Want leadership? Turn the hierarchy on its side ...

Many organisations of various sizes are built on hierarchy and driven by status, encouraging people up the organisational management ladder. Managers are however set up to fail as not one person can be responsible for another person's choices and actions, let alone a group of people.

In recent years there has been more emphasis on 'leadership' and many discussions and articles have been written about the difference between management and leadership. The main difference between the two in my view is status within an organisation. With leadership, the level at which you operate in an organisation is not important. Anyone can show personal leadership and be a leader.

Is not the biggest barrier to leadership hierarchy? There is plenty of evidence that managers are not necessarily the leaders employees follow in an organisation. Managers seek compliance with processes and manage the  performance of others, while leaders aim to bring out the best in others and empower them to take personal responsibility for processes and performance, and develop more leaders.

So how do we change the design of the organisation to encourage personal leadership and personal responsibility? Organisations have been built on 3 disciplines, namely Strategy, Planning and Operations. In hierarchies these disciplines sit from top to bottom. In larger organisations, hierarchies are taller with duplication of disciplines, often leaving front line managers with nothing else to do but micro-manage staff leading to productivity paralysis, lack of innovation and high staff turnover.

So do organisations really need layers and layers of management in order to be productive, or do the layers create barriers to productivity and creativity?

What would happen when we turn the hierarchy on its side so the Strategy, Planning and Operations sit side-by-side?

- Would collaboration be easier?
- Instead of money and status, would organisations be driven by strengths, passion and empathy? (See video below)
- Would improved collaboration mean higher personal responsibility for actions?
- Would there be a flatted pay structure which benefits more people? (See video below)
- Would organisations turn into communities of action?
- Would it be easier to innovate?
- Would there be improved trust and respect between the different disciplines?
- Would your workforce be more autonomous and as such self-motivated?
- Would improved collaboration mean leaner and more sustainable solutions?

Makes sense, right? I'd welcome your thoughts.

Relevant video:
Paul Piff: Does money make you mean? - http://on.ted.com/raqw

What is the ideal workforce make-up for the Public Sector?

Every Public Sector organisation across the world is facing the same challenges caused by the current tough economic climate, which means that - as part of wider organisational considerations such as property assets and reducing duplication - workforce make-up is crucial in helping Public Sector organisations to become adaptable/agile and survive economic pressures.

 

Public Sector organisations need to become more aware of the types of employees they employ, including those who can best support the adaptability and transformation needs the organisation needs to consider in becoming more efficient and leaner, and those who are able to help the organisation manage the peaks and troughs of demand, and all this without negatively impacting on service delivery and local economic growth. 

 

There is a trend which has been set by some Public Sector bodies in London in working with Private Sector giants for both back office and community facing service delivery. These giants however face the same challenges as any Public Sector body in managing peaks and troughs. And they have an extra challenge, and that is 'winning business' of other Public Sector bodies in order to achieve local efficiencies through collaboration and partnership working. The question is however: 'Are Private Sector giants best-placed or even interested in supporting local collaborations and partnerships? Plus are they themselves agile and flexible enough to negotiate the same tough economy as faced by the Public Sector?'

 

The answer to sustainability and continuity of high-quality service delivery may be closer to home than first thought, namely the (often hidden) strengths of the Public Sector workforce. Public Sector workforces are often made up of people who live locally, who have worked in the Public Sector for some time and who are willing to be contributors and creators of a stronger local future for all. A great source of local knowledge and strengths!

 

The key is taking time to analyse the perfect workforce make-up for your organisation!

 

There are three types of employee status I would like to highlight in this blog:

• The 'permanent' workforce - Many organisations perceive this type of workforce to be ideal as they undoubtedly work hard and have extensive internal knowledge. They are also willing to work to organisational rules, policies and procedures. In reality this type of employee will only reluctantly offer challenge to something which could be improved upon out as they worry they might lose their job and are mostly driven by job security, stability, money and/or status. These drivers often mean the permanent workforce are less resilient to organisational change/transformation and some may even (wittingly or unwittingly) sabotage transformation initiatives due to lack of objectivity.
  
  
  It is noticeable that organisations who employ high numbers of permanent staff often have to resort to expensive and highly disruptive staff restructures in order to continuously improve and evolve. Moving staff around based on strengths rather than job descriptions is difficult as traditional contracts and consultation policies make it time consuming to change hierarchical management structures. The result is often the creation of more bureaucracy and higher complexity of decision-making processes, slowing down and at times paralysing transformation initiatives and service delivery.
 
• The 'free agent' workforce - This type of workforce has two subcategories. The internal free agent aka the intrapreneur, or the external free(lance) agents aka the entrepreneur. Both are highly committed to creating efficiencies and sustainability by breaking hierarchical silo mentalities. They are self-driven and on the whole take responsibility for their own learning and performance. They are less driven by job security, stability and status, and are not concerned about working themselves out of a job as they enjoy variety and more likely to work from the principle of empowerment of others (the 'teach a person to fish, ...' principle) which means they can step away. The intrapreneurs are often perceived as 'disruptive' by traditional managers as they challenge the status quo and act outside of their job descriptions.
  
