Tag Archives: authority

The Rare Grasp on Structure

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“I get it,” I said. “Timespan helps us sort out the complexity of problems at hand with the selection of the right person to solve that problem. You say that timespan touches everything a manager does?”

“Let’s start at the top with the CEO,” Pablo replied. “I rarely meet a CEO who has a firm grasp on the structure of their organization. And, by structure, I mean, the way we define the working relationships between people. Not only is it important to define the accountability inside a single role, it is also critical to define the way those roles work together.”

“I’m listening.”

“There are two types of working relationships, vertical and horizontal,” Pablo continued. “Vertical relationships, we understand more easily. Those are (vertical) managerial relationships. Every technician understands they have a supervisor, every supervisor understands they have a manager. If the organization is large enough, every manager understands they have an executive manager. Somewhere, hovering at the top is the CEO.”

“This is the CEO who rarely has a firm grasp on the structure?” I asked.

“Precisely,” Pablo smiled. “Most people get promoted in an organization because someone left the company, leaving a hole in the org chart. Or someone appears qualified for a promotion, requests a promotion, but there is no hole on the org chart, so we create a new role, with a new title. Or someone needs (deserves) a raise, but we cannot justify the increase in compensation without assigning a new title with a new role. Or someone needs leadership experience, so we make them a manager and assign a single person for them to manage. There are all kinds of wonky reasons that org charts get bloodied up.”

“We were talking about timespan?” I reminded.

“And, those bloodied org charts make no sense, they are bloated, accountability is vague, performance excuses abound. So we have communication seminars and do personality testing, AND nothing changes. That’s because we don’t have a communication problem, we have a structural problem. Timespan creates the only framework where we can accurately define two things, accountability and authority.”

“Accountability and authority for what?”

“To make decisions and solve problems. Work is making decisions and solving problems. It’s all about the work. When we can measure the decision (with timespan) and measure the problem (with timespan), we can now structure the organization around something that makes sense. Supervisors have a larger (longer timespan) context than technicians. Managers have a larger (longer timespan) context than supervisors. Executive managers have a larger (longer timespan) context than managers. It’s all about the work, all based on goals and objectives.”

“And, CEOs rarely have a firm grasp on their structure?” I repeated.

“Understanding timespan, the CEO can overlay levels of work onto the org chart, and discrepancies leap off the page. The burning platforms inside the org chart now reveal themselves, not as communication breakdowns or personality conflicts, but as structural problems, where we have not accurately identified the complexity of problems at that level of work, or mismatched a team member to make those decisions or solve those problems.”

Size of Task, Size of Role

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“This timespan of intention,” Pablo continued, “turns out to be the missing element in measuring the size of a task, the size of a role and thinking about the capability of those we have employed to complete those tasks and play those roles.”

“Okay, but I intend to do a lot of things,” I countered. “Climb Mount Everest before I die, run a 4-minute mile. Just because I intend to do something does not define my capability to do it.”

“Indeed,” Pablo replied. “In addition to your imagination, you also have to observe your effectiveness in doing so. A manager can easily create a piece of paper that says 12 month goal calendar, with 12 months bolded at the top, but it does not make her effective in completing those goals. She also has to effectively execute.”

“So, we have the timespan of intention, and the timespan of effectiveness?” I asked.

“And, in management, we also have the timespan of discretion. Discretion is our authority to make a decision. Given a delegated task to complete, have we also been granted the authority to make necessary decisions? Within that delegated task, what is our timespan of discretion? Timespan is the metric for measuring accountability and authority and a team member’s effectiveness. Size of task, size of role, size of team member.”

Accountability for Wrong Decisions

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“You have talked about managerial systems and organizational structure,” I started. “Those are well-worn labels, but the devil is always in the details.”

Pablo nodded. “Yes, the detail of structure is simply the way we define the working relationships between people. The success of any organizational structure rests on its effectiveness to define two things – in this working relationship, what is the accountability and what is the authority?”

“But, isn’t it second-nature, that especially in a hierarchy, the manager has the authority and the team member is accountable to carry out the decisions of the manager?”

“Not so fast,” Pablo said slowly. “Each has the authority to make decisions within an appropriate span of discretion. And it is the manager accountable for the output of the team member.”

“But, if the team member, within an appropriate span of discretion, makes the wrong decision, how can you hold the manager accountable?” I asked.

“Because the manager selected the team member, trained the team member, assessed the team member and then delegated the decision to the team member. If the team member makes the wrong decision, that outcome is the accountability of the manager.” Pablo stopped to let that sink in.

“When we are clear about accountability, behavior follows,” Pablo continued. “When we accurately define the accountability, people know what to expect and they behave accordingly. If the team member is held to account for a wrong decision or underperformance, there begins a mistrust about whether the manager was clear in their instruction, whether the training was adequate, the right tools available, the circumstance not anticipated. If the manager is held to account for the team member’s wrong decision or underperformance, there begins a supportive relationship to ensure the training was adequate, the working conditions conducive, the selected project appropriate, within the team member’s capability.

