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I want to express my heartfelt appreciation for initiating this [leadership] training program.
How are you making sure your organisation is dedicated to the same direction, stays strongly engaged to move forward and your teams are striving to give their best? Great leadership is without doubt the (not so) secret recipe to lasting success. It creates the resilience to go through uncertain times and enables the necessary transformations.
What do you need to lookout for in 20204? Swiss leadership institute IMD shared earlier this month how they predict the trends for this year. Let me share them here with you.
How will you drive change in your organisation? Source: Seven leadership trends to focus on in 2024 This year might become a tough year and there might not be much we can do about it - especially about the external and geopolitical aspects. What we can focus on as a leader is to equip the organisation and enable our teams to give their best. And one special aspect is Energy!
Organisational Energy is what I want to talk about today. How often do we feel that work is draining our energy? That the efforts within an organisation are clashing; that people are lethargic and inert. And as a leader we simply wish that we are able to give our teams a spark. I recently came across the work of Heike Bruch and it is refreshing to see peers that are sharing the same vision and passion for energy, positivity, and enabling Drive within our work ecosystem. Here are some of her thoughts on the topic:
As with many things with effective teams, the collective energy is larger then the sum of the individuals. When we align this energy we can create synergy that triples or tenfolds the efforts. As a team we can then ride that wave and easily overcome barriers. We can collectively become antifragile. Source: TEDxZurich - Heike Bruch on How to Manage Organizational Energy When we look back at 2023 it was the year of ESG Reporting. The great thing about it is that companies started to take the topic of sustainability seriously and allocated resources to do something about it. And for any sustainability journey, understanding the baseline is important. Though, as Robin Hicks recently pointed out, companies are confused with the selection of standards, information and opinions. For example, calculating a company's carbon can take 2-4 years!
In my experience, this is frustrating and boring. Which leads to dissatisfied shareholders and employees as a lot of effort is put into something that does not generate results. With this we are fuelling resistance that costs energy and reduces productivity. That is why many well-intended sustainability journeys end and are axed. Can we simply not do carbon accounting? No. Does it need to be this cumbersome? No. And here my experience in operational excellence is really helpful. An area where you focus on creating more value with the resource you have based on data and analysis. Let's apply this to ESG improvements as well. Here are some thoughts:
What are in your eyes the key ingredients for a successful sustainability journey? Reference: Eco-Business CSO Survey, Robin Hicks, Jan 2023 A New Year has started and fresh inspirations are coming in. At Hive17 we focus on facilitating effective teams, and that is particularly important on the top (also check our recent CxO Team post). Just yesterday, the Embassy of Switzerland in Singapore shared a post about the Swiss Federal Presidency and the Swiss Federal Council. An example I like to share as it is a high-level model for a self-organising team.
CxO Teams are in similar situations; they have broad and deep responsibilities; they have the tendency to focus the majority of their time on their own department; they tend to work less as one team. The Swiss government puts a structure in place to counter these tendencies. A structure that any company can learn from and become more effective in delivering change. Here are some suggestions to look out for:
How do you build a more effective and self-organised CxO team? Source: Swiss Federal Presidency, LinkedIn The end of the year is coming and I got asked, if you would give one piece of advise, what would it be? In my experience dealing with leaderships, one foundational attitude I discovered is Win-Win. In our work life we come across various situations: developing a product, negotiate with a client, hire an employee, resolve conflict, onboard a supplier, provide feedback, conduct meetings, and simply solve a problem. When you observe yourself in these situations, how often do you want to win, how often do you want the other party to lose? Or you might simply not care if you lose. All these attitudes have in common that they are not effective. For success, we need to practice a win-win attitude. When I help people to obtain this new approach, I usually share Green & Clean by Stephen Covey - a fun and inspiring introduction to the topic. And there are so many great quotes which I would like to share here:
How will you approach win-win in your next negotiation? “Only 41% of CEOs believe employees’ behaviours are mostly aligned with company’s values and direction.” This statement from PwC's annual CEO survey means that about 60% of the employees are not fully aligning their productivity with the company's priorities. As a result, efforts are wasted in the wrong direction. Further, according to Hive17's surveys, about a third of the managers underestimate the importance of goal setting for motivation.