  
  In case of the external freelancer, it has been noted that organisations often invite back employees who have worked for them in the past. This may be perceived as expensive by permanent employees, however this is a myth. Freelance staff, while they may be more expensive in relation to pay, actually save organisations a lot of time and money by being a highly flexible workforce, which mitigates the need for costly and highly disruptive restructure programmes. Freelancers bring an objectivity to transformation programmes which require tough decisions which are likely affect the organisational structure, its corporate centre controls and its workforce, and as such help drive the transformation forward. Organisations are better able to attract and where needed switch off knowledge and skills based on fluctuating demand. 

Given the economic pressures and the need to encourage more local economic growth I would argue that the ideal workforce for any Public Sector organisation who seriously needs to consider 'downsizing' is to identify and work with its internal Free Agents, but also with local external Free(lance) Agents. Internally Free Agents make for a highly flexible and resilient workforce and using local Free(lance) Agents utilises local strengths and knowledge, engages citizens into local action for a better future and supports the local economy.

 

So what is your organisation's ideal workforce make-up for surviving tough economic times?

Generational Diversity and Agile Working in the Public Sector

To date there is still too much office working in the Public Sector and not enough 'working where the work is', which for the Public Sector is working with the public. It is important to recognise that the Public Sector is on a Cultural journey which will require working differently, and in some cases counter-intuitively.

When 'working where the work is', technology is a great enabler. However there continues to be cultural barriers which link to a need to let go of some control, which understandably is counter-intuitive for political leaders, as well as the expectations of the different generations in the workplace.
Baby Boomers and - to some extend - my generation, Generation X, have become used to an office space we have been able to 'personalise' to our individual needs. In the current climate, office space is a high cost to any organisation, not just the Public Sector, and needs to be reviewed so that organisations don't compromise on their people (talent). In recent years, Generation X has been making more demands for equality, flexibility and work/life balance, however further economic pressures are demanding more compromise around the way we work. Equally access to ever-changing technologies has raised different workstyle expectations for the younger generations that are now sharing our workspaces.

The economy is pushing the Public Sector to think more carefully about the needs for efficiencies. Technology is a great enabler and should be led by the younger generation as the rate of adoption of the use of new technologies is 'speeding up' and will in turn enable new innovations. The younger generations - by the very nature of how an organisation works - are more likely to sit in the front line, hence a need for bottom-up innovation.

The culture set by Top Managers (likely to be Baby Boomers and Generation X) is important to consider as it highly depends on Top Managers' individual ability and willingness to recognise and embrace - not necessarily adopt - these generational changes and expectations, which will feel like a loss of control and in real terms is counter-intuitive, but - as you can see - extremely important.

Managing a virtual workforce requires organisations/managers to trust their front line workforce and embrace the use of technology and social media. This is all part of a wider cultural journey and  remains an enormous challenge for the Public Sector who are trying to get used to being more open and transparent, meaning a counter-intuitive 'loosening of the reins'.

Related blog - http://www.publicservice.co.uk/feature_story.asp?id=23073

Innovation Series - Are you asking the right questions to help you innovate & future-proof your business?

In an uncertain world it is more important to be outcome-focussed. Why?

Here is a simple metaphor that hopes to shine a light on the difference between engaging stakeholders using solution-driven (aka output-driven) and outcomes-driven (aka values-driven) questions.

Two identical ice cream vendors have noticed that over the past year they have been losing customers. They both want to learn from their customers what they can improve. 

The first vendor opts to ask its customers solution-driven questions:

- Do you like the ice cream in our products?
- Do you like the texture of our cones?
- Do you like the chocolate sauce?
- Did the flake meet your needs?

Following analysis of the seemingly positive feedback, the first vendor tweaks their product based on their customer feedback and continues to sell ice cream. Over the next year they continue to loose customers.

The second vendor asks its customers outcomes-driven questions:

- How can we improve our product based on our commitment to offer you (our customers) something refreshing closer to home?

From the feedback, the second vendor learns that his customers have become more health-conscious. He researches new healthier product lines, such as yoghurt ice cream, smoothies & fruit salads, and transforms his business model to reach more customers. The business is growing from strength to strength. 

Where's the difference?

The first vendor has made the assumption that ice cream is what their customers want to continue to purchase and have failed to learn that more and more of their customers are becoming more health conscious. 

The second vendor has approached the problem from a completely different perspective and as such - with the right type of question - has invited his customers to help him transform (and sustain) his business for the future.

Did you ever think that questions could be that important? 

The importance of openness and transparency for the Public Sector - a simple metaphor

When money and resources were plenty, our personal accountability is often forgotten about and environmental sustainability goes out of the window. Why? Some may call it 'greed', I call it a human hoarding instinct which in pre-historic times helped us survive however in the modern world can have serious economic and environmental implications. The metaphor below sets out a simple lesson in the importance of being open and transparent in the current climate.

