Showing posts with label Articles. Show all posts
Showing posts with label Articles. Show all posts

Wednesday, December 19, 2012

The Disciplined Pursuit of Less

Amazing article about looking successful people/organizations thru a new lens. Clarity Pradox. Read to find out more…

http://goo.gl/ef1li

Why don't successful people and organizations automatically become very successful? One important explanation is due to what I call "the clarity paradox," which can be summed up in four predictable phases:

Phase 1: When we really have clarity of purpose, it leads to success.
Phase 2: When we have success, it leads to more options and opportunities.
Phase 3: When we have increased options and opportunities, it leads to diffused efforts.
Phase 4: Diffused efforts undermine the very clarity that led to our success in the first place.

Curiously, and overstating the point in order to make it, success is a catalyst for failure.

We can see this in companies that were once darlings of Wall Street, but later collapsed. In his book How the Mighty Fall, Jim Collins explored this phenomenon and found that one of the key reasons for these failures was that companies fell into "the undisciplined pursuit of more." It is true for companies and it is true for careers.

Here's a more personal example: For years, Enric Sala was a professor at the prestigious Scripps Institution of Oceanography in La Jolla, California. But he couldn't kick the feeling that the career path he was on was just a close counterfeit for the path he should really be on. So, he left academia and went to work for National Geographic. With that success came new and intriguing opportunities in Washington D.C. that again left him feeling he was close to the right career path, but not quite there yet. His success had distracted him. After a couple of years, he changed gears again in order to be what he really wanted: an explorer-in-residence with National Geographic, spending a significant portion of his time diving in the most remote locations, using his strengths in science and communications to influence policy on a global scale. (Watch Enric Sala speak about his important work at TED). The price of his dream job was saying no to the many good, parallel paths he encountered.
What can we do to avoid the clarity paradox and continue our upward momentum? Here are three suggestions:

First, use more extreme criteria. Think of what happens to our closets when we use the broad criteria: "Is there a chance that I will wear this someday in the future?" The closet becomes cluttered with clothes we rarely wear. If we ask, "Do I absolutely love this?" then we will be able to eliminate the clutter and have space for something better. We can do the same with our career choices.

By applying tougher criteria we can tap into our brain's sophisticated search engine. If we search for "a good opportunity," then we will find scores of pages for us to think about and work through. Instead, we can conduct an advanced search and ask three questions: "What am I deeply passionate about?" and "What taps my talent?" and "What meets a significant need in the world?" Naturally there won't be as many pages to view, but that is the point of the exercise. We aren't looking for a plethora of good things to do. We are looking for our absolute highest point of contribution.

 

HPOC_DR.jpg

Enric is one of those relatively rare examples of someone who is doing work that he loves, that taps his talent, and that serves an important need in the world. His main objective is to help create the equivalent of National Parks to protect the last pristine places in the ocean — a significant contribution.

Second, ask "What is essential?" and eliminate the rest. Everything changes when we give ourselves permission to eliminate the nonessentials. At once, we have the key to unlock the next level of our lives. Get started by:

  • Conducting a life audit. All human systems tilt towards messiness. In the same way that our desks get cluttered without us ever trying to make them cluttered, so our lives get cluttered as well-intended ideas from the past pile up. Most of these efforts didn't come with an expiration date. Once adopted, they live on in perpetuity. Figure out which ideas from the past are important and pursue those. Throw out the rest.
  • Eliminating an old activity before you add a new one. This simple rule ensures that you don't add an activity that is less valuable than something you are already doing.

Third, beware of the endowment effect. Also known as the divestiture aversion, the endowment effect refers to our tendency to value an item more once we own it. One particularly interesting study was conducted by Kahneman, Knetsch and Thaler (published here) where consumption objects (e.g. coffee mugs) were randomly given to half the subjects in an experiment, while the other half were given pens of equal value. According to traditional economic theory (the Coase Theorem), about half of the people with mugs and half of the people with pens will trade. But they found that significantly fewer than this actually traded. The mere fact of ownership made them less willing to part with their own objects. As a simple illustration in your own life, think of how a book on your shelf that you haven't used in years seems to increase in value the moment you think about giving it away.
Tom Stafford describes a cure for this that we can apply to career clarity: Instead of asking, "How much do I value this item?" we should ask "If I did not own this item, how much would I pay to obtain it?" And the same goes for career opportunities. We shouldn't ask, "How much do I value this opportunity?" but "If I did not have this opportunity, how much would I be willing to sacrifice in order to obtain it?"

If success is a catalyst for failure because it leads to the "undisciplined pursuit of more," then one simple antidote is the disciplined pursuit of less. Not just haphazardly saying no, but purposefully, deliberately, and strategically eliminating the nonessentials. Not just once a year as part of a planning meeting, but constantly reducing, focusing and simplifying. Not just getting rid of the obvious time wasters, but being willing to cut out really terrific opportunities as well. Few appear to have the courage to live this principle, which may be why it differentiates successful people and organizations from the very successful ones.

By Greg McKeown is the CEO of THIS Inc., a leadership and strategy design agency headquartered in Silicon Valley. He was recently named a Young Global Leader by the World Economic Forum. Greg did his graduate work at Stanford. Connect with him on Twitter @GregoryMcKeown.

Tuesday, November 27, 2012

Strategy execution challenges

I read an interesting article in Dailymirror Lankan edition on 5Ps of Strategy. Here it is for you

http://goo.gl/YZgp0

Surviving in times of crisis Challenges in developing, implementing business strategy

MONDAY, 26 NOVEMBER 2012 00:00

The term ‘business strategy’ has many definitions but my favourite is by Johnson and Scholes in Exploring Corporate Strategy. They said, “Strategy is the direction and scope of an organisation over the long term, which achieves advantage for the organisation through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfil stakeholder expectations.”
According to this definition, business strategy is about:

  • Where is the business trying to get to in the long term? (direction)
  • What external, environmental factors affect the businesses’ ability to compete? (environment)
  • How can the business perform better than the competition in those markets? (advantage)
  • Which markets should a business compete in and what kind of activities is involved in such markets? (markets, scope)
  • What resources (skills, assets, finance, relationships, technical competence and facilities) are required in order to be able to compete? (resources)
  • What are the values and expectations of those who have power in and around the business? (stakeholders)

Entrepreneurs and business managers are often so preoccupied with immediate issues that they lose sight of their ultimate objectives. That’s why preparation of a strategic plan is a virtual necessity. This may not be a recipe for success, but without it, a business is much more likely to fail.
A sound plan should:

  • Assist benchmarking and performance monitoring.
  • Provide a basis for more detailed planning.
  • Serve as a framework for decisions or for securing support/approval.
  • Explain the business to others in order to inform, motivate and involve.
  • Stimulate change and become a building block for the next plan.

A satisfactory strategic plan must be realistic and attainable so as to allow managers and entrepreneurs to think strategically and act operationally.
Starting point
The starting point must be to determine a company’s existing vision, mission, objectives and strategies. Then judge these against actual performance along the following lines:

  • How has the company sought to increase sales and market share?
  • How has the company been managed?
  • Describe the actual strategies followed over the past few years in respect of products/services, operations, finance, marketing, technology, management, etc.
  • Is the current vision being realized?
  • How has the company’s mission and objectives changed over the past say, three years? Why have the changes occurred or why have no changes occurred? Identify primary reasons and categorize them as either internal or external.
  • Critically examine each strategy statement by reference to activities and actions in key functional areas covering such matters as:
  • How has the company been funded?
  • How have productivity/costs moved?

We must take each element and quantify by reference to actual performance. Ask of each ‘why not?’ ‘why only?’ or ‘why so?’ and locate the reasons for differences between the actual and desired performance.
Best approach
In most companies, devising the business strategy takes the form of managers brainstorming opportunities and then planning how they will take advantage of them. Unfortunately, while this type of approach is important, much more than this must be done if they want to be successful.
After all, there’s no point in developing a strategy that ignores competitors’ reactions, or doesn’t consider the culture and capabilities of the organisation. And it would be wasteful not to make full use of the company’s strengths - whether these are obvious or not.
Management expert, Henry Mintzberg argued that it’s really hard to get strategy right. To help us think about it in more depth, he developed his 5 Ps of Strategy – five different approaches to developing strategy.

