A Business Technology Place

Conquer the antagonist

Yardwork reflections.

I often use yard work as a time for self-reflection because what else is there to do while drawing shapes with a lawn mower? Sometimes I reflect on personal interactions and plans, but I also use the time to consider business activities. As I edged the lawn this week, I wondered how was it possible that some business leaders are able to leave behind a successful blueprint for the philosophy and culture that drive and define an organization. This isn’t a new question, but it’s a thought many business leaders go through on their professional journeys. Jim Collins spent an entire book on the subject in Built to Last. He discusses how companies find enduring success. More on that in a minute.

The antagonist.

As if by fate, I read a story tonight on NPR.com about implicit egotism that links to a study published by the Harvard Business School (HBS) called the Ikea Effect. The Ikea Effect suggests we have a preference for and place greater value on things we personally create. The HBS paper adds, “labor leads to increased valuation only when labor results in successful completion of tasks.” Meaning, when we are successful in a task, we tend to place a greater value on our creation than something someone else created.

I quickly realized the Ikea Effect told me something I’ve already observed and participated in during my professional career. Typically, new leaders and managers bring their way of doing things to a company. They want to establish a change in the company by doing what worked for them in the past. Maybe they were hired for the purpose of bringing change to the organization. On the flip-side, I bet you could think of some successful companies that started failing after a change in executive management. Considering the Ikea Effect and the thought of enduring greatness and consistency, the antagonist may very well be me!

Grow leaders from within.

One of the principles of the Toyota Production System is to “Grow leaders who thoroughly understand the work, live the philosophy, and teach it to others.” We read this same finding in Jim Collins’ books Built to Last and Good to Great. A key observation from Collins, is companies that found success spanning multiple leaders most often promoted insiders to the CEO position. Constancy of purpose, culture, and philosophy is a key ingredient to enduring success.

Know thyself.

My take-away from tonight’s mental exercise is to look and reflect on the Ikea Effect in my own decision making. Am I prone to shut-out other ideas because I didn’t create them? Am I over-valuing methods, procedures, and systems I created? Can I create sustainable systems that will be maintained by those who succeed my position in the company? The Toyota Production Systems uses the phrase “the right process produces the right results.” So success is not about what I create or what you create. But it’s more about results that are right for the company or organization.

 

Onward and upward!

Photo credit : http://maxpixel.freegreatpicture.com/photo-1207142

 

 

What’s your True North

Sometimes when I read books I realize the author’s point is a variation or derivative of another concept that I studied in the past. It’s doesn’t mean the two authors thoughts are necessarily linked in any-way. I just get the same basis from each of their thoughts as I consider application in my life.

Here’s an example:

In Start with Why Simon Sinek talks about the power of understanding ‘why’ we do something and its relationship to ‘how’ and ‘what’ we do. He argues successful companies are started with a ‘why’ by an individual or group. ‘Why’ is the driving idea for inspiration and innovation.  When companies lose sight of ‘why’ they are in business and solely focus on what they produce, the results are not as beneficial to employees and customers.

I linked Sinek’s idea to basing management decisions on a long-term philosophy, (even at the expense of short-term financial goals), from the book The Toyota Way by Dr. Jeffrey Liker. In the Lean Principles a True North is a vision of an ideal state. True North is a guide to help with long term thinking because it is based on ‘why’ more than ‘how’ and ‘what’.

Why?compass

A while back I considered the lean principle of basing management decisions on a long-term philosophy. I thought about why I chose a professional career in Information Technology. Why am I motivated by certain experiences at work and not others?

I documented my answer as a mission statement.

IT Mission – “We connect people through systems and solutions.”

It’s simple. My ‘why’ is more about people than machines. My ‘why’ is more about solving problems than working with technology.

What’s your True North?

 

Photo Credit: Verino77 via Flickr Creative Commons.

Long term thinking – right now

“If you don’t have a real stake in the new, then just surviving on the old – even if it is about efficiency – I don’t think is a long-term game.” – Satya Nadella

Is any business safe surviving on “the old”? Managing a product or service that is in decline requires skill. Companies that do it well can use the cash to fund investment in other areas and to support their long term vision. I’ve spent a large portion of my working life in the print industry with declining product sets. The business of print is, and has been, a good business to run. But all products run the full life-cycle. Continuing to focusing on getting more efficient at a specific product or service is like a race to zero when competition is factored in the equation. At some point the financial margins have been squeezed and re-squeezed to a point that it becomes difficult to sustain and support the business for future growth.

