Giving Compass' Take:

• The author explains the importance of incorporating transparency in business and the impact it will have on employees. 

• Open-book management is becoming a popular business philosophy that encourages sharing information about a company's finances with all employees.  What are some potential challenges with this model? 

• Read about the importance of transparency in the social sector: between grantees and foundations.  

A transparent business seeks to bridge the gap between managers and employees by offering everyone the same access to information. One way to promote transparency is by adopting open-book management, an increasingly popular philosophy among cutting-edge business owners who want to elevate awareness in the workplace.

Regardless of industry, transparency can be a great equalizer and motivator. Business owners who shift closed-door conversations about budgets and revenues to company-wide financial reviews build a greater sense of community among employees.

When employees have access to the same information, they take on a team philosophy where everyone is working toward the same goal. Moreover, they look at ways their personal footprint affects the business as a whole.

Open-book management and transparency in the workplace doesn’t have to be complicated or intimidating. Many business owners enlist a strategic partner to help them adopt the concept and stay committed to the cause. Here are some tips for adopting open-book management as a means to increase office transparency:

  • Be consistent. Plan on hosting monthly meetings to review and discuss financials with your team. Even if the news isn’t great, these are opportunities to start a dialogue about the bigger picture.
  • Be patient. Remember that your team will benefit if you slow down and spell things out. Start with the basics, and explain what balance sheets and profit and loss reports mean before you start looking at the numbers.
  • Set goals. n addition to reviewing reports and analyzing company data with your team, set measurable goals and track their progress during each monthly meeting.
  • Pass the mic. In an effort to be inclusive, share the stage.
  • Share your why. Share your motivation and journey with the team — the more transparent you can be, the more likely your team will be to get on board.

Read the full article about transparency by Jennifer Collinsworth at B the Change