Tag Archives: decision making

Context of Decision Making

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“What is the difference between you and your team members, related to the role you play as their manager?” I asked.

“Well, I’m their boss. I provide direction, guidance, coaching. I delegate task activities,” Joan replied.

“Why you? Why doesn’t the team provide its own direction?”

“Well, they weren’t invited to the monthly meeting where the company sets that direction,” Joan smartly observed.

“But, this is the age of Zoom, why weren’t they invited to attend that meeting?” I pressed.

“But, it’s a highly interactive meeting. We can’t have ten more people asking questions. We would never get anything done in the meeting. Believe me, I know my team.”

“And, doesn’t the content of the meeting concern them? Are decisions made that will impact what they do day to day?”

“Yes, it impacts what they do, day to day, but in that company meeting we make adjustments to the overall goals and objectives for the year. It’s important to be flexible, agile. My team may have specific ideas (and questions) about technical issues day to day, but in that meeting, it’s not about technical issues, it’s about a new competitor that’s eating our market share, a new office across the state we are thinking about, a new product that our customers have been asking about.”

“So, the context discussion in that meeting is different than the context your team works in?”

“Yes, that’s it,” Joan agreed.

“So the difference between you and your team members, related to the role you play as their manager, is the context in which you work, meaning the context in which you make decisions and solve problems?” I prodded. “Your decisions impact their decisions, but the difference is the timespan of your decisions vs the timespan of their decisions.”

Joan continued to nod her head. “And, the difference between me and my manager is the same,” she replied. “My manager makes decisions that impact me, but the timespan of my manager’s context is even further in the future than mine.”

“And, so, we begin to see the structure of layers in an organization,” I said, “based on distinct levels of decision making, measured in timespan.”

Accountability and Authority

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From the Ask Tom mailbag –

Question:
You talk about setting context, that context is the crucible in which management behaviors exist. How do you more specifically define that context and where should managers begin?

Response:
Every role in an organization exists with other roles. Individual action, more specifically, individual accomplishment is a myth. No one is an island. Every organizational behavior affects another part of the organization. Context is the way we define those working relationships.

The two most critical elements to be defined in a working relationship are accountability and authority. To be effective in any role relationship requires that each person understands the accountability (output) and authority in that relationship.

In a given relationship between a manager and a team member, who has the authority to make a decision about the way a problem should be solved? If you suggested the manager, you would be correct.

But, might that lead to autocratic decision making, where a manager might run rough-shod over the team?

It might, were it not for a specific accountability. The manager has the authority to make the decision, but also the accountability to collect relevant data around that decision, which, in many cases will come directly from the team. Theoretical conditions must be matched with actual conditions. Theoretical materials must be matched with actual materials on hand, available consumables, machine uptime, even temperature and humidity. Along with every authority, must come accountability.

Editor’s note – this is not usually the case with a government oversight committee, who would like to think they have all the authority with no accountability. Every authority comes with accountability.

Source of Laziness

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“I know you can tell that I’m upset,” Justin admitted. “It’s just that I am flabbergasted with my team.”

“You are right,” I replied. “Easy to tell you’re a bit off-center. Details?”

“They think they can get together and vote on policy all by themselves. They decided on a quality standard different than what we promised the customer. They decided our quality standards are too strict.”

“And?”

“So, now, our customer is our quality control department, not a good thing,” Justin shook his head. “I think they’re just a bunch of lazy guys trying to get away with sub-standard work. It’s a lousy personality trait that has infected the whole team.”

“So, you really think it’s personality, that they all have the same personality traits?” I asked.

Justin stopped. “I knew you were going to side with the team. You’re right, it is an overgeneralization that they all have the same personality.”

“And, you think personality has the ultimate impact on the way a person behaves?”

“If I were a psychologist, I would say yes.”

“But you’re not a psychologist, you are a manager. Think. If it is not personality, what could influence an entire team of people to act the same way?”

“I guess, because they all believe the same thing is true about the work,” Justin was searching for that factor common to the team.

“What is the same about the team, is that they all work in the same environment, an environment that you created, as the manager. If you want to change behavior, change the context.”

Inside the Function

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“Take your most important internal function,” Pablo instructed. “In the beginning, likely will be operations. What is the work most closely related to producing the product or delivering the service? Especially in the beginning, that is mostly short-term work, 1 day to 3 months. Most production roles have a supervisor, with longer term goals and objectives, 3 months to 12 months. The supervisory role is to make sure production gets done, completely, on time, within spec.”

“So, every production person knows they have a supervisor?” I added.

“And, every supervisor knows they have a manager,” Pablo smiled. “This is the beginning of structure, nested goals and objectives related to successive roles (context), a production role, to a supervisory role to a managerial role.”

“The roles are distinguished by longer timespan goals and objectives?” I suggested.

“Yes, the roles are different in that way, but also in the way they relate to each other. Organizational structure begins with nested timespan goals, but also includes the way we define two things associated with those role relationships.”

“Accountability and authority?” I chimed in.

Pablo nodded. “In this working relationship between the team member and the supervisor, what is the accountability? What is the authority?”

My turn to show off. “The accountability on the part of the team member is to apply their full capability in pursuit of the goals and objectives agreed to by their supervisor, in short, to do their best. It is the accountability of the supervisor to create the working environment that makes those goals and objectives possible (probable). It is the accountability of the supervisor for output.”

“And, the authority?” Pablo prompted.

“The authority to make decisions and solve problems appropriate to the level of work in the task.”

Matching the Work

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“I’m a structure guy,” Pablo said. “When you think about effective managerial leadership, I think the focus is on the structure.”

“It’s not on charisma, likeability, luck?” I asked, knowing the answer.

