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.

High Productivity Can Create Excess Inventory

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“I need you to make a phone call,” I told Corina. She looked puzzled, feeling guilty about something she wasn’t sure of.

“There’s a lesson in this,” I continued. “It’s a counter-intuitive lesson that most people and organizations don’t learn until it’s too late.”

“So, you are talking about the difference between the company’s goal and my goal for the plant?” she asked.

I nodded, “Yes, the difference. There shouldn’t be a difference. But no one sat down and punched through all this, so there could be agreement. In fact, I would bet that you never sat in a meeting to truly clarify the goal for the plant. I would bet you assumed, by all manner of policies and directives, to produce as much as you could as efficiently as you could.”

I was nodding. Corina was nodding. “How much excess inventory is now hiding in that warehouse?” I asked.

Corina smiled, but quickly realized what had seemed to be good news wasn’t after all. “I would have to pull the reports, but I think we have about four weeks of production built up in the warehouse. I mean, we were building to forecast, but we weren’t selling to forecast.”

“Okay, let’s make that phone call.”

How Freely to Talk About Time Span

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From the Ask Tom Mailbag –

Question:
How freely do you explain Time Span (based on the research of Elliott Jaques) throughout the organization?

Response:
Time Span is as natural as behavior.

All behavior is goal directed. The goal may be to pursue a dream, or to relieve boredom, but all behavior is goal directed.

If we can understand a goal in its simplest form, a “what, by when,” we can see Time Span as a natural part of all behavior, and a natural part of every discussion about behavior.

“I am going to the store.”

“What time do you plan to return?”

So, I am curious. Why the question? Is there some part of Time Span that you feel uncomfortable talking about? Ah, there’s the rub. There IS something that makes you uncomfortable.

It has to do with labels.

There are many judgments that are within our authority, as managers, to make. As a manager, is it within your authority –

  • to determine what tasks need to be completed?
  • to determine a reasonable amount of time for the task to be completed?
  • to assess the effectiveness of the team member in completing the task?

The answer is, yes.

But, it is NOT within your authority to tell Jim (or Fred or Julie) that you have judged their maximum capability to be Stratum I. There are several reasons (in no particular order) –

  • You might be wrong.
  • Your incorrect assumption might become a destructive permanent label.
  • As a manager, you have no method to collect the data, to do the analysis, to make that judgment.

Elliott was very careful and specific in his language. As a manager, it is within your authority to assess the effectiveness of the team member in completing the task. Assessing effectiveness in completing a task is much different than judging the maximum capability of an individual.

Elliott made a clear distinction between maximum capability and applied capability. As managers, we are not equipped to judge maximum capability. Yet, as managers, we can observe applied capability. The reason we can see applied capability is, there is evidence of the work product. As managers, we can know the intention of the goal, the circumstances of the work environment, and the behavior of the team member engaged in the task. We can see applied capability.

And applied capability may be far different from maximum capability. I may have the capability to complete the task, but not the skill. I may have the capability and the skill, but not the interest. If I am not interested, you will never see my maximum capability.

On the positive side, as my manager, it is incumbent on you to help me discover my potential (the difference between maximum capability and applied capability), to discover those elements, like training, education and placing me in a role where I value the work. When those elements line up, I will be more effective in the role I play. And you will see job satisfaction go up, with no need for a motivational speaker.

Yes, Time Span is a natural part of every conversation about goals.

Work Longer, or Work Differently?

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“A leader is someone who gets things done,” Stephanie responded. “At my church, whenever there is a project that needs to get done, people scatter. They all have excuses. They don’t have enough time. They are too busy. They don’t know how. So, the same one or two people eventually get asked to run the project.

“But when I look at those people, they are busier than anyone else. They always have more on their plate than the next person, yet somehow, they always get the job done. And they seem to get it done with little effort, even though they probably have less time to devote to the project than anyone else.”

“So, what do you think is the difference?” I asked.

“I don’t know. I mean everyone seems to want to help out, but some people just do it. There is a big difference between wanting to get something done, and actually doing it.”

“My question is still on the table,” I said. “What is the difference? What are the factors that make it so?”

Which Tasks Does the Manager Keep?

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From the Ask Tom mailbag:

Question:
When we write a role description, you suggest that we break the role into different Key Result Areas, to organize the tasks and accountabilities. Will some of the Key Result Areas carry accountabilities (goals) with different Time Spans or do all KRAs in a role have to carry the same Time Span?

Response:
Heavens no. Every task, every goal carries its own Time Span. Each KRA has to be examined for its related tasks, and, yes, they will all be different.

Let’s look at two KRAs for a Stratum III role, a plant manager.

  • Plant Floor Layout
  • Production Scheduling

The specific task in Plant Floor Layout, might be to integrate a new machine into the work cell flow. That task may take 12-18 months to analyze the ROI of replacing a work cell (manual output) with this new machine (automated output), making the decision to purchase the machine, determining which machine to purchase, identifying the best vendor to supply the machine, negotiating the contract to get the machine, changing work flow to accommodate the space for the new machine (which may require a new concrete floor), taking delivery of the new machine, assembly and setup, troubleshooting (these machines never work out of the box), creating new work instructions, training personnel on machine operation, getting the machine up to capacity, to meet the output of the original ROI model. This is solid Stratum III work.

Production Scheduling may require a historical look-back at seasonal volume changes, loading work levels to match anticipated sales forecasts, making sure we have sufficient headcount in our production crews, and then specifically creating work shift schedules. The Time Span of these tasks will vary from 3-12 months, and likely require Stratum II capability.

