Category Archives: Accountability

Why Would They Skip a Step?

“What do you mean, I see things that my team cannot see? If they would just look, they would see it, too,” Max pushed back.

“Max, you are a manager. You are responsible for creating all the systems that people follow. You know more about how things work and how things go wrong. Give me a short list of things you see, that your team doesn’t see,” I asked.

“Short list?

  • Sometimes, we get parts in from our vendor that have a slight defect. If we use that part in our assembly, when we get to the end, the unit will fail a pressure test.
  • If we skip the pressure test, the units get boxed and sent to customers, who install defective units. Their first call is to the salesperson, who gets an earful from the customer.
  • If the salesperson gets three customer phone calls complaining about defective units, the salesperson loses confidence in our ability to make a quality product. He stops selling.

Should I go on?” Max quizzed.

“Why can’t your production people see that?” I prompted.

“I guess they can’t put the dots together. From the time we get that first defective part, to the time the customer complains could be three months time. And when the customer complains, we still have to track down the problem, then reference our production codes to find out when the units were actually produced. It might take another week just to track down the problem. There is too much disconnection for my production team to follow. They just know they get yelled at for skipping a parts-inspection and a pressure test.”

“And, why would they skip a parts-inspection?” I wanted to know.

“Funny, the team was actually proud of their assembled output that week. We were in a bind for a large order. It meant overtime and a team bonus for 50 extra production units that week,” Max lamented.

“So, let me understand. You design all the systems out here, including the bonus system for exceeding production quotas in a shorter period of time? And you wonder why the team skips steps, to get their bonus?”

If I Only Had People Who Were Smarter

“We have plenty of people to do the work,” Max explained. “I have written all the steps for them to follow, a nice flow chart as a visual on the cover of the binder. As the projects move through, I have Gant charts to help me understand the status, so I can explain to the customer.”

“It all sounds very organized. So what’s the problem?” I asked.

“The problem is, the production team doesn’t follow the work instructions. I walked by a work cell yesterday and the work was clearly being done out of sequence. I suddenly knew why we were having QC problems on some of the output.”

“And?” I pressed.

“I asked them why they were doing it that way, when we had just completed a training program on the correct sequence. Do you believe this? They told me the training program was wrong, that they had been doing it their way for a long time and they didn’t see the need to change. Besides, it was easier to do it their way.”

“And they had just been through training?” I wanted to know.

“Well, yes, it wasn’t like a class. I spent ten minutes with the four of them. It was really common sense. I don’t see why they didn’t get it. If I had smarter production people, they would have figured it out on their own,” Max was clearly frustrated.

“You see something they don’t see?”

“Yes. And how.”

“Did you ever think, you see something they cannot see?”

Why We Have Supervisors

“Yes,” Samuel appeared a bit agitated. “But, you are dealing with the rank and file. You are sitting in a pretty nice boardroom, Catherine. You have a nice salary. I know you and I may have bouts of frustration with our work, but at the end of the day, we have it pretty good. But, the rank and file, that is another question. In their jobs, they must all be frustrated. I mean, it is pretty lackluster work. That’s why we have to have supervisors, to keep them in line, to make sure they don’t sit around and play on their smartphones all day.”

Catherine’s blood pressure began to rise. Her face flushed. “Mr. Pierce, it is coming clear to me why Outbound Air, as a small upstart airline, got into so much trouble after your company bought it. It appears, I have as much work to do with the board of directors as I do with the team.”

“Catherine, I am all ears,” Samuel responded. “But I must tell you, we have a large investment in this airline, we have poured in a lot of capital to introduce jet service to the fleet. Your intentions with the company must be grounded in a solid return on that investment.”

