Showing posts with label business success. Show all posts
Showing posts with label business success. Show all posts

Monday, March 3, 2014

Should Leaders Focus on Results, or on People?

Should Leaders Focus on Results, or on People?

by Matthew Lieberman (Published on 12/27/13 on HBR Blog)   


A lot of ink has been spilled on people’s opinions of what makes for a great leader. As a scientist, I like to turn to the data.  In 2009, James Zenger published a fascinating survey of 60,000 employees to identify how different characteristics of a leader combine to affect employee perceptions of whether the boss is a “great” leader or not. Two of the characteristics that Zenger examined were results focus and social skills. Results focus combines strong analytical skills with an intense motivation to move forward and solve problems.  But if a leader was seen as being very strong on results focus, the chance of that leader being seen as a great leader was only 14%. Social skills combine attributes like communication and empathy. If a leader was strong on social skills, he or she was seen as a great leader even less of the time — a paltry 12%.
However, for leaders who were strong in both results focus and in social skills, the likelihood of being seen as a great leader skyrocketed to 72%.
Social skills are a great multiplier.  A leader with strong social skills can leverage the analytical abilities of team members far more efficiently. Having the social intelligence to predict how team members will work together will promote better pairings.  Often what initially appear to be task-related difficulties turn out to be interpersonal problems in disguise.  One employee may feel devalued by another or think that she is doing all the work while her partner loafs – leading both partners putting in less effort to solve otherwise solvable problems. Socially skilled leaders are better at diagnosing and treating these common workplace dilemmas.
So how many leaders are rated high on both results focus and social skills?  If this pairing produces especially effective leaders, companies should have figured this out and promoted people to leadership positions accordingly, right?  Not hardly.  David Rock, director of the Neuroleadership Institute, and Management Research Group recently conducted a survey to find out the answer.  They asked thousands of employees to rate their bosses on goal focus (similar to results focus) and social skills to examine how often a leader scored high on both.  The results are astonishing.  Less than 1% of leaders were rated high on both goal focus and social skills.
Why would this be?  As I describe in my book, Social: Why our brains are wired to connect, our brains have made it difficult to be both socially and analytically focused at the same time.  Even though thinking social and analytically don’t feel radically different, evolution built our brain with different networks for handling these two ways of thinking.  In the frontal lobe, regions on the outer surface, closer to the skull, are responsible for analytical thinking and are highly related to IQ.  In contrast, regions in the middle of the brain, where the two hemispheres touch, support social thinking.  These regions allow us to piece together a person’s thoughts, feelings, and goals based on what we see from their actions, words, and context.
Here’s the really surprising thing about the brain. These two networks function like a neural seesaw. In countless neuroimaging studies, the more one of these networks got more active, the more the other one got quieter.  Although there are some exceptions, in general, engaging in one of the kinds of thinking makes it harder to engage in the other kind.  Its safe to say that in business, analytical thinking has historically been the coin of the realm — making it harder to recognize the social issues that significantly affect productivity and profits.  Moreover, employees are much more likely to be promoted to leadership positions because of their technical prowess.  We are thus promoting people who may lack the social skills to make the most of their teams and not giving them the training they need to thrive once promoted.
How can we do better?  For one, we should give greater weight to social skills in the hiring and promotion process.  Second, we need to create a culture that rewards using both sides of the neural seesaw.  We may not be able to easily use them in tandem, but knowing that there is another angle to problem solving and productivity will create better balance in our leaders.
Finally, it may be possible to train our social thinking so that it becomes stronger over time. Social psychologists are just at the beginning stages of examining whether this kind of training will bear fruit.  One exciting prospect, one that would make the training fun, is the recent finding that reading fiction seems to temporarily strengthen these mental muscles.  Wouldn’t that be great — if reading Catcher in the Rye or the latest Grisham novel were the key to larger profits?

Monday, October 21, 2013

Disengaged Employees? Do Something About It

Disengaged Employees? Do Something About It

by Susan David
(Published on 7/15/13 on HBR Blog)

New data on employee engagement is in, and it’s downright discouraging. As this post by HBR’s Gretchen Gavett noted, Gallup’s research shows that engagement among US workers is holding steady at a scant 30%. This means seven out of ten people are either “checked out”, or actively hostile toward their employers. Seven out of ten.

