Posts Tagged relationships

437 — Manage Uncertainty and Change with Adaptability

darwincolor

 

Charles Darwin discovered a key principle of evolution — survival of the fittest.  Massive dinosaurs dominated Earth for 20 million years, but following a sudden environmental change it was the insignificant, tiny, agile mammals that adapted and survived. Darwin recognized that in the long run fittest meant most adaptable.

With today’s increasing uncertain business environment — in markets, technology and regulation — organizing your company around yesterday’s predictability, brings unacceptable risk. We no longer have a stable environment — where the appropriate response is a hierarchic structure, policy manuals, and detailed procedures for each contingency. In a changing, uncertain, unpredictable environment, employees who are hampered by old-style structures and policies can’t respond quickly or properly. That’s the path to extinction.

Engage Employees with the Marketplace

The key to quickly adapting to the changing marketplace is being highly engaged with that marketplace. You can’t predict where the changes will come from but you will minimize your risk if every employee is fully committed and engaged, rapidly responding to change by feeding information into the organization, information they constantly receive through their engagement.

That kind of organizational adaptability takes strong relationships and trust. But how can you hold an employee’s trust when you can’t even promise they’ll be here tomorrow? “I want committed employees, but I can’t commit to them.” This looks like a dilemma. The challenge is to build a company culture, where employees are committed, open and trusting, but at the same time understand and accept that there are no employment guarantees.

It Takes Honesty, Openness and Trust

Employees know the realities of business. Adults appreciate straight talk. Unfortunately many managers think they should always put on a good front and that that sometimes means concealing negative information that may significantly affect employees, such as a severe financial downturn. But in an open and trusting workplace, where people at all levels are committed to each other, managers can talk as straightforwardly to employees about the financial health of the company, or unstable markets, or employment as they can about anything else.

Employees should be able to trust management to be open and honest, no matter what the topic. In such a workplace employees will accept the facts as facts because they know that no matter what happens, managers will do their best for everybody. That’s the new contract. It’s powerful and it works.

Does that sound hard to achieve? You might need help getting there, but the result is an adaptive, market-responsive company, guaranteeing survival. Darwin would approve, maybe even smile.

cc 437 — © Barry Phegan, Ph.D.

Posted in: Topics and Issues — People

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125 — When Competition Is Destructive

 

Internal competition often works against a good culture, against open communication, against success. No senior manager deliberately wants to close down communications, but competition in a leadership team can stifle openness throughout the company.

Most executives are unaware of the effect of their driving competitiveness. For example, you have probably experienced the well-meaning suggestions from an executive, that quickly turn to a shower of unwanted directives; or seen executives criticize another department, that unintentionally stifles cross-functional cooperation.

Aggression Above, Defense Below

Aggressive competitive behavior at the top of any organization sets the stage for aggressive, protective and defensive behavior below — such as mistrust and rigid, rule bound, and “siloed” communication. While these cultural patterns are understandable they are bad for morale, productivity, customer service and corporate success.

In the public sector, the politically appointed or elected officials compete for their share of public opinion, often criticizing each other openly. This is true in all levels of government, and in state and federal agencies. As long as organizations have combat at the top, they’ll have dysfunctional patterns below.

In every organization managers and supervisors try to protect their people from the often destructive environment they see above them. This is easier to do if your offices are physically removed from corporate headquarters. If you are in the same building it may be impossible.

One Solution — Put It On The Table For Discussion

Sometimes a good discussion about competition and communications among the members of the executive team is enough to begin changing this cultural pattern. The discussion can be fairly straightforward. One opener might be, “I’d like to hear from each of you about a situation you were in recently where communications really worked well. After that I’d like us to discuss what qualities made these situations work so well. Then I’d like to see what we can do, as the leadership group, to demonstrate more of these qualities throughout our organization. Who’d like to begin?”

Example — How One Leadership Team Changed from Combat to Cooperation

This company has 5,000 employees. I met monthly with the senior leaders to discuss building a more productive company culture. At one of these morning meetings, a manager complained that several divisions were not working well together in the field.

I had often reminded the group, “Nothing occurs in a vacuum. What you do as leaders sets the stage. People follow your example. What happens elsewhere is partly because of your actions here. And in any case, to be practical, what you do as leaders is what you can most easily change.”

This time I asked, “What are you doing that contributes to this lack of cooperation? For example, in the last six months have any of you criticized another person in this room or in another department or division?” Immediately a manger shot back with, “You mean since breakfast this morning don’t you?” Another manager chimed in, “You mean since the coffee break!”

Once the laughter died down, I hardly needed to say it — but did anyway. “So here you set an example by criticizing other people and divisions and then wonder why they don’t feel like cooperating.” This was one of those rare moments of insight for the group.

What They Changed

At the next meeting they told stories of how they had almost entirely stopped criticizing. Instead they were working together on cooperative solutions that could be easily noticed by others. For example, they decided to travel as pairs on site visits to exemplify cross department cooperation. They prohibited negative comments from their own managers, instead, helping them face and resolve issues.

The managers said that people noticed the change and liked it. The problem of lack of cooperation had significantly disappeared. All this in four weeks! Impressive.

cc 125 — © Barry Phegan, Ph.D.

Posted in: About Company Culture — Structure

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