When Your Organization s Performance Warning Light Is Flashing Troubleshooting for High Performance (H.P.)
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1 When Your Organization s Performance Warning Light Is Flashing Troubleshooting for High Performance (H.P.) 1 1
2 Auto Warning Lights 2 2
3 Reactions to Warning Lights Surprise Anger Rationalization Acceptance Help 3 3
4 Business Culture Business Culture = The way or perceived way we do things here Driven by the behaviors reinforced (+/-) and/or tolerated Hear IT and See IT We re not delivering the results we should There s no leadership around here We re not working together as a team All we seem to do is fire-fight Attrition, absenteeism, errors, grievances Productivity, quality, safety, new ideas, CS Cumulative returns for the Best Companies To Work For between 1998 and 2009 were over 224% compared to 42% (S&P 500) and 47% (Russell 3000.) As much as half of the difference in operating profit between organizations can be attributed to effective cultures. (HBS Heskett 2011) Companies with effective culture stand to outperform unremarkable competitors by a margin of 20-30%. (HBR) 4 4
5 Truths About Business Culture Corporate (business) culture can have a significant impact on a firm s long-term economic performance. (Harvard Business School) Most companies are intimidated by its (business culture) intangibility, convinced of its secondary importance to the harder components of their strategic plans (London Business School) There is no right or wrong culture, no better or worse culture, except in relation to what the organization is trying to do and what the environment in which it is operation allows. (The Corporate Culture Survival Guide) Changing culture means changing behavior. (Feldman & Spratt) Culture eats strategy for lunch. (Drucker) 5 5
6 Troubleshooting Challenge #1 Beliefs Think Attitudes Feel Expectations Actions & Behaviors Perceptions Results & Results Adjust our behaviors to support No proof Change belief change options 6 6
7 Do your Sr. leaders believe your business culture is and/or could be a competitive edge for higher performance? 7 7
8 High Performance Business Culture Internet search = 280M results Superior Results Improvement Pace > Competitors Examples: 7 Key Dimensions of High Performance 3 Steps to High Performance Culture 21 Traits of High Performance Business Culture 10 Elements in Creating a High Performance Culture Top 10 Barriers To Having High Performance Work Culture Common elements: Crystal clear CLARITY Strong ACCOUNTABILITY & EXECUTION Brilliant in BASICS Match TALENT & TASK Continuous REINFORCEMENTS (+/-) RESILENT 8 8
9 High Performance Illustration GPS = Strategy Engine = Culture Fuel = Engagement Driver = Leadership 9 9
10 Examples: [6 X 3] 1 = [7 X 5] 1 2 [7 X 5] = = 10 10
11 Are your current organizational Results maximized? If not, is the primary issue in your Strategy, Organizational Culture Processes, or Individual Accountability? 11 11
12 Troubleshooting Challenge #2 RAS Scotomas Not flaws automatic behaviors Unidentified/Unmanaged (DANGER) 12 12
13 Some Organizational High Performance - Warning Lights Attrition Absenteeism Attraction Safety Productivity Innovation Change 13 13
14 Does your Senior leadership team know where their cultural blind spots are? Are high performance warning lights being ignored? 14 14
15 Sustaining The Gains INFORM TEACH REINFORCE Communication Policies/Procedures Processes Measurement Orientation/Onboarding Leadership Learning/Development Decision-making Selection Performance Mgt. Recognition Reward 15 15
16 Does your organization know which of the Organizational Cultural Processes (OCP) that Inform, Teach, and Reinforce is aligned well and producing desired results? 16 16
17 Employee Engagement Commitment Effort Loyalty Common Drivers Rational & Emotional It s a Contact Sport Satisfied Employees Are Present Don t Leave Go Through The Motions Engaged Employees Are Committed Plan to Stay & Advance Contribute in an Active, Positive Way 17 17
18 Compelling Correlation Research - Examples 78% more productive 40% more profitable (Hewitt) Employees try 50% harder Perform 20% better 80% less likely to leave (CLC) 4X Financial Performance (Watson) Best source for new ideas (GMJ) Individual Performance 20-28% higher (Conference Board) More successful Customer Experiences (TNT Employee Insights) Turnover, Absenteeism, Quality ALL significantly better (DDI) Stronger Advocates Company, Product, & Service (Gallup) 18 18
19 Ouch! These Behaviors Hurt Engagement Making people feel they can be easily replaced Minimizing leader visibility and accessibility Creating a fuzzy strategy and plan of action Having unclear roles and responsibilities Creating extended periods of work/life imbalance Blaming and shaming others for mistakes Talking in code and using acronyms most do not understand Downplaying the need for showing appreciation Micro-managing Compromising standards for health and safety 19 19
20 Has your organization maximized employees commitment, effort, and loyalty? (Engagement) 20 20
21 Troubleshooting Guide CLARITY BRILLIANT IN BASICS ACCOUNTABILITY REINFORCEMENT TALENT & TASK RESILENT 21 21
22 Which Trouble Shooting Guide area would help your organization s performance right now? Clarity Accountability Talent and Task Brilliant in Basics Reinforcement Resilience 22 22
23 3 Responses Troubleshooting High Performance Deny Squeak By Try People are the only asset an organization has that can appreciate over time if we truly appreciate them. And remember it s the only asset with feet! 23 23
24 THANK YOU 24 24
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