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What’s the Level of Work Required?

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From the Ask Tom mailbag –

Question:
You say that management initiatives (like communication, efficiency, goal setting and teamwork) will flounder if laid on the wrong structure. How do you get your structure right?

Response:
Determine the number of layers (only minimum necessary).
Determine the functions required.
Inside each function, determine the level of work required.

You are the captain of your business model, you get to decide the level of work that is necessary. Think about core functions and support functions. Some functions will require more intensity than others, and some functions not at all.

  • Marketing – If your business model only requires a brochure type website that gets updated from time to time, you will likely outsource that project, and need only skeleton support in marketing. If your business model requires a sophisticated website that attracts customers who roll over into an online order, you may need Marketing at S-III.
  • Sales – If your business model is a telephone center receiving product orders from consumers, likely 2-4 minutes on the phone, you may only require order takers at S-I. If your sales cycle is longer, 3-4 months, you may need S-II account executives. If your sales cycle is longer than a year, you may need S-III.
  • Account Management or Project Management – The level of work you need will likely depend on the length of your project. Two to three weeks with very few moving parts may only require Hi-S-I. If your projects are 2-3 years in scope, you may need S-IV project management.
  • Operations – the level of work you need in Ops will need to consider the length of time the project is in direct service delivery or production, but must also account for the lead time on resources, mechanical maintenance, or special technical elements.
  • Quality Assurance or Quality Control – may require timespan consideration through the production cycle, but may also need to consider the length of warranty periods or product lifecycles.
  • Research and Development – in new product development cycles, level of work may easily require system work and root cause analysis at S-III. Sustaining engineering may only require S-II.
  • Logistics – may be just in time loading dock work at S-I, but may also include long term contracts with carriers at S-III.
  • Human Resources – level of work depends if you only need clerical filing of required forms, active recruiting from your labor system, or strategic recruiting in specialized technical fields.
  • Accounting and Finance – level of work will depend on the sophistication of your accounting requirements, simple bookkeeping to project costing, to credit facilities.

You get to decide the level of work required.

Spares?

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“Looking at the future,” Glen contended, “we are desperately looking for that new something that is going to help replace some our declining lines of business. We find something, we gear up for it, commit some people to the project, but so far, all of those projects have failed. We end up pulling the plug.”

“Who have you committed to these new projects?” I asked.

“Well, they are new projects, so we generally take those people that we can spare from our core project lines.”

“Are these your best and brightest people?”

“Well, no. Our best people are still running our core projects. But we can usually spare a couple of people from one of their teams.”

“So, you are trying to cobble together a launch team, in an untried project area, where unforeseen problems have to be detected and corrected, and you are doing this with spares?”

To the Next Level

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From the Ask Tom mailbag –

Question:
As I talk with other CEO friends, they keep talking about taking their company to the next level or that they want to scale their companies larger. It sounds like they know what they are talking about. But do they? They are my friends, and I don’t want to disparage, but in many cases, I have my doubts.

Response:
No organization can ever grow larger than the CEO. If it does, the wheels will get wobbly and the organization will falter. The same is true as levels of work are built inside the organization. No level of work can exceed the capability of the manager. If it does, the wheels will get wobbly and the organization will falter. It doesn’t matter if the company is S-I, S-II, S-III, S-IV or S-V. Faltering can happen at any level.

Most who say they want to take their company, or department, or team to the next level has no clue what that means. Timespan and levels of work create the only framework that clearly identifies what that means.

Scalability doesn’t happen until S-IV, where multiple system integration occurs. Listen carefully to your friends, but judge not what they say, only judge what they do (or are capable of doing).

Midst of Created Chaos

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“How do you involve Edmund in the decision making about solving the problem?” I asked.

“As soon as we have the project specs,” Ruben explained, “when we know the outputs and the deadlines, we call a meeting. Edmund is the supervisor, so once we get into production, he is the one to call the shots. So, he is there, at the meeting. He sees all the elements we see, he just cannot connect them together.”

“And?”

“We have developed a very thorough system that identifies the constraints and keeps them productive. The metrics are easy to follow and the system makes our throughput very predictable. But Edmund fights the system, ignores the system and almost weekly causes a production snafu that could have been prevented.”

“How does he explain the snafu?”

“Usually he manages to jump in and pull the project out of the fire, but not without some overtime and not without putting the project in jeopardy. It’s almost like he is proud of the chaos and being the hero.”

The Framework of Structure

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“Organizational structure based on the timespan of related goals and objectives?” I repeated, as a question. “Has to be more complex that that.”

“Of course. Organizational structure is complex,” Pablo replied. “But, that is where is starts, looking at the level of work, goals and objectives.”

“A bit overwhelming,” I surmised. “Still looks like a large kettle of fish.”

Pablo nodded in agreement. “After the vision and mission, the founder must examine the internal functions required to kickstart the company. And, remember, this is an infant company, so there aren’t that many internal functions. Producing the product, delivering the service, finding a customer willing to pay and a way to deposit the money into the bank. That’s it, in the beginning.”

“So, in the beginning, following the vision and mission, I have to define the first functions required to produce the product or service. And in each function, determine the goals and objectives?”

“And, the ‘by-when’ of each goal will tell you the level of work required. That is the beginning of structure.”

Incompetence

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From the Ask Tom mailbag-

Question:
When I read this article, I think about Timespan and you. I hope this quote is not accurate.

“In a hierarchy every employee tends to rise to his or her level of incompetence. Work is accomplished by those employees who have not yet reached their level of incompetence. In time, every post tends to be occupied by an employee who is incompetent to carry out its duties.”

