Author Archives: Tom Foster

About Tom Foster

Tom Foster spends most of his time talking with managers and business owners. The conversations are about business lives and personal lives, goals, objectives and measuring performance. In short, transforming groups of people into teams working together. Sometimes we make great strides understanding this management stuff, other times it’s measured in very short inches. But in all of this conversation, there are things that we learn. This blog is that part of the conversation I can share. Often, the names are changed to protect the guilty, but this is real life inside of real companies.

Scrambling Around

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“Then what is my role, as the manager?” Valerie asked. “I do all the same stuff as the supervisor, it’s just that most of the time, I handle the bigger problems.”

“Bigger problems, like what?” I followed.

“Like last week, we had a large order for a customer, an international customer, and one of the components from a supplier was defective, 500 units we had to reject. The customer is screaming because he already sold the first three shipments that we can’t deliver.”

“What did you do, as the manager?”

“Well, I scrambled around and found 500 units from a supplier in California. In fact, they were leftover stock and we got them cheaper than our normal supplier.”

“Why didn’t your supervisor locate them for you?” I asked.

Valerie looked sideways. “Well, actually he did. I said I scrambled, meaning my supervisor scrambled. He is the one who found the parts. It was kind of a lucky break that solved the problem.”

“So your supervisor did his job, as a supervisor, and you failed to do your job as a manager.”

Valerie looked puzzled.

From Concrete to Conceptual

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From the Ask Tom mailbag –

This is Part 5 of 5 in a series. This post is in response to a question by Herb Koplowitz, contributing editor to Global Organization Design Society. It is based on a discussion about Collins’ organizational model.

Question:
I didn’t read Collins’ levels as layers, but as personality fit to being a good manager. (He actually describes behaviors and then ascribes them to the manager as though ones manager has nothing to do with ones behavior.) Please explain how you see Collins’ levels as relating to Jaques’ strata. What is Stratum I about being a capable individual, what is Stratum II about being a contributing team member?

Response:
Last Friday, we looked at Collins’ Level 4. Today, Level 5.

Level 5 – Collins – Level V Leadership. Decisions inside Stratum V (Requisite Organization) roles consider the organization as a whole in the context of its market. The direct output of this role is the articulation of a clear and compelling vision relevant to the market. There is a shift in thinking from tangible, concrete elements to the world of conceptual ideas.

  • What is the market need?
  • Is the market big enough?
  • What is the product or service that meets that market need?
  • Does the market value the product or service higher than its cost to produce?
  • What is the appropriate organizational structure (what are the Levels of Work) necessary to sustain profitable production?

Understanding that markets always change, these decisions are fluid and adaptive. Stratum V roles require declarative processing at a conceptual level, defining and articulating a clear and compelling vision relevant to the market. Longest Time Span tasks range from 5-10 years.

The understatement of Collins book Good to Great is the short shrift he gives to the infrastructure of Levels I-IV. The most capable CEO (S-V) will falter and fail, if thrust into an organization without the proper infrastructure at Strata I-IV.

What is the most defining characteristic of a successful CEO? It is not personality or charisma. It is that person who has built functional teams at each Level of Work. Where there is weakness at any Level of Work, the organization will cave to that level and remain stuck until they have restored the roles with the necessary capability.

Stay Stuck or Scale?

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From the Ask Tom mailbag –

This is Part 4 of 5 in a series. This post is in response to a question by Herb Koplowitz, contributing editor to Global Organization Design Society. It is based on a discussion about Collins’ organizational model.

Question:
I didn’t read Collins’ levels as layers, but as personality fit to being a good manager. (He actually describes behaviors and then ascribes them to the manager as though ones manager has nothing to do with ones behavior.) Please explain how you see Collins’ levels as relating to Jaques’ strata. What is Stratum I about being a capable individual, what is Stratum II about being a contributing team member?

Response:
Last Friday, we looked at Collins’ Level 3. Today, Level 4.

Level 4 – Collins – Effective Leader. Decisions inside Stratum IV (Requisite Organization) roles consider issues of pace and quality related to organizational systems. Stratum IV organizations are typically populated by multiple systems, each competing for budget and managerial attention. Peter Senge (Fifth Discipline) describes this system friction as reinforcing systems and balancing systems. The impact of this friction modulates total organizational output, the capacity of one system throttling the pace of its sister system. The organization can either stay stuck or scale depending on the effectiveness of roles at Stratum IV, to integrate those competing systems (departments, silos) into a whole system, optimized for growth and profitability. Stratum IV roles require parallel processing, seeing system inter-dependencies, contingencies, bottlenecks and constraints. Longest Time Span tasks range from 2-5 years.
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Our next Orientation of Hiring Talent begins today, April 23, 2012. First Session begins next Monday, April 30. For more informaton follow this link – Hiring Talent.

End to End System Accountability

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From the Ask Tom mailbag –

This is Part 3 of 5 in a series. This post is in response to a question by Herb Koplowitz, contributing editor to Global Organization Design Society. It is based on a discussion about Collins’ organizational model.