Study after study shows that employee engagement, an index of bringing one’s best and full self to work, is not just an organizational nicety. It is a business imperative, linked to a number of performance outcomes, including profitability, customer satisfaction and turnover. A 2012 report on human capital from McKinsey added to the evidence, noting that organizations with top scores in employee motivation are about 60% more likely to be in the top quartile for overall business health. Companies I work with in my consulting practice who have done their own internal research have found similar linkages.

Of course, engagement is an emotional and deeply personal experience; it’s not simple or straightforward to address. But leaders must do so, for the sake of not only their employees but also their companies. Here are pointers to help you to make real inroads in this area:

Understand the basics of positive psychology and engagement research. At the end of her post, Gavett refers to an HBR classic on employee motivation, in which the famed management psychologist Frederick Herzberg argued that workers respond positively to more responsibility and authority in their daily tasks. This finding is resonant with self-determination theory, a well-established research program in psychology that has identified the universal human need for autonomy. In other words, people generally do well when they are empowered to make choices and decisions for themselves. Plenty more research has been done on work engagement, showing that factors such as social support and feedback can drive positive experience. Managers and HR professionals need to understand these and other robust psychological theories to more effectively shape their engagement efforts. A wealth of information is out there, ready to be put to good use.

Find out what engages your employees, not someone else’s. While broad research is a valuable resource, it can only take an organization so far. No theory or model is useful in the abstract. What matters is your business and your people. Ironically, most organizations use engagement results punitively; they focus on what is going wrong, and on why people aren’t as engaged as they could be. A better approach is to figure out what’s already working in your business, and find ways to replicate it. Go to the most engaged individuals, teams and business units, and help others model what they do. I’ve used this approach to help businesses identify a unique “engagement signature” suited to their culture and context.

Encourage grassroots engagement. Engagement cannot be mandated, but it can be ignited. Once you understand what matters to your employees, you can support its expression and replication far and wide. Empower your people, particularly the most engaged employees, to share stories, exchange ideas and disseminate best practices across the business. A well-designed piece of media, such as a video “starring” members of a thriving business unit, can gain traction and become a source of encouragement for others. With the rise of social media and digital workplace technologies, it’s easier than ever to connect employees and make engagement contagious.

Recognize engagement as a moving target, and check back often. While certain elements of employee engagement will surely hold over time, it’s not something that can be assessed and addressed just once. Research shows that engagement fluctuates daily, and with changing circumstances. What engages people during a surge in business may be very different from what helps them bring their best selves to work in a recession. To keep your organization engaged, you must remain engaged, curious, and connected yourself.
The next time Gallup or McKinsey do their polls, I’d like to see those engagement scores rise. What would it take to engage half, three quarters or 100% of the workforce? Imagine what it would mean to business success, employee happiness and productivity.

What are you doing about employee engagement, and what can you share with others? Let’s begin the conversation today.

Tuesday, October 1, 2013

9 Best Practices for Creating Powerful Mentoring Programs

9 Best Practices for Creating Powerful Mentoring Programs  
by Ann Tardy, President
The LifeMoxie Consulting Group

Implementing a corporate mentoring program can be your wildly successful legacy or your administrative nightmare. The difference lies in creating a powerful, employee driven, effective program.

As an employee benefit, a powerful mentoring program can serve to develop your current team and attract new talent. A mentoring program is the perfect opportunity to leverage the skills and strengths of your employees in order to train and develop each other. And when designed properly, a mentoring program can enhance leadership skills, soften departmental barriers, increase employee effectiveness, and boost morale.
Alternatively, a poorly planned mentoring program can become an administrative nightmare. The burden of designing, implementing and maintaining a mentoring program often falls on the already-full plate of an HR director or diversity manager. And an ineffective mentoring program runs the risk of frustrating the employees (and you!) and negatively impacting morale.