The plant manager will be accountable for both KRAs, though the tasks in one would be Stratum III and the other Stratum II.

My expectation, however, is that the plant manager will self-perform most of the Stratum III tasks and look to delegate large pieces of the Stratum II tasks. Identifying the Time Span of the tasks gives every manager insight as to what work has to be self-performed and what work may be delegated.

Agreements That Are Invisible to Others

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“Everyone says they have integrity, but I have to tell you, when Roger told me how he managed to skip out on the maintenance fee in that contract, I got a queasy feeling.” Alice was having difficulty, even talking about this.

“I know it was only a $130, but he was so proud that he was able to beat the vendor out of his money. I don’t know, it was just weird.”

“Weird?” I asked.

“Yes. Every agreement you make with other people, you ultimately make with yourself. When you cheat other people, you ultimately cheat yourself. When you break a promise to yourself, you teach your brain to distrust your intentions. You sow the seeds of self doubt. You undermine your strength and integrity.”

I sat silent. Alice was on a roll.

“Every agreement you make with other people, you ultimately make with yourself,” she continued. “When you keep your agreements with other people, you teach your brain to trust your intentions and behavior. Agreements you keep with yourself, that are invisible to others, are the most powerful because they are pure. They sow the seeds of self confidence. You build on your strengths with a foundation of integrity.”

The End of the Story

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“I don’t understand,” Roger shook his head. “If Brad would just start earlier on these longer projects, things would be under control, and he wouldn’t be cutting unnecessary corners which compromise project quality.”

“Why do you think he procrastinates until the end?” I asked.

Roger shook his head. “Because, he cannot see the end until he is two months away. On a project with a nine month deadline, Brad cannot see the end. It is too far in the future. There is so much uncertainty between now and nine months from now, that he cannot see it.”

“So he takes no action?” I pressed.

“Of course, the pressure of the project builds, because now things are getting late, but even that, is not what finally kicks Brad into action. With sixty days to go, Brad can now see the end. And when Brad can see the end, he starts to act. It is frustrating for us, because we saw this nine months ago.

“Everyone has a story. And every story has a beginning, middle and an end. When you listen to someone’s story, you will hear the Time Span of their story. They cannot take action in their story until they see the end of their story.”

Procrastination As a Clue to Capability

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“So, how did the audit project get delayed for your ISO re-certification?” I asked.

“I don’t know. You spoke with Olivia, one of our supervisors. Her manager, Brad, is really in charge of that project. And we have had more troubles than just the audit with Brad.”

“Procrastination?” I guessed.

His eyes grew wide and his head began to nod in agreement. Eyebrows furrowed. “Yes. And I have talked to Brad about getting a jump on these longer term projects. He is okay with projects at about 60 days, but anything longer, and he really gets in the weeds. At the end of most projects, you see him power through, working overtime and weekends. When he started here, he looked really dedicated, but as time goes on, I don’t see that, as effective manager behavior.”

“What length project is Brad good at?”

“Two months.”

“And how much time is left before the audit?”

“Two months.”

“What connection can you make from that?”

He Said He Was Interested

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“What do you mean, evidence?” Stella asked. “It’s an interview. If someone says they are up to the task, that they are interested in the challenge, that they really want the responsibility, what more can you get? I mean, I asked those hard questions.”

“Exactly what were the questions you asked,” I wanted to know. “Let’s list out those hard questions.”

“Okay,” Stella started. “I asked if he really thought he was up to the task? I explained just how difficult the job would be and asked him if he would really be interested in the challenge? I asked him why he wanted that level of responsibility?”

“So, you asked him the perfect questions, so he could lie to you?”

The Candidate Assured Us

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“Your new supervisor?” I asked.

“Yes,” Stella explained. “Everyone on the interview team agreed this was the best candidate, but it’s been two months now, plenty of time for adjustment and it’s just not working out.”

“And this candidate had worked at this level before?”

“Well, not really, but he said he was ready for it. That’s why he was leaving his old job, not enough challenge in it.”

“This is a supervisor role, what’s the time span of the goals in this role?”

“Nine months,” Stella replied.

“Tell me, what is the longest task?” I pulled out a piece of paper to make some notes.

“It’s scheduling,” she continued. “Some of our equipment is very expensive, difficult to get and difficult to move from one job to the next. It can cost us $15,000 just for the riggers to relocate some of the pieces. So we schedule our logistics about nine months in advance. And when we schedule it, we stick to plan. Too expensive to do otherwise.”

“And your candidate provided evidence of nine month time span work in the past?”

“Evidence? No, but he assured us he was up to the task.”

Debriefing Winners

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“Let me see the projects that you put in for review,” I said, as Sean handed over the list. I scanned down the page, “I see you selected six, tell me, how did you decide which ones for the group to do a post mortem on?”

Each quarter, Sean’s team spent four hours going over significant projects for the quarter, looking for lessons learned. “Oh, that was easy,” Sean replied, “these were the eight biggest money losers.”

“It is always tempting to debrief a project where things have gone wrong. Once you have corrected all those problems, where are you?” I asked.

“My guess is, we are back to even steven. No loss, no gain, no harm, no foul.”

“If you really want to make progress, you also have to analyze where things went right. Pick two or three winning projects to debrief. Find out why you were able to make significant margins. Where was the advantage in those projects? Where can you find more projects like those?”