Bolster Your Company’s “Innovator’s DNA”

Recent research by Christensen, Brigham Young University Professor Jeffrey Dyer and INSEAD Professor Hal Gregersen concludes that successful innovators share a set of attributes. The good news is that anyone can bolster their “Innovator’s DNA” by taking the right actions.

For example, organizations can help individuals develop their DNA by providing experiential learning opportunities such as “job swaps.” In 2008, Procter & Gamble swapped employees with … [ Read more ]

The 24 Hour Rule

Ford has put a rule in place. It says: ‘You have 24 hours to take a new and emerging issue, try to understand it and see if you can resolve it yourself. After that, you have to go public with it.’ It’s an escalation process. Because with a lot of these issues, we can solve them pretty quickly by applying the intellect we have in … [ Read more ]

Find the Smartest People in Your Organization

How do you find the smartest people in an organization? As we all know, intelligence does not always correspond to current job title. And in an technology company such as Novell, the real brilliant guys and gals are engineers hidden many layers below the top.

Here’s how Eric Schmidt found them, as he told Harvard Business Review in 2001.

“I used a kind of algorithm to locate … [ Read more ]

Focus Work Conversations on the Four Intrinsic Rewards that Drive Employee Engagement

Focus conversations on meaningfulness, choice, competence and progress. Leaders from the top down need to convey the same message—that the organization stands for doing work that matters and doing it well. When approaching any work project, leaders can underline the importance of contribution by focusing discussions on the basic questions in the self-management process:

  • What can we do here that is meaningful?
  • What creative

[ Read more ]

Institutionalizing a Feedback Process: The Feedback and Change Team (FACT)

Mosaic, a faith-based nonprofit organization that provides a variety of support services for people with developmental disabilities, has institutionalized a feedback process. Mosaic has more than 4,800 employees in 50 communities in 15 U.S. states and Great Britain. Very few of them directly report to a central administration office, which could hinder communication. So Mosaic developed the Feedback and Change Team (FACT), which consists of … [ Read more ]

Make Your Employees’ Dreams Come True

One easy, fun and impactful system you can put in place is called the “101 Dream Goals.” Give each employee thirty minutes and have them write as many things they can think of that:

* They’d like to buy
* They’d like to do
* They want to learn
* They want to try for the first time
* Personal goals they want to … [ Read more ]

Create an Independent “Market Sensing” Function

Improving information flow is not just a matter of rolling out a new IT system; it’s a more complex endeavor. It’s not just how data gets to headquarters that is material, but what data gets there and how it is framed. Often, competitive realities have been white-washed by the time they are revealed to the executive suite.

Some winning companies create an independent “market sensing” function … [ Read more ]

Let the Employees do the Rewarding

In a hierarchy, the lion’s share of recognition and recompense goes to those who hold the biggest titles. The real heroes are left unsung.

Linden Lab’s Remedy: The community—not some select group of corporate overlords—does the rewarding. …It does this through a software tool, called the Rewarder.

Each quarter, every associate is given an equal share of a portion of Linden’s net proft—recently, about one thousand … [ Read more ]

The Premortem Technique

The premortem technique is a sneaky way to get people to do contrarian, devil’s advocate thinking without encountering resistance. If a project goes poorly, there will be a lessons-learned session that looks at what went wrong and why the project failed—like a medical postmortem. Why don’t we do that up front? Before a project starts, we should say, “We’re looking in a crystal ball, and … [ Read more ]

The Love Machine

Philip Rosedale, Linden Lab’s charismatic founder and chairman, took one long night to build a simple but potent tool for community building. He calls it the “Love Machine.” It’s a Web page that lets any of Linden’s roughly three hundred associates zap a quick-hit message of appreciation to a colleague.

Say a coder beats a do-or-die deadline for patching a troublesome bug that’s infected Second Life’s … [ Read more ]

Improving Personal Contact with Top Staff

The CEO of a luxury goods company identified personal contact with his top staff as an important lever that would help move the business if he invested his discretionary time in it. “I always carry two documents with me,” he said. The first is a set of pictures of his direct reports and “every day I mentally ask myself, ‘Have I talked to these guys’? … [ Read more ]

Improving the Company by Doing Less

Instead of asking employees to suggest new initiatives to improve the company, why not turn the question around? Ask employees for ideas about what to terminate. Employees often respond with a slew of good suggestions. …Regularly ask yourself, your managers, and the whole company: “Which of our current activities would we start now if they weren’t already under way?” Then eliminate all the others.

Surfacing Critical Issues

Most companies are accustomed to identifying major internal issues, such as whether to build a business, divest an asset, or lay off people. What’s harder is the early surfacing of opportunities and threats arising out of external events such as dramatic shifts in demand, competitive behavior, industry structure, regulation, or the macroeconomic environment.

A commonsense approach to identifying such issues early is to poll, regularly, all … [ Read more ]

Replace Annual Performance Reviews with Monthly Ones

Henry Chidgey, who once ran several railroad and diamond companies, advocates monthly performance reviews. These reviews need not and should not be complex; they work best when kept extremely simple. Maximum accountability is the main goal.

Here’s how the process works. The day before meeting, your coworker brings you a list of five or six key objectives, detailing her progress on each. During the … [ Read more ]

Problems Don’t Age Well

Many of us subscribe to the “cockroach theory,” the idea that earnings shortfalls and other problems are like cockroaches: there’s never just one. As a result, stocks commonly sell off more than an earnings miss seemingly warrants. The cockroach theory works because business executives rarely take the vigorous steps necessary to ensure that bad news reaches them. All too often, problems get stuck in the … [ Read more ]

Pay Employees to Quit

During the first month of training, Zappos offers new employees $2,000 to quit, plus their time worked. It sounds expensive, but in the long term, it’s not. We want people to be here because they are passionate about customer service and because they like our culture. We don’t want people who are just here for a paycheck. Those people generally end up leaving six or … [ Read more ]

Strategic Role Assessment (SRA)

Companies need a more comprehensive approach to reducing workforce costs without impairing workforce quality. To do this effectively, a company needs a better understanding of the different roles within its workforce and needs to conduct what we call strategic role assessment, or SRA.

The purpose of SRA is to identify strategic talent—individuals who are top performers relative to their peers and who perform … [ Read more ]

RAPID

A useful tool to zero in on decision-making problems and create higher-yielding change programs is a decision management tool we call RAPID. The idea is to clearly map out who plays what role in each critical decision and use that to enable swift decisions, without endless debates, second-guessing or pocket vetoes. It determines the captain of the boat, so to speak, but in a more … [ Read more ]

Downsizing Effectively: Eliminate Hierarchy

The way a company approaches downsizing can make or break its performance. Using 355 undergraduates as their sample, the authors randomly assigned five-person teams to work on military-based command-and-control simulations. The teams’ performance was gauged first at full strength in control groups and then after one of three separate downsizing approaches was applied to the same groups.

The first approach was to maintain the hierarchy, eliminating … [ Read more ]

How to Manage Better in Just 20 Minutes

Ask an employee to write down the names of four people who have had a huge positive impact on his life — peoples he respects, admires, or looks up to. The people can be famous or mundane, real or fictional, dead or alive.

Next, ask your employee about each name, one at a time. Who is this person? Why is he or she important to you? … [ Read more ]