Category Archives: Accountability

Cap Ex Time Span

“I know I have a budget report to submit every October, but it only takes me about a week to put it together. I just look around and see what equipment on the floor really needs replacing, get some vendor quotes and run it up the flag pole. Sometimes I get the budget, most times I don’t. You describe this as a 15 month Time Span task?” asked Corina.

“That’s the problem,” I replied. “If you see that report as a one week Time Span task, then it is of little value to the company. That is why identifying Time Span is so important. Only when you understand that this is a 15 month Time Span task do you understand that it is a much bigger project.” I could see a glimmer of understanding, so I pressed.

“By October, I need you to really look into the future for the entire following year. I need you to get a big piece of paper and flow chart out your system. I want to see each production element, time studies on each process, handoffs, bottlenecks and dependencies. Using your discretionary judgment, I want a well-thought out recommendation for Cap Ex that will help the company earn money. It still might only take a week to prepare the report, but the thinking is much deeper. This is a 15 month Time Span project.” -TF

Manager’s Discretion

“What about me?” Corina continued. “As a Manager, my job is different. How would discretionary judgment be stated on my job description?”

“Let’s take your job description, identify one of your Key Result Areas and see what we come up with,” I said.

Job Description
Job Title: Plant Manager
This is a Stratum III Position. This role in the organization is to create the systems in the plant, monitor and improve those systems.
Key Result Area – Cap Ex Equipment
Prescribed Duties: By October 1 each year, the Plant Manager will submit to the Management Team an analysis and recommendation for the purchase and retirement of all production equipment whose value (at purchase) is $5,000 or greater for the following calendar year.
Time Span – 15months. This task requires the Plant Manager to look ahead to the following calendar year, to anticipate changes in production systems and work flow or other circumstances that will affect production capacities; to examine the remaining useful life of existing equipment and to explore new technologies which may be useful in the plant. The Plant Manager will use discretionary judgment to analyze production capacities, market demand (from sales) and return on investment on each piece of equipment. The Cap Ex Equipment plan will be reviewed by the Management team for modification and approval by November 30 each year.

Supervisor’s Discretion

Job Description
Job Title: Supervisor
This is a Stratum II Position. This role in the organization is to make sure the work gets done.
Key Result Area 1 – Scheduling
Prescribed Duties: By Wednesday at 5:00p, post the team work schedule for the following week.
Time Span – 4 weeks. This task requires the supervisor to look ahead on a rolling 4 week basis, to anticipate changes due to team member vacations or other circumstances that will affect the team members attendance; and to look ahead on a rolling 4 week basis, to anticipate changes due to production fluctuations which may require a reduction in shift personnel or overtime. The supervisor will use discretionary judgment to create the schedule based on those circumstances. Overtime must be approved in writing by supervisor’s Manager.

“So, just posting the schedule on Wednesday isn’t the half of it,” Corina flatly stated. “I have always accepted that if the schedule got posted, the job was done. Now I am beginning to see that Supervisor effectiveness occurs way before Wednesday. Also, the boundary is very clear for discretionary judgment. Overtime requires approval.”

Corina thought for a minute.

“What about me?” she continued. “As a Manager, my job is different. How would discretionary judgment be stated on my job description?”
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Discretionary Performance

Question from the Ask Tom mailbag:

Question:

How do you incorporate discretionary responsibilities into the job description?

Response:

This discussion hinges on the difference between prescribed duties and discretionary duties.

Prescribed duties are easy. Those are the ones you are told explicitly to do.

But do we pay an executive, who writes a letter, for the mechanics of pushing a pen to make ink flow onto a piece of paper, or pressing keys to make letters appear on a screen? Or do we pay an executive for the discretionary thinking that goes into the message of the letter?

Do we pay a machine operator for the prescribed duties of moving a piece of metal into position and pressing a button to cut the metal? If that were the case, we would simply purchase robotics. Or rather, do we pay the machinist for the discretion of how raw materials are organized to enter the work area, the cleanliness of the scrap produced by the machine, the attention paid to the preventive maintenance to keep the machine operating?

Indeed, effectiveness in a position may have more to do with discretionary performance than prescribed performance.