  • Position
  • Ploy
  • Plan
  • Pattern
  • Perspective

By understanding each P, we can develop a robust business strategy that takes full advantage of the organisation’s strengths and capabilities.
Strategy as a Plan
Planning is something that many managers are happy with, and it’s something that comes naturally to us. As such, this is the default, automatic approach that we adopt – brainstorming options and planning how to deliver them.
Concepts like PEST Analysis, SWOT Analysis and Brainstorming help managers to think about and identify opportunities. The problem with planning, however, is that it’s not enough on its own. This is where the other four Ps come into play.
Strategy as Ploy
Mintzberg says that getting the better of competitors, by plotting to disrupt, dissuade, discourage, or otherwise influence them, can be part of a strategy. This is where strategy can be a ploy, as well as a plan.
For example, a grocery chain might threaten to expand a store, so that a competitor doesn’t move into the same area; or a telecommunications company might buy up patents that a competitor could potentially use to launch a rival product.
Here, techniques and tools such as the Futures Wheel, Impact Analysis, Game Theory and Scenario Analysis can help you explore the possible future scenarios in which competition will occur.
Strategy as Pattern
Strategic plans and ploys are both deliberate exercises. Sometimes, however, strategy emerges from past organisational behaviour. Rather than being an intentional choice, a consistent and successful way of doing business can develop into a strategy.
To use this element of the 5 Ps, take note of the patterns you see in your team and organisation. Then, ask yourself whether these patterns have become an implicit part of your strategy and think about the impact these patterns should have on how you approach strategic planning.
Tools such as USP Analysis and Core Competence Analysis can help you with this. A related tool, VRIO Analysis, can help you explore resources and assets (rather than patterns) that you should focus on when thinking about strategy.
Strategy as Position
‘Position’ is another way to define strategy - that is, how you decide to position yourself in the marketplace. In this way, strategy helps you explore the fit between your organisation and your environment and it helps you develop a sustainable competitive advantage.
For example, your strategy might include developing a niche product to avoid competition, or choosing to position yourself amongst a variety of competitors, while looking for ways to differentiate your services.
When you think about your strategic position, it helps to understand your organisation’s ‘bigger picture’ in relation to external factors. To do this, use PEST Analysis, Porter’s Diamond, and Porter’s Five Forces to analyse your environment - these tools will show where you have a strong position and where you may have issues. You can also use SWOT Analysis to identify what you do well and to uncover opportunities.
Strategy as Perspective
The choices an organisation makes about its strategy rely heavily on its culture – just as patterns of behaviour can emerge as strategy, patterns of thinking will shape an organisation’s perspective and the things that it is able to do well.
For instance, an organisation that encourages risk-taking and innovation from employees might focus on coming up with innovative products as the main thrust behind its strategy. By contrast, an organisation that emphasizes the reliable processing of data may follow a strategy of offering these services to other organisations under outsourcing arrangements.
To get an insight into your organisation’s perspective, use cultural analysis tools like the Cultural Web and the Congruence Model.
Using 5 Ps
Instead of trying to use the 5 Ps as a process to follow while developing strategy, think of them as a variety of viewpoints that you should consider while developing a robust and successful strategy.
A word of advice! There are three points in the strategic planning process where it’s particularly helpful to use the 5 Ps: (1) When you’re gathering information and conducting the analysis needed for strategy development, as a way of ensuring that you’ve considered everything relevant,  (2) When you’ve come up with initial ideas, as a way of testing that that they’re realistic, practical and robust,  (3) As a final check on the strategy that you’ve developed, to flush out inconsistencies and things that may not have been fully considered.
(The writer is a corporate director with over 25 years’ senior managerial experience. He can be contacted at lionwije@live.com)

Monday, August 20, 2012

Change Readiness the new Change Management

Source:http://www.torbenrick.eu/blog/change-management/is-change-readiness-the-new-change-management/?goback=.gde_1855378_member_142106170

Author Torben Rick - Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement and development, change management and turn-around.

Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement and development, change management and turn-around. View full profile

Why can some companies take advantage of any change the market brings, while others struggle with the even the smallest internal or market-necessitated modification? The reasons why will differ for each organization, but the question is definitely worth asking – especially in light of the fact that the pace of change is accelerating at the fastest rate in recorded history.

Companies most likely to be successful in making change work to their advantage are the ones that no longer view change as a discrete event to be managed, but as a constant opportunity to evolve the business. So is change readiness is the new change management? Change readiness is the ability to continuously initiate and respond to change in ways that create advantage, minimize risk, and sustain performance.

Sustaining success depends on an organization’s ability to adapt to a changing environment – whether it’s an external change, such as a transformative technology or a changing economy, or an internal one, such as a restructuring or key process overhaul. Unfortunately, 60-70% of organizational transformations fail – a dismal statistic validated by study after study. Failure rates this high demand a new mindset and new actions:

Change readiness – Change awareness

Change Awareness is a company’s ability to redefine itself as necessary. This contextual focus is critical to innovation – the right product at the right time. Good change awareness practices include scanning the environment for opportunities, focusing on emerging trends and planning for the future. Does your company have people responsible for regularly assessing the market for new opportunities and market changes? Does your company proactively search for opportunities for brand renewal and product innovation?

Change readiness – Change agility

Change agility represents your company’s ability to engage people in pending changes. This is an internal focus that is critical to the company’s ability to effectively implement identified innovations. A great idea won’t matter if you can’t muster the capacity and commitment to carry it through. An organization with good change agility has the capacity to stretch when necessary and quickly shift resources to the place they will make the most difference.

Leadership should inspire confidence and trust, and consistently. How agile is your company? How effective are your managers at engaging and delivering the changes envisioned by your decision makers? How well does your company actually facilitate and execute on change when it is needed?

Change readiness – Change reaction

Change reaction is the ability to appropriately analyze problems, assess risks, and manage the reactions of employees. This internal focus ensures your company can sustain the day-to-day business while reacting in a timely and appropriate manner to self-initiated and market-dictated change. How effectively do you and other leaders at your company assess risk and manage unplanned change? How well does your organization react and respond to crisis?

Change readiness – Change mechanisms

Change Mechanisms should encourage clear goal alignment across functions, the ability to integrate a change into existing systems, accountability for results, and reward systems that reinforce desired change behaviors. This contextual focus is critical to the ability to implement desired change with no interruption to daily operation. Are your structures and systems flexible enough to adapt and support the implementation of change? Does your organization have the structures and systems in place to support the successful implementation of change?

Source: Dilbert

Short URL & Title:
Change readiness the new change management — http://www.torbenrick.eu/t/r/slh

Monday, August 6, 2012

Two Lists You Should Look at Every Morning

 

Source: http://blogs.hbr.org/bregman/2009/05/two-lists-you-should-look-at-e.html

I was late for my meeting with the CEO of a technology company and I was emailing him from my iPhone as I walked onto the elevator in his company's office building. I stayed focused on the screen as I rode to the sixth floor. I was still typing with my thumbs when the elevator doors opened and I walked out without looking up. Then I heard a voice behind me, "Wrong floor." I looked back at the man who was holding the door open for me to get back in; it was the CEO, a big smile on his face. He had been in the elevator with me the whole time. "Busted," he said.

The world is moving fast and it's only getting faster. So much technology. So much information. So much to understand, to think about, to react to. A friend of mine recently took a new job as the head of learning and development at a mid-sized investment bank. When she came to work her first day on the job she turned on her computer, logged in with the password they had given her, and found 385 messages already waiting for her.

So we try to speed up to match the pace of the action around us. We stay up until 3 am trying to answer all our emails. We twitter, we facebook, and we link-in. We scan news websites wanting to make sure we stay up to date on the latest updates. And we salivate each time we hear the beep or vibration of a new text message.

