 The New Year has started; and we are all excited about the things we want to achieve in 2022. There are so many changes we want to realise; so many innovations we want to trigger. How can we be successful with that?
As leaders we have a strong impact with our actions and with our behaviour to nurture innovation; and to strangle creativity. What is the leader's role in innovation? Join Maurits van Tol, CTO of Johnson Matthey as guest speaker in our 'Innovate for Success' Networking Forum. TTIP and Hive17 Consulting are jointly launching the 'Innovate for Success' Networking Forum in Asia. This program is tapping into the combined knowledge and experience of our global community of business & innovation leaders. In monthly, highly participative sessions we bring together business leaders around the current innovation topics.
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 Yes, I am an avid reader of Wired UK; I like to read their magazines because often they introduce novel topics which help to broaden my view of the world. In one of the last editions, an article was talking about the exponential gap - and I was hooked. We all heard about exponential growth; and most of us have difficulties to grasp the reality of it. Take the story of Lord Krishna who took a chessboard and asked to fill each square with the double amount of rice. Once you reach the 64th square, there is so much rice on the chessboard that it would fill India with a 75 cm layer of rice. Exponential growth is inconceivable. This is what Hans Rosling also mentions in his book Factfulness; he calls this the third mega misconception - the Straight Line Instinct. Let's look at the graph below showing a general picture comparing linear and exponential growth. The linear line is steady; with each unit of investment you get a specific return. The exponential line instead stays below the linear line for a very long time; it almost appears not to move up. Then suddenly, the line shoots up and is going past the linear line. What does that mean for us?  Your company sets aside a certain percentage of your work to be innovative. You and your peers are supposed to come up with the new big thing. And creativity simply doesn't strike. Improvements seem to be incremental. Your customers for a long time didn't experience that 'wow effect'. Something is wrong. And, you are not alone. Many companies come to Hive17 Consulting to seek for inspiration and creating a new spin to their operations.
Going down the same path will lead to the same destination. One key element what we are offering is thinking out of the box. No, it is not enough that we at Hive17 are thinking out of the box. The teams we are supporting need to think out of the box! How are we facilitating this change? Three elements. Creating a positive environment. This is important because our brain works more creatively when we are in a positive emotional state. New ideas flow and we are able to build on top of the ideas of others. Here we aim at creating a meaningful context, allow people to warm up; something that simply works better in person. Use a new approach to problem solving. When you keep applying the same methodology, you might reach similar results. That's why we introduce new problem solving methodologies, for example design thinking. And if you are already using it, then it is a good idea to ask another person to facilitate through the journey. Ask different people. Diversity sparks new ideas; when we open up our mind and our perspective, new solutions will flow. Important here is to put more efforts on customer centricity. Who are the groups of people you are creating value for? Going broad on this question and talking to representatives of these groups, is a good start. How often do you feel that you and your teams are thinking out of the box?  Every day we are confronted with challenges that require solutions - they might be small, they might be big. Following the same patterns and focus on past achievements is at best futile - what we need is creativity. And why not ask the creatives for their tips?
Hideo Kojima is a Japanese video game design since over 35 years and can celebrate decent success in his industry; and, he wrote a book about his secrets. One key thing he shares that without fail, every day he is visiting a book store and browses through the books. He then buys a book that talks to him and reads it. This routine brings him a wider perspective of the world, provides him new inputs, and also gives him the opportunity to get a break from work. He also emphasises that he keeps this routine from being mundane. The same book in a different store is speaking in a different way to you. Therefore, he keeps visiting new bookstores to keep his mind and heart fresh. What can we do to keep a fresh perspective and stay creative? Find an activity that suits your surrounding and interest, which allows you to get a perspective of the bigger world around you! And establish a routine for that; a simple 30 minutes task every day. What can that be? Walk around your neighbourhood as a tourist; call a friend you haven't spoken with in two months; find an online course about a topic you want to discover more. There are plenty of things to learn and discover. What will you start with? Please share! Source: Hideo Kojima on What Makes Hideo Kojima Tick, Wired UK, October 2021. Photo credit: Charlie Clift.  Based on pillars 1 & 2 - our dream & the value for customers - we can now generate tons of ideas to address needs and solve problems. Full innovation is also executing these ideas and this happens most effectively with experimentation. Try different ideas and capture how you can improve your solutions. The core of agility is this trial & learning. This experimentation happens in a perpetual manner, continuously tinkering and edging closer to a better product or service.
