Posted by Adam Thompson on the 27th October 2015
“OK” said Danni, GM of Operations with about 600 people under her. “So I’m accountable for the work of each of my Senior Managers, which means I’m accountable for how efficiently each of their areas runs”.
“In the end” I replied.
“And their work is about making and implementing decisions that will make their areas reach the level of efficiency that we need”.
“Yep. Outputs per input.”
“I know you like to talk about results” Danni went on. “So how do I work out what’s a reasonable result in terms of efficiency for each of my Senior Managers?”
“How do you do it at the moment?”
“Well…….if I’m honest, I guess I pretty much agree with what the Senior Managers say is possible.”
“And they may well be spot on” I answered. “But tell me this” I answered. “When you were getting those renovations done on your house last year, how did you work out what was reasonable?”
“I guess I had a think about what I thought was possible, asked some builders, then asked some friends who had been through a similar thing. Then I asked for what I wanted.”
“And what are the equivalents for deciding a reasonable result to expect for efficiency?”
“My Senior Managers of course. But also I suppose conferences, consultants, colleagues, seminars, workshops, books. All of those things.” Danni was thinking hard now.
“So that meeting with the improvement consultants last month that three of your Senior Managers went to…..” I let it dangle in the air….
“I should have been there with them.” said Danni. “I needed to listen, learn, then make my own judgement on what to expect over the next 18 months from my Senior Managers”.
“Exactly. That decision is the work of a General Manager.”