But that's a mistake. The speed with which information hurtles towards us is unavoidable (and it's getting worse). But trying to catch it all is counterproductive. The faster the waves come, the more deliberately we need to navigate. Otherwise we'll get tossed around like so many particles of sand, scattered to oblivion. Never before has it been so important to be grounded and intentional and to know what's important.

Never before has it been so important to say "No." No, I'm not going to read that article. No, I'm not going to read that email. No, I'm not going to take that phone call. No, I'm not going to sit through that meeting.

It's hard to do because maybe, just maybe, that next piece of information will be the key to our success. But our success actually hinges on the opposite: on our willingness to risk missing some information. Because trying to focus on it all is a risk in itself. We'll exhaust ourselves. We'll get confused, nervous, and irritable. And we'll miss the CEO standing next to us in the elevator.

A study of car accidents by the Virginia Tech Transportation Institute put cameras in cars to see what happens right before an accident. They found that in 80% of crashes the driver was distracted during the three seconds preceding the incident. In other words, they lost focus — dialed their cell phones, changed the station on the radio, took a bite of a sandwich, maybe checked a text — and didn't notice that something changed in the world around them. Then they crashed.

The world is changing fast and if we don't stay focused on the road ahead, resisting the distractions that, while tempting, are, well, distracting, then we increase the chances of a crash.

Now is a good time to pause, prioritize, and focus. Make two lists:

List 1: Your Focus List (the road ahead)

What are you trying to achieve? What makes you happy? What's important to you? Design your time around those things. Because time is your one limited resource and no matter how hard you try you can't work 25/8.

List 2: Your Ignore List (the distractions)

To succeed in using your time wisely, you have to ask the equally important but often avoided complementary questions: what are you willing not to achieve? What doesn't make you happy? What's not important to you? What gets in the way?

Some people already have the first list. Very few have the second. But given how easily we get distracted and how many distractions we have these days, the second is more important than ever. The leaders who will continue to thrive in the future know the answers to these questions and each time there's a demand on their attention they ask whether it will further their focus or dilute it.

Which means you shouldn't create these lists once and then put them in a drawer. These two lists are your map for each day. Review them each morning, along with your calendar, and ask: what's the plan for today? Where will I spend my time? How will it further my focus? How might I get distracted? Then find the courage to follow through, make choices, and maybe disappoint a few people.

After the CEO busted me in the elevator, he told me about the meeting he had just come from. It was a gathering of all the finalists, of which he was one, for the title of Entrepreneur of the Year. This was an important meeting for him — as it was for everyone who aspired to the title (the judges were all in attendance) — and before he entered he had made two explicit decisions: 1. To focus on the meeting itself and 2. Not to check his BlackBerry.

What amazed him was that he was the only one not glued to a mobile device. Were all the other CEOs not interested in the title? Were their businesses so dependent on them that they couldn't be away for one hour? Is either of those a smart thing to communicate to the judges?

There was only one thing that was most important in that hour and there was only one CEO whose behavior reflected that importance, who knew where to focus and what to ignore. Whether or not he eventually wins the title, he's already winning the game.

Big Technology Change Without Big Risk

Source: http://blogs.hbr.org/cs/2012/07/big_technology_change_without_big_risk.html

Companies can reduce risk and allow organizational learning by breaking major process improvements into a series of small, reversible experiments. But when the change involves a new information technology, it's harder to make incremental updates. This approach reduces risks and allows people to learn from each, and make adjustments as they go. But when the change involves a new information technology, it's harder to make incremental updates. Computer systems often don't come in a multitude of small parts; they generally come in huge packages.

The conventional wisdom when implementing such software packages is to identify all the stakeholders and include representatives of each group on the implementation team. Executives are supposed to communicate the expected benefits of the new software, and the front line workers are shown how the new software will allow them to execute their work. Typically large software packages are rolled out without modification to take advantage of embedded "best practices" in either a "big bang" or a "rolling implementation" across multiple geographies. The software is driven from the top and often imposed on the organization with little upfront process analysis. The focus is on achieving the delivery date, with little front line engagement.

So is there a way to implement big process and system changes while engaging workers and enabling organizational learning? There are certainly ways to make it easier.

1. Jointly map the work flows before you implement the technology.
Consider the approach to front line engagement taken at Martin Health System, a community healthcare system in Stuart, Florida, which implemented a new enterprise-wide system for managing patient records and core operations. As Roger Chen, director of performance excellence, and Lisa Cannata, director of learning and organizational development, told me, it's vital to iron out the people and process issues before introducing the technology. "You want to standardize your practices first." Chen and Cannata assigned three process improvement facilitators to work with staff to create 60 current-state value stream maps — that is, a representation of how work flowed through departments — and 50 future-state value stream maps before going live. "We were able to identify workarounds that were supported by the old system but could be withdrawn, and we uncovered the medical staff relationships and how they would change. For example, the new system replaced a manual process for order entry. The physicians needed lots of handholding to use the automated process." By surfacing and addressing training and support needs related to the new system, they gave people a sense of control over their destiny.

2. Break the new system into chunks for implementation wherever possible.
Zack Lemelle, a former divisional CIO at Johnson & Johnson, told me that he got around IT big bangs by using "joint application design / rapid application development" sessions. These would engage front line workers, data modelers, programmers, analysts, and technical designers in designing a mockup. "We would take a new process design and translate it into mockups of computer screens. Together the users and the IT team defined user requirements and managed expectations for both custom development and package configuration. We were able to quickly define what the finished product would look like before it was finished. This approach helped us reduce time to delivery and increase the benefits. Rather than follow the traditional 'waterfall' approach of defining big chunks of requirements upfront — which always proved problematic — we would do it in smaller, bite-sized chunks. And we replaced quarterly releases with biweekly or monthly ones."

In addition to chunking for gradual rollout of functional capabilities, some choose to chunk geographically and run in small test markets — a kind of experiment for learning and "proof of concept" before rolling out more broadly. It's important to schedule sufficient time between rollouts for reflection and redesign of the next implementation.

3. Create boards to share plans and progress.
Solar Group, a €1.4 billion wholesaler of technical products in northern Europe, has created boards that display performance on the implementation of an enterprise-wide system (SAP) and new processes. They show key measures, plans and dependencies, and change management in each of the seven countries involved. According to Klaus Petersen, global process manager, each of four major process teams has a room with a map on the wall showing the process, performance indicators, and plans. These cross-functional process teams — order-to-cash, for instance — meet every morning to review progress and align on actions. They have a "board walk" every week where they visit other teams' rooms to make sure the work is aligned. Every other week there is also a management meeting that starts at one of the boards. And there is a program management office at headquarters that has daily and weekly meetings at their boards, which show overall performance, priorities and interdependencies between teams.

Solar has turned over control of the rollout to the business (rather than driving it from IT as an IT project). Before going live with each implementation, business managers monitor performance to get a baseline. Then they measure performance again after the system is implemented. When problems arise, these same business managers tell IT the order that problems need to be solved.

There should be plenty of time for business and front line ownership when implementing large software packages. These are big decisions that take a while to make, and which are rolled out over a number of years. Are there ways you can enable front line workers to influence the design of their work? Are there ways to break up the "big bang" into reversible experiments? If there are, people will develop a sense of ownership and many will become ambassadors of change.

Question: Have you seen ways to implement big process and system changes that reduce risk, engage workers, and enable organizational learning?

Friday, July 6, 2012

10 insights from Creative People in Business

This is an extract of an interesting article I read in ceoafterlife.com based on the article Fast Company on most creative people.

Source:http://www.ceoafterlife.com/marketing/10-insights-from-the-100-most-creative-people-in-business/

Why is creativity so important in business? Because it is the idea, and not the money that drives entrepreneurship. This month’s Fast Company names the 100 Most Creative People in Business, with an emphasis on global leaders in technology, design, media, music, movies, marketing, television and sports. To be honest, I’d never heard of the vast majority on these people. That’s not important; their interesting and inspirational stories are what matters to those of us who value the power of creativity. Rather than file the list’s creative wisdom in the back of my mind, I’ve taken 10 quotes that provide insight into the creative thought process.