Jump into the third podcast in collaboration with Tigerhall where we uncover the underlying principles of agile working. The practical examples will help you to start the transformation in your teams. How can we capture early feedback & input from our stakeholders to create more meaningful solutions?  Agility is in everybody's mind. And yes, its principles can help any part of the business to build lasting success in an environment that is complex and ever-changing.
Tigerhall invited me to a series of podcasts to share my experience with agility in the manufacturing and financial service sector. Here is the first episode! How do you enable your team to define their change journey from within?  This article was originally posted in the GloCoach Blog. Since the beginning of 2020 we learned that change can suddenly be omnipresent. Many companies struggled; some companies thrived due to the new business environment. And over the recent months there might be only a few companies that are not facing big challenges; if not from a business and financial perspective, then from an engagement and social point of view. How can we build an environment where we can thrive in all aspects of work and life?   The SkillsFuture organisation is doing an excellent job, supporting the development of the workforce in Singapore. They have recently launched a set of Critical Core Skills that are vital for all of us to thrive in a business environment that is rapidly changing in terms of technology and human interaction.
The sixteen competencies are grouped in the following three areas:
As a change management practitioner, I am delivering programs that are developing and embedding skills that allow change initiatives to succeed. Are you simply installing a change? How can you ensure that you realise the expected benefits of the transformation program? With this background, I want to share here how change management skills are supporting the critical skills above. At the core of change is the human side of doing business; how we interact with others. We want to understand the people around us; only then can we overcome resistance and make the new solutions work for them. This is the foundation to make transformation initiatives a success. We learn to understand how people react, how we can influence and engage people. And most importantly, how we can create value in the ecosystem. Change management frameworks provide a simple structure that allows us connecting the dots and to think critically. Who is impacted by the change program? Who can be an influencer? Change frameworks enable us to collaborate and discover new insights. With these inspirations we can derive innovative solutions that fit into the larger ecosystem. When we learn about transformations, we also discover that change journeys are about continuous change. The business ecosystem is constantly moving forward and we need to keep moving within it - stay relevant. With this, we develop behaviours and mindsets that is not only open to change; we discover how we can thrive in change. How can you get started? Become a Certified Associate in Change Management with our hybrid program that is credible, holistic and hands-on. Source: Critical Core Skills, Skillsfuture Singapore  End of last year, in the context of an agile transformation in a global financial institution, we delivered a series of design thinking trainings to a global audience. The sessions introduced the people-centric problem solving methodology, shared some case studies, and allowed the participants to practice some of the tools. After the program, we checked in with the teams and observed that they didn't take up design thinking in their practice.
How often did you observe that your training efforts have little impact on people's daily work? What can we add to bring the excitement from the training back to work? In my experience, this is an essential step for success. At the bank, we selected a few teams that were excited about design thinking and willing to explore ways how they can overcome barriers and adopt the new principles and tools in their daily work. Typical barriers were a strong focus on delivery, very limited perceived time for other activities, a feeling that there was not much room for creativity. On top of this, the team also needed to build confidence with the methodology itself. So, the journey began. Two important things we laid down from the start: everyone in the team is committed; what we are doing is relevant for daily work. We reviewed the deliverables for the quarter and based on that, the team identified areas where the team required a better understanding what the customers needed. Based on this, we started an iterative process to identify the best ways bring design thinking into people's daily work. Here are some of the lessons learnt:
One way we reduced the number of tools was the way we looked at the journey map. This became the key canvas to collect information during the inspiration phase. The map included the personas, the process steps, the needs and tools required, and the insights via a mood curve. These journey maps started with a broad scope and later we narrowed them down to a small scope which reflected the current activities. We used them first to collect information from within the extended team and then showed them to groups of customers (internal stakeholders) to validate assumptions and gain further insights. While it took time to find a good way to bring design thinking methods into people's daily work, the team appreciated that we have cultivated a customer-centric mindset and provided a path to regularly interact with the customers. This allowed the teams to build deliverables that are much closer to the need of the customers and create more value. Now the initial efforts are shared to other teams and the seed is passed along. What is your experience to cultivate customer-centricity in your teams? Image source: Ideo U.  Since about a decade, we talked about a business environment that is constantly changing, complex and exposing our company to disruption. The year 2020 showed us, how real this can be for any business and for our entire life. Over the last five years, I have developed a framework which I think allows us, our teams, and our company to create a platform for lasting success. A conversation yesterday motivated me to share this here again.
