Three Good Articles

Earlier this week, I had the chance to sit down and do some much needed reading.  As I plowed through the July - August 2014 issue of the Harvard Business Review, I found two thought provoking articles. The first was called “Managing Change, One Day at a Time” by Keith Ferrazzi. The author writes that leaders who are trying to transform the company culture can learn from studying addition treatment programs. Recognizing that cultural change is hard, the core of the article focuses on the following insights: “Organizations can’t change their culture unless individual employees change their behavior - and changing behavior is hard.” As he points out, “When it comes to modifying deeply ingrained behaviors, 12-step programs have a superior track record. They use incentives, celebrations, peer pressure, coaching to adopt new habits, negative reinforcement, and role models - things organizations can draw on.”  

While the author recognizes that the analogy is not perfect, the comparison is helpful. In the article, he makes a series of key insights. They are as follows:

- “Nothing happens without a readiness to change.”

- “It’s important to replace old habits with new ones.”

- “Peer support and pressure drive change.”

- “Sponsorship deepens commitment and sparks results.”

- “Community without hierarchy is a catalyst for change.”

- “You are the company you keep.”

- “Continuous introspection is key.”

- “Change in practice may represent breakthroughs.”

- “It pays to acknowledge small wins.”

- “The goal is progress, not perfection.”

This is a good article and well-worth the time to read. It will make you think. Here is the link for those who want to explore it in more depth: http://hbr.org/2014/07/managing-change-one-day-at-a-time/ar/1

The second article was also in the July - August 2014 issue of the Harvard Business Review and was called “It’s Time to Split HR” by Ram Charan. This very short essay is going to shake things up in the HR world. As he writes, “My proposal is radical but grounded in practicality; Split HR into two strands.” One strand would primarily manage compensation and benefits and report to the CFO. The other strand would focus on improving the people capabilities of the business, e.g. leadership development, and should report to the CEO.  

The minute I read it I thought, this essay is going to get a lot of people thinking and talking. Some will love it and others will disagree vehemently.  As of today, there are over 125 comments on the HBR website about his idea. Here is the link: http://hbr.org/2014/07/its-time-to-split-hr/ar/1. I encourage you to read it so you are up-to-date with the dialogue around HR.

Finally, the third article I encourage you to read is called “Investing In Millennials For The Future of Your Organization” By Joan Snyder Kuhl. I haven’t read anything that was this good on the subject since I read the book, The Trophy Kids Grow Up: How the millennial generation is shaking up the workplace, Jossey-Bass, 2008, by Ron Alsop. With Gen Y or Millenials (born between 1979 and 1994) being the largest generation yet (80 million in the United States), they have different talents and needs than previous generations. According to the Pew Research Center, millennials will be roughly 50 percent of the U.S. workforce by 2020 and 75 percent of the global workforce by 2030. Well written and insightful, I encourage you to read it. Here is the link: http://media.wix.com/ugd/a7b5e7_a34837740149475aba90b0d36b0c8d9f.pdf

Happy summer reading!

Geery Howe, M.A. Consultant, Executive Coach, Trainer in Leadership, Strategic Planning and Organizational Change Morning Star Associates 319 - 643 - 2257

The New Cult of the Young

For the past few years, people have shared with me how the Millennials, the generation of workers born roughly between 1980 and 2000 who are now are entering the workforce in droves, are changing the definition of young. Some have called this group of an estimated 90 million people to be “adultolescents,” half adults and half adolescents.  But being a former history teacher, I tire quickly of hearing that young people are changing the world. This has been said of every generation by an older generation since the birth of time.  

What interests me more is the transformation of the definition of “young” that is being put forth by the Baby Boomers. With America’s 78 million Baby Boomers approaching their “sunset years,” and controlling 70% of the wealth in the United States, they still have tremendous power to influence society. From their perspective, 60 is the new 40. And with the rise of technology and medical intervention, this can actually become close to reality. 

Furthermore with more and more aging Baby Boomers having stable incomes and the ability to participate in activities formerly reserved for a younger demographic, this group does not see a rocking chair and a nursing home as the next step in their journey. Nor are they interested in moving into a retirement community for shuffleboard or a daily round of golf. Instead, they are seeking an active and “younger” lifestyle with many adventures and activities. They also want to do these younger activities within a community setting of like minded people. Therefore, we will continue to see the rise in what developers are calling “affinity housing”, i.e. niche communities where boomers can opt to grow old along side others who share a specific interest. For example, this could look like a planned community for music-industry retirees or a community that is designed for retired professors. There will be multiple variations on this theme. Remember this is the generation that created 12 different versions of Coca-Cola. To me, it appears as if many want to retire and relive their college years with classes, seminars, and a diverse set of group activities.