#2 Rebecca Van Dyck – CMO Facebook
“If someone gives me a statistic or data point, I take the other point of view or angle. I will surround it and see if it still holds true.” Van Dyck says this is a habit from her college days when she studied in Cairo and read three newspapers to get multiple perspectives.

#4 Ron Johnson – CEO JCPenney
The former head of Apple’s retail operations believes the ability to change is the key to success. “Our number one competitor is ourselves. The way you unlock potential is to find a new way to compete, ideally in a way that’s never been done before, so it’s seen as new. Our number two competitor is everyone else.”

#14 Steven Zeitel – Massachusetts General Hospital
Zeitel, the Director of Laryngeal Surgery and Voice Rehabilitation offers a quote that continues to motivate. During his doctoral resident days, one of his teachers said, “You’re not one of the brightest residents.” Thirty seconds passed before the teacher added, “But you may be the most creative we’ve ever had.”  

#22 Matthew Schmidt – Professor Political Science School of Military Studies
“The tendency in any organization is to look for the 5 steps to do anything and make a system. That’s not how to look at a competitive world. We need to inculcate strategic thinking – the mindset to approach an ill-structured problem throughout the ranks.”

#27 Andrew Yang – Founder, Venture for America  
Yang connects grads with startups, aiming to foster a generation of value-generating entrepreneurs. “The greatest problem in American business goes like this: We have brilliant people doing nonsense.”

#39 Tim Schafer – Founder, Double Fine Productions
Schafer, the celebrated video game maker of Full Throttle, finds inspiration in folklore and legends. “Every day we think of crazy ideas and then we laugh and say, ‘People might be offended by that.’ But I have found that everything worth doing is hiding behind a big, scary monster.”

#46 Ross Martin – Executive VP, MTV Scratch
“So much of what we strive for in creativity is disruption that creates an experience that drives you to action – an experience you’ll never forget, an experience that you’ll need to share with others – the audacity to try and disturb the universe.” This takes me (John Bell) back to my days in advertising at Leo Burnett. It was Leo who said, “When you reach for the stars, you might not get them, but you won’t come up with a handful of mudeither.”

#79 Rachel Shechtman – Founder, Story
Schectman’s new boutique in Manhattan’s Chelsea district is linked to storytelling. “70% of an experience should be what consumers know and 30% should be surprise and delight. Take a pretzel, for example. Everyone knows what it is, and there’s not much product differentiation. But you put it in a bag with black and white stripes that look like the Empire State Building, and suddenly consumers think, Oh my God, this is so cool.”

#84 Elvis Chau – Creative Director, JWT Shanghai
We expect all advertising Creative Directors to be creative. Here is but one of Chau’s creative catalysts. “I like to go to exhibitions, museums. I encourage my people; they need to see more. Don’t just sit there and think. Ideas will not just jump out.”

#90 Marcus Samuelsson – Owner, Red Rooster
Located in Harlem, Red Rooster serves American comfort food that honors the diverse culinary traditions of the community. Samuelsson finds gastronomic inspiration within the neighborhood. “I bike and I walk every corner of Harlem, and see so much diversity that’s unexpected.” His menu is built around his encounters.  

#95 Carrie Brownstein – Writer & Actor, Portlandia TV Series
“Costar, Fred Armisen and I are obsessed with the minutiae of a situation. What is fomenting the most discomfort in a relationship? It’s usually where someone’s belief system goes off the rails. That’s where we want to start exploring because that moment is where you feel almost your worst. You become aware of all the inherent contradictions, all the ways you’re in conflict with your environment.”

Fast Company’s complete list can be found at http://www.fastcompany.com/most-creative-people/2012

Tuesday, June 26, 2012

Collaboration: your path to Sustainable Competitive Advantage?

Posted on June 14, 2012 @ http://www.saleschannel-europe.com/2012/06/collaboration-your-path-to-a-sustainable-competitive-advantage.html?goback=%2Egde_63688_member_126528319

http://www.saleschannel-europe.com/wp-content/uploads/2012/06/Collaboration_Graphic1.jpg

“Alone we can do so little; together we can do so much.”Helen Keller

Web apps and the internet have changed the way we work and live. Today we live in a world where the creative quality of work improves as we move along the “Hierarchy of Communication” fromConnect to Communicate to Collaborate to Co-create.

Where would you place your organization on the following 4Cs Hierarchy of Communication?

1) Connect: is all about connecting and being able to connect with others. Connecting with those that you know and those you don’t yet know. Today this has never been easier, simply click to connect, without leaving your office and often without leaving your application. A ‘presence’ indicator lets you know who is there on-line and in your virtual neighbourhood right now.

2) Communicate: Once you have connected you want to communicate. Speaking with the other person now includes speaking with many other people through online virtual meetings. Communicating now includes: chatting, speaking, texting, sharing documents and sharing screens to facilitate the exchange of information and ideas.

3) Collaborate: you communicate so that you can collaborate. There are lots of different collaboration tools, applications and platforms available today that enable us to collaborate effectively across multiple boundaries: organisational, geographical and time zones. Examples vary widely: Skype, TeamViewer, Lync, Office365, Google Apps and Webex to name a few. All allowing you to share, review and contribute to a common project and collaborate together with others.

4) Co-create: you collaborate so that you can create. The desired outcome of collaboration is to create new ways to solve old problems and invent new ways to capture future opportunities. We brainstorm using rich media to engage the collective brain of the virtual community. We build ideas based on human interaction. We invent, create, develop new or better ideas and ways to achieve specific goals and objectives. And we build virtual teams that can deliver continuous creativity which will ultimately lead to sustainable competitive advantage.

Sustainable Competitive Advantage: The ultimate goal of co-creating (and therefore collaborating, communicating and connecting) is to maximise the quality and quantity of your business goals. Sustainable competitive advantage is the sum total of your organisation’s current abilities and future capabilities. By enabling your people to connect, communicate, collaborate and co-create they will produce exceptional solutions to today’s problems and create wonderfully innovative ways to develop future opportunities.

Takeaway:

People, Processes or Platform? The challenge isn’t the technology it’s you and your people. The challenge is moving your people along the 4Cs Hierarchy of Communication. So they become more collaborative and adopt and use collaborative applications and tools in their everyday work. You need to set an example by demonstrating an ‘inclusive mindset’ and a bias towards working collaboratively. The cultural change required of your company will be far more difficult than the technological changes.

“If you don’t like change, you’re going to like irrelevance even less.”General Eric Shineseki, Retired Chief of Staff, U.S. Army

Are you ready for the new reality?

View: Collaborating in the Cloud: Opportunity or Threat? by David Ednie, posted on slideshare.

Identify your "Consultant Type"

 

Source: http://saketvaani.blogspot.in/2012/04/identify-your-consultant-type.html?goback=%2Egde_76548_member_127262979

Consulting as a profession has been growing steadily with more and more firms setting their base in India. Consulting landscape has also been helped by maturing of Indian business set-up as well as growing popularity of professional courses like MBA. But joining a particular industry, sector or a profession, is just the beginning. After all, our professional career could well span over 35 years. Similarly for consulting, while problem-solving skills, analytical capability and a consistent academic record may help you join a good consulting firm but it doesn't ensure that you would enjoy your stay as well.

As I complete my first year in consulting, I have tried to come up with a framework, based on one's interest areas, to suggest what lies in consulting for him/her. I have tried to simplify it by using two major focus areas and I would once again reiterate that it doesn't talk about the capabilities that you need to excel as a consultant.

A role of a consultant can be broadly divided into two parts; business development and business delivery. Business development is related to bringing in projects i.e. selling or pitching your offerings to the prospective clients. Business delivery, on the other hand, is related to preparing the client deliverables. At a junior level, the delivery part accounts for major share of your efforts but as you move up, business development becomes more important. One interest area that I would focus on concerns business development while the other one largely focuses on business delivery. While it’s impossible to isolate the two areas but one does come across people who prefer one over the other.

So, breaking the suspense, the two areas of interest that I have identified are “research” and “interactions”:

Research: Some people simply love to dig into data be it research reports, news articles, information hidden in excel sheets, interview notes etc. Those with a bent towards research can be a great influence as far as quality of deliverable is concerned. While another section may consider it the "back-end" part of consulting and end up avoiding or even hating it.