The volatile business environment we are in, requires an important revelation: if we continue doing the same thing, we will be getting the same results. So, we need to try new things. Then, the main question is: who should define these experiments? Who should be in control of bringing our business forward? As a change management practitioner, I suggest two dimensions which are highly important to our leadership. Direction - How often do we define a new strategy and after some time realise that our business is still running in the same way? In my experience, the bottleneck is not the understanding of what the strategy is; rather, there is a lack of understanding and persistence on how this new strategy is impacting everybody's daily work. Here we need alignment and transparency to define and implement the collective dream. Acceleration - In a next step, there are more barriers for success: who is coming up with the crazy ideas? Only big bets will make us move forward over time. And, implementing big bets seems to be a daunting endeavour like climbing the Mount Everest. Here we need experimentation, focus, safe working environment, cross-silo collaboration, etc in order to innovate and to excel. How are you able to trigger the change in your company culture to achieve this platform for lasting success? Please reach out to me to exchange thoughts.  Over the last decade, I could collect many examples where teams and entire organisations tried to accomplish too many things at the same time - with the result that they are advancing very slowly. I observed this in manufacturing environments, corporate functions, product development teams, etc. And I am sure, many of you agree to this. And still, there are so many important topics; how to choose?
Last year, a team approached me to support them to improve their productivity. They organised themselves in a very typical manner: each team member got a topic assigned and worked on it individually. During my observations I discovered two main obstacles. First, the team members felt that they were not in a good position to help each other. Second, the team was not able to accelerate urgent topics fast. That's why we tried a new approach. How often do you observe similar situations in your organisation? In this team, we tried to follow the principle: let's minimise the topics we are working on in parallel. We started with selecting one focus topic per cycle - a two weeks period in their case. At the beginning we had a deep dive into the topic to get everyone familiar with the topic. Then, they discussed what are the tasks to bring this topic forward and continued to work together on these activities. With this sequential approach, the team didn't have to select important topics to reduce the number of projects on their plate. There is always the next cycle, where the next important focus topic will be progressed. This gave the team the confidence to spend very little time on the other topics. During the reflection after the first cycle, the team expressed how they enjoyed to work closer together; this was a great team bonding. In addition, they were able to significantly accelerate the delivery for the focus topic. At the same time, the team struggled with a steep learning curve during the deep dive and shared that they had to find a new balance between working in a group and focus on individual tasks. We agreed that both points will become much easier over the course of the next cycles. Overall, they all agreed the benefits outweigh these drawbacks. The team highly appreciated the switch to a more parallel approach of delivery. Where do you see areas to implement this way of working?  In my practice, I am often talking about three different topics: change management, operational excellence and innovation. For many people, they are very different concepts and many companies assign these to different departments. What makes them so distinct? Or are they not?
