4 Negative Effects of a Disorganized Company

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Overworked civil servantOne thing I dislike is disorganization, especially when it comes to a supposed professional establishment. Case in point, my freshman year of college I attended a university that was completely disorganized. Before coming to school I never received any information about my financial aid package; I had no idea how much money I owed the school. Although I repeatedly called and left voicemails and sent emails, no one ever responded.

Then, upon arriving to the school, I learned that I was required to pay almost $3,000 to become “financially cleared” upon which point I could enter the residence hall and sign up for classes. The administrators sent me from one building to another, and from person who was supposed to be able to help to yet another (who was unable to help). It was an awful experience, which continued throughout my first year there, and eventually led me to transfer.

And sadly, this lack of organization problem is also evident in many companies. Whether it be through the company’s hiring process, onboarding process, scheduling, and/or customer service. Being disorganized can certainly hurt your company financially, but below are four other ways lack of organization can negatively affect your business and its growth:

Stifles Productivity

If employees don’t have a clear sense of your company’s mission, values and vision, how can they carry them out? And if your workers don’t know and/or understand the work they’re required to do, how can they adequately complete tasks?

Disorganization will most certainly stifle a productive workforce if employees don’t have a clear direction and understanding of the company’s purpose and their part in fulfilling it.

Decreases employee engagement/morale

This goes along with the first point. If a worker is unproductive, he or she is most likely disengaged. And disengaged employees decrease overall employee morale.

Ensure that workers are always aware of what’s going on in the company and any changes to their roles to ensure they’re always engaged. Employees want to have an understanding; they want to feel like they’re a part of the team (which they truly are). Be sure to remain organized in all your company functions, policies and procedures so workers will always be fully aware of company-related business and how (if at all) this affects their place in your establishment. This also helps with retention and employee referrals.

Harms Client Relations

Do you think people want to do business with a disorganized company? Think about it: What if you went to a restaurant and waited 15 minutes before someone even greeted you and led you to a seat? Then, the waiter/waitress didn’t return to take your order for another 15 minutes? And once you placed your order, he or she brought out the wrong food? To make matters worse, what if after asking to speak with the manager, the worker informed you he/she wasn’t sure if a manager was working that day? I’m pretty sure many of us would never return to that restaurant.

The same holds true for your company. Clients and customers can and will notice disorganization, which is an immediate red flag. How you run your business will show the client how you will ultimately handle the services/products you’re providing them with. And if you can’t properly run your own company, why would they want you to service theirs?

Destroys Brand

Lack of organization can harm a company’s reputation, which will ultimately destroy its employer brand. Today we’re in the age of reviews; people have no problem hopping online to leave a review for just about anything. Employees can (and most likely will) use sites like Glassdoor and Indeed to rate your company and leave feedback for others. If your place of business is unorganized, others will know. This harms your brand as people can begin associating your company with lack of organization. This will not only lead to a decrease in interested job candidates, but a decrease in customers.

Read more in Employee Engagement

Marks’ stories have also been published in a variety of newspaper, magazine and online formats including The Arizona Republic, The Daily Herald, Arizona Foothills Magazine and various classroom magazines of Scholastic Inc. Service is her passion, writing is her platform and uplifting and inspiring the community is her purpose. Marks received a Bachelor of Arts in Journalism and Mass Communication from Arizona State University.
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