Interactions: Many individuals are attracted by the so called “front-end” part i.e. the client-facing role. Undoubtedly, consulting is about managing people be it the client, the team members, the experts etc. Those with a penchant for meeting and interacting people can help in lead generation or unearthing opportunities from nowhere. But there is a segment in consulting that considers such people as “globers”. After all, to each his own.

So based on the above two interest-areas we can segregate consultants into four types:

Type I: These types of species are perpetually excited about meeting their clients, even more that meeting their girlfriends. They would say, “Research is for the faint-hearted. Consulting is all about client-facing activities.” While their interactions can be fruitful but without proper research it can backfire or cause embarrassment. Sometimes it can lead to mis-selling or inadequately defined scope. We can call them YAC A. YAC stands for “Yet another Consultant”.

Type II: This variety loves the research part but isn’t too excited by the interaction part. They would say, “I think too much is made of this front-end thing in consulting. Yaar, even the traders and bankers create value but they don’t hype about these client interactions.” While research undoubtedly is critical to consulting but neglecting the other aspect doesn’t help as many consulting firms don’t have a separate team for sales. We can call this variety YAC B.

Type III: Another type like what they hear but don’t like what they see. Some of my colleagues had joined consulting but soon realize that they are too selective or find a very limited aspect of their job exciting. In better words, they aren’t excited adequately by either of the areas. The only term that comes to my mind right now for these consultants is “Disillusioned”.

Type IV: The disillusioned gets a competition. This type is largely responsible for keeping the consulting flag flying high. The ones, who are likely to become experts in near future. They love the interactions but are particular about research as well. This type deserves only one tag- “Rockstar”.

So what's your type?

The 5 stages of leadership development

By Steve Tobak

Source: http://www.cbsnews.com/8301-505125_162-57440517/the-5-stages-of-leadership-development/?goback=%2Egde_76548_member_127263052

Everyone goes through the same stages of human development on the road to adulthood and maturity. Unfortunately, some of us get stuck in one stage or another, stunting our growth and rendering us dysfunctional.

We look just like ordinary adults, but we actually behave a lot more like children, acting out, throwing tantrums, and generally making life miserable for everyone around us.

It's pretty much the same thing with executives and business leaders. The only difference is that, instead of just messing up their own lives like ordinary people, dysfunctional leaders influence the lives, livelihoods, and investment portfolios of hordes of employees, customers, and investors.

If I took a virtual snapshot of all the boardrooms I've been in over the years, I'd estimate that maybe a quarter of the executives and directors I've worked with have gotten themselves prematurely stuck in one of the following stages of leadership development:

Stage 1: Sponge. You listen and learn from everyone and every situation as you try to figure out how things work in the real business world. Just like a baby learning to walk, you look really cute stumbling around like the clueless neophyte you are. The good news is you have no real responsibility, so you're not in a position to cause any real damage. You just fall, pick yourself up, dust yourself off, and try again until you get it right.

Stage 2: Proof-of-concept. Believing you're actually capable of accomplishing something besides making a complete fool of yourself by promising the world and delivering next to nothing, you set out to prove yourself worthy of the management title that, in all likelihood, you've already been granted.

Stage 3: Delivery. Congratulations, you've somehow managed to deliver the goods and succeed in doing something that can credibly be viewed as a business success. In other words, you made money for somebody and got rewarded with a nice fat bonus. You think you've finally arrived. Won't your spouse be thrilled?

Stage 4: Reset. A little full of yourself, you try a repeat performance using the same tricks that worked the first time and realize--too late--that you're going to need a bigger playbook to consistently make it in the big leagues. Failure doesn't sit well with you. In fact, it's downright depressing. So you set out to make sure that never happens again.

Stage 5: Maturity. After a few iterations of the third and fourth stages, you finally begin to get how the real world works. You realize you're just like everybody else, meaning you succeed at some things, fail at others, and learn from everything. It slowly dawns on you that being a mature leader isn't that much different from the first stage, except experience has given you confidence and, with any luck, a sense of humor and humility. Win or lose, you look good doing it -- and deserve that bonus, right?

So, think it over. Are you stuck in one of the stages or know somebody who is? Fill us in.

Wednesday, June 20, 2012

10 Essential Leadership Models

from Great Leadership by Dan McCarthy

First I would like to thank Dan for providing us an excellent summary of all the key leadership models in such simple understandable language.. Am sharing the same with myself and other readers…

While there have been thousands of books written about leadership, there are a handful of leadership models that have served me well as a leader and leadership development practitioner. These are the tried and true models that have shifted my thinking about leadership and help create teachable leadership moments for others. Mind you, I’m not a scholar, so the models I favor tend to be simple, practical, and I have to had seen evidence that they are effective.
Here are 10 leadership models that I believe any leader or aspiring leader should be familiar with (Kudos to Mind Tools for supplying many of the summaries in the links, and to Vou):
1. Situational Leadership.
Developed by Ken Blanchard and Paul Hersey, it’s a timeless classic. If I could only teach one model to a new manager, it might be this one. It’s all about adapting your leadership style to the developmental needs, or “maturity level”, of your employees. It’s easy to understand and can be used on a daily basis. Your only dilemma will be which version to choose: Hersey or Blanchard? I say Blanchard, but that’s because they follow @Great Leadership. (-:
2. Servant Leadership.
A philosophy and practice of leadership developed by Robert K. Greenleaf. The underlying premise here is that it’s less about you as a leader and all about taking care of those around you. It’s a noble and honorable way to lead and conduct your life.
3. Blake and Mouton’s Leadership Grid.
OK, so it’s really more of a management model, but it’s another timeless classic. Explained by a nice, simple 2x2 grid, it’s all about balancing your concern for people and your concerns for getting things done (tasks). You gotta love those 4x4 grids!
4. Emotional Intelligence.
While Daniel Goleman’s book popularized EQ, his HBR article “What Makes a Leader?” does a great job explaining why the “soft stuff” is so essential to be an effective leader.
5. Kouzes and Posner’s Five Practices of Exemplary Leadership.
K&P do a nice job breaking leadership down into five practices: Model the Way, Inspire a Shared Vision, Challenge the Process, Enable Others to Act, and Encourage the Heart. I’ve always liked the Leadership Practices Inventory 360 degree assessment that supports the model.
6. Jim’s Collin’s Level Five Leadership.
First published in a 2001 Harvard Business Review article, and then in the book, "From Good to Great, Collin’s leadership model describes kind of a hierarchy of leadership capabilities, with level 5 being a mix of humility and will.
7. The Diamond Model of Leadership.
Although not as widely known as Collin’s Level Five model, my colleague Jim Clawson actually wrote the book Level Three Leadership two years earlier than the Collin’s HBR article. Jim introduced the Diamond Model, which describes four elements of leadership: yourself, others, task, and organization.
8. Six Leadership Passages.
Charan, Drotter, and Noel did a nice job explaining six key developmental passages a leader can advance through in thier book The Leadership Pipeline, along with the skills required to be successful for each passage. I actually came up with my own six passages, in which I made a distinction between management and leadership.
9. Authentic Leadership.
I’ve only recently become a fan of Bill George’s work (True North), and it’s made a difference in how I think about leadership and leadership development. Instead of trying to find and copy the prefect set of leadership characteristics, George argues that you’re better off figuring out who you are and what’s important to you, and leading in a way that’s true to yourself.
10. The GROW model.
Widely attributed to Sir John Whittmore (although it’s not certain who really came up with it), GROW stands for goal, reality, obstacles, options, and way, will, or what’s next, depending on which version you use. It’s really more of a coaching model than a leadership model. However, it’s an essential tool for leaders and one of the easiest to understand and effective coaching models I’ve come across.
How about you? What leadership model has served you the best? Please include a link to a summary of the model, and no shameless self-promotions allowed - except for my own. (-:

Wednesday, December 7, 2011

Involving Employees in Change

Organizations going through change should involve their workforce as much as possible in the process. Stryker Navigation shows how.

by Marco Nink and Klaus Welte
Source: http://gmj.gallup.com/content/150932/Involving-Employees-Change.aspx 
 
Employee surveys have now become standard in most organizations. Yet too often, the wrong questions are asked and the wrong things are measured. To make employees feel completely involved in the organization, "satisfaction" with the workplace alone is not enough. An employee who is satisfied with his salary or the amount of annual leave is not necessarily, of his own free will, going to lend full support to his employer and his employer's goals. Satisfaction can be connected to passivity -- employees can be satisfied and yet still be indifferent.
There is more value in optimizing the work environment, thereby increasing emotional attachment -- or engagement -- to the organization by rigorously fulfilling employees' core needs and expectations. The stronger the engagement, the more likely it is that the employee will act in the interests of the employer -- and the more engaged employees there are, the more productive the organization will be. It is possible to measure the degree to which these core needs and expectations of the workplace are met.
What to ask and where to start
Building on years of research, Gallup has developed 12 items -- the Q12 -- and employee responses to these items give information about the state of employee engagement, which in turn correlates with organizational performance. It is crucial that the results are discussed at the workgroup level as well as with the leadership and that action plans are put into place and followed through. The results act as a focus point for intense discussion within the team. (See graphic "The Employee Engagement Hierarchy.")