For me, they are strongly supporting each other and tightly interlinked. Let's start with innovation. This topic is about creating and implementing new solutions. Change management is supporting innovation by driving the change (behaviours) that the new solution will bring. And according to some studies, about 80% of the innovation are incremental, operational improvements, while still disruptive. In the same way, operational excellence is strongly supported by innovation methods in order to discover crazy ideas. And, in my experience, change management practices support to engage the people and motivate them bring better results. Lastely, for me change management is directed at improving the business. This can only happen by cultivating an innovation mindset and driving operational excellence across the entire organisation. So, instead of distributing these three topics in different corners of your organisation, bring them together. Some successful companies have one (Transformation or Excellence) team which can be the driver for company-wide innovation which includes operational excellence and has strong change management practices. How do you bring innovation, change management and operational excellence closer together?  A special year is coming to an end and I want to thank all my families, friends, network and followers for your encouragement, conversations and learning opportunities. Despite all the difficult moments, I think I have been lucky and grateful of all the things that have happened - maybe it is by choice?
The New Year is coming and if we can predict one thing, it will be different from the past. Will it be better? I think, this depends on what we make out of it, right? For myself and for all the great people around me, I wish that we are getting ready for what will come. First, I think we will need curiosity to discover the opportunities; we want to understand our passion that gives us a big picture direction. And then, let's start with small steps towards this collective dream, and building together with our network of people. Wish you a fantastic start of the New Year!  Keeping traditions... Huntsman's technical campus in Shanghai celebrated again an Innovation Day last week. This is the third iteration since I met the local leadership team in 2015 and a great routine to keep.
In my recent experience, many companies and teams are pushing for daily delivery without pause and reflecting are we running in the right direction and are we using the right gear. And I am observing that only after a few months in this mode, teams are getting exhausted. The Innovation Day in Shanghai is reversing this trend and the leadership team understands the wider purpose and benefits of such an event:
Thank you Enshan, Renyi and Stella to keep this tradition alive!  Great to read the outcome of an interesting conversation with Rachelle Lee and Michael Zimmel about how innovation and creativity can shape the way finance professionals are looking at their work.
One key pillar for success is understanding how we are creating value for our customers. This starts with exploring who we are creating value for. And then get inspired by their needs and insights. Where are the pain points and how we can we make these groups of people successful. In the past, finance professionals were routinely creating standard reports piling up lagging financial indicators. In today's ever-changing, complex world this is not creating value. I suggest to look at leading indicators that we can directly influence and have an impact on the success we are aiming for. We can see a huge potential for finance teams to tremendously increase the value they can create for their 'customers'. Read more in this interview: The Changing Mandate of Finance.  We heard this a lot - especially in the current pandemic: stress is causing our brain to react with flight, freeze, faint or fight. And this reaction is blocking our creativity and problem-solving capability. Stress can come from so many directions: uncertainty, feeling threatened, lack of job security, work overload, lack of control, feeling insecure, feeling lost...
Neuroscience tells us that a positive emotional state restores this creative thinking which allows us to solve problems and accelerate the much needed innovation. As a leader, we can switch the work environment from one of fear & challenges, to one where we can discover great opportunities. This will also strengthen trust and self-esteem. Here is one surprising source for this positive environment. According to this IMD article is humour! Feena May describes in The incredible lightness of being: use humor to inspire your team during a crisis "humour as a leader's capacity, ability and willingness to share themselves in service of the situation" with lightness of spirit, kindness and presence. As so often, the intent is important. We want to use humour in order to enlarge and open the space between people; take them out of their shells and caves and bring them together with purpose and fun. Humour is not the same as jokes; these are often making fun of a certain group of people, which is counter-productive. The silent clown can be an inspiration; the apparently simple acts of holding space, creating connection and encouraging exchange. And often, a simple smile and light-hearted comment by a leader can create positivity which removes the stress and uncertainty. Feena mentions three reflection points:
There are many ingredients to accelerate excellence, drive productivity and strengthen innovation. One of them is humour which creates fun and collaborative environment based on positive leadership.  The last two days I joined the 4th Annual Open Innovation Virtual Summit as a participant and as a speaker. It is great to from large companies (ABB, Givaudan, Orange, Roche, etc.) how they are facilitating and rewarding ideas and innovation within their organisation. A common thread is that it is vital to put the customer at the centre of the innovation process and work together with the external ecosystem. This was creatively underlined by Gregory Poletta's introduction of the Da Vinci Mindset - think impossible!
