Ruthless Consistency

Copyright © 2013, Bridgeway Leadership, Inc., all rights reserved | www.bridgewayleadership.com Sponsored by:

1

Michael Canic’s presentation is sponsored by:!

www.vistage.com !


Ruthless Consistency®: Aligning your organization to win …or else!

Michael Canic, PhD

2


The history of executing strategic change initiatives …

Ruthless Consistency®

3



Quality “67% of companies … quality efforts failed to yield real improvement”

McKinsey & Co. study


4





Reengineering “The Economist summarized studies … 85% of (reengineering) interventions fail.”

Management Review


5






Management Review

Mergers & Acquisitions “… up to 77% of all mergers fail to deliver on their financial promise.”

Carleton & Lineberry, “Achieving Post-Merger Success”


6






Management Review



I.T. Implementations “… 85% of all IT-related projects fail. Of the remaining 15% many haven’t met the original requirements.”

Project Auditors


7






Management Review



I.T. Implementations “… 85% of all IT-related projects fail. Of the remaining 15% many haven’t met the original requirements.”

Project Auditors

Strategic Planning “… failure rates in the 70% to 90% range …”

Kaplan & Norton, “The Strategy Focused Organization”


8


#1

The problem…


9


#1

The problem… is us!


10


Ruthless Consistency®: Winning

Develop Get Create

Win

Leaders

11

#2



Develop Get Create

Win

Leaders

12


Organizational Factors

Performance Factors

Improvement Factors

Ruthless Consistency®: Right Environment

Respect | Trust | Caring

13

#3



Performance Factors Purpose • Skills • Resources

Authority • Incentives • Disincentives

Improvement Factors



14


#4 Approach Strategic

Change Execution as a SYSTEM


15





Improvement Factors



16



Leader

Remove disincentives Communicate goals, meaning & expectations

Create incentives Provide training

Give authority Allocate resources

17


#5 What you do is not as important as what they

experience


18



People

I don’t feel disincentivized

I have a sense of purpose

I feel incentivized I have the skills

I have the authority I have the resources

19



Performance Factors

Improvement Factors Feedback • Guidance

Reinforcement • Accountability



20


SMART Feedback!


21


SMART Feedback!

S Specific!


22


SMART Feedback!

S Specific!M Measurable!


23


SMART Feedback!

S Specific!M Measurable!A Accurate!


24


SMART Feedback!

S Specific!M Measurable!A Accurate!R Relevant!


25


SMART Feedback!

S Specific!M Measurable!A Accurate!R Relevant!T Timely!


26

#6



Performance Factors





27


What reinforces people: !


28



$ $ $!


29



$ $ $!

!

Achievement!


30



$ $ $!

!

Achievement!Recognition!


31



$ $ $!

!


Growth!


32



$ $ $!

!


Growth!Respect !


33



$ $ $!

!


Growth!Respect !

Fun!


34

#7



Performance Factors





35


The 5-Step Accountability Process !


36


The 5-Step Accountability Process !1.  Common purpose !


37



2.  Confront reality!


38




3.  You take responsibility!


39





4.  State your expectations!


40





4.  State your expectations!

5.  Rigorously follow-up!


41

#8


#9 Change Management:

If you can’t change the people … change the people


42



Performance Factors





43


Leader

Hold accountable Give feedback

Reinforce behavior Provide guidance


44


People

I am held accountable I receive meaningful feedback

I receive positive reinforcement

I receive helpful guidance


45



Processes • Policies Structure • Infrastructure

Performance Factors

Improvement Factors



46


HR Sales Finance Operations


47

Service

CEO


HR Sales Finance Operations


48

Service

CEO #10

Manage the space between the boxes !




Performance Factors

Improvement Factors



49


Leader

Provide infrastructure Implement processes

Design structure Institute policies


50


People

The infrastructure supports my work

The processes support my work

The structure supports my work

The policies support my work


51



Performance Factors

Improvement Factors



52


#11 Responsible Management:

Consistent Respectful Supportive Trusting Trustworthy Caring Positive Credible


53










54


The Right Environment Where everything your people

experience consistently conveys your commitment to winning


55



One Learning!One Question !

One Commitment!

56



Develop Get Create

Win

Leaders

57



Develop Get Create

Win

Leaders

58


Does strategic planning sustain focus? • An annual, off-site event

• Lots of flip-chart notes

• A sigh of relief when it’s over

• Get back to the “real” work

• The plan collects dust on a shelf

Ruthless Consistency®: Right Focus

59


#12 Stop

Strategic Planning!


60


Assess What is driving us to change?

Position What do we do? Who are we? What does winning look like?

Implement How do we ensure it happens?

Plan How we do win?


Strategic Management

61





Plan How we do win?



62



1 Assess ATTACK YOUR ASSUMPTIONS

“STEEP” Factors

Market Landscape

Organization

63

#13


STEEP FACTORS • Social

• Technological

• Economic

• Environmental

• Political


64


What ultimately drives the success of your business …


65


Competitive Triangulation

Customers

Us Competitors Perceived Value Gap


66

#14





Plan How we do win?



