First,Break All The Rules.ppt

First BreakAllTheRulesWhatTheWorld sGreatestManagersDoDifferentlyAUTHOR MarcusBuckinghamandCurtCoffmanPUBLISHER Simon SchusterDATEOFPUBLICATION May1999NUMBEROFPAGES 255pages THEBIGIDEA THEBESTMANAGERSREJECTCONVENTIONALWISDOM THISBOOKDESCRIBESTHEIRPERSPECTIVEANDHOWTHEYKEEPTALENTEDEMPLOYEES BackgroundIn25years theGallupOrganizationinterviewedover80 000managersfromdifferentcompanies Thismammothresearchprojectgrewfromtwobasicquestions Whatdothemosttalented productiveemployeesneedfromtheworkplace Howdoyouattract find focus andkeeptalentedemployees KeyIdeasGoodmanagersrecognizeemployeesastheyare asindividuals Theydonottreateveryonethesame THEBIGIDEA Theyalsodon ttryto fix peopleandtheirweaknesses Ourfocusisonmanagerswhoexcelatturningtalentintoperformance Michael sWordsofWisdomFromMichael arestaurantmanager inanexcerptfromaninterviewwithGallup Makeveryfewpromisestoyourpeople andkeepallofthem Amanagerhastorememberheisonstageeveryday Hispeoplearewatchinghim Everythinghedoesorsaysaffectstheirperformance Whatdoweknowtobeimportantbutareunabletomeasure In1707 BritishadmiralClowdisleyShovellmadeamiscalculationofhisflagship spositionintheAtlantic leadinghiswholefleettowardstherocksofScillyIsles Fourwarshipsand2 000liveswerelostduetothismistake Similarly manycompanieshavenoaccuratemeansofmeasuringtheirpositionwhenitcomestofindingandkeepingtalentedemployees Suchcompaniesmayfindthemselvesheadingblindlyfortherocks KeyIdeasNomatterwhatyourbusiness theonlywaytogenerateenduringprofits istobuildaworkplacethatattracts focusesonandkeepstalentedemployees CHAPTER1 THEMEASURINGSTICKADisasterOfftheScillyIsles Fromstockoptions toconciergeservices andin chairmassages companieshaveaddedperksandbenefitstotheiremployeepackages butnocompanyhasyetdevisedanaccurateyardsticktomeasureamanager sabilitytofindandkeeptalentedemployees Throughoutthisbookwefocusonkeepingtalented productiveemployees notRoadwarriors thearmytermforpeoplewhopreferto retireonactiveduty orthosewhosleeponthejob Whodemandsthismeasuringstick InstitutionalInvestors Theseinvestorsaremovingtrillionsofdollarsinandoutofcompanies andtheywanttoknowifmanagementcandoitsjob mainlykeepingtheemployeesandcustomershappy Agreatdealofacompany svaluenowlies inbetweentheearsofitsemployees Whensomeoneleavesacompany hetakeshisvaluewithhim Sometimes hetakesitstraighttothecompetition Weneedawaytomeasuretheintangibles likeR D customersatisfaction andemployeesatisfaction CHAPTER1 THEMEASURINGSTICKADisasterOfftheScillyIsles CHAPTER1 THEMEASURINGSTICKHowcanyoumeasurehumancapital Whatdoesagreatworkplacelooklike TakealookatLankford Sysco afoodpreparationanddistributiongiant Thecompanyboastssingledigitturnover lowabsenteeism andvirtuallynoshrinkage Ittopsthechartswhenitcomestocustomersatisfaction AccordingtoFredLankford oneofitsgeneralmanagers hemeasuresandcompensateseveryeffort Deliverystaffhavetheirphotosonthewallswiththenumberofmilesthey vedriven Forkliftoperatorsbragoverlowbreakagerecords Thereisnosecretformula butFredmustbedoingsomethingright Becausewefoundeverycompanystorytobeunique Galluptookonthechallengeoflookingforaneedle ormorelikelyacommonthread inourmountainofdata Eventuallythesearchyieldedthefollowingdiscovery TheTwelveQuestionstoMeasuretheStrengthofaWorkplaceDoIknowwhatisexpectedofmeatwork DoIhavethematerialsandequipmentIneedtodomyworkright Atwork