People Excellence was at the centre of my speech where I highlighted that a new, positive leadership style is a fundamental driver for innovation and therefore vital for lasting success in today's business environment. Empower and facilitate creativity & experiment based on great relationships and a meaningful purpose. Big thank you to the organiser Milana Dreo, Vonlanten Group, and to the two hosts Jordi Rafols and Andy Wynn. With great curiosity, I am looking forward to the next summit!  Last week, I posted a small poll to understand how companies are exploring their sources of innovation. The idea of the poll came out of a conversation about that many companies resort to two different types: either they have special teams that are developing new products, services and processes which are then taken up by the core business. Or, the companies are engaging their core business teams to explore new ideas themselves. According to the poll, over 60% of the people experience the latter.
At Hive17 Consulting we are promoting a third alternative that is taking the advantages of both options and allowing the companies to transform with more speed, less resistance and more creativity. Let's explore... Companies that have established innovation labs complain that the core business is not taking up the new ideas with enough energy. The dedicated teams are great at identifying customer needs and have the resources to deep-dive into the respective markets. Often they are cross-functional and bring diverse experiences to the table, which is strengthening creativity and the creation of novel ideas. At the same time, they are disconnected from the core business and once they have claimed a victory, the company expects that the core business to stem the hard work for the big success. This creates friction. As an alternative, companies then drive innovation from within their core business. Different initiatives are directed at identifying improvement ideas and developing new products. The core business is close to daily operations and has a good understanding of where we have friction and they are able to quickly implement improvements. Though, they lack the resources of creating a deep understanding of the larger context of the opportunity and often work in their respective silos. How can we innovate and take the best from both options and drive creativity and operational excellence at the same time? At Hive17 Consulting we are implementing an alternative we call 'Innovation Crews'. We support establishing small, interdisciplinary teams that are dedicated to a specific opportunity - growing a market, developing a new solution, improving manufacturing excellence, etc. These crews have the resources to deeply understand the ecosystem and bring different silos together. This allows the company to come up with crazy ideas in a short period of time. Because the team size is small, the team is forced to work together with the core business throughout the discovery, identification and development of the solution. This means, from the start the business is involved and contributes to the innovation projects. The innovation crew takes up a role of a facilitator to enable a smooth and accelerated journey towards groundbreaking innovation. How did you experience the different options to drive innovation in your company?  This week I was engaged in a few discussions about how some teams feel that they are constantly under pressure. They feel they don't have breathing space and realise that this is not a situation that is tolerable and sustainable. Often, such circumstances result in burn-outs, attrition of talent and reduced performance. How can we then thrive when we are put under pressure?
Let me first divert into neuroscience. Studies have shown that when we are in a negative emotional state, our creativity and our capability to solve problems is shut down. In order to be effective as a knowledge worker, we want to be in a positive emotional state. Here are three ideas how to achieve this.
While you are experimenting with this lighter approach to absorb the pressure from outside, keep a good focus on your social connections - within your team, with the teams around you and with the stakeholders you are creating value for. Make your journey fun. What is your approach to growing under pressure? Photo credit: Ainhoa Sanchez, Volvo Ocean Race  Today, I had the opportunity to share a hybrid approach to transformation in operational excellence together with Pascal Daniel during the OPEX Week Live APAC. What excites me about conferences are the interaction between peers and experts in the same field - even in a virtual format. So, we had an interesting sharing of insights how we can trigger lasting success in the current disruption. Exciting to see that the audience is also focusing on innovation, positivity, adaptation, health, empowerment, etc. A very people-centric view.
The hybrid approach we presented is pushing along these keywords; the approach is based on human-centricity, bottom-up and and an ecosystem & value focus. The method is inspired by design thinking and lean startup and follows four key steps:
Join us in a workshop where we guide you in applying this approach to your own challenges and opportunities. Fill in this form to express your interest: https://forms.gle/9W3MqGuwsvrEY39PA  About a year ago, a factory in Thailand embarked on a journey to redefine how they approach operational excellence. One aspect was to get crazy ideas; we conducted a design thinking workshop that engaged over 70 people in six teams. In this article, I want to focus on the execution of these ideas: Big & Small Thinking.