To ensure that the process is sustainable, the survey should be carried out regularly. Also, changes in the survey results over time need to be discussed within the team, and both action planning and follow-through must be monitored. Only when this happens will the employees feel really included and get actively involved in action planning. The results of the employee surveys can also be correlated with key performance indicators (KPIs). By combining these two types of organizational data -- the "soft" employee engagement data with the "hard" KPI data -- we can demonstrate the direct economic benefit of the actions on costs and growth.

The Employee Engagement Hierarchy
Stryker Navigation is an example of how this can be put into practice. As a company, Stryker is a global leader in the manufacturing of navigation systems for computer-assisted surgery. Stryker's machines help doctors and surgeons perform operations more quickly, more safely, and more accurately. Development and production for global markets is done at Stryker's site in Freiburg, Germany.

Decreasing motivation rang alarm bells
When the Freiburg management team registered that the engagement of its employees was decreasing, it set alarm bells ringing, as the company was facing some difficult technical issues that needed to be resolved. It was not going to be possible to produce some important products as quickly and economically as previously thought. This lack of engagement became particularly apparent in the cooperation between teams -- for example, between the Development and Production teams. While the individual departments were performing well in their own range of tasks, they were not prepared to view the manufacture of new products as a complete process that required their collaboration.

Stryker turned to Gallup to measure the employees' engagement and to help the company develop actions for improving the situation. In addition to the Q12 items, questions were asked about the collaboration between teams. The results were analyzed at the project team level and at the department level. The advantage of this approach is that it allows many different opinions on a project to be heard and discourages siloed thinking. The employees involved in a project can then work together to produce a list of actions, which serves to strengthen connections beyond departmental borders.

The most striking results were gathered in a presentation. Using Gallup's database comparisons and benchmarks, Stryker was able to see the areas in which the company was performing at excellence and those in which it was below average. Each team received its own scorecard, and internal benchmarks were used to show the teams how they ranked within their department as well as within the company as a whole.

How employee engagement doubled

The results of the first Stryker Navigation employee engagement survey demonstrated the potential for improvement. With 32% engaged employees, Stryker Navigation Freiburg was considerably better than the total working population of Germany at that time but was below average when compared with other organizations Gallup works with in Germany. (See "A Threat to German Growth" in the "See Also" area on this page.)

The company tries to position employees where they can best use their talents.
Most notably, the employees had rated two fundamental questions particularly low: "I know what is expected of me at work" and "I have the materials and equipment I need to do my work right."

So these items became the starting points for action planning and implementation. For example, Stryker concentrated on describing more clearly what was expected of employees on individual teams and projects. The frequency of feedback discussions was also increased. And to promote the idea of project-based working, changes were made to each team's composition, structure, and where team members were seated.

These actions quickly brought about improvements. The percentage of engaged employees doubled to 64% within a year. But the management wanted to embed these changes for the long term. With this in mind, they designed the follow-through process to be highly transparent because it is important that employees see what actions should be achieved and how far they've progressed in that process.

Recipe for success: a transparent follow-through process

Since then, Stryker Navigation has conducted regular monitoring of action plans, which are discussed with the team at monthly meetings. Responsibility for achieving individual points lies not solely with the management but is deliberately shared with the employees. When compiling and implementing action plans, collaboration between technical supervisors and the human resources department is very important. Therefore the company closely links employee engagement tools to additional personal development programs. Stryker, for example, considers selecting and promoting talent to be highly important, so employees should be positioned where they can best use their talents, which is a significant factor for employee engagement.
Employee Engagement and Key Performance Indicators
In Stryker's opinion, the transparency, continuity, and coordination of the individual tools is key to the success of the action plans. The atmosphere in the company has changed for the better. Employees and managers feel that together they can get things moving and make improvements. Since 2004, the percentage of engaged employees has stabilized at an elevated level of 70% and had reached 73% after the survey in 2011. Stryker Navigation Freiburg is thus overall in the top 10% of companies in Gallup's database of German organizations.

Positive effect on KPIs

There has also been a change of mentality as far as collaboration within projects is concerned -- individual teams now see their colleagues from other departments as customers. They want to deliver results to them that they can work with optimally. This speeds up the development of new products for the market.

There are other indicators that confirm that Stryker Navigation has set out on the right path. In the past 10 years, the turnover of products from the Freiburg site has increased tenfold. And the quality of new products has also increased tenfold when measured against the number of repairs or customer complaints. (See graphic "Employee Engagement and Key Performance Indicators.")

Stryker now faces new challenges. It is already clear that the company is set to grow rapidly in the next few years. This also means that teams are redefining themselves and that work routines and responsibilities are changing. In collaboration with Gallup, Stryker Navigation will prepare its employees for this organizational change, with the goal of continuing to gain the workforce's commitment to Stryker and keeping turnover at a low level.
This article originally appeared in Personalwirtschaft in September 2011. Reprinted with permission.

Marco Nink is a Practice Consultant for Gallup.
Klaus Welte is Vice President and Plant Manager of Stryker Navigation in Freiburg, Germany.
The Q12 items are protected by copyright of Gallup, Inc., 1993-1998. All rights reserved.

How You Change Is the Change!

Interesting perspective on managing lean.. 

Source: http://www.industryweek.com/articles/how_you_change_is_the_change_26124.aspx?ShowAll=1

Lean management is not a change methodology. It is a destination, a desired set of practices and culture. How you get there will determine the outcome.

By Lawrence M. Miller, www.ManagementMeditations.com

There are far more failures than successes as companies attempt to implement lean manufacturing or lean culture. I believe that most of those failures are the result of the absence of sound change management strategies and skills. How you change creates a set of expectations for what will follow. You create a "pull" for adoption of the change, or you struggle to "push" the string of change up hill. 

Most managers and most consultants do not make the distinction between the destination and the method of travel. The destination can be defined as maximizing customer satisfaction, eliminating waste in all its forms, reducing variances or quality problems, speeding cycle times through core processes, and it can be defined as a culture of continuous improvement and empowerment. But knowing the "what" is like looking at a photo of Mr. Universe and saying, "I want to look like that!" That's easy. But, getting there is something else. Most failures are not the result of failing to know what you want to look like. Rather, they are failures in the process of change.

Here are some of the keys to successful lean implementation and culture change from my experience.
 
1. Ownership is 80% of success - The first rule of change management is: People will implement and make successful that for which they feel ownership.

Too often, the very people who are required to implement a change in processes or culture have it imposed upon them and do not feel that they had any say in its creation. This will almost guarantee failure. The worst way to go about change is to hire a high- priced consultant and have him or her study, write a report, make a presentation, and leave the implementation to those who struggle with the day-to-day realities of life.

Habitat for Humanity knows something about managing change. Their program of building homes for the disadvantaged is not merely about putting up structures. It is about building human capacity and human dignity. When they build a home for a family they ask the members of that family to contribute "sweat equity", their own labor to the construction of the home. This has the effect of giving the new owners a feeling of pride in "their home" that they helped to build. The probability of the family caring for and maintaining the home goes up in proportion to their sense of ownership.