67


2 Position FOCUS, FOCUS, FOCUS

• Purposeful – for whom and why?

• Memorable – concise

• Conversational – invite questions

What We Do Brand Commitment Winning


68

#15


We seek to be the best title company in town as viewed by our customers, employees, and competition. We are a customer-oriented and profit-motivated title and escrow company that offers a quality product with excellent service and differentiates itself from its competitors as the best not the biggest. We are a company that does not over-react to market conditions or competitor actions, nor are we strangled by cost control measures; instead, we monitor critical expense areas to ensure bottom line success. We also pride ourselves on our reliability, and we constantly strive to improve the quality of life for our employees – our greatest asset.

We want to be a company that: - Is built on relationships with long term customers – in fact, we consider our customers as our partners in success - Provides quality service, which allows us to grow - Interacts with our customers and welcomes their feedback - Does everything we can to not only assure a pleasant experience for our customers but to exceed their expectations - Pays attention to our people, training them to be more effective and better equipped to serve our customers - Looks for change in all areas and makes it a driving force - Is technologically progressive - Recognizes our civic responsibility, which is not only our obligation but which is just good business - Has a spirit of entrepreneurship that comes from seeing ourselves as a partner with our clients – when they do well because of our service, we will do well


69

The ‘Mission Statement’





Plan How we do win?



70


#16 Do less

Take longer Use more resources


71


#17 Don’t pursue a

sustainable competitive advantage


72


#18 Your value proposition

can kill you


73


Value Proposition! - How we attract and retain customers!

People Proposition ! - How we attract, retain and mobilize the right people to ! deliver on the value proposition!

Financial Proposition! - How we organize our business to make a sufficient ! return from delivering on the value proposition!


74

Three Propositions #19





Plan How we do win?



75


4 Implement ALIGNMENT

• Performance factors

• Improvement factors

• Organizational factors


76


4 Implement COMMITMENT BUILDING

• One Team Meeting

• Communications Management

• Celebrations


77


4 Implement EXECUTION MANAGEMENT

• Progress Tracking

• Recalibration

• Master Calendar


78


The Right Focus When Strategic Management has

been instituted (not introduced, not implemented, but instituted)


79



One Learning!One Question !

One Commitment!

80



Develop Get Create

Win

Leaders

81



Develop Get Create

Win

Leaders

82


#20

Get the studs!

Ruthless Consistency®: Right People

83



Develop Get Create

Win

Leaders

84


85

Michael Canic’s presentation was sponsored by:!

www.vistage.com !


Ruthless Consistency®: Intelligence

Like what you’ve heard today? There’s more. We provide regular, free content that is compelling, concise and information-rich.

Check out our weekly blog that gives you actionable concepts and tools to apply the principles of Ruthless Consistency:

bridgewayleadership.com/blog

To access our monthly success feature, videos of strategic lessons shot at historical locations around the world, and past publications, go to:

bridgewayleadership.com/media-publications

To download your free copies of the key concepts, models and processes presented today, go to:

bridgewayleadership.com

Fill out the section at the lower left and enter ‘NACD2013’ as the Password.

86


Michael Canic, PhD

Michael Canic is co-founder and president of Bridgeway Leadership, a strategy + execution consulting firm with offices in the U.S. and Canada. Bridgeway’s purpose: Making Strategy Happen through a relentless focus on alignment, commitment and execution. As a consultant, he has helped hundreds of leaders across North America achieve dramatic results.

Formerly, Michael was responsible for the consulting division of The Atlanta Consulting Group. Prior to that, he spent five years with FedEx overseeing the successful development and implementation of service quality strategy for Western Canada.

As a speaker, Michael has delivered hundreds of invited presentations to audiences in the U.S., Canada, and overseas. He is widely regarded as a dynamic presenter who leaves audiences with fresh perspectives and a multitude of actionable concepts, models and processes.

As a writer, his articles on strategy, change and execution have appeared in national publications. He writes a weekly blog, Ruthless Consistency, a monthly success feature, Bridgeway to Success, and he also posts videos of strategic lessons shot at historical locations around the world – Bridgeway to History. He is currently writing a book: Ruthless Consistency: Aligning your organization to win … or else!

Michael has a PhD in the psychology of human performance. As a coach, he helped lead a university football team to a National Championship. As a volunteer, he has served on boards of directors for professional and cultural organizations, and he also mentors students and young professionals.

An adventure traveler who has been to more than 40 countries, Michael has canoed in the Amazon, journeyed by camel in the Sahara, trekked the mountains of Northern Pakistan, and summitted at 21,000 feet in the Andes.

“In my over 30 years of business, Michael is simply the best management consultant I have ever worked with.”

Tom O’Leary President & CEO Richfield Hospitality Services

87

Business

Ruthless Consistency