Response:
Sadly, this is true. We tend to promote people to a level of incompetence, and then hope and pray. This understanding was popularized in a book by Lawrence J. Peter published in 1969, called the Peter Principle. The Peter Principle is alive and well.

The solution to this dilemma is easy. From now on, no one in your organization gets a promotion. They earn promotions (or even lateral moves) by demonstrating competence in the task assignments contained in the new role. You test people with project work. And, in that project, you must embed decision making and problem at that next higher level. The same goes for a lateral move where there is a new skill set.

Calibrating Time Span

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“My team tells me that I don’t follow-up with them often enough, and that is why I am sometimes disappointed,” complained Sherry.

“How often is –not often enough-?” I asked.

“It seems to be different for different people.”

“Why do you think that is?”

“I don’t know,” Sherry paused. “One person can just go longer than another person without me peeking over their shoulder.”

“Sherry, I want you to think in terms of Time Span. Time Span is the length of time that a person can work into the future without your direction, using their own discretionary judgment to achieve the goal. And each person on your team has a different time span.

“Here is your exercise. Make a list of your team and beside each name, I want you to guess the length of time that each one can work independently, based on the tasks you delegate. Your guess will be the first benchmark for how long you leave them to work without follow-up. Keep a log. Once each week, for a month, write down your observations of each team member’s time span.

“The data you get from this exercise will help you know better what you can delegate and the time interval for follow-up.”

Have to Use a Different Tool

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“My boss just told me, now I am the manager. She didn’t tell me I was supposed to do anything different than what I was doing as a supervisor,” explained Lawrence.

“That’s because most companies don’t truly understand the role of the manager,” I nodded, “nor the tools they use to get their work done.”

S-III Manager – creates the system in which work is done
—————-
S-II Supervisor – makes sure production gets done
—————-
S-I Technician – production work

“For the people who do production work, (S-I) the tools are real tools, machinery and equipment, that’s easy to see. But what are the tools of the supervisor?” Lawrence looked quickly to the left to see if the answer was written over my shoulder.

“The role of the supervisor (S-II) is to make sure production work gets done, so the tools of the supervisor are schedules and checklists. The supervisor uses those tools to make sure the right people are at the right place using the right materials on the right (well-maintained) equipment.”

“So what are the tools of the manager?” asked Lawrence.

“The role of the manager (S-III) is to create the system, and make the system better. The tools of the manager are flowcharts, time and motion, cause and effect sequence, role definitions and analysis.

“The work of the manager is different than the work of the supervisor and requires different tools.”

Not a Mis-hire

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From the Ask Tom mailbag –

Question:
Thanks for your blog – I read it regularly and share a few posts with others.

There are definite hiring/management issues at my new job. Been working here, now, 5 months and have seen 10 people let go, or people finding other places to work. Would make your head spin! I feel bad for the people because I feel most were mis-hired. Some are management-employee issues, some personal issues as well. There is always the feeling here that you can be easily replaced.

Response:
It is not unusual for a company, especially a growing company, to experience high levels of turnover. New roles are created. More headcount into existing roles. A growing company is not used to robust levels of on-boarding, orientation and training. It is enough to make your head spin.

The organization has to slow down. In its effort to go fast, it will over-spin its capacity, encounter quality issues, rework and missed deadlines. It has to slow down to go fast.

It is not just more work to be done. As volume increases, so does the level of work. Project management working three simultaneous projects requires different decision making and different problem solving than project management working 50 simultaneous projects. A growing company expects a project manager to make the leap without acknowledging that it is a different level of work, requiring a higher level of capability.

A growing company, in the midst of this dilemma, begins to look for magic potions, command and control unconsciously emerges. Hours get longer, fatigue sets in. In an effort to go faster, turnover becomes an increasing statistic.

The problem appears to be mis-hiring defective people, when the truth is, the hiring manager failed to understand the increased level of work in the role. It’s not just more work, it is different work. Not defective people, defective roles.

Slow down, describe the work.

[Our online program – Hiring Talent 2018 kicks off April 16. More information here]

What’s the Level of Work?

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“Where do we start?” Eduardo asked.

“Where do you think we should start?” I replied.

“We are trying to measure Hector’s capability. Is he big enough for the role. That’s the goal of this session,” Eduardo established.

“So, what unit of measure have we talked about when it comes to defining the tasks involved in his job?”

“We talked about time span,” he said.

“And, what was the measure of the longest task in Hector’s job?”

“We said, one month. Hector is in charge of shipping, but it’s more than just getting freight out the door. He is responsible for proper crating, working with vendors to select the proper crating materials, collecting information about product damage in transit. It is really a big job. Some of the problems that have to be solved involve testing in-house, you know, crash testing and then field testing.

“So, I don’t think one month is accurate. I think, to be successful, the longest task is three months. It takes that long to solve some of the material damage issues in that department,” Eduardo concluded.

“Okay, three months is the longest task required. To be successful running the shipping area requires the ability to work three months into the future, without direction, using his own discretionary judgment?”

Eduardo nodded, “Yes, I need Hector to carry the ball the whole way. I may check up on him more frequently to see if he still has the ball, but I need him to supervise the resolution to some of these issues without me. If I really have to get involved, then Hector is not doing the necessary work.”

“So, success in the job requires a time span of three months?” I asked.

“Yes.”

“That is step one. Firmly establishing the time span of the longest task, establishing the required time span for the role.

“Are you ready for step two? The next part is to measure Hector.”