 

When money was plenty, the world created gas-guzzling 4x4s and demand for them grew as they promised safety and reliability. The negatives, i.e. impact on the environment by guzzling the earth's resources among others, were given little consideration. Today, with much more openness and transparancy about the state of the world's resources and the environment, many people are taken more personal accountability and are wanting to minimize the strains on their pocket, wishing to purchase a car which is less costly to run and kinder to the environment.

 

So how does this metaphor help the Public Sector to prioritise its activities? Similarly, at times of plenty the Public Sector has created a number of luxury services at no 'direct' cost to the customer. In the current climate, Council needs to consider prioritising their services to cope with financial constraints and needs to more openly and transparently communicate their financial reality with the communities it supports.

 

The result of not communicating will lead to communities not fully accepting and supporting the changes, and a continuation of legal and costly challenges triggered by the changes in service provision. 

 

The Commissioning approach, if it includes a full commitment to openness and transparency, will act as an enabler of this prioritisation exercise for the Public Sector. It will allow the Public Sector to analyse its activities in light of financial, economic and environmental sustainability and current demands for services.

Staying afloat - helping organisations survive financial difficulties

Is your organisation experiencing financial challenges? Not unusual in this day and age as financial pressures have affected us all in one way or another. Metaphors can really help you to prioritise your activities and outcomes and how to communicate to your employees. It may help you to think about a ship at risk of sinking. What is the first thing you do?

There are three behavioural options: 'denial', 'panic' or 'analyse, plan, act and review'.

Denial will only mean that those in positions of power and others who depend on them will be caught out. Denial stops communication about what is likely to happen, stops the seeking of highly-needed support and the resulting non-action is most likely to mean the ship will sink with many ill-prepared casualties.

Panic causes more panic. It is infectious and soon ends in chaos. Panic can translate in not knowing where to start, lead to knee jerk and therefore ill-informed decision-making. Reactivity has a negative effect on those who rely on the direction of those in positions of power. The likely result - a sinking ship and ill-prepared casualties (unless you are lucky to be surrounded by others who are more resilient).

The only winning formula is to 'analyse, plan, act and review' in other words, take a step back, get 'all hands on deck' to analyse the damage and trust everyone's commitment to do everything in their power to prevent the worst case scenario. Asking everyone to support the outcomes will also mean they will be more resilient and ready for any further changes (even if it means that the sinking of the ship could not be prevented).

If you find that your workforce are not acting in the way you would expect in an organisation dealing with uncertainty, it is likely that clear, honest and transparent communication is needed or that the communication is not being cascaded by those who lack the resilience needed to cope and lead others in these ever-changing times.

The changing role of Councils

To date, Councils have prided themselves on keeping their communities safe. Their leadership style has closely matched that of a parent creating safety for dependents. In the good times the relationship between Councils and the communities they support has been peaceful and mutually respectful as dependents have felt safe and looked-after. Financial uncertainty has however created some strain in this relationship.

What is needed now however is for Councils to empower their communities to take risks in order to survive the double-dip recession and the impact of an ageing population, which means a signifiant cultural shift and a need to think differently about the Council's priorities. Councils need to embrace the fact that they are interdependent on the support and creativity of the communities they have to date supported to deliver a wider variety of services to meet their own needs. Their role needs to change from 'safety-provider' to 'risk-enabler', a change not to be underestimated (please refer back to the parent-dependent analogy)!

To reduce the risk, it is crucial for Council to be humble, use a more coaching-style of community leadership and be honest, open and transparent in the sharing of information so that communities can make better informed decisions.

What would make Councils feel more at ease with the changes required? I'd really welcome your thoughts and views.

RELATED READING:

Councils' exaggerated risk aversion puts charity contracts under threat -http://www.guardian.co.uk/local-government-network/2012/feb/27/councils-risk-aversion-puts-charity-contracts-at-risk

Letting go: how to set public services free from council control -http://www.guardian.co.uk/local-government-network/2012/mar/14/public-services-council-control

Question of the day ... on building trust

Humility is a crucial element in building trust!

Ask yourself - Are you setting standards for others that you yourself, with the best intensions in the world, cannot achieve?

Thought of the day ... on breaking learned dependency

The only way to break 'learned dependency' is to start with a blank sheet of paper, presenting open, transparent and balanced information and collaborate fully with others who are passionate on finding solutions.

In contrast, when a solution is brought to the table by an 'expert', ownership by others is completely lost as:
- no other carries the same passion for the solution
- no other want to step on the expert's toes
- no other will understand the reasons/benefits of the solution in full

Create leaders, not followers!

Idea of the Day ... on Changing Behaviour through Design

In Belgium and the Netherlands they have put large butterfly nets along the cycle paths to encourage people to throw their litter in the right place rather than littering just anywhere. This design is based on a technique called 'Nudge' which uses people's nature/instinctive behaviours as the starting point of any design.

 
Nudge Theory too is used to design care homes for people with Dementia, in highways design and putting low-cost gym equipment in parks.

How else could we use 'nudge' for the benefit of the wider community?

Thought of the day ... on silo-working

The true impact of silo-working, competativeness and lack of collaboration! Does anyone really win?