How are you going about setting targets for 2024 to create maximum impact for your business? Hive17 successfully implemented vision to action programs since over six years, driving change for new strategies and large-scale initiatives. At it's core is a interactive approach that translates your strategy into actions in people's daily work. What we deliver is:
Our programs focus on principles, structures, tools and behaviours to enable everyone in the entire organisation to give their best. How do you plan to create more impact for 2024? Source: Leading in the new reality, PwC's 26th Annual Global CEO Survey - Asia Pacific, January 2023 Enabling teams to give their best - When I approach CEOs with this topic, they almost always think this is important for the teams reporting to them. Yes, the operations team needs to work more effectively. That business unit needs a boost in productivity. In the organisation, the different functions need to work closer together across the silos. While these are important areas for improvement, we forget one important team.
What about that team on the top? The CxOs forming a team together with the CEO. How important is it that they are a highly effective team? In my experience, when this group of people are not enabled to give their best, it will slow down the entire organisation. Here are some of my observations:
What can we do as CEOs to build stronger bonds, create a solid team that is effective and is setting the right platform for a great company culture? Here are some simple steps:
Where do you see the barriers to effectiveness in your team? When will you schedule your next CxO lunch? "Hope is not enough: turning vision into climate action!" This was one of the themes of the second Green Tech Festival held in Singapore. And for concrete and lasting action, I believe we need two essential ingredients: innovation & culture. This was a theme that weaved throughout the presentations and panels at the conference.
One example that stood out for me was the Hot Heart - a project with the purpose of decarbonising the district heating system in the Finnish capital. One the one hand, the technical solution is innovative in a way that it integrates the energy storage component when harvesting renewable energy for keeping the citizens warm. On the other hand, the transformed the technocractic solution with an experience for its community: establishing a all-year tropical island right in front of the city gates. Why is this important? In this way you bring the technology closer to the people, allow them to interact and benefit from the solution - in a very direct way. This will accelerate acceptance and inspire new innovation. We at Hive17 believe that driving a sustainability culture in your organisation will drastically increase the adoption of climate action and in turn your efforts in substantial triple-bottom-line benefits. How will your start your internal movement? Learn more about The Hot Heart. Most companies are stuck in their corporate patterns: large overhead costs and bureaucratic burdens; a focus on short-term results; an inert workforce following a handful of leaders; exposure to bias and unfairness. We sort of know it is wrong, but we don't have the means to change to the better.
Except for one company! Very few people heard of the company Gore (mainly famous for its Gore-Tex fabrics) which churns out 3 billion USD of revenue with 9'000 employees worldwide. Gore has a very different management philosophy: no hierarchy, family feeling, CEO is selected via a poll, etc. The fundamental belief at Gore is that individuals know what's right for the company and success comes from collaboration in small teams; "we are all in the same boat". Followed by the guiding principles of freedom, fairness, commitment, transparency. On my side, I love to share the story of Gore in order to inspire and show, it is possible to lead differently. Enabling leaders to think out of the box and facilitate change. Here are a few of the elements that define the leadership innovation at Gore:
Reading through this story, I see Hive17's Human Operating System confirmed: we need to start with a shared direction; then creativity comes up with solutions; experimentation allows to polish these ideas; and solid relationships motivate and allow fast decision-making. How do you enable your teams to give their best? Source: Innovation Democracy: W.L. Gore's Original Management Model Photo Credit: Charlie Bibby, FT One year ago, I shared an amazing book on my reading list about how we need to embrace and shape our future in light of Climate Change (read here). One theme I picked up were airships. Flying around with jet engines (powered by fossil fuel or otherwise) might not be enough to clean our Earth's atmosphere. We might need to change away from them.
And here we go - the exciting news this month was a new project by Bertrand Picard to circumvent the globe in an airship. These can stay in the air for months on end, generate energy autonomously, and can be spacious and comfortable (for the longer journey from A to B). And, Euro Airships are not the only ones working on Airships. Flying Whales (thank you for sharing, Jeremy) are using the floating monsters to transport heavy goods over long distances. The question is: how much would you appreciate a 3-day journey from Singapore to Zurich? In the end, this requires a bit of planning and can be very pleasurable. How can we direct more funding and finances into this future of long-range transport? Sources solar and hydrogen-powered aircraft will fly around the world for 20 days without stopping; designboom, Sep 2023 Flying Whales Are you looking for ways to boost your productivity and control your costs? The Hive17 Human Operating System is designed to enable teams to give their best and one of the key elements is innovation.