The following are nine best practices for creating a powerful, employee-driven, effective mentoring program:
1)      Define Your Success - As early as possible define your program’s success factors in measurable ways and then design your program to achieve that success. For example, one of LifeMoxie’s clients created a mentoring program to increase membership in its company-sponsored affinity groups. Another LifeMoxie client is using the program to augment its succession planning initiative and develop its mid-tier managers.  
2)      Give them a Reason to Participate - time is precious, especially on the job. If you want your employees to participate in your mentoring program, give them an incentive to participate or obligate them to identify their own reasons for participating. For example, encourage participation in the program by making it a factor in annual performance reviews.
3)      Blow up Mentoring Myths - Mentoring often connotes “a guide for your whole life,” similar to the character Obi-Wan Kenobi from the movie Star Wars. As a result, employees often expect to find that one special lifetime mentor in someone of the highest ranks of the company. In reality, everyone on your team can be a Mentor and everyone, regardless of level, can benefit from a mentoring program. Encourage employees to participate as both a Mentor and a Mentee in your program so they learn from as well as develop each other.
4)      Think like a Dating Service - As the catalyst of your mentoring program, consider yourself a dating service for the professional development of your employees. As such you need to provide a way for people to find each other (think Match.com) while providing them the structure in which to make good matches (think matchmaker). Teaching people how to participate in their own matching will create more effective mentoring relationships while giving them lifetime mentoring skills, but will also require your employees to be proactive in the finding and creating of their mentoring relationships. Your challenge is to implement a program that acts like a dating service and not like an arranged marriage.
5)      Teach them How to Mentor - To create an effective mentoring program, you must teach the participants how to be effective Mentors and Mentees. Incorporate ongoing Mentor/Mentee training and educational opportunities, and provide your participants with tools for creating structure in their relationships. Your goal is to teach them how to create their own mentoring relationships so that your mentoring program becomes an employee-inspired, employee generated, employee-driven program year after year.
6)      Make them Commit - Make it a requirement that everyone who enters into a mentoring relationship must sign a mentoring agreement or complete an application (either on-line or on paper). In addition, require your participants to commit to the relationship for a certain period of time, preferably three to six months, while providing each party the opportunity to obtain a no fault split should the relationship not be working.
7)      Mentor around Specific Goals - As your participants start creating mentoring relationships, encourage them to work on specific goals that the Mentor and Mentee generate together. Having goals will create focus and contribute to the effectiveness of their relationship.
8)      Make it Easy to Play - There is nothing worse than an interested, inspired employee that becomes frustrated with the process. Make it easy to participate in your mentoring program, easy to access the mentoring tools and information, and easy for you to administer.
9)      Track Everyone’s Progress - Encourage your participants to track their progress in the program and their progress on their goals. Incorporate a mechanism for participants to provide their feedback on their relationship and on the mentoring program.

Monday, July 22, 2013

Keys for a successful coaching relationship

Keys for a successful coaching relationship
Is the executive highly motivated to change?
Yes : Executives who get the most out of coaching have a fierce desire to learn and grow.
No: Do not engage a coach to fix behavioral problems. Blamers, victims, and individuals with iron-clad belief systems don’t change.

Does the executive have good chemistry with the coach?
Yes: The right match is absolutely key to the success of a coaching experience. Without it, the trust required for optimal executive performance will not develop.
No: Do not engage a coach on the basis of reputation or experience without making sure that the fit is right.

Is there a strong commitment from top management to developing the executive?
Yes: The firm must have a true desire to retain and develop the coached executive.
No: Do not engage a coach if the real agenda is to push the executive out or to fix a systemic issue beyond the control of the coached individual.

Does the focus of coaching engagements shift?
All but eight of the 140 respondents said that over time their focus shifts from what they were originally hired to do.
“Absolutely! It starts out with a business bias and inevitably migrates to ‘bigger issues’ such as life purpose, work/life balance, and becoming a better leader.”
“Generally no. If the assignment is set up properly, the issues are usually very clear before the assignment gets started.”

What should you look for when hiring a coach. Here's how various qualifications stacked up. 