In a workshop the teams split the crazy ideas into smaller clouds. Each of these smaller clouds represented a potential three months projects; they followed the following principles:
These criteria represented a shift away from the typical 12-18 months projects. The biggest challenges the team were facing were, a) that after each three months we can add value to the business and b) that we don't know what we will be working on after this project is completed. Both elements allow the teams to stay flexible and adjust the big picture journey to new discoveries and to changes in the environment. At the same time, we were able to celebrate much earlier. The engagement was very high. How do you drive excellence in a complex and ever-changing environment?  Today was Day 2 of the APAC Operational Transformation Summit with a inspiring speakers that look at new aspects of Operational Excellence: culture, sustainability and agility.
Eric Tachibana started of with an deep dive into culture. Culture is important because there is a clear correlation to financial success - btw, strategy doesn't show this correlation. At the same time, it seems to be difficult to grab and manage. Eric introduced a model to make to make culture more tangible: values, rituals, stories and artifacts. Influencing culture starts with the little behaviours we conduct every day in these four areas. He shared that at Amazon there is a strong focus on the leadership principles that provide guidance to the entire organisation and to create new routines across the four elements of culture. Luanne Sieh introduced another angle to operational excellence and illustrated the impact of human society on our planet in the last 100 years and how it shot through the roof. In today's business, we need to look at the triple bottom line - profit, people, planet - in order to establish a sustainable operation. Investors today are more and more interested to go beyond th short term financial KPIs and push the companies they are investing in to be active in creating a better world for our society and our planet. This essentially will bring new business opportunities and allows companies to distinguish themselves in the market. Majid Bhatti supports the view that innovation is essential for business success; creating new products, increase motivation, increase productivity, establishing new relationships. Innovation is not only about creating ideas; selecting the right ideas and executing them are essential parts of innovation. Successful innovation is based on collaboration and interaction between people; based on empathy and understanding. In this context, he introduced agile methods which have a strong focus on interacting with peers and customers. Getting early feedback from them is essential to develop solutions iteratively. Agility also suggests that we are creating flat organisations and facilitate the flow of ideas and improvements from all corners of the organisation. Agility is a platform for innovation and improvements in our operational excellence. For me, it was refreshing to observe a broad perspective on how we can improve our operational excellence and look beyond the usual set of tools. Diving deep into culture, sustainability and agility might create more engagement within the ecosystem; looking at a wider range of criteria can drive improvements in our daily operations.  Today was Day 1 of the APAC Operational Transformation Summit and we had a great lineup of speakers. I could clearly see a red thread going through all the presentations. Operational excellence is based on digital transformation; and the success of digital transformation is enabled by the people.
First we had Michal Golebiewski from Microsoft sharing how digital transformation is a journey and that starts with the definition of a new you; based on a purpose. This purpose is guiding the customers, the partners and the employees on how we are kick-starting this journey. We need a vision & strategy; a northstar. We need to look at the culture and mindsets that will allow experimentation and stimulate a growth mindset. The unique assets and the capabilities of the organisation need to be aligned for this journey. And finally, success is based on employee empowerment and we need to stay engaged with them. These are the ingredients for success. Abhishek Sharma, Axa, continued the journey and added that the tools and the process are necessary to bring fruits from these ingredients. In order to start your digital transformation journey, you need to investigate your what, who, how and the impact you want to create. He illustrated that you will not reach the peak in the first round. As a leader, you encourage your team members to climb the mountain by themselves - milestone after milestone. At the same time, you are there to hold a guiding hand when necessary. This will build confidence and the climb will become easier. The transformation journey is triggering a cultural shift that involves everyone. This is why it is important to cultivate trust with your employees, your customers and in the entire ecosystem. During my presentation, I took the concept further and introduced positive leadership that allows you to drive engagement, motivation and therefore operational success. Today's uncertain and complex business environment requires agility in order to create success. This agility is based on empowering people to experiment, guiding them with a collective dream, creating an understanding how to create value for our customers, and lastly on building a collaborative platform to facilitate relationships and trust. Finally, Kesavan Sivanandam, from AirAsia, shared an inspiring story about perseverance and pushing boundaries. Needless to say, the airline industry is hit very hard and AirAsia took this as an opportunity to push digital in the end-to-end experience. He shared the story how strong collaboration with various agencies and business partners allowed them to achieve a contactless solution from "curb to gate" within a few months time. This was possible based on a common purpose within the ecosystem to keep the business going, in a safe way. And in this journey, it was important to keep the people engaged under this collective dream. Day 1 of the conference was a lot about creating a common purpose, engaging with the people, and cultivating relationships. Key ingredients for a smooth and sustainable digital transformation journey. I am curious to hear more during Day 2.  In an environment of uncertainty and complexity, anti-fragility will allow you to create lasting success. That's a nice sentence and many people agree to this. And then the big question comes: how do you get there? how do these puzzle pieces fall in place?