Most senior managers have insufficient appreciation for the human capacity within their own people. For many years I have been facilitating internal "design teams" comprised of both first-line employees and managers who are assigned the work of redesigning their work processes and their social system or culture. These are the people who have their feet on the ground and have true knowledge of how things work in the organization. They invite in their customers and listen to their concerns. They map out the current state of the work process and identify all the variances that cause waste in the process. And, they analyze the culture, the sources of motivation and decision processes. Then, they design the future state, an "ideal state" that transforms both the work process and culture.

I can honestly say that after doing approximately 100 redesign projects it has never failed that those who design the future will develop a passionate commitment to their own design and will fight for its implementation and success. There is this commitment because it is literally "their own" design. It does not belong to a consultant or to senior management. These folks will make it work! That is 50% of success.
 
2. Build Competence, Don't be Consultant Dependent.

Gaining ownership leads toward the development of competence in those who will implement the new design. But the building of internal capacity must go beyond that ownership. It must develop the skills of change management and skills and tools of training and developing people to live within a lean organization.

I am not anti-consultant. After all, I are one! However, consultants are very often misused. Consulting firms are all too happy to have you dependent on their consultants, the more the merrier, for a long time. That is, after all, how they make money. But, is that in the best interest of the client?

The longer a client is dependent on a consultant the less likely it is that the consultant is transferring his or her competence to the client organization and building capacity within the client firm. I recently completed an assignment at a Merck manufacturing plant where 71 teams are implementing lean practices in every department and function and at every level of the organization. Everyone is involved. My role was to work with the senior team of the plant and to train and coach 14 internal coaches, both salaried and hourly, who serve as coaches to all of the other teams.  Who learns the most in this scheme? Of course, the internal coaches who have to turn around and train all of the other teams. They now have the capacity to carry on the process indefinitely. As a team of coaches they meet and learn from each other. This internal consulting team can now learn virtually any new practice that comes along and serve as vanguard for implementation. They don't need me anymore.
 
3. You Won't Get It Right the First Time -- Plan for Experimentation and Iteration.

When either Honda or Toyota have designed a new car and is preparing to manufacture that car, and even though they may have the world's best manufacturing engineers, they do not assume it will all go right the first time. An auto assembly plant may produce a thousand cars a day. But, when these companies are beginning production of an entirely new car they close the plant production to zero, install the required new equipment and programs, retrain all the employees on the new car and the new jobs around its production, and then they make ONE car. They watch that car go through the production process. Inevitably, they find things that don't work as planned. They may find machines that need to be re-adjusted or re-programmed. They may find workers who have not been fully trained. They will fix these things and then build another car. It may take months to gradually build up to full production.

Perhaps your managers implementing a major change are smarter than the Honda or Toyota manufacturing engineers, but I doubt it. The idea that we are so smart that we can design something that is complex to work perfectly the first time is pure arrogance, and arrogance is the worst enemy of continuous improvement. It forces managers to try to cover mistakes, inhibits learning and creates waste.

Design the new process and the new human systems as best you can. Then implement those changes with an "attitude of science," a willingness to try things out, then make adjustments and modifications. This attitude will drive out fear, maximize learning and maximize the rate of improvement.
 
4. Partner with Your Customers.

It is not you against the world unless that is how you choose to write the script. I am currently leading a couple of design teams that are redesigning the core work process of a service organization. They have major problems with unhappy customers. The design team invited in the managers of those customers, the very managers who are unhappy with the service they are receiving, and asked them for help. The design team asked the customers what improvements they would like to see. They asked if they knew of any best practices that they should adopt. And they asked the customer if they would help them in their effort to design the ideal service delivery system. It works every time! I have seen this over and over again. If you ask a customer for help in developing a better way to serve them, they always agree to help! Now you have a partner in your customer.

Every interaction with a customer is a sales call. Every interaction either increases or decreases the probability of future business. Asking the customer to co-create a solution to serve them is one of the best sales calls you will ever make. You have created a new partnership, a new co-owner of the house you are building for them. They will help you make it successful.
 
5. Invite In the Whole-System -- Embrace the Complexity.

Every organization is a complex system, an ecology, with a variety of sub-systems (people systems, financial systems, information systems) all interacting with one another to determine the course of the whole. Just like our economy, the human body or the culture of a country, the culture and competitiveness of a company is never the result of one system standing on its own. Yet, we hire a consultant to redesign the work flow. Another to implement teams or a motivation system. While another is redesigning the flow of information and another may be redesigning the structure. It is a prescription for the creation of waste. All of these systems must be aligned to the same principles and goals. They are all interacting and interdependent. If you don't approach major change with an appreciation for this interaction and interdependence, you are programming in failure.

Charter a design team to implement lean principles through the whole system, the core work process of the organization, and the enabling or support systems. If the human resource processes are not designed to enable the work of the core work process, you have reduced the chance of success. If you have not designed the IT/IS systems to provide those who do the real work of service to customers with the information they need, you have again reduced the chance of success.
 
6. Get in the Boat and Row; Stop Standing at the Shore!

Be the change! If you want change in your organization, LEAD! Lead doesn't mean writing encouraging memos. Leading is not simply deciding to go, or approving a budget. Leading is leading, being out front, doing what you want others to do. Be the model!

Twenty years ago Nevius Curtis was the chairman of Delmarva Power and Light. He wanted to transform his organization into a fully empowered, high performance organization. In my first meeting with him I told him that if he really wanted to succeed, he needed to make his team "Team No. 1." He needed to have his team go through the same training, do the same things he desired of every other team in the organization. He signed up and he signed up his team. In a few years Delmarva became recognized as a model for quality management and empowerment. That effort has sustained to this day. It worked because the leader provided true leadership. He didn't stand on the shore and yell "Row" or criticize the efforts of others. He provided a model.

If you want to create genuine and lasting change you will get in the boat and pull on the oars, and you will soon find that you have an army of rowers all pulling behind you, and in the same direction!
 
Lawrence M. Miller has been doing organizational change consulting for 35 years, beginning with his work creating a free economy in prisons. He has worked with Honda, Shell Oil, and dozens of other corporations. He is the author of nine books, most recently Lean Culture -- The Leader's Guide. His website and blog is www.ManagementMeditations.com.

Tuesday, December 6, 2011

The Challenge of the Average Employee


This an interesting post on how to manage the majority of our workforce... the work horse..

posted at http://blogs.hbr.org/tjan/2011/10/the-challenge-of-the-average-e.html by Anthony K. Tjan

CEO, Managing Partner and Founder of the venture capital firm Cue Ball and vice chairman of the advisory firm Parthenon.



Most businesses have a normal distribution of talent — a limited number, say top 10 percent, of high potential, rock star performers, a bottom decile of underperformers, and a thick middle of 80 percent of folks who get the day-to-day stuff done. In well-managed businesses, there are clear feedback mechanisms to ensure that the bottom of the talent pack gets managed out efficiently and objectively. While at GE, Jack Welch popularized the notion that it was good to fire the "bottom 10" of his managers every year. On the other end of the spectrum, the better companies manage the top-end of their talent pool, providing mentors to groom this group of next-generation of leaders and compensating them differentially in recognition of their superior performance.