 
 
Coaching borrows from both consulting and therapy

 





Thursday, December 20, 2012

Is Your Business Ready For 2013?



Preparing Your Business for 2013
Change is happening.  The stress we felt in recent recession will hit our businesses again soon.  

Whether this predicted fiscal cliff is a 10,000 foot drop, a bump in the road or someplace in between, business leaders need to be prepared. 

Taxes will increase, legislation will be greater, health care costs will continue to go up, government will get bigger and BUSINESS WILL STILL HAPPEN.

Based on the lessons learned from past economically challenging times, as well as good business practices, let me share with you 5 areas that you can manage in your business to survive and possible thrive.
  • Financial Management. Going beyond fundamental management of your business (income statements, balance sheets, and sales forecasts), I recommend 2 specific things to improve your financial stability: 
  1. Have a strong banking relationship. This goes two ways.  Know the bank you are with is a solid bank. Think about the fallout a few years ago.  Partner with a bank that will be there for you.  Secondly, meet quarterly with your banker to review your business. Share what you have done and what you will do.  This relationship will be invaluable if you need financial assistance from your bank. 
  2. Get your Accounts Receivable balance to zero OR EVEN negative!  How can you get paid before you deliver the service?  Think about magazines. They collect their money and then, over 12 months, deliver your service.  How can your business do this? 

  •  Operational Management. This is where you can make the biggest impact to your survival. Again, I recommend 2 specific actions:
    1. Know what you do and do what you know.  Identify your core services / products and be the best at it.  Don't get distracted by the "shiny new idea".  Focus on your core strengths and commit to being the best at it. Too many times I see businesses who lose sight of their core capabilities and wonder into unchartered waters. More often than not, they sink.  Now is not the time to stray. 
    2. Simplify, simplify, simplify.  Continually ask what you can do to streamline your operations.  What steps don't add value to your service or product? There is a process called "Activity Based Costing".  Ever activity has a cost to it. Find your cost and ask if there is an offsetting value. If not, eliminate it or simplify it.
  • Customer Management. Your customer relationship is the third area of focus. You must create "raving fans" to survive and thrive.  Here are two recommendations:

    1. Sell solutions not products or services. As simple as this sounds, too many businesses sell products and services that they think their customers need. Ask your customers what problems you solve. Ask them why they buy from you?  Know their problems and be their solution. 
    2.  Don’t depend upon a few good customers. Diversify your customer base. If you have more than 70% of your revenue coming from less than 30% of your clients, you are at risk. Find new customers who have the same problem. Can you expand geographically, demographically, gender, ethnicity, age, etc.? How does your solution solve another potential customer's problem? Profile your customers and find a new customer. 
  • Utilization of Resources. Most companies are only using 20-30% of their resources true potential. Consider how much technology is at your fingertips. Besides using it for e-mail, documents and a few basic spreadsheets, most of the potential lies dormant. This is true for most of the other resources in our business - including your people.  What can you do? Here is one simple recommendation.
    1. Invest in resources. Consider where the biggest opportunities are in your business and invest now - BUT measure the results.  Don't assume if someone is trained or equipment is upgraded, that you have solved the problem. Measure the expected performance improvement. What gets measured gets accomplished. This is the only true way to do more with less.
  • Stakeholder Management. This is one of the most neglected asset a company has and yet the one that can make or break a business.  The stakeholders of your business includes the community you live in and the market you serve. Frank Agin, founder of AmSpirit Business Connections and author, once said "All things being equal, and even when they aren’t, people do business with people they know, like and trust." In today's business world, no reputation is a bad reputation. You must pay attention to your reputation and build your reputation. Here is a simple action you can take.
    1. Invite comments. Ask your customers to give you feedback. Online, in writing, through survey cards but you must ask.  If you get something unfavorable, respond immediately. Study after study shows that a quick, positive resolution brings stronger loyalty than all the 'good' service in the world.
FOCUS on these core concepts and you have a better chance of surviving and even thriving during this next challenging time.

Remember this business truth – if someone is buying the products or services you offer, you have a marketplace to compete. Your job is to compete!