UK business leaders crave life balance
July 26, 2006 - UK business leaders aspire to reduce their weekly hours by one fifth and cut their monthly hours by more than 40 according to research commissioned by Vistage International – the world’s largest chief executive membership organisation.
The findings reveal that two thirds of bosses questioned admit their family life is suffering as a result of their workload or stress – with just over one in four fearing burn out if they fail to achieve a life balance.
Over half of the 500 bosses questioned are striving to cut their working week from an average of 51.5 hours to 42.5 hours. Eighty three per cent said they would be happier as a result – and more than a third believe it would boost their company’s success and make them better leaders.
The research was conducted with MDs of companies with 25 or more employees and a turnover in excess of £1 million. Forty two per cent have held the role for more than ten years – and twenty per cent have boosted profits by fifty per cent or more over the last five years.
Key findings also reveal that less than half of the recipients do not have a personal training and development plan or a one-year business plan. Only twenty five per cent have prepared for their succession – with just one in five setting an exit strategy in place.
One in five bosses feel isolated when making business decisions and over three quarters would turn to colleagues for help in a business crisis. An underperforming team, followed by a lack of strategic planning, are seen as the biggest stumbling blocks to boosting profitability.
Thirty eight per cent of participants claim that hiring the wrong people results in missed opportunities and almost one third say it leads to low employee morale.
Said Vistage Business Development Leader, David Banyard: “As highlighted in the survey, many business owners frequently exceed European directives of a 48-hour working week – often to the detriment of their family and home lives.
“At Vistage, we constantly strive to enable our members to achieve a better work / life balance. The most important action leaders can take is to commit to change in their routine by taking small steps. An important breakthrough, for example, could be to leave work at 5.30pm one evening a week and be home in time to see the family.”
Vistage - which develops chief executives who value having their answers questioned and their thinking challenged via confidential peer group sessions and one-to-one interaction - runs 65 forums in the UK and Ireland. Combined membership turnover exceeds £10 billion and includes such names as internet bank Egg, Sony Computers, Lex Vehicle Leasing and National Car Parks.
Members meet for monthly intensive development sessions, in which they are robustly challenged on strategic thinking and issues such as fast growth, exit and succession planning and recruiting and retaining outperforming teams. Those who have been with the organisation for three years on average double their speed of growth and treble their productivity.
Key findings
- Approaching a third (32 per cent) of respondents have a turnover of less than £5 million, while 36 per cent have company turnover of more than £5 million. The balance had undisclosed turnovers.
- The average number of employees among respondent businesses was 144. For smaller businesses (under £5m turnover) this was 52 staff, but 193 staff on average for larger companies (over £5million turnover).
- The highest proportion of respondents (42 per cent) were in South East England, 18 per cent in the Midlands and 12 per cent in Scotland.
- 42 per cent of respondents have been in their current position for more than 10 years.
- One in five respondents revealed they spend too much time working “in” the business.
- Eighty-three per cent said an improved balance of life would make them happier - and more than a third believed it would boost the company’s success and make them a better leader.
- Over a third said a balance would reduce stress levels.
- Two thirds said they felt their family life had suffered through their workload.
- Fewer than half (45 per cent) of the leaders had personal training and development plans.
- Only a quarter had succession plans and just a fifth had an exit strategy.
- Just under one in five (19 per cent) said they felt isolated when making business decisions, and most (76 per cent) said they’d turn to a colleague in a crisis.
- While most were confident that they fully understood financial information, almost one in ten did not.
- More than half (57 per cent) of businesses said they had a five-year business plan, with slightly fewer having a one-year plan.
- An underperforming team was felt to be the biggest stumbling block to boosting profitability, followed by a lack of strategic planning.
- Hiring the wrong people was most likely to have resulted in missed opportunities or low employee morale (58 per cent felt this). One in four also said it has resulted in them increasing their work hours.
- On average, respondents work 5.24 days a week and 51.5 hours each week. Those interviewed said they aspired to work 42.5 hours on average.
- Two thirds of respondents (66%) currently work between 40 and 60 hours each week although only 47% actually aspire to work this number of hours per week.
- The most common reason for a balance of life being important was more time for family and friends – with two thirds giving this response. Half said they’d like more time for relaxation and over a third said a balance would reduce stress levels. Two thirds said they felt their family life had suffered through their workload to some extent and more than one in eight said it has affected family life “a lot”.
- Just over one in four (26 per cent) said they feared “burn out” if they failed to achieve a life balance.
Download a full copy of the survey here
Media Contact
David Banyard
Business Development Leader
Vistage International (UK) Limited
+44 (0)1962 841188
david.banyard@vistage.co.uk