So, how do we build discretionary performance into the expectations of the job? Can it be done through the job description document? Comments? -TF

Time Span of Discretion

Greetings from Austin. It’s warmer here.
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“What should I expect from my accounting department?” asked Roland.

“I don’t know, what do you expect?”

“We have a job description for each position, but it’s just a list of things that have to get done,” Roland continued.

“Is it sufficient to clearly communicate what you expect?” I asked.

“I thought so, when we wrote them up, but now I don’t know. You have been talking about Time Span. How does that figure in to all this? How can it be helpful?”

“Okay, let’s look at your Accounts Payable position. When you look at the work that has to get done, does your job description accurately describe the tasks?”

Roland pondered for a minute, “Yeah, but even if my A/P person does all the things on the list, even gets them done before they are due, they could still be doing a lousy job.”

“Oh, really, how so?”

“The job description says that all the invoices have to be recorded into the computer system and coded to the various expense accounts. And check runs are supposed to be finished by 5:00p every Thursday. But the person could still be doing a lousy job.”

“Tell me more,” I continued.

“They could do all the prescribed duties okay, it’s the discretionary things, like looking to see if we could take a discount if we paid early, or making sure we don’t pay the same invoice twice in the same month. Stuff like that.”

“So, it’s the discretionary part that’s not made clear in the job description.”

Roland thought some more, “You’re right, the job is really bigger than what is reflected in the job description. How do you put that stuff in the job description?”

Mr. Nice Guy

From the Ask Tom mailbag:

Question:

This is about the production supervisor for our company. He is generally well regarded by most of his subordinates, as easygoing, who tries to help his employees in any way he can. If a worker needs a small loan until payday, he digs into his pocket. If an employee needs some time off for a personal problem, he takes up the slack himself, doesn’t dock the time off.

At the last performance appraisal, one of his workers had experienced a large number of personal problems during the year. In the appraisal, he decided to do as much as possible to help. Although an average worker, he rated him outstanding in virtually every category. Because the firm’s compensation system is heavily tied to performance appraisal, this created a merit increase of 10% in addition to COLA.

The employee has acknowledged that his performance was no better than average, but didn’t hesitate to tell his friends about his wonderful boss.

What difficulties do you think this has created for the company? Is there anything that should be done to diminish any negative impacts?

Response:

For, now, I will leave this to our readers. Please post any comments you have using the link below. To read posted comments, follow this link to the website that supports this blog. This should be interesting. -TF

Just Say No!

“You are right,” Byron continued. “The things that hurt us now are decisions we made a couple of years ago when times were good. It seemed like a good idea at the time. We didn’t think very hard about some of our bone-headed moves.”

“And, now?” I asked.

“And, now we have to get lean. Maybe really lean. It may get worse. We have to be able to take a couple more punches and still be able to maneuver, be able to take advantage of opportunities, but it’s difficult.”

“What is so difficult about it?”

“Well, now, everything has to be focused on a result. If it doesn’t produce a result, it has to go. It’s not pleasant. In many cases, we have to learn to say NO! So often, we try to figure out what TO do. Now we have to make decisions on what NOT to do.”

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Changing a Mindset

Our next Leadership program kicks off Wednesday, January 9, in Fort Lauderdale. For registration, simply reply to this email or visit www.workingleadership.com.
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In response to yesterday’s post, about the Manager with problem employees rule-breaking behind his back.

I see three origins of this behavior.

  • Malicious, destructive rule breaking.
  • Lazy, non-compliant rule breaking, when the boss is not around.
  • Fun rule breaking, light hearted, poking fun at authority, when the boss is not around.

Here is one thing we understand.

The team members know the rules. People don’t break the rules without knowing the rules. So, this is not a training issue. This is a mindset issue, which is a bigger problem.

Changing a mindset rarely comes from the outside. A Manager cannot dictate that a person change a mindset. Those of you with children can attest. It simply does not work.

The solution will require a multiple set of meetings. I would recommend twice a week, 10 minutes per meeting. So, pick a Monday and Thursday, or Tuesday and Friday, first thing in the morning. As the Leader, simply ask these questions and flipchart the responses from your team. Keep your thoughts to yourself. Post the flipcharts in the break room and leave them there.

