Brunell: ‘Undercover Boss’ shows CEOs value of workers

He soon realized Frontier workers had to move fast without making mistakes. Keeping airplanes flying is critical to an airline’s bottom line. On-time performance in tidy jets with friendly crews keeps passengers flying Frontier.

Bedford also learned balance-sheet-based decisions can mask problems. Frontier cut wages by 10 percent to save the company. That had real impacts on family budgets and affected worker retention. It moved him to expedite restoring lost wages as the airline’s bottom line improved.

Leaving corporate headquarters is risky, but it was a way of life for Jim Sinegal, co-founder of Costco. It also was rewarding. By the time he retired, Costco was America’s second-largest retailer.

In 2009, U.S. News and World Report called Sinegal one of “America’s best leaders because he’s not a typical CEO.” Many bosses rely on trusted subordinates and seldom visit the places where people work, but Sinegal made it a point to visit every store each year. He was visible to Costco workers, walking through the stores and interacting with them.

Costco’s way is similar to a 1980s management style attributed to Hewlett-Packard founders William Hewlett and David Packard, called “Management by Walking Around.”

It is not complicated, but it is a way CEOs connect with their companies and employees. It fosters two-way relationships, which benefits everyone.

MBWA has six guiding principles: Make it part of your day, don’t bring an entourage, visit everyone, don’t criticize, ask questions and solicit ideas, and follow up. Noted business leadership authority Ken Blanchard added: “Catch People Doing Something Right” and recognize them for it.

MBWA is a way to sustain a company’s culture shift. It builds teams and recognizes the value of each worker’s work. Suddenly, the CEO is a real person, not just a name on the company’s annual report.

When MBWA was introduced, communications were more personal. People met face-to-face and talked by phone. There was no voice mail, automated answering machines, texting, video conferencing or emailing.

That personalization has faded with the shift to text and email. Today, it is not uncommon to see people, including some CEOs, texting or checking email during company meetings. Often it is inadvertent, but it sends the wrong signal.

Our culture has shifted to digital communications. People now have a hard time talking with and listening to one another. It is becoming a huge barrier in the workplace.

But the lesson undercover bosses learned is that people and relationships still matter. There is no substitute for getting to know your employees and talking with them at their place of work.

Don Brunell, retired as president of the Association of Washington Business, is a business analyst, writer, and columnist. He lives in Vancouver and can be contacted at TheBrunells@msn.com.