doIhavetheopportunitytodowhatIdobesteveryday Inthelastsevendays haveIreceivedrecognitionorpraisefordoinggoodwork Doesmysupervisororsomeoneatworkseemtocareaboutmeasaperson Istheresomeoneatworkwhoencouragesmydevelopment Atwork domyopinionsseemtocount Doesthemission purposeofmycompanymakemefeelmyjobisimportant Aremyco workerscommittedtodoingqualitywork DoIhaveabestfriendatwork CHAPTER1 THEMEASURINGSTICKHowcanyoumeasurehumancapital Inthelastsixmonths hassomeoneatworktalkedtomeaboutmyprogress Thislastyear haveIhadtheopportunityatworktolearnandgrow IFYOUASAMANAGERCANCREATETHEKINDOFWORKENVIRONMENTWHEREEMPLOYEESANSWERPOSITIVELYTOALL12QUESTIONS THENYOUWILLHAVEBUILTAGREATPLACETOWORK CHAPTER1 THEMEASURINGSTICKHowcanyoumeasurehumancapital Doesthemeasuringsticklinktobusinessoutcomes GalluptakesonthechallengeIn1998 anorganizationsetouttoprovethelinkbetweenemployeesatisfactionandbusinessperformanceacrossmanydifferentcompanies Businessunitsweredefinedbybranchoroutlet Companiesprovidedscoresofeachbusinessunitmeasuringbusinessoutcomesnamely ProductivityProfitabilityEmployeeretentionCustomersatisfactionGallupranaMeta analysisofdatausing2 500businessunits performancedataand105 000employees opinionsurveys The12questions CHAPTER1 THEMEASURINGSTICKPuttingtheTwelvetotheTest TheMeta analysiswasdesignedtocutthroughthevariousindustries performancemeasures aseveryindustryhasitsownstandards andallowsustozeroinonthereallinksbetweenemployeeopinionandbusinessunitperformance Herearetheresults Employeeswhorespondedpositivelytothe12questionsworkedinbusinessunitswithhigherlevelsofproductivity profit employeeretention andcustomersatisfaction Itistheemployees immediatemanager notthepay benefits perks orcharismaticcorporateleader whoplaysthecriticalroleinbuildingastrongworkplace Tenofthe12questionsshowedadirectlinktoproductivity while8ofthe12linkedtoprofitability Asingleemployeeaffectsprofit fromturningoffmorelights tonegotiatingharderonprice CHAPTER1 THEMEASURINGSTICKPuttingtheTwelvetotheTest Peopleleavemanagers notcompanies Thismeansifyourrelationshipwithyourimmediatemanagerisfractured noamountofcompany sponsoreddogwalkingordaycarewillpersuadeyoutostayandperform Ofthe12 themostpowerfulquestionswiththestrongestlinkstothemostbusinessoutcomeswere DoIknowwhatisexpectedofmeatwork DoIhavethematerialsandequipmentIneedtodomyworkright DoIhavetheopportunitytodowhatIdobesteveryday Inthelast7days haveIreceivedrecognitionorpraiseforgoodwork Doesmysupervisororsomeoneatwork seemtocareaboutmeasaperson Istheresomeoneatworkwhoencouragesmydevelopment CHAPTER1 THEMEASURINGSTICKPuttingtheTwelvetotheTest Abadmanagercanscareawaytalentedemployees drainingthegiantcompanyofitspowerandvalue Thetopexecutivesareoftenunawareofwhatishappeningdownatthefrontlines Anindividualachievermaynotnecessarilybegoodasamanager companiesshouldtakecarenottoover promote Companiesshouldholdmanagersaccountableforwhatemployeessaytothese12questions Leteachmanagerknowwhatactionstotaketodeservepositiveresponsesfromhisemployees CHAPTER1 THEMEASURINGSTICKManagerstrumpcompanies Whatdothesediscoveriesmeanforoneparticularcompany In1997Gallupwasrequestedbyanextremelysuccessfulretailertomeasurethestrengthoftheirworkenvironments Thenumbers 37 000people 300storesacrosstheUS with28 000employeeswillingtoparticipateinthesurvey Employeeswereaskedtorespondtothe12questionsusingascaleof1 5 1beingStronglyDisagree