Pablo gave me a knowing smile. “The first key area for any manager, is to design and build the team. Individual achievement is a myth. If you want to create something great, it takes a team, a collection of teams, organized to get work done.”

“Before I do anything else, I have to build the team?” I wanted to know.

“Before you build the team, you have to design it,” Pablo continued. “That’s where most companies make their first missteps. As time goes by, there is too much to do, always work left over. Someone has a brilliant idea, let’s hire some more people. And, they do this without any thought of the overall design of the team to get work done.”

“So, first I have to think about the work?”

“And, not just task assignments, we have to figure out what problems must be solved and what decisions have to be made. With that, then we have to determine the level of problem solving and the level of decision required on the team, to make sure when we start to match up the people, we can select the right ones.”

All About the Work

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“Brent, let me get this straight. You said that your salespeople may not be doing their best because they may not be interested in the work? Do your salespeople understand the work?”

“You’re right! Sometimes, it’s like they are brain dead. They are just mechanistic, going through the motions,” Brent described.

“So, they understand the prescribed duties, show up, make a presentation, ask for the order. But let me confirm, they may not understand the problems that must be solved or the decisions that must be made to create a successful sale?”

“Exactly, I mean we train them and train them again on the presentation, until they have it memorized, down cold, but you are right, that does not make a successful sale. The success of the sale depends much more on the questions they ask and the data they collect about the customer’s problem.”

“So, as the Sales Manager, do you sit with your team and talk about the problems that must be solved and the decisions that must be made during the sales call? That’s where the work is. That’s where the excitement is. That’s where the challenge is. If you are looking for interest from the salesperson, the connection is in the work, not the prescribed duties.”

A Sale That Sticks

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“You are going to have to go slow, because I am still not getting it,” Brent shook his head.

“In order to close the sale by the end of the second sales call, what are the problems that must be solved and the decisions that must be made by the salesperson?” I repeated.

“Well, we know that to make a sale that sticks, that doesn’t get canceled or delayed, we have to collect certain information, then do some research and then present a case that is difficult to resist. Right now, it can’t even be, just a good deal. It has to be difficult to turn down.

“If the first meeting is going too fast or the data we collect is too superficial, we cannot do the analysis and we won’t be able to make an irresistible offer. The salesperson has to use judgment to determine if the information is right. It’s almost a gut decision.”

“So, the work of the salesperson is using discretion to judge the pace and quality of data collected in the first sales call?” I confirmed.

“Absolutely, the customer, in the first three minutes will tell you how this sale is going down, if you listen.”

The Decisions of a Salesperson

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“You’ve described the work of a salesperson as probing and connecting. Probing for the customer’s pain and connecting it to our product or service?” I asked, not waiting for an answer. “So, a sale that requires more than order taking likely requires a higher level of complexity?”

Marlena nodded. “We used to think we could hire anyone, give them a list of features and benefits to recite to the customer and that would be sufficient.”

“And?” I asked.

“And, sometimes they would get lucky, but our hit ratio was less than stellar,” Marlena explained. “We finally stumbled on a salesperson that was closing ninety percent. Her process was simple. In a screening phone call, she identified the customer’s pain.”

“Let me stop you there,” I interrupted. “At that point, what was the decision?”

Marlena paused. “More than one decision. Was the customer’s pain something we could solve? Was the pain strong enough to prompt the customer to take action? Would the customer see enough value in our solution to pay the price we needed to make it a win-win?”

“So, when I ask you the question, what’s the work of a salesperson, what are the problems to be solved and what are the decisions to be made, you now have a much clearer idea?”

What’s the Work?

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“We have an opening on the team,” Marlena announced.

“And, you would like my help?” I asked.

“Yes, what kind of person should we hire?” she wanted to know.

“What’s the work?” I asked.

“It’s a project manager role, coordinating and organizing all the elements of projects we have in-house,” Marlena replied. “I am thinking we should hire someone who is analytical, good attention to detail, works well under pressure. Oh, and they have to work well with people, because there are people involved in all our projects. I think it is a very specific personality profile.”

I chuckled. “So, this person would only be able to work in the project manager role you have in mind?”

“Not necessarily, there may be other things they could do, but you have to be a special sort of person to be a project manager. There’s a lot of multi-tasking, to make sure none of the balls get dropped.”

“Marlena, the things you describe are character traits for most all jobs. Most every role requires someone who is reasonably analytical, reasonably organized, has reasonable attention to detail and can reasonably pace a project so that it meets internal deadlines. You seem to be focused on things you might describe as character traits. I want you to shift your focus to behaviors. Behaviors is how work gets done. My first question to you was – What’s the work? We often get carried away trying to climb inside the personality heads of candidates without a clear understanding of What’s the work?“

In the Weeds

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“So, timespan helps us understand the dysfunction of having a manager who is too close, who struggles to bring value to the problem solving and decision making of the team?” I clarified.

“Too close, and also too far,” Pablo replied.

“How so?” I asked.

“You have had the experience of a manager who breathes down your neck, but have you also had the experience of team members too far away?” Pablo wanted to know.

“You mean, where a team member is more than one stratum level below?”

“Yes,” Pablo nodded. “And, how did that feel?”

“As a manager in that situation, frustrating,” I replied. “As a manager, I was dragged into the weeds, solving problems that should have been taken care of without me.”

“Timespan helps us determine, not only whether a person should be selected for a role, but how to accurately design the working relationships between those roles.”

“Like giving a person a more correct title?” I asked.

“Not at all, companies use job title all over the place. I don’t care about titles. When we accurately design working relationships, I care more about defining, in that relationship, what is the accountability and what is the authority?”

“Authority?”

“Authority to make decisions and solve problems the way I would have them solved.”