Two months ago, I posted my leadership view on the four pillars for agility: customer value, purpose, relationships and experimentation: How to reach agility? Four Key Drivers for Leaders. Today, I want to come back to these pillars and share how they fit together. The underlying premise is that your company is acting in an uncertain and complex environment. Now, in this uncertainty, you want that decisions are made fast and bottlenecks are removed. This means, you need to empower the people at the front to experiment and try out what might work - and learn. You need to increase their autonomy to allow your teams to run forward with high velocity. Now, many people argue that this will only lead to chaos. Yes, and while we allow our teams to run forward, we need to ensure that they are moving fast in the same direction. The organisation requires an aligned and transparent understanding of the big picture purpose. Important, this is not a top down vision. I like to call it the collective dream which is evolving with everyone participating. What is the key ingredient to this collective dream? Our customers decide if we are successful. That means, we need to create value for them. The company purpose and the different team purposes are highly influenced by how we are creating value to our customers. And this is based on a deep understanding of their needs and challenges. The fourth pillar is about creating a platform that allows the teams to run forward in the right direction. This platform facilitates cross-silo collaboration which allows quick sharing of information and further eliminates barriers to speed and fuels creativity. Smooth collaboration is based on common goals and good relationships. As a leader that drives anti-fragility, your role boils down to two things: bring the people together to define a meaningful and customer-focussed purpose. With this established, the second role is removing bottlenecks, providing resources and further driving motivation. Sounds easy and yes, it takes a lot of efforts to become this agent of success.  In German we have this expression - "Wer den Pfennig nicht ehrt, ist des Talers nicht wert"; basically saying, only when value you small change, you are worthy of the dollar bills. Did I get this right? In many efficiency improvement projects, companies deploy small focus teams that are working on the large improvements; within a few years they can achieve great improvement results. Why is this not enough? How can these initiatives excite the entire workforce? And do these central projects have a lasting impact?
In Southeast Asia we engaged in an energy efficiency project for about 15 factories. And, we took a different approach: we directly asked the frontline people where they see improvement potential. I clearly remember a few projects we celebrated together with the staff at the factories. One was the idea to change the switches in a large warehouse. Imagine a large warehouse, and whenever you enter it, there is one switch for all the lights. The team experienced this as a waste of energy and suggested multiple switches for the different sections in the warehouse. Does this have a million dollar impact on your business? Even we might consider this as a small improvement, we celebrated it because the behaviours is correct and we wanted to stimulate more of the same. The next time this team walks past a idle running grinding plant, they will switch it off and will save significant energy costs. Based on over a hundred similar small projects, we were able to reduce the annual energy cost by a three digit million dollar figure. Plus, we created ownership, commitment and engagement from everyone working in our plants. This was an exciting journey. A case study from Coca Cola in Sweden shows similar results - Improvement opportunities that are hard for managers to see. The study compared the improvement impact of a Six Sigma initiative with an idea system for continuous improvement. The sum of the small ideas in total generated 6 times more savings than the big projects. A positive leadership engaging all the workforce to participate in the overall vision of the organisation will have significant and lasting effects on your bottom line. How will you implement this in your company? |
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