“I appreciate your reminder of the value of the shareholders who bear the risk. And that risk is shared by our workforce. Each team member comes to work every day with the full intention of doing their best. They want work that gives them the opportunity to use their full potential. They want to spread their wings and receive fair compensation for that work. They want to use their brain, to exercise judgement in making decisions to reach a goal. They have goals, just like you have goals. They have a need, not only to bring value to their own lives, but to bring value to the lives of the people who work around them. As the chairman of the board, if you do not recognize that, my work as CEO is already doomed. All crumbs lead to the top.”
______

This is the beginning of the sequel to Outbound Air. Find out how Catherine got here.

Parlor Games at Best

Samuel Pierce felt it was his duty, as Chairman of the Board, to make sure the new CEO was grounded in reality. “Catherine, I just want to make sure that you are up to the challenges you face as the new CEO, and that you are not being too idealistic.”

Catherine Nibali was chosen as the successor CEO to a company in trouble.

“You will have the union to deal with,” Samuel warned. “I know it was here when you arrived, but it is here nonetheless.”

“That’s true,” Catherine agreed. “The existence of a union is only one indicator of the deeply ingrained misconceptions this company drifted into. The people systems were based on false assumptions of managerial leadership. It’s no wonder the union was able to take hold. But, Samuel, there is more. The union is only the tip of the iceberg.”

“With all due respect,” Samuel interrupted. “Your predecessor, Al Ripley, tried a number of things. He re-engineered many of the work processes, he allowed group dynamic exercises, ropes courses, results based incentives, group bonuses.”

It was Catherine’s turn to interrupt. “Exactly,” she stared directly at Samuel. “Parlor games. Parlor games that, at best, might create a small burst of productivity, but in the long run, laid the ground for the union and shaped a culture that provokes disruptive behavior. We stand for what we tolerate.”
______

This is the beginning of the next book, sequel to Outbound Air. Find out how Catherine got here.

But, We Have a Company to Run

“But, we have an airline to run,” Samuel continued to object. “As chairman of the board, it is my primary responsibility to make sure we have the right person at the helm. It is not my responsibility to micro-manage you, meddle in the way you run things. But, the way you run things makes me wonder if we have the right person at the helm.”

“Look, Sam,” Catherine replied, “we can squeeze the legroom, rearrange the seating on the planes. We can start charging for checked baggage. We can add a service fee if someone wants a soda. But that is not our problem.”

Catherine looked intently at Sam, sitting at the head of the boardroom. In the periphery, she could see the logos of the other companies in the portfolio. Outbound Air was the company in trouble and she had been selected to turn it profitable. She continued.

“Sam, we have close to a thousand employees now. They work 40 hours per week. Economically, they depend on us. Our compensation system and job opportunities directly impact how they live, now, next week and next year. Their self-esteem, what they achieve in life, in large part, depends on the role they play for us. How we set expectations, how we define their working relationships, how we evaluate their effectiveness, all, have direct impact on their contribution. They come home at night, frustrated or satisfied based on how things went that day. The way we design the environment of their work has way more impact on our bottom line than any fees we may charge for luggage.”
_____

The saga of Outbound Air continues. Find out how Catherine got here.

How to Predict a Departure

“Who is responsible for the team?” I asked. “Who is responsible for the performance of the team, and all the things that affect performance?”

Melanie looked around her office, as if someone was going to appear.

I continued. “If it’s not you, as the department manager, if it’s not you, then who?”

Melanie’s eyes stopped skirting the room. No hero appeared. She floated her excuse, “But how am I responsible that one of my team members quit?”

“That’s a very good question. How are you, as the manager, responsible that one of your team members quit?”

“What, am I supposed to be clairvoyant?” Melanie snapped.

“That would be helpful,” I nodded. “But let’s say you don’t have supernatural powers. How could you, as the manager, know enough about your team, to have predicted this departure?”

Who Sets the Context of Work?

“But, you are still here. What’s in it for you? What keeps you here?” I asked.

Riley had to think. Turnover on his team was high. Morale was in the dumps. He described his team as lifeless. “I guess I just don’t feel the same way they do. I know the work is hard. I know we have to pay attention. I know the work doesn’t stop at 5 o’clock. But for some reason, for me, it’s important to be here.”

