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Archive for September, 2008

5 costs of low morale

Thursday, September 25th, 2008

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In response to a comment, Phil Gerbyshak over at Slacker Manager has listed 5 Ways to Ruin Employee Morale and they’re a perfect bull’s-eye.

But what exactly does ruining your people’s morale cost you?

  • Productivity
  • Innovation
  • Retention
  • Raises (yours)
  • Career path (yours)

So if you’re really interested in your own career—take care of your people!

Teaching accountability

Thursday, September 25th, 2008

By CandidProf, who teaches physics and astronomy at a state university. He shares his thoughts and experiences teaching today’s students anonymously every Thursday—anonymously because that’s the only way he can be truly candid. Read all of CandidProf here.

Wes Ball, Tuesday’s regular guest, posted his response to my posting about the Dallas Independent School District grading policy.

He makes a point that a nurturing approach is a good one.  And I agree with him that giving students the opportunity to fix mistakes within defined boundaries is a good learning strategy, and one that I routinely use for my college students.

responsibility.jpgHowever, the key point is in the definition of those boundaries.

DISD has virtually removed boundaries. That is not acceptable.  If you go to a doctor for a serious illness, would you trust your doctor’s treatment if you knew that he or she virtually never got it right the first time?  Just what are the defined limits of acceptable shortfalls?  Sometimes, you just have to get it right.

Just look around and you will see the consequences of teaching people that they don’t have to be held responsible. If you teach students that sort of thing, then they will go into the workforce with that attitude.  And then you will have such things as lenders not thinking through who they lend money to, borrowers not thinking if they can repay loans, and top executives for major corporations not looking towards the future of their companies.  After all, if everything goes bust somebody will come along and bail them out and make everything OK, right?

But I think that the attitude that it is OK to set up policies that do not hold students responsible for their own misdoings is simply a carryover from the DISD’s top leaders’ own philosophies.

Now, it turns out that they don’t want to be held responsible for their own screw ups.  Apparently, DISD hired some new teachers last year, but forgot to think about how to pay for them.  This led to a $64,000,000 budget shortfall in 2007. That is expected to soar to nearly $84,000,000 this year.

How can top executives in charge of such a large district foul up enough to miss out on the fact that they were spending 64 million dollars more than they were taking in through taxes? This is not a small sum of money.  This is not simply a minor accounting error.  This is not just someone putting some expenditure in the wrong column of a data table or listing it under one account instead of another.  This is a major blunder.

But are the top school district executives held to account? Uh, no. The ones being held to account for this are the teachers who are facing losing their jobs.  Up to 700 teachers may be laid off in the middle of the school year.

What effect will that have on students who started learning from one teacher only to be shoved into another, over crowded, classroom with a different teacher?

And what of the teachers, themselves?  If they lose their jobs, they lose their way to make a living.  Teaching jobs don’t pay a lot to start with.  And teaching jobs are keyed to the academic year.  Teaching jobs begin at the start of the school year.  It is almost unheard of for a teacher to be hired in the middle of the year.  So, these teachers are out of a job until next August at the earliest.  Is that fair to them?

No, I think that accountability is important.  I think that standards need to be held fast.  I think that the bar needs to be set, and students, administrators, employees, and everyone needs to make it.  A good leader needs to encourage his followers to meet the challenge and to make the grade.

And if they don’t, then there must be consequences.  If the leader screws up, then he needs to face the consequences, too.

I’m including links to various news stories for more in depth information.

http://www.dallasnews.com/sharedcontent/dws/dn/latestnews/stories/091708dnmetdisdcuts.1bd57b1.html

http://cbs11tv.com/business/education/disd.teacher.layoffs.2.819119.html

http://www.dallasnews.com/sharedcontent/dws/news/localnews/stories/DN-disdbudget_23met.ART.State.Edition2.26b709a.html

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Wordless Wednesday: teamwork can do anything

Wednesday, September 24th, 2008

team_work.jpg

Be sure and check out my other WW: different still fits

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Wordless Wednesday: different still fits

Wednesday, September 24th, 2008

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Check out my other WW: teamwork can do anything

Wes Ball: Building future leaders

Tuesday, September 23rd, 2008

By Wes Ball. Wes is a strategic innovation consultant and author of The Alpha Factor – a revolutionary new look at what really creates market dominance and self-sustaining success (Westlyn Publishing, 2008) and writes for Leadership turn every Tuesday. See all his posts here. Wes can be reached at www.ballgroup.com.arrow_3.jpgBuilding future leaders takes creative nurturing, because leaders are both born AND made.  It’s up to us to do the “making” part.

There is a lot of failure on the track to leadership competence.  It’s doubtful any of the leaders I know could have gotten there, if they had not been nurtured through failure.  Even so-called “natural” leaders that have the combination of dominant and influencing personality styles need nurturing to make them successful.

A couple of weeks ago, CandidProf (guest blogger every Thursday) made note of the 2008-2009 standards for grading policy of the Dallas School District.  He expressed some concern about the fact that, in an effort to reduce the high school dropout rate, this school district mandated that teachers give students multiple chances to pass tests, not give any student a “zero” score for any test or assignment (no matter what they did or did not do), and accept overdue assignments with no or minimal penalty.