Given the above, our challenge as leaders is quite unique. On the one hand, we will have one large group of people who will not retire until they are pass 70 years of age, some by choice and some by economic necessity, and others who will leave the work force as quickly as possible to reclaim the glory days of their younger years. Whichever is the case, the definition of young is changing and we as leaders need to know that 60 year olds acting like 40 year olds or younger, and 20 year olds acting like teenagers is going to make the work place and the market place quite interesting in the years to come.

Geery Howe, M.A. Consultant, Executive Coach, Trainer in Leadership, Strategic Planning and Organizational Change Morning Star Associates 319 - 643 - 2257

The Big Picture

“We live in a VUCA world (volatile, uncertain, complex and ambiguous) which makes it impossible to know the future.” notes Bob MCDonald, CEO of P&G. This spring when we step back from our day to day complexities, we see that instability is chronic in our society, uncertainty is permanent, change is accelerating, and disruption is common. And for those of us who hold on to this big picture, we know we can neither predict nor govern most events. As Jim Collins and Morten Hansen pointed out in their book, Great By Choice: Uncertainty, Chaos, and Luck - Why Some Thrive Despite Them All (HarperCollins, 2011), “Given this rise of complexity, globalization, and technology, all of which are accelerating change and increase volatility we must come to accept that there is no “new normal.” There will only be a continuous series of “not normal” times.”

When I step back from my day to day work, I notice the following:

First, as I noted earlier in this blog, there are three technological tsunami’s hitting the shores of business during the coming years. They are 1) mobile phones becoming smart phones, 2) the increased use of social networking to solve problems, and 3) the subtle but powerful shift to cloud computing. These three huge waves will impact us for many years to come. While I can not predict the true impact of them, I know they are coming and to a degree are already impacting us. For those of you who are interested in all of this, I again recommend reading the following article: “CEOs Tackle Technology” by Jennifer Pellet from the January/February 2012 issue of Chief Executive magazine. Here is the link: http://chiefexecutive.net/ceos-tackle-technology.

Second, in the area of strategy, I continue to be intrigued by how many companies are talking about growth, mergers and acquisitions. It is now a regular part of all strategic planning cycles and yet I do have some concerns as we enter this new round of growth. First, very few of these organizations are considering their “hinge assumptions” or the strategic variables that could cause their core assumptions to be misaligned. For example, in the world of non-profits, the fundamental questions are simple: Will the state continue to pay for this service? Will new funding sources become available to support it? And finally, will this new service growth result in a greater degree of quality? Talking about these assumptions are vital to success.

Next in the area of strategy, more people need to explore whether or not they have the capacity to plan well and then whether or not this is matched by the capacity to execute well. More times than not the capacity does not match the strategy. Great plans need great people, and great people deserve great planning.

Also in the area of strategy, I am particularly concerned that many for-profit and non-profit Boards are not configured for growth. In the non-profit world, the paradigm shift at the Board level from one of focusing on fiduciary oversight to a more strategic and philanthropic role, i.e. one of generating significant financial support over time, and the development of financial relationships as in friend raising to generate a new and sustainable financial foundation, is rarely present. Furthermore, both in the for-profit worlds and the non-profit world, few Board members are experienced in the strategic oversight of a growing company and thus default to fiduciary oversight instead of strategic counsel.

Furthermore, in the world of strategy, I continue to be concerned about the lack of awareness of the importance of branding and marketing when it comes to growth. I believe many people are coming to the world of growth assuming that “if they build it, people will come.” While this may work in the movie, “Field of Dreams,” experienced leaders know that a well thought out branding and marketing strategy are important to long term success.

At the same time, all of us know that growing companies need a strong infrastructure. The investment and development of core operational systems and people to support what is being considered must be included in the strategic planning process and implementation. For example, the following areas need more investment and consideration: technology, performance management, financial management, and as mentioned earlier brand management.

Finally, in the area of strategy, everyone needs to spend more time discussing metrics. The question of “How do we measure the success of a new strategic direction?” needs to be more thoughtfully explored. Many companies are not exploring this in great depth and thus defaulting to old metrics which may or may not provide accurate information for improved decision making.