At Hive17 we often observe that medium-sized organisations have limited resources and may be stuck in traditional ways of thinking. Hive17 can help you to overcome these barriers and build a culture for effective continuous improvement within your organisation. Here is how this might work. Let's say that you are looking to improve your efficiency in your operations. We would start with the right mindset and approach to identify creative ideas. This requires a deep understanding of the problem by involving the right people and enabling everyone to express and appreciate new ideas - as many as possible. After that, we would test these ideas using a scientific approach to stimulate trial & learning. We will help you to set up a clear hypothesis, collecting the right data, and analysing the results carefully with an open and curious mind. As a result, you can expect to see within a few months a 15% cost reduction and productivity gain. The new culture will also enable you drive quality and create a future-proof business that is able to thrive in any market. What are the two most important and sought after leadership skills in Asia? Based on the research of GloCoach, they identified the two following skills:
From our practice at Hive17 we can only underline the value of these two leadership skills in order to bring positive change within your organisation. And we observe that many leaders struggle to apply these skills on a consistent basis. How fragile are your leadership skills? How well do you understand the qualities to successfully lead a team? And, how confident are you to implement these leadership skills in your daily work? Here is the solution: Hive17's Antifragility Score is assessing your teams leadership qualities with a unique focus on teams and how to enable them to give their best. This assessment includes:
Accelerate the engagement in your team which leads to improved innovation, productivity and retention. Your individual antifragility score is for free! Every year, my Alma Mater brings about 70 students from St.Gallen to Singapore for an exchange semester - undoubtedly an unforgettable and important experience. As part of their program, they conduct a consulting project with their peers at SMU. Over the years, we observed one key ingredient for successful projects: effective collaboration within the teams.
This year I had the honour again to introduce how to form effective teams in a short period of time. I feel it is always so insightful and a great learning experience for me to work together with students. Absorbing their curiosity and insightful point of view. Here are the key steps we covered in the 90 minutes session. Start with a win-win attitude. When we are entering a meeting, negotiating or selling our products, how often do you observe that one party wants the opponent to lose out? We can only achieve maximum synergy if we consider the win of the other party and have the courage to stand for our win as well. Effective teamwork happens when we enable all team members to give their best. This requires clear, common goals, shared leadership, a desire to deliver high quality, quick decision-making, and a high level of energy. And let's not forget that the work environment strengthens the mutual trust. Shared values are the basis of team principles. These will provide guidance on how the team wants to work together and also establishes boundaries. The team principles also include ways how we get to know each other better and build social connections. Conflict will arise and effective teams are not good at avoiding conflict - they are good at conflict management. First step: deflate emotions. When we are super excited or very angry - in any case, we won't be able to think rationally and create solutions that resolve the conflict. What are your key ingredients for effective teams? This might be one of my rare posts about AI. Yesterday, I was invited by our partner GloCoach to an event to talk about "AI and Organisational Success". Here were some of the proposed questions: Will AI replace our workforce? Or rather, when will AI replace our workforce? And the questions then continued: how will AI replace people? With whom will they be collaborating?
The discussion elaborated that, as any other tech tool, AI will support us humans. The algorithms will fulfil tasks which we are struggling with, for example big data analysis. The automation will allow us to offload mundane and repetitive tasks and to focus on the more value-creating tasks. We humans will (should) always be in control and make the decisions. Automation - as it has been shown in the past with the agricultural, industrial revolutions and photography - will allow us to scale and to provide solutions to 10'000 times more people than we were able before automation. As was discussed during the event, this means that high-level coaching solutions can be provided to a much much wider audience, while the current coachees might still prefer (and able to afford) to be coached by a human (augmented by AI). Here is another idea that came up during the conversations I want to share here. How can we improve business processes with AI? Here we are often in a dilemma... On the one hand, we want to have consistent processes because this will allow efficiency. On the other hand, we are faced with exceptions that don't follow the norm and we need to 'bend' these rules. I am a proponent to switch from 'rules' to 'principles', because principles allow you to understand the underlying reason why we do things and provide us with flexibility which enables us to focus on effectiveness. AI can help here to combine on the one hand the underlying rules of a process with on the other hand specific data about the individual person or item that goes through that process. As a result, we are able to scale individualised iterations of the business process that are more accurate and are at the same time efficient and effective. Examples are individual leave application procedures, 3-D printed items, last-mile package delivery, etc. Where do you see the future of artificial intelligence in your life? The purpose of any organisation is to successfully deliver value to their customers. The range of customers might be wide and the definition of value and success might greatly vary. Though, in essence that is it. And rightfully, companies are focusing their efforts on selling, producing and delivering their products and solutions.
