most workers – staff and management alike – tend to be highly ineffective and unproductive. And like a feedback loop, this leads to alarming leadership crisis which then worsens the situation. Because in a bid to deal with or solve the challenges that do crop up in organisations – as they must – leaders tend to use methods or approaches that are so ineffective. We have already learnt that most people would rather not think, make their opinions known, or speak in public. And also that, 85 percent of business executives have issues or concerns at work that they are afraid to raise. Let alone get the subordinates to contribute effectively towards solving them.

So, there is alarming levels of economic hazards because workers tend to be highly ineffective and unproductive. But just how ineffective and unproductive?

Well, research shows that in most organisations, only 15 percent of the subordinates know what their organisations’ or departments’ top goals and priorities are.

A vast majority of subordinates – 85 out of every 100 subordinates; a whopping 85 percent – do not know what their organisation or department’s top goals and priorities are. Of those who know the top goals and priorities, only 19 out of 100 feel passionate about these top goals and priorities; that translates to about 3 percent of all the subordinates.

Again, of those who know the organisation or department’s top goals and priorities, only 49 percent of their working hours is spent on the most important goals; more than half of the time is spent on less important activities.

In a sense, in most organisations what the people are able to accomplish the whole year, is actually doable within 3 to 4 months.

This is attributable to the failure of leadership.

Again, this issue of general low productivity – even among leaders – applies to organisations of all sorts, including countries and governments as earlier stated.

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Most organisations fail

About the Author

David K Egyir

David K Egyir

EGYIR is passionate about helping serious people like you to escape the most dangerous — common but avoidable — problem most people (rich, poor, educated, uneducated, religious, and non-religious alike) face in life. Also, he designs and builds beautiful, cost-effective and functional buildings, and graphics. And he helps executives, marketers, and business owners to make effective presentations; what you may call winning presentations. He is an Architect, a Designer, and a Life Coach. And an Entrepreneur. Especially as a life-coach, he has been popularly adjudged the best coach for excelling in education, increasing wealth, eliminating stress, and enjoying true fulfillment in life! Egyir understands life thoroughly and shares amazingly liberating insights from a uniquely empowering perspective. He has a firm conviction that, “The greatest tragedy in life is that majority of people have accepted to be less than they were born to be and are thus accomplishing far less than their true capabilities.” To that end, he authored (wrote) Purpose Compass, the exceptional life-coaching book that reveals 4 habits that are currently making your life difficult, or otherwise may soon make your life difficult, but which your parent, teacher, or pastor would dare not talk about; how to escape them and get to live a stress-free life of purpose faster! And 13 other equally amazing books that constitute the Zing4Life! Series. Egyir is also lead promoter of the electronic, trendy and amazing Smart Business Card, the only business card you’ll ever need, for the executive in you! He is a husband, and a father of two. Positionally, he is the Lead Founder and CEO of Seers, Associate of Arthro Synergeio, Lay Preacher of The Methodist Church Ghana, Global Lead Advocate of Zing4Life! and Volunteer Mentor with iMentor Ghana. To see more about him you may click here. #WeAreSeers | To get in touch with Egyir or to follow him on social media you may click here. #EgyirGuidesDaily | To support his writing & life-coaching social ministry you may click here. #SeersFoundation | To be part of Egyir's live sessions online at 20.30 GMT on Sundays you may click here. #TimeWithSeers |