Third, when looking at the bigger picture, I see more and more people within companies being put on performance management plans. As all of these PIPs, i.e. performance improvement plans, are happening, there is a lot of firing and hiring taking place plus very talented people are starting to quit their dysfunctional companies and move to better opportunities. Leaders have a “show me the results” mentality now and do not have the time or energy to suffer fools. As these executives push for results, they also want cultural alignment, and brand clarity. When they encounter poorly designed systems, as noted above, especially ones not designed for growth, these same leaders are struggling greatly.

Fourth, it would be foolish not to mention when looking at the bigger picture that the Millennials are transforming the work place. The Millennials, the generation of workers born roughly between 1980 and 2000, are entering the workforce in droves. An estimated 44 million are already working and 46 million more are to become a part of the workforce in the years ahead. Many experts now say that this generation will come to dominate the workforce in both number and attitude—and in the process reshape the work experience of all employees.

The big question this spring when it comes to Milleanials is the following: What is important to this generation and how can employers best tap into the potential they have to offer at work? Given that 75 percent of this generation reports planning to find a new job as the economy improves, it is worth our investment of time and energy to see how best we can attract, motivate, and retain them in our organizations today.

Last year at the Fall 2011 From Vision to Action Executive Roundtable, I told participants we needed to focus less on control, compliance and compensation, and more on strategy, talent and execution. When I review the aforementioned bigger picture, this spring I believe we need to focus more on the following: develop or continuing to develop a strategic mindset, hold a focus on operational excellence, and continue to improve personal performance.

Looking at the bigger picture is important. It also may be a bit overwhelming. Still, we need to remember that change in one part influences and changes all other parts. Time looking at the whole helps us better understand the interconnection between the parts.

Geery Howe, M.A.Consultant, Executive Coach, Trainer inLeadership, Strategic Planning and Organizational ChangeMorning Star Associates319 - 643 - 2257

Young Workers: Tourists or Natives?

Right now many companies are looking for excellent and talented young people. They want to recruit and retain them so that they have a strong capacity to meet the ever-changing, and hopefully improving, market conditions. And these same companies are running into some unique problems as they hire them.

First, many of the young people they are hiring keep looking for their next job even while starting their new one They see this practice as normal and productive. They are constant explorers seeking an ideal career.

Second, when they are hired, they instantly expect the company to provide them with flexible working conditions so they can continue to have time for family, personal passions, and commitments.

Third, these same new hires want to bring their own computers, PDAs and cell phones to work, and to use these systems rather than the company provided IT solutions. They believe that their systems are superior to the ones at the office. And many times, they are!

Fourth, many young people bring their parents into the work environment. Being used to consulting their parents on a daily basis in regards to work and personal problems, young people continue this pattern much to the consternation of their supervisors and managers, let alone HR professionals.

Fifth, they expect to use their personal social media connections, e.g. Facebook, Skype,Twitter, etc, to solve problems, improve team work, and deliver better results. Many of them are light years ahead of their employers when it comes to this form of communication and use social media to find short cuts to common work problems.

Sixth and final, they expect their new employers to make all work exciting, passionate and significant. They detest drudgery and boredom. Routine is stupid and fixed schedules are an alien concept.

The result is that some companies believe young workers are more like tourists than natives.

Lynne C. Lancaster and David Stillman in their book, When Generations Collide: Who They Are. Why They Clash. How to Solve the Generational Puzzle at Work, HarperBusiness, 2002, told us this was going to happen nearly a decade ago. Ron Alsop in his book, The Trophy Kids Grow Up: How the millennial generation is shaking up the workplace, Jossey-Bass, 2008, noted these same problems in greater detail, and explained that this is the new normal for the 92 million Millennials entering the workforce.

Our choice as senior executives is simple. We can follow our limbic minds and freeze, flee or fight these changes, or we could engage with these young people and learn. These young people, who are showing the common traits of being entitled, optimistic, civic minded, impatient, multitasking and team oriented, are not the problem as much as the future. While employers are benefitting from their technology, multitasking, and teamwork skills, but bristling at their demands for flexible working conditions, their desire for frequent feedback and guidance, and their hope for rapid promotion, we as leaders need to engage with them in regular strategic level dialogues. We, young workers and senior executives alike, are all at the awareness stage and we need to move to the understand and collaboration stages in 2011.

This week and this spring, realize that there are multiple generations in the work place at this time period. Visit with the “tourists,” and get to know them. They are the employees and customers of the future.

Geery Howe, M.A.Consultant, Executive Coach, Trainer inLeadership, Strategic Planning and Organizational ChangeMorning Star Associates319 - 643 - 2257