• Jan
  • 19th

Why before what in planning…

Posted by Michael Neiss on January 19, 2012 at 11:30 am

“The secret of success is constancy of purpose.” Benjamin Disraeli

“Create constancy of purpose toward improvement of product and service, with the aim to become competitive and to stay in business, and to provide jobs.” W. Edwards Deming

Whether it is called vision, ambition, BHAG, goal, whatever, I have little doubt that a compelling purpose is what separates excellent from good. The business planning models I come across lean heavily on the what and how. Goals are defined and resources are allocated to the actions necessary to achieve them. Nothing wrong with that! Execution in business, and probably life, is an absolute necessity for success. But it shouldn’t stop there.

I would propose that what Disraeli and Demings are reminding us is that we must also answer why? in our planning. If we just define what and how, we are dependent upon the traditional carrot and stick approach to make sure people perform as needed to attain the goals. Exceed the goals and get a carrot (although a small one in this economy). Miss your goals and get whacked with the stick!

When there is a shared sense of purpose, people commit to a course of action driven by intrinsic rewards. Doing work that matters and doing our part to move our enterprise toward that compelling purpose provides an internal reward easily exceeding the carrots. Chances are no one is going to remember you hit your numbers in the winter of 2012. They will remember what contributions you made toward the purpose of the organization.

Define the purpose boldly. Communicate it dynamically. Then pursue it…constantly.

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  • Dec
  • 13th

No Fail Execution

Posted by Michael Neiss on December 13, 2011 at 7:10 am

A sense of mission where failure is not an option is a critical success factor for business excellence. It’s also a rare commodity.

The motivational benefits a clear sense of mission produces is second to none. When all the people in an organization are singularly focused upon achieving a mission, and they understand that failure is just out of the question, amazing things happen.

December 22nd. That is the day this year that United Parcel Service will deliver more packages than any other day in its history. It is the culmination of what they call peak season. Volume spikes during the holiday season to levels that look impossible to serve. UPS does not set resource levels based on this two month increase. Temporary hires, leased vehicles, temporary modifications to existing facilities, and office workers “putting on their browns” to pitch in are some of the tactics used to accomplish the mission of delivering every gift in the system before Christmas morning. It is the day their obsession with flawless execution is tested. They always achieve success. Because they don’t even think that failure is possible.

It’s been a long time since I have experienced a peak season first hand. I do think I learned a little about extraordinary execution doing my part to insure we did not fail. Here are the key lessons your organization might consider.

The mission was clear and success was easily measured. Every package would be delivered safely and on its promised date. Period. No wiggle room.

Everyone in the organization focused on the mission. Labor and management worked together to accomplish it. Nearly everyone in management was on the road delivering during peak. By the way, UPS’s practice of promoting from within insures them that their management team has the skills to drive package cars and deliver packages. Indeed, they were probably the stars before they became management.

No flaky goals. When goals are set at UPS, they are set to what they call MAR. Minimum Acceptable Requirement. That means you hit your goal or there were consequences. No excuses.

Incredible team work. I don’t think I ever took a team building class at UPS. When mission becomes critical, you learn to work together. You just don’t let your partner down.

Their planning system is amazing. You cannot reasonably expect people to successfully complete a poor plan. As a manager, I always knew what was coming next, and if contingencies needed to be put in place, they were readily available. The most important metric for those of us in operations was performance to plan.

Incredible talent and a system that filters out those that would not succeed in the system. I still contend to this day, that UPS employs the hardest working people in the world and holds them to incredible standards. I must admit that in my consulting career I have often seen work hailed as excellent in other organizations that wouldn’t keep a person employed at UPS.

Lastly, sincere, real face to face recognition for outstanding efforts. No corporate employee of the month program, no token attaboys or email congrats…but a firm handshake, a look directly in your eye, and an honest thank you for your efforts. From someone who knows what it took to get it done. From your partner in the mission.

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  • Aug
  • 16th

Adjusting the Lens…Seeing Happiness

Posted by Michael Neiss on August 16, 2011 at 7:38 am

Coffee in hand, computer fired up, email reviewed, news websites scanned, twitter and Facebook accounts checked, and I am off to another day’s labor. I might have headed down the wrong path already this morning.

Recently Robert Thompson and I had a chance to talk with Tim Sanders about his new book, Today We Are Rich. He makes a strong argument that we need to feed the brain rich and nutritious thoughts early and often to have success, and, happiness. I like happiness. I could use more. Reading inspirational thoughts may be a better way to wake the brain from the night’s sleep. I buy his thoughts, I wonder why I don’t do them.

I realized that my motivation for my normal routine may come from my background in operations management. I have conditioned my brain to be on the lookout for what needs fixed. The neurons fire when I find an email that demands attention to correct a problem. A news article that talks about a current issue in business will get a read. Long a student of W. Edwards Deming, I am always looking for the variation from the norm. My mind jumps to root cause analysis. I think temporary containment while I add it to my to do list to “fix”. I manage the problems.