How is long term thinking connected to now?Vision

One of the principles of the Toyota Production System (TPS) is to base management decisions on a long term philosophy. That’s easy to agree with, but more difficult to focus on in a business environment that demands quarterly results to shareholders. I’ve had a hard time seeing this principle supported over the years. Just how do I connect long term thinking to the here-and-now?

Inspiration comes when you aren’t looking for it.

This week I had lunch with a few colleagues and the conversation drifted to automobiles. Everyone at the table had a story about a car that was impactful to their lives. Each of our stories shared a common theme; each of us placed the most value on the vehicle that was reliable, required the least maintenance, and lasted well beyond any loan payments. As I reflected on it later, I realized that no one spoke about add-on features, engine sizes, or even gas mileage. The most important thing was reliability, predictability, and service. These are all characteristics of transportation that transcend the offering of an individual vehicle.

So I asked myself, what are the characteristics of my business and workgroup that transcend an individual goal or project? What are those characteristics that define an ability to create new and adapt the old with the changing conditions of the business?

How can I think long term in the now?

Engage with people

Investing in people at work is a long term commitment for both the relationship and the value the employee brings to the organization. When I stress the importance of a weekly one-on-one meeting it is intended to coach, mature, and grow the individual in the values of the company. When I make an objective for employees to seek continuing education, it is an investment in the long term skills of the employee and their ability to contribute to the company in the future.

Stick with the plan

Make long term goals part of the annual goals and objectives process. Sometimes these goals are a continuation of key metrics for more efficient processing. Sometimes these goals are to expand into new markets, launch new products, or improve efficiencies. The point is to make sure the goals align with the long term vision of the organization. This links to my current day activities because the work that I’m doing to satisfy an individual goal should support the long term vision. The work is a building block in moving the organization toward a future goal.

Be persistent

Another principle of TPS is that the right process will produce the right results. I know personally, I don’t accomplish every goal and objective I set for myself or group. But if the goal is aligned to the long term vision, then it shouldn’t be abandoned. Long term thinking ‘in the now’ means I should stay persistent to win the day. I should work through setbacks by rethinking my approach.

Those are three characteristics for long term focus that I see in my day-to-day. How do you push long term thinking into your everyday routine?

Onward and upward!

Photo Credit: C.P. Storm

Innovation sourced from standard processes?

Innovation from the everyday

Innovation from the everyday

In a MBA class last year I took the following note during a lecture:

Drucker – creativity and innovation driven off standard process

This week I found that note in a review of some materials and thought it would be a good topic for further thought. Peter Drucker lists process need as one of seven sources of innovation in his book Innovation and Entrepreneurship.

Drucker’s thought makes sense to me. From experience I know that standard processes tend to grow over time to:

  • Account for items previously not thought of or missed
  • Cover new regulations or contractual obligations
  • Add steps for quality assessment

Standard processes also tend to grow stagnant over time and often lose touch with other changing business forces. When this happens, people feel confined within the boundaries of the process. The worst case scenario is when a customer is confined by rules of a process and it does not meet their needs. See my open letter to cell phone providers for some good examples on standard processes not serving customers.

So when this happens. Innovation sets in because in general people want to help their customers.  Standard processes that block customer focus within an organization are prime candidates for innovative thought. The innovation can help by:

  • Reducing complexity – An example is when theme parks came up with a seasons pass offering. Instead of requiring their customers to pay for each visit, they came up with a process for a single transaction that gave the customer the ability to reduce their payments as well as get a volume discount.
  • Reduce cycle times – The Toyota Production System has received alot of attention based on its ability to reduce the cycle time create a new automobile.
  • Resolving items found in customer feedback – I’d like to think that AT&T rollover minutes came from customer feedback regarding purchasing minutes they did not use.

Do you agree with Drucker? Do we find new innovative ways of thinking while going the everday ho-hum?

Photo credit: http://www.bizextra.biz/files/images/innovation.jpg