While the policy seems like an easy one to condemn and seems to embody all the laziness and attitudes of entitlement we see in young persons applying for jobs these days, there are some interesting aspects of this that have application in business leadership development.  Many persons have complained that this kind of approach to education in no way mirrors what those students might encounter in the working world.  The reality, however, is that good management that has as its objective to develop strong leaders does use similar techniques.

The problem may be not so much in the policy itself, but rather in the lack of accountability that this approach seems to provide.  I would go further and say that the real problem is that students are not given any vision for why they need to learn what is being taught.  Every person needs to understand why they must do something painful — and learning can be very painful for children without a proper vision for the future.  Employees also need that kind of vision-casting.   Without a clear vision for why they are required to work harder and learn more, most people will resist.

Every leader I know has been nurtured by a mentor.  Every one has been given the opportunity to fail along with support to understand how to succeed. Everyone has been given the opportunity to make mistakes within defined boundaries, because learning happens best in such an environment.

Within my own company, I made a point of creating mentoring relationships with and among employees.  I continually created opportunities for employees to learn through failure while providing a “safety net” that meant they knew they would not be fired for failure, except in certain areas of behavior or where there was a clear indication that they were not capable of doing the job needed.  They certainly were not put in a position where a failure could irreversibly harm the company, because that would have been bad leadership.  But they were given the chance to experiment with making decisions and even making recommendations to our customers where appropriate to the level that they had proven themselves capable.

I was extremely successful in taking persons with little or no experience and making them not only highly-skilled in the difficult and somewhat obtuse business of strategic innovation consulting, but also capable of leadership of others.  In fact, I discovered that it was far better for me to develop an inexperienced but motivated and qualified person into a leadership role over time than it ever was to hire a person already experienced through another company.  It was far too painful trying to overcome the bad learning that the experienced person had gained somewhere else.

The secret to nurturing and developing these future leaders was simple in concept:

  • Give them a vision of what the future could look like for them.
  • Give them an “identity” as being part of a great organization that is doing something of real value.
  • Give them the basic skills and relational training they needed.
  • Provide them with “safe” ways to fail, followed by nurturing learning as to how to succeed next time.
  • Encourage them in failure and success.
  • Let them grow as quickly as they can take it, always supported by continuing encouragement, nurturing, and training.
  • Give them public praise when they have proven themselves of real leadership value.

The results were a highly motivated team that was (by measurements common to our industry) about twice as efficient as the average per salary dollar invested.  They also were a cohesive team that liked each other and liked working there.  And we were able to gain the kinds of clients that even much larger competitors only dreamed of getting.  The biggest problems we had were from experienced persons who thought they should be given the chance to “lead” before they even understood what our company was all about.

So, if you want to develop strong future leaders (or just good employees), I would say the Dallas schools idea is not a bad one; it just requires strong vision-casting, nurturing, and encouragement to make it work.  

What do you think?

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A corporate culture for all seasons.

Tuesday, September 23rd, 2008

Image credit:  xymonau CC license

The markets are in turmoil, the economy sucks, so what kind of corporate culture makes your small business, company or startup an attractive place to work?

Short answer: a culture of fiscal intelligence.

Long answer: a culture that spends its money wisely, eliminating low ROI frills and cuts without selling the company’s future down the drain.

This doesn’t mean substituting crappy coffee for the good stuff and eliminating free soda.

It does mean listing all the frills—executive and worker alike—and polling your people to find which are really paying off and which can be scrapped—not a decision made by management, but one that your people hash out and agree to before it’s a done deal.

Sometimes good coffee and soda have a higher ROI morale-wise than you would think.

All this should be doubly true for startups, but it often isn’t. Yes, your money is banked and if you’re VC funded, as opposed to angel or bootstrapping, chances are you’re pretty flush. But having it doesn’t mean you need to spend it.

If any company thinks that cushy perks are attractive in this economy think again. Think just how naïve/ignorant/arrogant a candidate must be to expect a large sign-on bonus or fancy perks given current economic conditions. Not to mention how financially stupid any company still offering them appears to a candidate.

The smartest companies build fiscally intelligent corporate cultures from the beginning, so that when they have to tighten down no one is surprised.

Throwing money around is always stupid, whether in business or personally.

I’ve heard from companies of all sizes and managers at all levels why this one candidate was worth X more than anyone else walking and how not getting her could deal a crippling, or even lethal, blow to the company.

If you ever feel that way, remember two inimitable truths.

  • If that not having that one specific person could bring down the company it’s unlikely to succeed anyway.
  • The candidate who joins you for money will always leave for more money.

Remember, the goal is a lean, mean, innovative, motivated machine—not a lean, mean, depressed one.

2 more healthcare leadership lapses and 1 undecided

Monday, September 22nd, 2008

I’ve written a number of posts abut the lack of leadership in healthcare and the resulting problems with links to useful articles. I’ve even managed to discuss them relatively calmly and sans four-letter words—or at least edited them out. (My focus isn’t surprising, since I’m one of the 47 million uninsured.)calculator_stethoscope.jpgThree new articles prompt today’s post.