As I work on getting things back to normal, I think of a Paul Simon lyric, “…a good day ain’t got no rain.” I know deep in my heart, that this approach only let’s me get through the day. It doesn’t move me forward on my goals. Instead of solely solving problems, I need to spend time chasing opportunity. I need to lead, not just manage if I want more fulfillment and happiness.

In my working life in operations at United Parcel Service, I was trained, no, make that indoctrinated, to review my operations report each very early morning. Generally by 5:00 a.m., I knew my 20% least best performers and who I needed to address when the shift started. A non delivery attempt would release the adrenalin. Corrective actions in mind, I was ready to start my day eliminating those things that caused me grief. While I still believe execution is a base level requirement for success, I wonder what I missed by not also spending time with the 20% best performers? What were they doing that led them to outstanding performance? How did they approach their work? What was their attitude? How could they help me lead others?

When I think about my clients and how so many of them handled the economic downturn, I realize I am not alone. The focus was often on the problem, not the opportunity. The business was broken…fix it!

I just keep thinking about all the opportunities we miss when we fixate on problem solving. Chasing opportunities strikes me as a clearer path to fulfillment. Maybe I will spend some time today thinking about how to fix that…right after I feed my mind with a couple more chapters from Tim’s book.

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  • Aug
  • 15th

Thank God its Monday

Posted by Michael Neiss on August 15, 2011 at 9:07 am

While the research shows most would disagree with me, I think Mondays are great. Sure, it’s just an artificial marker on a calendar, but I always think of it as a fresh start. For many, it becomes just more of the same. I find that sad – not just for them, but for their organizations too.

I believe that an unfortunate effect of the difficult times the economic downturn brought, is the “just do your job” mentality that is prevalent. Each Monday brings another week to get by. Keep your head down, your nose clean, and hope you can make it to next Monday without being laid off. String enough of those weeks together, and you get the gold watch. Although with the price of gold, I am certain CFO’s found a cheaper alternative.

Like I said, sad.

There is an alternative. Labor could and should be about achieving your purpose. Only work that moves us toward our purpose is valued work; the rest is merely treading water. I remember Tom Peters saying at one of our company meetings, “on time..on budget…who cares?” I can hear audible gasps from my manager friends as they read that. His point was nobody remembers hitting a metric at the end of their career. They remember their contribution to purpose…theirs and others they led.

When you have your purpose defined, it leads you to work that matters. Hard work in pursuit of a greater good is energizing. When an organization has a clearly defined purpose, it aligns the hard work of all towards that common cause for the common good. Max DePree of Herman Miller said it best…the first question for a leader is who do we intend to be?, not what should we do?

The research I mentioned in the first paragraph says the average amount of time spent on real work on Mondays, is 3.7 hours out of an 8 hour day. That is a lot of treading water. With a commitment to purpose, we swim, even if at times, it is agains the current. One strategy keeps you afloat..safe and necessary at times. The purpose focused effort moves you closer to the finish line. Make a choice. It will change your Monday morning attitude.

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  • Jul
  • 11th

Don’t miss the mark with your brand promise.

Posted by Michael Neiss on July 11, 2011 at 12:26 pm

I am privy to a fair amount of internal business communications that tout the commitment to lean operations, sourcing for best prices, cutting waste from processes, eliminating actual waste from product, etc.   They are all important areas to be managed.  For all the excitement generated internally, you might be surprised by the customer’s point of view.

 

Quite frankly, we couldn’t care less.  Perhaps we should, but we don’t.  We simply want the best product at the best price. We want a product that lives up to the promise the brand makes.

 

I had an interesting discussion with a friend in the grocery business last week.  I live in what is called the fruit belt of Michigan.  Yet, our local grocer sells California strawberries in the middle of Michigan berry season.  We are the blueberry capital of the world, yet the berries in the store are from Georgia.  When I asked my friend why, he stated that the shelf life of the local berries was not as good as the berries that had been genetically engineered for appearance, transit, and shelf life.  I suggested they had less taste and juice.  He repeated.  It is shelf life that is important.

 

Shelf life is important to the grocer.  It helps control their costs and reduces spoilage.  I get it.  I also understand the eye appeal of those beautiful red strawberries with no flaws.  Except one.  They don’t taste like strawberries.  Heck, they don’t taste at all.   Wonder why Trader Joe’s and Whole Foods does so well?  This is part of the answer.

 

From a positive experience, I am writing this while seated in an Aeron chair.   I have back issues and find it difficult to sit for any extended period.  The Aeron solved that problem. The Aeron wasn’t the lowest priced chair I looked at.  It was the one driven by customer need’s in its design.  Could they make it cheaper?  Sure, but it would risk failing to fulfill the brand promise of a solution to the desk worker’s productivity problem.  There is tremendous brand loyalty to Herman Miller because they deliver as promised.

 

The strawberries meet a brand promise as well.  Extended shelf life and less spoilage.  The problem is that the promise is to the grocer.  The promise of flavorful fresh berries for the consumer gets lost.  Thank goodness for local farm stands. We are not storing our berries on a shelf, we are eating them.

 

The bottom line to me is that we don’t care about your processes and what you do to get the product to us.  We only care that it fulfills our expectations. You should too.

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