Friday, January 30, 2009

Foundational Pillars For Achieving Business Success

ReFoundational Pillars For Achieving Business Success
by: Bob Reissiger
Peter Drucker, considered by many people the 20th century's premier thinker on leadership and management, wrote in his book "Management" that the five basic operations in a manager's job included objectives and goals, organization, motivation and communication, measurement and people and self development. These are times tested management operations that remain the foundational pillars for achieving business success.
In the early 90's, I was looking for examples that demonstrated the effective implementation of these principles to share with my leadership team. At that time, the Gulf War provided a very good example. Following are some observations I made then. The list is by no means all inclusive for the Gulf War was a formidable task, brilliantly executed. It is only meant to touch on some ways that these principles seemed to me to have been carried out.
Objectives and goals - To most, it was clear that the objective of the Gulf War was to free Kuwait. This was a clear and simple objective. It was easy to remember and to communicate.
Organization structures - Great energy was spent prior to the war to gain support from the world community. 34 countries got behind the clear objective and provided support in a variety of ways. Military planners skillfully planned for and leveraged, organized and deployed units from the various services to achieve the single objective. Strong and capable leaders were selected to lead the coalition including Colin Powell and Norman Schwarzkopf.
Motivation and communications practices - The clear objective coupled with an excellent organization structure made possible direct and clear communications helping to mitigate normal confusion. The experience and leadership skills of the leaders, including their character and a genuine concern for the troops, strongly motivated the troops to undertake the challenging task before them.
Measurement Tools and Processes - Data such as the number of sorties, hits, misses, casualties, territory advances, etc. was undoubtedly used by military commanders to analyze results, assess progress and make daily adjustments. This data was also shared with news outlets to help inform stakeholders like the American public and the world about allied activities for the day.
People and Self Development - Colin Powell and Norman Schwarzkopf went into battle with over ½ million troops. This included leaders at every level. Some experienced. Some not so experienced but with potential. Two examples of leadership development during the Gulf War are Tommy Franks and Ray Odierno. Franks was an Assistant Division Commander during the war and retired in 2003 as the Commander of the United States Central Command, overseeing United States Armed Forces operations in a 25-country region, including the Middle East. Odierno was an Executive Officer in the United States Army during the same war and is now the Commander of the Multi-National Force of the War in Iraq.
Undoubtedly, many elements helped the allies win the Gulf War. However it is that victory was achieved; the success of the war is a powerful example of Drucker-like principles at work. Whether in war or in a business setting, these principles work and success is the result.
You can use this simple list to quickly assess how well your organization's objectives and goals and activities are aligned to achieve the mission of your business. Use it also to determine what needs your attention NOW and ... later. One way to do this is to regularly ask yourself the following questions:
Objectives and Goals:
- Does my business have a clearly defined and documented vision for the overall organization and for each function, communicated and understood by all team members? - Are there clearly defined and documented objectives and goals for the business and each function appropriately communicated and understood by the people whose performance is needed to attain them? - Are there regular and annual assessments of performance to goals for the business and each function?
Organization:
- Has there been a clear assessment of technical and business functions needed to support the vision? - Are there clearly defined and documented roles and responsibilities for each function? - Are there current job descriptions for all positions including scope, responsibilities, skills required, job title, job level and compensation rate? - Are there staff selection and placement practices? - Are there key positions that need to be filled?
Motivation and Communications:
- Are the organization values clearly articulated? - Is there a clearly defined total compensation program? - How are team member placement decisions managed? - Are there clearly defined career advancement opportunities? - Do clearly defined other reward and recognition programs exist? - Is there on-going communications to and from subordinates; to and from superior; to and from colleagues? - Are there annual or bi-annual team member satisfaction surveys? - Is there an employee assistance program? - Is there an employee suggestion program?
Measurement Tools and Processes:
- Are there clearly defined measurements (quality, productivity, cost, revenue) for the business, each function and team member focused on the performance of the business and of every team member? - How and how frequently is performance data analyzed, appraised, interpreted and acted upon? - Are there appropriate communications on the meaning of performance to all stakeholders? - Is there a well developed and used dashboard to track performance with the primary focus on goals exceeded and not met? - Are there methods in place to celebrate goals exceeded and to bring needed focus to areas needing improvement?
People and Self Development:
- Is there a new team member orientation program? - Is there a new team member training program? - Is there next level training for team members? - Is there a cross training program? - What programs exist to develop bench strength? - What are the career pathing opportunities for all associates? - Is there succession planning?
Regardless of the size of an organization, these Five Basic Operations in a Manager's Job are the essential activities to ensure the optimal implementation of your business vision. A vision poorly executed is just a vision. A vision well executed is a gratifying achievement with long term positive consequences. These activities will help you achieve a sense of order, structure, process and control. They will also help you mobilize and inspire your people to achieve high performance, conquer your business challenges and achieve your vision!
If you would like a free Executive Management Assessment with me to discuss how I can help you achieve the greatest success possible, please call me or email me and we'll get clear about the best immediate next steps for the success of you and your team.

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