The first was an article, including multiple links to additional information, at Health Care Renewal by Roy M Poses MD. It shines a light on just how little unethical and/or illegal actions impact a career these days.

On September 10th, according to Bloomberg, “UnitedHealth Group Inc.’s former chief executive officer William McGuire agreed to pay $30 million to settle a lawsuit brought against the company and individual defendants over backdated stock options.” But don’t waste your sympathy on Mcguire, who still has around $800 million in stock options to fall back on.

On September 11th, the Minneapolis Star-Tribune reported Stephen Parente, director of the Medical Industry Leadership Institute in the Carlson School of Management said the school had given him the go-ahead to explore the idea [to be “executive in residence”] with McGuire, former chief executive of Minnetonka-based UnitedHealth Group… “We don’t really care about the stock options.””

How’s that for a great leadership stance?

On September 18th, The Star-Tribune reported that the University of Minnesota is disavowing any plans to make McGuire a faculty member.

Looks like someone with at least a half a brain figured out that having an ethically challenged “executive in residence” wasn’t a good idea.

The second highlights yet another onerous practice of healthcare providers called “balanced billing”—only this one’s often illegal.

“Balance billing most frequently occurs when medical providers participating in a managed-care network believe the plan’s insurer is imposing too deep a discount on medical bills or is taking too long to pay. California, New Jersey, and 45 other states ban in-network providers from billing insured patients beyond co-payments or co-insurance required by the plan. Similarly, federal law prohibits providers from billing Medicare patients for unpaid balances… Many states also shield insured patients from balance billing by out-of-network hospitals and doctors in emergencies, since patients usually don’t control who treats them in those situations.”

Illegal or not, when collectors threaten to trash your credit people pay up. Better to call your State’s Attorney General and scream bloody murder. And if you’re unfortunate enough to live in one of the five states where it’s not illegal maybe you’d better get your network together and lobby for a change.

The third brings us to a new take on managed care.

“Consider what is happening in New England. Blue Cross Blue Shield of Massachusetts, that state’s dominant insurer, and financially struggling Caritas Christi Health Care, its second-largest hospital network, want to switch from a system that charges patients for every medical service to a managed-care-like flat fee per patient. The yearly fee would be adjusted for age and illness…

According to Dr. Stuart Rosenberg, head of a group of 1,400 doctors at Beth Israel Deaconess MedicalCenter in Boston, “70% of U.S. doctors who are specialists would be loath to enroll in a system that emphasizes primary care.

At least a third of those trillions is wasted on unnecessary care, according to the nonprofit Dartmouth Institute and other researchers, and medical experts blame widespread fee-for-service plans. These encourage volume over quality—doctors and hospitals have a financial incentive to perform more and more tests and operations whether they’re needed or not.”

Will it be better? Who knows, but at least they’re trying.

Consistent through all the problems, as well as the barrier to potential solutions, is the MAP (mindset, attitude, philosophy™) of greed and mememe that permeates our society.

In fact, that MAP is the one constant thread I see tying together the debacles on Wall Street, in healthcare, education, religion and a host of other problems.

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Are you a cat or a chipmunk?

Monday, September 22nd, 2008

Popular wisdom says that it’s better to be the big guy than the small one, but is it always true?

Does the big guy always get his way? Does a higher position on the food chain mean that it’s her way or the highway?

How much can you affect your team’s actions, your company’s culture or other parts of your life if you’re the small guy?

Watch the video for a graphic lesson.

Now tell me, would you rather be a cat—or a chipmunk?

Hat tip to Alicia at Mental Health Notes for leading me to this video.

mY generation: George II Act 3

Sunday, September 21st, 2008

Jim Gordon continues the saga of George II as it parallels Shakespear’s Richard III. Join Jim over the next few weeks to see this saga play out. See all mY generation posts here.

Quotable Quotes: Wisdom from Watterson

Sunday, September 21st, 2008

I love the comics. I’ve followed a lot of good ones over the years, but my hands down all-time favorite is Calvin and Hobbs written by Bill Watterson.calvin_and_hobbs.jpgWatterson is an interesting guy. He never allowed any commercial products to be made from his strip—no stuffed Hobbs (or I’d have one!), no Calvin dolls, nothing. And he allowed the compilations of his strips only grudgingly. (I own most of them.)

When he decided to stop that was it.

Obviously, he wasn’t driven by money; he didn’t want celebrity. He said what he wanted to say—no more and no less. But what he said will resonate for many years to come.

About education: “Why waste time learning, when ignorance is instantaneous?” (Today’s students have this one down pat.)

About writing: “The purpose of writing is to inflate weak ideas, obscure pure reasoning, and inhibit clarity. With a little practice, writing can be an intimidating and impenetrable fog!” (But with a little more effort it can be just the opposite.)

About business: “To make a business decision, you don’t need much philosophy; all you need is greed, and maybe a little knowledge of how the game works.” (An awful lot of CEOs seem to have taken this attitude to heart.)

About living: “There is not enough time to do all the nothing we want to do.” (True, but I’m trying—are you?)

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