“You see,” Pablo said, “the manager cannot allow the team member to fail. In a punitive context, that is why the manager often snatches back the authority for the decision and simply assigns the task. In a trusting context, the manager has to make sure all the variables around the team member are adequate and conducive to success. And, that includes the manager’s selection of that team member in the first place. The success of the organization starts with being clear about managerial accountability.”

The Delegation Paradox

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“But, it seems to me, that accountability is already fixed,” I replied. “The manager makes the decisions and the team member carries it out. Isn’t that the pervasive understanding for everyone?”

“You might think that, but you would be mistaken,” Pablo ventured. “For a company to grow, it cannot be so. If the manager makes all the decisions, eventually, what happens to the speed of decision making?”

“Well, it begins to slow down,” I observed.

“Or stops, when the manager becomes overwhelmed with all the decisions. As the organization grows, there are too many decisions to be made by one person.”

“And?” I prompted.

“For the organization to grow, the manager has to delegate,” Pablo flatly stated.

“But, every manager already knows they have to delegate, happens all the time,” I said.

“No, every manager knows they have to delegate, and they think, what they have to delegate are task assignments. In the delegation of a task, the manager also has to delegate appropriate decision making along with the task.”

“But, shouldn’t the manager reserve the authority for the decisions to be made?” I wanted to know.

“Only, if the manager wants to slow things down, or bring things to a crashing halt,” Pablo chuckled. “Appropriate decision making has to be delegated along with the task assignment. Most managers, at the end of a delegation meeting, ask ‘Do you understand what to do?’ A more relevant question would be ‘As you work through this task, what decisions do you have to make?’ Every level of work has appropriate decision making.”

“Well, that should get some things off the manager’s plate,” I said.

“Not exactly,” Pablo had a hint of a smirk on his face. “You see, the manager is still accountable for the output of the team member. If the team member underperforms or fails, it is the manager who is accountable. And that changes everything.”

Fix Accountability

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“All well and good,” I said. “If we want to build managerial systems based on something other than greed, status and power, where do we start?”

“All at once, and all over,” Pablo chuckled. “Look, the first place we start is by clearly defining the working relationships people have with each other. There are two types, vertical managerial relationships and horizontal cross-functional relationships. When we look at those two types of working relationships, we most often fail to define the accurate placement of accountability and exact scope of authority.”

“Accountability?” I prompted.

“All too often, we fix accountability one level of work too low in the organization, and it plays into the blame game,” Pablo explained. “Between the team member and the manager, it is the manager accountable for the output of the team member.”

“How so?”

“Simple,” Pablo said. “The manager selected the team member, trained the team member, provided the tools for the team member, selected the project for the team member, created the working environment for the team member. The manager controls all the variables around the team member, it is the manager accountable for the output of the team member.”

“But if the team member underperforms, doesn’t that point the finger at the team member?” I countered.

“See, you fell right into the blame game,” Pablo smiled. “The team member does have an accountability, and that is to show up to work each and every day, to bring their full potential, to exercise their best judgement, in short, to do their best. It is the manager accountable for the team member’s output. The first place to start is to fix clear accountability.”

Is it a Personality Conflict?

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“You would think at their age, they would know better,” Phil complained.

“What makes you think that?” I asked.

“The sales manager calls a meeting with the marketing manager, and the marketing manager refuses to attend. I ask why? And, all I get is how the sales manager is pushy, always with opinions about the way sales runs and it’s not even his department.”

“So, what is the sales manager to do?” I prompted.

“It’s annual budget time, and I told the two of them to get together,” Phil continued. “I need sales and marketing to coordinate. What I get is a big, fat personality conflict.”

“What would you say, if I told you, I didn’t think you had a personality conflict,” I replied. “But, rather an accountability and authority issue?”

“What do you mean?” Phil looked skeptical.

“Do each of them have an accountability to publish an annual budget coordinated with the other?”

“Yes,” Phil nodded.

“Is coordination something you would like, or is it a requirement?”

“It’s something I would like, but I don’t want to be pushy. They should be able to figure it out,” Phil defended.

“And, if they don’t coordinate, then they miss the accountability?”

“Well, yes,” Phil looked puzzled.

“I don’t think you have a personality conflict, I think you have an accountability and authority issue.”

Bring Value to Decision Making

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“So, you believe, when your manager left you to solve the problem, simply by asking you questions, that brought value to your thinking. Are you sure your manager wasn’t just being lazy, maybe indecisive herself?” I asked.

“Oh, no. Quite the contrary,” Kim replied.

“Are you sure?”

“Absolutely, my manager was clear about decision making. We even had three meetings together just to make a list of all the decisions that needed to be made in our department. Then we grouped the decisions according to who had the authority. Here is the list –

  • Decisions I could make, and didn’t even have to tell my manager.
  • Decisions I could make, but had to tell my manager, after the decision was made.
  • Decisions I could make, but had to tell my manager, before the decision was made.
  • Decisions I had to discuss with my manager, but the decision was still mine to make.
  • Decisions I had to discuss with my manager, but the decision was my manager’s.
  • Decisions my manager would make without discussion.