“Why do you think it’s important for you and not so important for your team? At the end of the day, you are all working on the same projects.”

“Well, my manager and I talk about the work,” he explained. “We talk about the results of the what we do, as a company. I feel that I make a contribution, as a manager. What I do is important. In spite of how hard it is, it’s important.”

“You feel that way, because you and your manager talk about the work, the importance of the work? Have you ever talked about the work with your team?” I asked.

“Yeah, but, it’s different with them. I mean, they don’t get the whole picture. They don’t seem to understand it the same way that I do. For them, it’s just a job.”

“So, the context of their work, is that it’s just a job? Who is accountable for creating that context?”

They Don’t Get Yelled At

“How long has your crew been together?” I asked.

“Humph,” Riley snorted. “A couple of people have been here over a year, but most, just a few months. Lots of turnover.”

“And what is the cost of that turnover?”

“Expensive. It’s not that the work we do is that complicated, but there are so many details to keep track of that it takes a while to get your arms around everything. And we don’t do much formal training, more like shadowing other people on the team who have been here. Seems like just when we get someone trained up, they quit.”

“So, what’s in it, the job, I mean, for someone who sticks with it, pays attention to detail, sniffs out problems before they mushroom?”

Riley was quiet. “They don’t get yelled at,” he replied.

The Reactor Doesn’t Melt Down and Nobody Dies

“I don’t know why my team is behaving this way,” Riley complained. “I know we drive our people hard, and I know we expect a lot from them, but they knew that when they signed up for the job. We are a very intense organization.”

“How are they behaving?” I wanted to know.

“You can see them dragging into a meeting. Smiles are few and far between. It’s like they need a vacation really bad. Bordering on burn-out. I know we expect them to be responsive on their smart-phones, even after hours, but we are in the service business. We don’t know when our customers are going to call, or some project is going to go sideways.”

“So, in addition to working a normal day-shift, they are on-call after hours?”

Riley nodded. “Yes, but they get on-call pay, even if nothing happens. And we rotate that, so it’s not like it’s every day.”

“So, what is causing the fatigue,” I asked.

“I don’t know. It’s just that we are intense. If we relax, details get missed. And, missed details can turn into real problems. We have to keep our guard up.”

“And, if you keep your guard up and no details are missed, what happens?”

Riley had to stop and think. “Nothing special. Things go smooth, no one panics, but it’s not like we win the Super Bowl.”

“When your team does a really good job, it’s nothing special. So, who appreciates it, when they do a really good job?”

“No one really,” Riley admitted. “A really good job just means that no one is upset, mostly the customer.”

“Kind of like running a nuclear power plant,” I said. “If we do our job well, everyone gets electricity, the reactor doesn’t melt down and nobody dies.”

Sure Fire Participation

“Yes, but if people are afraid to participate, afraid to contribute their ideas in a meeting, how do you deal with that?” Reggie asked.

“Do your team members have ideas?” I responded.

“Well, yes, some sort of an ideas.”

“So, the problem is, to get the idea out of their head, with zero possibility that it might be rejected by the group? How would you do that?” I stared at Reggie while I reached over and pulled a pen out of my pocket and set it on the table.

“Get them to write their idea down?” Reggie guessed. I nodded. “But still, how do you get them to share their ideas with each other, with the group?”

“It’s too late, the idea is already out of their head. By the way, what happens to the quality of any idea as it moves from the mind to a piece of paper?”

“Well, it improves.”

“So, now, each person owns a much improved idea on a piece of paper in front of them. Divide the group into teams of two or three and have them share their idea with that small group. I guarantee, there will be no hesitation in that small group.

“The next step is to have the small groups report their ideas to the large group. The quality of ideas will be very high and everyone will have participated. Remember, the purpose of this meeting was simply to get your people discussing ideas with each other.”