Recently, there have been new questions and barriers appearing in leadership circles. "I need all my employees to focus in one direction."; "It feels like that internal silos are preventing us from delivering to our clients."; "We need values and a culture that is exciting to work in." All these statements point to a need for increased focus on the delivery of that customer value. We need an effective foundation for our way of working. That is basically the infrastructure to run our operations; or the Human Operating System. The goal of the human operating system is to create an environment that enables teams to give their best. It is about alignment, transparency, change management, motivation, psychological safety and fun. Imagine a flotilla of small boats that independently sail towards a common direction. How these are operated and are connected describes this operating system. Here are some of the key components for this human operating system:
Let's arrange a meeting to find out how Hive17 Consulting can further improve your way of working! This week we had another great Sustainability event in Singapore - organised by Lufthansa Group. While the airline industry overall is struggling to curb carbon emissions, it is great to see that one important player is striving forward on their sustainability journey. Maybe the most prominent technology is AeroShark - a nature-inspired film that is reducing the friction and drag of a plane's fuselage.
The event brought together industry experts into different panels that discussed sustainability also beyond the airline industry. For a while now, I have been pondering about key words that describe sustainability journeys. During this event, I have put more thought into these descriptors which guide us on a solid path towards a better planet and society. Honesty - past incidents of greenwashing have shown that solid reporting is essential in order to gather internal and external support for the ESG journey. We need to create more transparency and credibility, so that we can strengthen our reputation towards consumers, regulators and talents. Lufthansa has illustrated their effort and dedication to report on a long list of standards. Frugality - frugality means the careful use of resources and this is strongly related to reducing our consumption of energy, raw materials and natural landscapes. Operational efficiency is not only a driver to reduce cost, in most cases these solutions also have a net positive effect on the environment. The AeroShark film, better transport routing and switching to more efficient drive trains are some great examples. Courage - risk is a large driver in corporate decision making and often, this is holding back crucial investment decisions. Bold new strategies into an uncertain future requires courage - and we need environments that are enabling more risk taking. One great example was Jungheinrich where the board decided five years ago to fully embark on their sustainability journey; this courage has paid off very well for them. Synergy - sustainability journeys demand stronger collaboration between the silos within an organisation and beyond their company borders. This collaboration is facilitated with common goals and a belief that together we can achieve more. It was also highlighted that academia and industry need to work much closer and share insights. Together we are stronger. The journey towards a greener and fairer planet can be daunting. These four underlying principles can act as a guide towards more successful sustainability transformations. Which drivers do you suggest to add? When talking about sustainability, there are a few important terms that come to my mind: honesty, courage, frugality, etc. Today, I want to talk about courage.
The former Unilever CEO Paul Polman shared a number of insights in this interview and I want to highlight two quotes which are well linked together:
Basically, we need to shift our mindset to "win-win" - currently we are stuck in win-loose. This new attitude means the planet wins, our global community wins, and we as companies win. In order to achieve this, our operations and products need to become restorative, reparative and regenerative. This is what we as net positive leaders are required to do. What is the biggest barrier? It is not technology, finances or capabilities. The biggest barrier is courage. What are Paul's suggestions?
Yes, this sounds huge; it is huge. Still, the best time to make your first step in this direction is today. One step at the time. What is your first step? Source: Former Unilever CEO Paul Polman Says Aiming for Sustainability Isn’t Good Enough—The Goal Is Much Higher, Harvard Business Review, November 2019 Our current times are full of change and a solid strategy is necessary to give the organisation direction and alignment to create lasting success. Furthermore, a meaningful and clear vision is driving motivation and is a strong ingredient for making decisions. Yet, many companies struggle to bring their vision to the ground. Employees are saturated with changing strategies and often don't see how the new directions are impacting their daily work.