and5beingStronglyAgree TwostoresAandBwerecomparedintermsofstrength StoreAhadasignificantlyhigherpercentagewith 5 responsesfromemployeesthanStoreB CHAPTER1 THEMEASURINGSTICKACaseinPoint Theresearchfindings Evenanemployee sperceptionofthephysicalenvironmentiscoloredbyhisrelationshipwithhismanager Bothstoreshaveexactlythesamematerialsandequipment yettheresponsestoquestion DoIhavethematerialsandequipmentIneedtodomyworkright weredifferent StoreAhadahigherpercentageofemployeeswhorespondedwitha5thanthatofStoreB Thecompanycouldfindoutwhattheirbetterstoremanagersweredoingrightandbuildcompanyculturearoundthisblueprint Recommendationswere Hiremoremanagersliketheirbest Taketheideasoftheirbestandmultiplythemacrossthecompany Redesigntrainingprogramsbasedonthepracticesoftheirbestmanagers Learnfromtheirownbestmanagersandnotlooktoothercompanyformulas CHAPTER1 THEMEASURINGSTICKACaseinPoint Storesthatrankedinthetop25 ontheemployeeopinionsurveywere4 56 overtheirsalestargetfortheyear Storesinthebottom25 were0 84 belowtheirsalestarget Adifferenceof 104millioninsalesperyearora2 6 increaseinthetotalsalesofthecompany Profitsofthetop25 storesontheemployeeopinionsurveywere14 overtheirtarget Thebottom25 groupontheemployeeopinionsurveyfell30 belowtheirprofitgoals Employeeretentioninthetop25 groupwas12moreperyearonaveragethanthebottom25 group That s1 000moreemployeesretainedperyear Justthinkofthecostsofhiringandtrainingnewemployeeseveryyear Thedrainofemployeeswithvaluablerelationshipswithcustomersandcolleaguesisanothergreatandimmeasurablelosstothecompany CHAPTER1 THEMEASURINGSTICKACaseinPoint Whyisthereanordertothetwelvequestions Howdoesamanagerhelpmoreindividualsreachthesummit It sapsychologicalmountain butyouhavetoclimbitinstages justlikearealmountain BaseCamp WhatdoIget Employee sbasicneedshavetobeidentifiedandmet Iwanttoknowwhatisexpectedofme HowmuchwillIearn Howlongisthecommute WillIhavemyownoffice phone etc Ofthetwelvequestions thesearethemainfocusofthemanager Whatisexpectedofme DoIhavethematerialsandequipmentIneedtodomyworkright CHAPTER1 THEMEASURINGSTICKMountainClimbing CampOne WhatdoIgive Thisstagefocusesontheemployee sself esteemandself worth Thequestionsthatpertaintothisstageare Atwork doIhavetheopportunitytodowhatIdobesteveryday Inthelast7days haveIreceivedrecognitionorpraiseforgoodwork Doesmysupervisororsomeoneatworkcareaboutmeasaperson Istheresomeoneatworkwhoencouragesmydevelopment CampTwo DoIbelonghere Domyopinionscount Doesthemission purposeofmycompanymakemefeelmyjobisimportant Aremyco workerscommittedtodoingqualitywork DoIhaveabestfriendatwork CHAPTER1 THEMEASURINGSTICKMountainClimbing CampThree Howcanweallgrow Inthelast6months hassomeonetalkedtomeaboutmyprogress Thislastyear haveIhadtheopportunityatworktolearnandgrow TheSummit Ifanemployeeanswerspositivetoall12questions hehasreachedthesummit Thelongerhislower levelneedsaren tmet itismorelikelyhewillburnout becomeunproductiveandleave Justlikemountainoraltitudesickness heneedstogodowntothelowercampsandspendmoretimeacclimatizing Themoretimehespendsatthelowercamps themorestaminahewillhaveforthethinairnearthesummit CHAPTER1 THEMEASURINGSTICKMountainClimbing AnEpidemicofMountainSicknessCausedbyhigher levelcompanymissionstatements diversity trainings andotherhigh levelmanagementideasthatdonotansweranemployee sbasicneeds Managersfocusedwaytoohigh Greatmanagersfocusongettingpositiveresponsestothefirst6questions