The challenge lies in productively managing talent's fat middle. What is the right people strategy for the average employee — the stalwart who is performing well enough, but is not necessarily a standout? Here are a few of the challenges with the middle base of talent:

  • Almost by definition, they often get lost in the mix, lacking appropriate guidance and management attention. This creates an issue of not understanding who holds real potential to move up the talent curve with the right nurturing, versus those who have limited upward mobility, versus those who should not be at the company.
  • They can be a drag on those who truly are the best. While not everyone can be above average, the more mediocre talent you have in a business, the more likely it is to have a negative effect on those who can really make a difference. This creates retention and motivation issues for your higher performers. There will always be a distribution, even if it is a forced curve, of talent potential and capability in a business. But the goal should be to raise the overall average of the entire pool, and avoid letting it get pulled down.
  • In a similar vein, average talent can harm a firm's talent recruitment potential since those who are average tend to be more threatened by bringing in better people. The adage of "A's" attracting "A's" and "B's" attracting "C's" holds true.
So what should business builders do to better manage their talent base — especially in this middle area? Two simple ideas can help:
  • First, the best practice of conducting regular and specific performance feedback is critical. It is equally important to make sure that the person doing the review is capable and respected. Senior people who are responsible for managing the middle pool of talent should also be managed on their own ability to see, sift, cultivate, and retain the very best of that pool. How you grow and mentor organizational talent should be an evaluation criterion for senior managers' performance. Mentees and direct reports feel differently when they know their own managers are being evaluated (with real implications for good or bad performance) on their ability to effectively manage, mentor, and cultivate talent.
  • Second, at regular intervals of a person's career, there should be not just "performance reviews" but also what I call a "Fit Test Point." Too many times we see someone who can do the job, but if we are truly honest know that in the long-run they will be stuck in the middle of the organization. My sense is that companies spend more time discussing performance than they do "fit." Performance reviews are biased towards looking out for the best interests of a company — as long as someone is doing their job they have a place. A "Fit Test Point" is a tool to carefully consider the best interests of an employee. Is this person in product development really better served finding a position as an industry or market researcher, or is that analyst who can clearly make the next two rungs of the management track better served making a switch in her career now given the opportunity cost of time? We all know situations where instincts and experience alerted us that a job was not the best fit for someone, yet we let the person continue because they filled a short-term need or because we lacked the courage to have the honest "Fit Test" conversation. Consider key inflection points of one's career advancement and have the parallel conversation of performance and fit reviews.
Trying to serve everyone equally does not do anyone a service, but catering only to the top of the talent pool or overemphasizing the middle or bottom also does not work. An explicit strategy for managing each tier of talent needs to be in place. The public education system has shown that if we just settle, accept, and teach to the middle that is a formula for failure. As business leaders we should see how we can realize the full potential of each employee and help those who are not right for the business find other jobs where they can be more productive and happier.

Thursday, September 22, 2011

Nine Things Successful People Do Differently

http://blogs.hbr.org/cs/2011/02/nine_things_successful_people.html

Why have you been so successful in reaching some of your goals, but not others? If you aren't sure, you are far from alone in your confusion. It turns out that even brilliant, highly accomplished people are pretty lousy when it comes to understanding why they succeed or fail. The intuitive answer — that you are born predisposed to certain talents and lacking in others — is really just one small piece of the puzzle. In fact, decades of research on achievement suggests that successful people reach their goals not simply because of who they are, but more often because of what they do.

1. Get specific. When you set yourself a goal, try to be as specific as possible. "Lose 5 pounds" is a better goal than "lose some weight," because it gives you a clear idea of what success looks like. Knowing exactly what you want to achieve keeps you motivated until you get there. Also, think about the specific actions that need to be taken to reach your goal. Just promising you'll "eat less" or "sleep more" is too vague — be clear and precise. "I'll be in bed by 10pm on weeknights" leaves no room for doubt about what you need to do, and whether or not you've actually done it.

2. Seize the moment to act on your goals.
Given how busy most of us are, and how many goals we are juggling at once, it's not surprising that we routinely miss opportunities to act on a goal because we simply fail to notice them. Did you really have no time to work out today? No chance at any point to return that phone call? Achieving your goal means grabbing hold of these opportunities before they slip through your fingers.

To seize the moment, decide when and where you will take each action you want to take, in advance. Again, be as specific as possible (e.g., "If it's Monday, Wednesday, or Friday, I'll work out for 30 minutes before work.") Studies show that this kind of planning will help your brain to detect and seize the opportunity when it arises, increasing your chances of success by roughly 300%.

3. Know exactly how far you have left to go. Achieving any goal also requires honest and regular monitoring of your progress — if not by others, then by you yourself. If you don't know how well you are doing, you can't adjust your behavior or your strategies accordingly. Check your progress frequently — weekly, or even daily, depending on the goal.

4. Be a realistic optimist.
When you are setting a goal, by all means engage in lots of positive thinking about how likely you are to achieve it. Believing in your ability to succeed is enormously helpful for creating and sustaining your motivation. But whatever you do, don't underestimate how difficult it will be to reach your goal. Most goals worth achieving require time, planning, effort, and persistence. Studies show that thinking things will come to you easily and effortlessly leaves you ill-prepared for the journey ahead, and significantly increases the odds of failure.

5. Focus on getting better, rather than being good.
Believing you have the ability to reach your goals is important, but so is believing you can get the ability. Many of us believe that our intelligence, our personality, and our physical aptitudes are fixed — that no matter what we do, we won't improve. As a result, we focus on goals that are all about proving ourselves, rather than developing and acquiring new skills.

Fortunately, decades of research suggest that the belief in fixed ability is completely wrong — abilities of all kinds are profoundly malleable. Embracing the fact that you can change will allow you to make better choices, and reach your fullest potential. People whose goals are about getting better, rather than being good, take difficulty in stride, and appreciate the journey as much as the destination.

6. Have grit.
Grit is a willingness to commit to long-term goals, and to persist in the face of difficulty. Studies show that gritty people obtain more education in their lifetime, and earn higher college GPAs. Grit predicts which cadets will stick out their first grueling year at West Point. In fact, grit even predicts which round contestants will make it to at the Scripps National Spelling Bee.

The good news is, if you aren't particularly gritty now, there is something you can do about it. People who lack grit more often than not believe that they just don't have the innate abilities successful people have. If that describes your own thinking .... well, there's no way to put this nicely: you are wrong. As I mentioned earlier, effort, planning, persistence, and good strategies are what it really takes to succeed. Embracing this knowledge will not only help you see yourself and your goals more accurately, but also do wonders for your grit.

7. Build your willpower muscle. Your self-control "muscle" is just like the other muscles in your body — when it doesn't get much exercise, it becomes weaker over time. But when you give it regular workouts by putting it to good use, it will grow stronger and stronger, and better able to help you successfully reach your goals.

To build willpower, take on a challenge that requires you to do something you'd honestly rather not do. Give up high-fat snacks, do 100 sit-ups a day, stand up straight when you catch yourself slouching, try to learn a new skill. When you find yourself wanting to give in, give up, or just not bother — don't. Start with just one activity, and make a plan for how you will deal with troubles when they occur ("If I have a craving for a snack, I will eat one piece of fresh or three pieces of dried fruit.") It will be hard in the beginning, but it will get easier, and that's the whole point. As your strength grows, you can take on more challenges and step-up your self-control workout.

8. Don't tempt fate. No matter how strong your willpower muscle becomes, it's important to always respect the fact that it is limited, and if you overtax it you will temporarily run out of steam. Don't try to take on two challenging tasks at once, if you can help it (like quitting smoking and dieting at the same time). And don't put yourself in harm's way — many people are overly-confident in their ability to resist temptation, and as a result they put themselves in situations where temptations abound. Successful people know not to make reaching a goal harder than it already is.

9. Focus on what you will do, not what you won't do. Do you want to successfully lose weight, quit smoking, or put a lid on your bad temper? Then plan how you will replace bad habits with good ones, rather than focusing only on the bad habits themselves. Research on thought suppression (e.g., "Don't think about white bears!") has shown that trying to avoid a thought makes it even more active in your mind. The same holds true when it comes to behavior — by trying not to engage in a bad habit, our habits get strengthened rather than broken.
If you want change your ways, ask yourself, What will I do instead? For example, if you are trying to gain control of your temper and stop flying off the handle, you might make a plan like "If I am starting to feel angry, then I will take three deep breaths to calm down." By using deep breathing as a replacement for giving in to your anger, your bad habit will get worn away over time until it disappears completely.

It is my hope that, after reading about the nine things successful people do differently, you have gained some insight into all the things you have been doing right all along. Even more important, I hope are able to identify the mistakes that have derailed you, and use that knowledge to your advantage from now on. Remember, you don't need to become a different person to become a more successful one. It's never what you are, but what you do.