"Only 41% believe current employee behaviours are mostly aligned to company values and direction." - 26th Annual Global CEO Survey - Asia Pacific | PwC | January 2023 (link) Often, new strategies come with flashy posters, inspiring townhalls and a set of top-down KPIs. And then the rest of the organisation is left to create success. And in 59% of the cases, it doesn't happen. We need to go beyond that. How can we best engage to translate vision into action? In my experience, there are three key areas:
In the process of setting and propagating targets, it is also important that we provide the wider context and that this is a collaborative bottom-up process. Let the people define their own targets and how to review them. As a leader, your role is to provide guidance and support. At Hive17 Consulting, we have been running 'Vision to Action' workshops for over six years with great success. They are establishing an environment where target setting and reviews are building strong alignment, direction and motivation. This week the EuroCham has organised a great event about "How to Transform Manufacturing to Meet Net Zero?" with a very vivid and insightful panel. One highlight I want to share is the answer to the question: what would you wish if you had a magic wand?
"If I had a magic wand, I would bring people back to value our planet! Create that feeling of appreciation for what we are receiving from Earth. I wish that people would see the value they are getting out of nature. It is time to pay back." Very powerful words and I can only strongly support this wish. The event was linked with an introduction and visit of the production site of Asia Pacific Brewery, and the company is very strong with their impact related activities. The organisation is passionate about their 'brewing a better world' campaign and clearly working along the triple bottom line of planet-people-profits. Let's continue to strengthen the awareness that sustainability is a huge business opportunity. We as individuals, as organisations and as societies can greatly benefit. Hands up who struggles with people that just do the minimum work? Yes, you are not alone. And it is frustrating to see the potential in people not being used to bring success for the company, for the team and for the individual. Your organisation might have great team bonding and a lot of fun. How well does this translate that everyone is giving their best? In my experience, being a nice and kind leader has its strong limitations. We need to go beyond this and be inspirational and supportive - I'd like to call this positive leadership.
In this context, I came across this Harvard Business Review article that highlights the challenge that we can't push and force people to feel accountable. Fear is a very bad motivator. The alternative, which leads to long-term and a deeply rooted ownership, is creating accountability using compassion. How can we go about this? It is about creating a fertile environment that cultivates that feeling of ownership. Here are some of the key elements for this. One elemental ingredient is a shared purpose - a clear goal that is collectively defined. All team members can identify themselves with this purpose and it provides meaning. This shared purpose is the Why, the direction that enables our daily decision-making. Setting clear goals is one thing; reviewing that we are walking in the right direction is another. No point in setting targets if we don't follow up. Effective teams develop routines to frequently, transparently review their achievements - this means identifying what is needed to further advance towards the defined key results, and sometimes have the courage to adjust them when circumstances have changed. One of the biggest blockers for accountability is the lack of a psychological safe environment - in simple terms: group trust. An environment where people can share their thoughts, are feeling respected, and are having fun, this will bring the people closer to their team members and to the organisation as such - a starting point for accountability. And it provides a lot of energy and drive to give their best. Everyone in the organisation has valuable expertise. When people are able to contribute their knowledge and experience to the advancement of the team, then they will feel proud - about themselves and about the team. So, it is important to be a coach and allow people to unfold their potential. As an experienced manager you might know the solution. Though, it is fundamentally more important to lead your people to find the solution themselves (with your support). Allow your team members to identify and define the How themselves - this allows you to avoid micromanagement. One important question here: if we are such a leader, are there any consequences? Yes, for sure; and they are not your typical: if you don't achieve your targets, you will be fired. There are always real consequences, typically from the ecosystem we are in: our customers are not able to sell their products based on our delays; we will not be able to be profitable; we will struggle to build confidence with our stakeholders; etc. This means we are appealing to their compassion and creating intrinsic motivation. Let's start the change and focus on enabling teams to give their best. Based on structure, routines and mindsets. Source: Hold Your Team Accountable with Compassion, Not Fear; Harvard Business Review, February 2023 |
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