So, my manager was clear about decision making authority in our working relationship.”

What Are You Working On?

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“What are you working on?” I asked.

“Just trying to finish this project,” Andrew explained.

“What’s the hold-up?”

“Things always move slower than I want. You know, getting my team to push things along.”

“And, when things don’t move fast enough, how does that make you feel?” I pressed.

Andrew smirked. “A little annoyed, impatient, anxious.”

“Anxious, about what? It’s just a project.”

Andrew nodded. “Yes, it’s just a project. But, it’s my project. I know I have to work through my team to get it done, but ultimately, it’s up to me.”

“So, it’s not just a project? It’s about you?”

“Yep, on the face of it, the project has a spec, it has a budget, it has a deadline. But the project is also a test about me. Can I organize it? Can I gain the willing cooperation of the team? Can I put a sequence together to keep us on track? If we get off track, how quickly do I see it? Will I know what to correct? Can I keep the team pulling in the same direction? It’s more than just a project. It’s more than just the team. Do I have what it takes to be effective?”

Structure and Creativity

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From the Ask Tom mailbag –

Question:
Enjoyed your presentation yesterday, have a question. In your model, whose job is it to balance structure and innovation? (or structure that permits innovation?) How is this implemented? Is it a time span issue vs. a creativity/mindset issue? I worry about calcification and lean against structure which prevents innovation.

Response:
Thank you very much for your questions. Remember, yesterday, we only scratched the surface of Elliott’s research. You have many questions (not just one).

Let me first talk generally about structure and creativity. You are fearful that structure will stifle creativity, when in fact, Elliott believed quite the opposite.

Specifically, organizational structure looks rigid on a chart, with its neat boxes and circles and arrows that point the way. Off the paper, organizational structure is simply the way we define working relationships. And, there are two types.

On a chart, we see managerial relationships in a vertical fashion, and we have an intuitive sense how that works. In a moment, I will attempt to shift your intuitive sense in a way that opens up the creativity you cherish (all organizations cherish). But, before that, the other type of working relationship is horizontal. People have to (required behavior) work with each other, but they are not each other’s manager. On a chart we typically represent these with a horizontal dotted line. It’s the dotted line that gets us in trouble. Again, we have an intuitive sense of this horizontal working relationship (cross-functional), but we rarely define it with any more clarity than the dots in the line that connect.

What is missing are two A words. Accountability and authority. In a managerial relationship, we get the authority part, but fail to understand the accountability part. A client of mine, Mike, owned a carpet cleaning business. Every once in a while, thankfully not very often, a technician would ruin a customer’s carpet. Who did Mike want to choke up against the wall? The technician, of course. People can check proper carpet cleaning if they need the best carpet cleaning services.

You see, Elliott assumed that technician showed up for work that day with the full intention to do their best. And it is the manager Elliott held accountable for the output of that technician. The manager hired the technician, trained the technician, provided the tools, the truck, selected the project and created the working environment for the technician. The manager controlled all the variables around the technician, it is the manager that Elliott held accountable for the output of the technician.

In this vertical managerial relationship, we get the authority part, without understanding the accountability that goes with it. Only when the manager understands the accountability-for-output is placed on them, that the shift takes place. Elliott was very specific, he called this an MAH (Management Accountability Hierarchy). The org chart is no longer an org chart, it is an accountability chart. And, that chart now illustrates who is accountable. This small shift changes everything we understand about management.

We casually call them reporting relationships, when reporting doesn’t have much to do with it. It is an accountability relationship where the manager is accountable for the output of the team member.

It’s all about context. It is incumbent on the manager to create the context. Remember, Elliott assumed the technician showed up for work that day with the full intention to do their best. It is incumbent on the manager to create the context in which each team member can do their best. It is in the creation of that context, that creativity flourishes. I know you have more questions, but, enough for today.

Escalating Emotions

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“I didn’t mean to raise my voice, but I guess things just escalated.” Karyn described this latest blowup with one of her team members. “I am only her supervisor on the weekend, so I feel a little helpless. Her weekday supervisor lets her get away with leaving early. I talked to Rick about it. He just doesn’t want to confront her.”

“And when you stopped her from leaving early, the conversation turned grisly and she left anyway?”

Karyn nodded her head slowly. “And next Saturday, I don’t know what to do or say. I can’t just pretend nothing happened?”

“Oh, you could. Hope is a strategy. You could hope she doesn’t blow up again. You could hope she doesn’t leave early again. You could hope she gets all of her work done. But if hope doesn’t work, what are you going to say and when are you going to say it?”

Karyn scrunched her face, “I don’t want to wait until she tries to walk out the door again. Then it will be Groundhog Day all over again.”

“So, when would be a better time to talk to her?”

“I think early in the day, perhaps at the very beginning.”

“Good, then there won’t be the drama of her trying to leave at that moment. Now, what are you going to say?” Karyn struggled with the question. No response.

“Karyn, I want you think about this. You cannot stumble into this conversation. You have to be prepared. Think about this and we will talk again. Think along these lines. I want you to be both straight AND sensitive. What will you say?”