Ultimately who is accountable for each of your areas being efficient?

Danni was General Manager Operations in a 1400-person organisation with about 600 people under her umbrella.   The new Board had made it clear they required a renewed focussed on ‘efficiency and effectiveness’.

“OK” Danni continued, “so I’m accountable that the work of my various areas is effective, meaning creates value for the organisation, and my Senior Managers are accountable that it’s done efficiently”.

“Nearly” I replied.

“Only nearly?” Danni laughed.  “I thought I was getting somewhere!”

“We are” I continued.  “But remember from the workshop last week, what is each manager accountable for?”

“The results of their people”.

“Which means ultimately who is accountable for each of your areas being efficient?”

“Well I guess that means me.  But now I’m confused”.

“Fair enough!” I agreed.  “But hang with me.  The work of each of your Senior Managers is to make their areas run more efficiently.  As in achieve a better outputs to inputs ratio.  And work is about making decisions to reach an outcome.  So your Senior Managers are paid to identify then choose a pathway that will see the outcome of a more efficient operation achieved”.

“Go on…..” Danni said, nodding slowly.

“But…..how much of an improvement in efficiency is considered to be a good job…..the result they are expected to achieve…..that’s your call”.

“Why my call?”

“Because you are…..” I began.  Danni smiled and joined in….”accountable for the results of my people“.

Which ‘e’ word are General Managers accountable for?

Danni was General Manager Operations in a 1400-person organisation with about 600 people under her umbrella.   The new Board had made it clear they required a renewed focussed on ‘efficiency and effectiveness’.

“So which one do you hold your Senior Managers accountable for?” I asked.  “Efficiency or effectiveness?”

“Well both!” she answered.  “It’s not enough that they just do things right, they need to make sure they are doing the right things”.

“And who decides what the right things are?”

“What do you mean?” Danni asked, her brow furrowing.

“Well….let say one of your Senior Managers asks to invest $150k in improvement consultants for a six month project that will deliver a three-year payback of $1.5 million.”

“Sounds good to me.  Approved!” she smiled.

“Hang on a tick….what if the service that is being improved is one that we would call, using Drucker’s words, ‘yesterday’s breadwinner’.”

“Well, $1.35 million over three years sounds pretty good”.  Danni was fast with numbers.

“True” I agreed. “But what if those improvements required most of the people who are involved in that  series of projects you were telling me about to find tomorrow’s breadwinners?”

“Well….that would be a genuine strategic decision.  Classic resource allocation.  What’s  savings of $500k each year compared to the value of new products?”

“Would you let your Senior Managers make this decision?” I asked.

“Nope.   I’d get their inputs, hear their disagreements.  But the final call – that’s what I’m paid for.”

“And which ‘e’ word are we talking about now”.

“Effectiveness”  said Danni with a confident nod.  “General Managers make decisions about what are the right things to do.”

“Which means….”

Danni had it:  “Senior Managers make decisions that make sure we do it right”.

How to lift accountability without losing connection

Implementing a Requisite approach has the benefits of clarity of expectations and authority to get work done which in turn liberates people’s natural desire to be useful.  This is generated from the concept that it’s the managerial role that is accountable for the results and behaviour of their directs (regardless of who they may do a particular bit of work ‘for’).  This accountability naturally requires the managerial role to ensure clarity and authority are in place.

So far so good.

But…there is an unwanted side effect we need to avoid – the relationship disconnect.  It’s easy to accidentally adopt an approach of ‘that’s their job to do it, and if they can’t, that’s their problem’.  You might think that you would never take an approach like this, but I’ve seen it happen in well-meaning circumstances in a genuine attempt to provide freedom and autonomy.

The missing (and balancing) element is another Requisite fundamental – the managerial role exists to add value to the work of their directs. Read more…

Stop happying and start helping

“HAPPIER EMPLOYEES ARE MORE PRODUCTIVE” screamed recent headlines as a study from the University of Warwick hit the streets.  Music to the ears of some HR practitioners who see their role as Entertainment Officers with the responsibility of making work fun for employees, rather than their actual role of assisting managers to provide the conditions to lift productivity.

I don’t think the study is necessarily wrong.  An employee that does not feel that their organisation respects them, that can’t trust the organisation to not cause them harm, and who gets treated in a way that does not feel fair is never going to put their best effort forward.  And they’re not going to be happy.

But to conclude from the study that organisations should provide chocolates and bean-bags or offer free meditation sessions for every employee is simply not valid. Read more…

Four fundamental acts of leadership that will instantly help your people

Are you a manager?  Great!  You’ve got the chance to improve the lives of those that work for you by doing these four simple things.

1) Remind everyone of the context they’re working in.

What I’m talking about here is the environment you and your team are dealing with.  You might think this is obvious, but the reason you’re the manager is to make this stuff obvious.  Want an easy spot to start?  Ask your own manager what they’re dealing with.  This creates the wider context in which you and your people work.

Do it now:  Open your calendar and schedule a meeting with all of your direct reports.  Topic: Context.  Read more…

The simple way to good service area relationships

“I can’t win” sighed John.

“Tough day?” I asked.  John was the Senior Manager of Work Health & Safety in a large organisation.

“It’s my senior colleagues from other areas” he began.  “We need a better approach to work health and safety around here, but that’s not going to happen if they don’t listen.”

“Why don’t they?”

“Because if I was them, I’d be doing exactly the same!  They’ve got serious businesses to run, they’re all on the hook for more profit next year and delivering services better.  Then along comes one of my team and somehow they’re supposed to prioritise my stuff’?” Read more…

Five signs your planning is going well

Tigers have outstanding plans

Here are five signs that show if your organisation or division’s planning is going well:

1) The CEO picks up the whiteboard marker

The reason they were chosen for the job is because they were deemed to have the capability to create, communicate then deliver a future by focusing the efforts of hundreds or thousands of people.  While they need input from all the minds around the table, the final plan is theirs, and theirs alone, and this starts from articulating their initial thoughts.

2) The word ‘develop’ is not seen 

The purpose of a planning day isn’t to agree to develop a plan, it’s to actually come up with a plan. Read more…

The real job of middle management

Matt Darling invented a system called Smart Ward in the most tragic of circumstances.  It puts touchscreens into hospitals which look like the ones in hospitality where staff use wristbands to identify themselves then can enter and access data.  The result is less duplication and more reliable information, allowing nurses to do what they’re good at – nursing, and reducing mistakes due to admin overload.

ABC ran this article the day before Christmas, and a warning that the photo of Matt’s little girl may bring a tear to your eye.

Here’s the point:  the decision to implement a system such as this is why middle management exists. Read more…

Good enough is good enough

Since November I’m now a father of two, and for me being a parent is a pendulum between trying to do it 100% right at one end then at the other getting tired and frustrated at the unrelenting inexorable workload that seems like it will never end.

I was discussing this with someone who gave me a great lesson in the old principle that you teach best what you need to know yourself.  He simply said “what’s wrong with good enough“?

A light bulb went on.  Not of the ‘I’ve had a great idea’ variety, but the illumination that says ‘wake up you idiot.’ Read more…

Do you actually rate employees on whether you like them?

Do you hire people and rate their effectiveness on whether they can do the work, or on whether you like them?

Before you answer, ask yourself who you rate as having the better playing career in tennis – Pat Rafter or Lleyton Hewitt?

Let me give you some information on actual performance on our two candidates: Read more…