Question:
I didn’t read Collins’ levels as layers, but as personality fit to being a good manager. (He actually describes behaviors and then ascribes them to the manager as though ones manager has nothing to do with ones behavior.) Please explain how you see Collins’ levels as relating to Jaques’ strata. What is Stratum I about being a capable individual, what is Stratum II about being a contributing team member?

Response:
Yesterday, we looked at Collins’ Level 2. Today, Level 3.

Level 3 – Collins – Competent Manager. Decisions inside Stratum III roles (Requisite Organization) revolve around pace and quality, but the scope is extended to the efficiency and predictability of that pace and quality. There is end to end (system) accountability to define the necessity and sequence of steps. Jaques defined four managerial authorities for this role.

  • Selection and de-selection of team membership
  • Defining and assigning tasks to be completed
  • Defining a reasonable amount of time for those tasks to be completed (Time Span)
  • Evaluating the effectiveness of those assigned to complete those tasks

These roles require serial processing, seeing cause-and-effect relationships between steps, and the creation of alternate paths to the goal (planning) in the face of obstacles. Longest Time Span task assignments range from 12-24 months.
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Our next Orientation of Hiring Talent begins April 23, 2012. First Session begins Monday, April 30. For more informaton follow this link – Hiring Talent.

Pace and Quality Output of the Team

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From the Ask Tom mailbag –

This is Part 2 of 5 in a series. This post is in response to a question by Herb Koplowitz, contributing editor to Global Organization Design Society. It is based on a discussion about Collins’ organizational model.

  • Level 5 – Level 5 Executive
  • Level 4 – Effective Leader
  • Level 3 – Competent Manager
  • Level 2 – Contributing Team Member
  • Level 1 – Highly Capable Individual

Question:
I didn’t read Collins’ levels as layers, but as personality fit to being a good manager. (He actually describes behaviors and then ascribes them to the manager as though ones manager has nothing to do with ones behavior.) Please explain how you see Collins’ levels as relating to Jaques’ strata. What is Stratum I about being a capable individual, what is Stratum II about being a contributing team member?

Response:
Yesterday, we looked at Collins’ Level 1. Today, Level 2.

Level 2 – Collins – Contributing Team Member. The central decisions in Stratum II roles (Requisite Organization), are also about pace and quality. But no longer, necessarily about my pace and my quality (individual output), but the output of the team. Calibrating Stratum II roles, I typically see job titles like supervisor, coordinator, project manager. This enlarged role requires a higher level of capability in solving problems and making decisions. It is the first layer in the organization where I hold the supervisor (coordinator, project manager) accountable for the output of the team. These roles require cumulative processing, adding many elements together in a coordinated recipe, with longest Time Span task assignments landing between 3-12 months.

Tomorrow, we will look at the decisions associated with Stratum III.

Collins and Jaques

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From the Ask Tom mailbag –

I have to set this up, because the source of this discussion began in January of this year. On this site, under Organizational Models, I listed a specific reference to Jim Collins and his take on organizational layers.

  • Level 5 – Level 5 Executive
  • Level 4 – Effective Leader
  • Level 3 – Competent Manager
  • Level 2 – Contributing Team Member
  • Level 1 – Highly Capable Individual

What makes this question special is that it was posed by Herb Koplowitz. Herb is a contributing editor to the Global Organization Design Society, a deep, international resource on organizational design, based in large part on the research of Elliott Jaques.

This is Part 1 of 5 in a series.

Question:
I didn’t read Collins’ levels as layers, but as personality fit to being a good manager. (He actually describes behaviors and then ascribes them to the manager as though ones manager has nothing to do with ones behavior.) Please explain how you see Collins’ levels as relating to Jaques’ strata. What is Stratum I about being a capable individual, what is Stratum II about being a contributing team member?

Response:
Since 2003, I have conducted more than 300 workshops for more than 3,500 CEOs, sharing the research of Elliott Jaques. By a show of hands, I always ask, who has any exposure to this research. Over the years, less than 100 have raised their hands.

“Next question,” I ask, “Who has read Good to Great, by Jim Collins?” Almost 100 percent have read, own a copy of the book and memorized that most famous bus analogy, right people, right seats.

I look at Collins, not because he is the best place to start, but because his book is a familiar touchstone in the room.

I didn’t piece some of this together until I was working with an independent school district in Detroit. Their organization, mildly different from manufacturing, held roles like superintendents, principals and teachers. There was interest to look at Requisite Organization to see how it might help in understanding the accountability and authority tied to each role.

And everyone in the room was familiar with Good to Great.

Collins provides a chart depicting his framework of Level Five Leadership. His focus in the book was on Level V, leaving us with only brief descriptions of the levels of work below. Rather than pick them apart, I looked for intersection, to see where Jaques could be instructive and helpful in understanding each level described by Collins.

Level V – Level V Leadership
Level IV – Effective Leader
Level III – Competent Manager
Level II – Contributing Team Member
Level I – Individual Contributor

Level 1 – Collins – Individual Contributor. When I think about the decisions at Stratum I (Requisite Organization), most of those decisions fall to pace and quality.