  • Meeting 1: How are we doing, working together as a team?
  • Meeting 2: What impact do we, as a team, have on the customer?
  • Meeting 3: In what way can we, as a team, have a more positive impact on the customer?
  • Meeting 4: What impact does our individual behavior have on the behavior of our other team members?
  • Meeting 5: In what way can we, as a team, have a positive impact, helping each other create a more positive customer experience?

The purpose of these meetings is to:

  • Get the team talking about behavior, not the manager talking about behavior.
  • Re-focus the energy of the team from misbehavior to customer focus.
  • Get the team to create its own accountability for behavior, even when the Manager is not around. -TF

Rule Breaking

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From the Ask Tom mailbag:

Question:

I am a young store manager of two and a half years with no previous managerial experience. Through this time, I have problem employees doing things behind my back, against the rules. I never have enough information to reveal the responsible person or the only information I get is confidential. Mostly, I do not have the time to be involved all day with rule breaking when I am not in the store. What can I do differently to improve this situation?

Response:

It is difficult to understand the nature of the rule breaking, so I can see three causes.

  • Malicious, destructive rule breaking, when your back is turned.
  • Lazy, non-compliant rule breaking, when the boss is not around.
  • Fun rule breaking, light hearted, poking fun at authority, when the boss is not around.

For your part, it probably doesn’t matter. If your boss was aware of the hijinks behavior, it would reflect poorly on you as the Manager. This is tricky, and the solution is likely counter-intuitive. Your efforts could easily backfire and make the situation worse.

So, let’s get some input from others. If you have a response for this dilemma, please post your comment below. If you would like to read the responses, just follow the link to today’s post. I will have some thoughts tomorrow. -TF

Speed in Essential Skills

From the Ask Tom mailbag:

Question:

I manage a drafting department of 12 people and have been quite successful over the past 5 or 6 years in improving the quality of our work and the morale of our people.

I have a member of my team who has good skills but takes forever to get anything done. In my effort over the years to make him more productive I’ve afforded him the opportunity to become skilled at many different tasks, each time hoping that this would be the one that “clicked”. His production level, however, never improves even after the “learning curve” of any new skill is overcome.

I’m finally facing the fact that this guy will not ever make the shift from being a thinker to a doer. Letting him go is difficult for me though, since I’ve acted all this time as his “enabler”. I probably should have realized his limitations a lot sooner and avoided the situation that I’m in now, that being, having a multi-skilled individual who ironically has become a liability.

What’s your take on this?

Response:

Some people master a skill quickly; others may complete a task only after some hard work (which takes time). Your response (training him in many skills) to the amount of time for task completion may have been misguided, making matters worse, even slowing his production time.

1. Determine what you need this team member to do. This should be based on what the company needs from him. What is his role? Write this down. Instead of training him on many different tasks, focus on the essentials of his deliverables. Don’t create a role around him. Determine the role and determine his capability to fill that role.

2. Baseline evaluation of the “candidate.” This is a very serious conversation. You have had these conversations before, this one is different. Your prior conversations have been searching for something he might be good at. This conversation will focus on what the company needs from him in his role. This will be a focusing conversation. The next conversation will be your evaluation, after one day, of his baseline performance in that role.

3. Improvement metrics. Rather than looking to train him on many different skills, the focus should be on throughput speed in the essential deliverables the company needs from the role. Examine each step in the process that speeds him up or slows him down. We don’t need him to learn a whole bunch of other skills, we simply need to get him faster at the essential skills.

4. Evaluate his long term contribution. After a period of three weeks, as a manager, you will know whether his behavior is becoming more effective or staying the same. As his manager, it will be time for you to make a judgment. It will be time for you to make a decision. Is the candidate becoming more effective in the essential role that we have for him? This is a yes or no question.

5. If the answer is yes, then you have a contributing member. If the answer is no, inform your manager that you are de-selecting this person from your team. If your manager has another role which might be suitable, turn this person over to your manager for placement. If your manager has no other role, it is time to release this person to industry.

Every part of this should be explained to the candidate. There should be no secrets. The candidate should understand the consequences of underperformance. At the same time, underperformance does not make him a bad person. It is likely that he will be relieved that he can look for a position more appropriate to his speed level, rather than live in the shadow of underperformance and constant scrutiny. -TF