CHAPTER1 THEMEASURINGSTICKMountainClimbing WordsfromtheWiseWhomdidGallupinterview Eightythousandmanagers fromhotelsupervisors tosalesmanagers generalagents senioraccountexecutives manufacturingteamleaders professionalsportscoaches pubmanagers publicschoolsuperintendents majors colonels andevendeacons priestsandpastors Greatmanagerssharelessincommonthanyoumightthink Theyareasdifferentinmanagementstylesastheydifferingender race age religion andotheraspects CHAPTER2 THEWISDOMOFTHEGREATMANAGERS WhatGreatManagersKnowWhatistherevolutionaryinsightsharedbyallgreatmanagers TheGreatManagerMantraisthis Peopledon tchangethatmuch Don twastetimetryingtoputinwhatwasleftout Trytodrawoutwhatwasleftin Thatishardenough Thisexplainswhygreatmanagersdon tbelieveeveryonehasunlimitedpotential Theydon ttrytofixweaknesses It swhytheyplayfavoritesandwhytheybreakalltherulesofconventionalwisdom WhatGreatManagersDoWhatarethebasicrolesofagreatmanager AsCatalyst themanagerspeedsupthereactionbetweenemployee stalentsandthecompany sgoals andbetweenemployee stalentsandthecustomer sneeds Questions1to6ofthe12providethedetailfortheCatalystrole CHAPTER2 THEWISDOMOFTHEGREATMANAGERS Towarrantpositiveresponsesfromhisemployees amanagermust Selectaperson Setexpectations Motivatetheperson Developtheperson Selectaperson Knowthedifferencesbetweentalent skill andknowledge Knowwhatcanbetaughtandwhatcanbehiredin Setaccurateperformanceexpectations Investtimetomotivate itreallymattershowyouspenditandonwhomyouspendit Useyourabilitytodeveloppeople Thereisnosubstituteforone to oneinteractionbetweenemployeeandmanager CHAPTER2 THEWISDOMOFTHEGREATMANAGERS Self directingteamswithnomanagersonlycreateroleconfusion Managersarenotjustleaders in waiting Greatmanagerslookinward Theylookinsidethecompany atindividual sgoals needs andmotivations Greatleaderslookoutward Theyarevisionaries Theylookatthecompetition thefuture andalternatives Thereisaworldofdifferencebetweenthetwo andonlyafewpeoplecanwearbothhats KeepitSimple Eachmanagershouldemployhisownstyle andjustfocusonbeingacatalyst KeepitSimple Eachmanagershouldemployhisownstyle andjustfocusonbeingacatalyst CHAPTER2 THEWISDOMOFTHEGREATMANAGERS Howdogreatmanagersplaytheseroles CHAPTER2 THEWISDOMOFTHEGREATMANAGERSTheFourKeys Whydoeseveryrole performedatexcellence requiretalent Greatmanagersdefinetalentas arecurringpatternofthought feeling orbehaviorthatcanbeproductivelyapplied orbehavioronefindsoneselfdoingoften Thekeytoexcellentperformanceismatchingtherighttalentwiththeroletobeplayed EXCELLENCEISIMPOSSIBLETOACHIEVEWITHOUTNATURALTALENT CHAPTER3 THEFIRSTKEY SelectfortheTalentTalent HowGreatManagersDefineIt Youcannotteachtalent Howtheemployeebuildsrelationships howshethinks whatdriveshim ismoreimportant Talentisthedrivingforcebehindanindividual sjobperformance Caseinpoint TheMercurySpaceProgram GeneralDonFlickingerselected7mentobepartofNASA sspaceprogram tosetthefoundationforallmissionstothemoon Themenallhadthesamequalifications training evenphysiques Thesuccessofthemissionscorrespondstoeachindividual sowntalent Eachperson smentalfilterisdifferent Howtheyhandlethesamesituationwillbedifferent Greatmanagersrespectthat CHAPTER3 THEFIRSTKEY SelectfortheTalentTheRightStuff Howmuchofapersoncanthemanagerchange Neurosciencetellsusthatbythetimeapersonisinhermid teens thereisalimittohowmuchofhercharactercanbechanged