  • In my role, given my work instructions, am I working fast enough to complete the task within the time span allotted?
  • At that pace, is the output of my work within the quality standards set by my manager?

That is my accountability.

My authority is to adjust my work-pace and attention-to-quality to meet the task assignment. My authority is to judge whether I can meet the pace and quality set by my manager, and if not, then it is my accountability to tell my manager. It is all about me and my work, with the longest Time Span task assignments landing between one day and three months.

Tomorrow, we will look at Collins-Contributing Team Member and Jaques-Stratum II.

MOR on the Hook

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From the Ask Tom mailbag –

Question:
We are a small organization and most of our production work is technical, defined at Stratum III. Because we are small, and I am the Hiring Manager, in a Stratum IV role, not sure how to implement the Manager-Once-Removed (MOR) in the hiring process?

Response:
The Manager Once Removed in the hiring process is a critical role.

  • Brings perspective and experience to defining the requirements of the role.
  • Truly understands the Level of Work required for success in the role.
  • Will not allow unqualified candidates into the process.
  • Will not allow the Hiring Manager to short-cut elements of the hiring process.
  • Is accountable for the quality of the hiring decision of the Hiring Manager.

Most MORs don’t take this accountability seriously, but this accountability is dead serious. I hold the MOR accountable for the quality of the decision of the Hiring Manager. This changes a number of things. The MOR is ON the hook.

But, where the Hiring Manager is playing a role in the highest layer of the company, who is the Manager Once Removed?

It’s not an insider, look around, there isn’t anyone. In this case, the answer is outside.

Every player needs a coach, including the person playing the role at the top. It’s either a mentor or most likely, a peer group. Most readers are somehow connected to a peer group organization called Vistage/TEC, when I present workshops to those groups, I say “Look to your right, look to your left, the MOR is sitting in this room.”

The dynamic is different. Outsiders cannot be held accountable for decisions made on the inside. But if there is NO ONE in the role on the inside, my next move is to personal mentor or peer group.

It’s a Cakewalk

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From the Ask Tom mailbag –

Question:
I just read your latest newsletter regarding team interviewing. I am a lousy interviewer but trying to get better. I am intrigued by the 50-60 interview questions that need to be prepared as I have a tendency to just wing it.

Do you have a source or listing of that many questions? I’m having a hard time envisioning what a comprehensive list might look like.

Response:
When I first introduce this concept of 50-60 written prepared questions, most interviewers freak out. Looks like a lot of work. No idea where to start? Can I short-cut the work and find the questions online?

The answer is, there is no short-cut. I do NOT have a list you can copy. But, here is the source of the questions.

The template I use to create a Role Description is organized around Key Result Areas (KRAs). When you look at any role, there are tasks that go together, typically related to a single goal or objective. In any role, there are typically 5-8 major goals or objectives, with related tasks in each goal area.

Looks like this –

Role Description
KRA #1
Tasks/Activities
_____________________
_____________________
_____________________
Accountability
_____________________
KRA #2
Tasks/Activities
_____________________
_____________________
_____________________
Accountability
_____________________
KRA #3
Tasks/Activities
_____________________
_____________________
_____________________
Accountability
_____________________
and so on…

Use the Role Description to craft ten questions in each KRA. If you have six KRAs, you will have 60 written prepared questions. It’s a cakewalk.

If you have more questions, register for our Hiring Talent program, next Orientation is Apr 23, 2012. For more information, follow this link.

Getting By and Paying the Price

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“I know we are missing a couple of Managers,” admitted Derrick. “We intentionally allowed these positions to be open. We thought we could get by, save some salaries. We thought other people could cover for a short time.”

“And now you are paying the price,” I responded.

“I guess we thought our systems were solid,” Derrick hopefully floated.

“Perhaps they were, but things change. Your systems have to be constantly monitored, constantly tweaked. Other people can cover some of the daily work in your manager roles, but they are not going to look at your systems. Not only did you lose the predictability of your momentum, but glitches in your system cost you backtracking to re-locate the source of the problem. That’s why you felt, at times, that you were playing Whack-a-mole.”

“So, what’s the next step?” asked Derrick.

“Two-fold. You have to keep a handle on the Whack-a-mole and you also need to find a new manager.”

Problem Fixed, System Broken

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“You have two out of five manager positions in place on a daily basis, so when you have a problem, you fix the problem, but not the system,” I offered.

“So, the problem is fixed,” Derrick insisted.

“Yes, the problem is fixed, but the system is still broken. You are missing three of five Managers, so you are not paying proper attention to your systems.

“You see, Derrick, when you have a problem, everyone scrambles to fix the problem. Even experienced Managers put on their superhero cape and leap in front of their biggest customer to save the day.

“What your managers need to focus on,” I continued, “is the system. Why didn’t the system prevent that problem? Or at least mitigate the damage from the problem? Their role is to fix the system.”