Neuroscienceconfirmswhatgreatmanagersknowinstinctively Everyindividualisunique andpeopledon tchangethatmuch CHAPTER3 THEFIRSTKEY SelectfortheTalentTheDecadeoftheBrain Whatisthedifferenceamongthethree Helpemployeesdiscovertheirhiddentalents Teachyouremployeesnewskillsandknowledge Understandthedifferencebetweenwhatcanbetaught factualknowledge whatisbetterlearnedthroughexperience experientialknowledge ThreeKindsofTalentFromthecompetition drivenNFLplayertothealtruistic caringnurse everybodyhasdifferent unique andspecialtalents StrivingtalentsExplainwhysomeonedoeswhathedoeseverydayThinkingtalentsExplainshowhedecides linearthinker orstrategicmindgameplayer CHAPTER3 THEFIRSTKEY SelectfortheTalentSkills Knowledge andTalents RelatingtalentsExplainswhohebuildsrelationshipswith whomheconfrontsorignores trustsWithouttalent noamountofnewskillsorknowledgecanhelpanemployeeinunanticipatedsituations Simplelanguage smartthinking Competencies Behaviorsexpectedfrommanagersandleaderswhicharepartskill partknowledgeandparttalent Habits Theyarenotsecondnature theyareourfirstnature Attitudes Identifywhattypeofattitudethispersonhas optimisticorcynical experimentalorconservative etc CHAPTER3 THEFIRSTKEY SelectfortheTalentSkills Knowledge andTalents Thenplacethatpersoninarolebestsuitedtoher Drive Fromtheneedtobeonstage totheneedtobeofservice totheloveofabalancedequation eachperson sdriveisuniqueandenduring Amanagercanneverbreathemotivationallifeintosomeoneelse Allshecandoisidentifywhatdrivestheemployeeandthencultivatehistalentbasedonwherehegetshisdrive CHAPTER3 THEFIRSTKEY SelectfortheTalentSkills Knowledge andTalents Whichmythscanwenowdispel Mythno 1 Talentsarerareandspecial ThebestnursesstudiedbyGalluphadanedgeoveraveragenursesbecauseoftheirrelatingtalent empathy Riskisastrivingtalentwhichthebestsurgeonspossess Asamanager yourjobistocasttherightpeopleintherightrolebasedontheirtalents Mythno 2 Somerolesaresoeasy theydon trequiretalent Atruthceasestobeatruthassoonastwopeopleperceiveit OscarWildeThismeanstheonlytruthisyourown Greatmanagersknowsomepeoplederivesatisfactionfromperformingcertainrolesthatothermanagersmaydeemas entry level or lowerlevel CHAPTER3 THEFIRSTKEY SelectfortheTalentTheWorldAccordingtoTalent Gallupinterviewedahotel sbesthousekeepers allfromdifferentraces ages andbothgenders Theonetalenttheysharedwastheabilitytolookatahotelroomthroughtheirguest seyes Inthemindsofgreatmanagers everyroleperformedatexcellencedeservesrespect Everyrolehasitsownnobility CHAPTER3 THEFIRSTKEY SelectfortheTalentTheWorldAccordingtoTalent Whyaregreatmanagerssogoodatselectingfortalent Manypeopledon tknowtheirtruetalents Jobapplicantsareouttoimpress sotheycloudyourviewofwhattheiractualtalentsare Knowwhatyouarelookingfor Don tputtheindependent mindedbrokerinaregimented structuredcompanyrole Thebrokerwhoprefersfrequentsupervisionmaybeabettermatch Seewhowillmeshwithyourstyle Doyouwantthosewhoarestrongeronthinkingtalentthanstrivingtalent Doyouneedsomeonewithstrongrelatingtalentstobringupthesensitiveissueswithintheteam CHAPTER3 THEFIRSTKEY SelectfortheTalentTalent HowGreatManagersFindit Identifyonecriticaltalentandfocusonitduringyourinterview Nomatterhowalluringthecandidate sresumemayseem Studyyourbest Don tinvestigatefailures Lookatyoursuccessesandseehowthatworkedout Bystudyingtheirbest greatmanagersareabletooverturnmisconceptions Asamanageryoushouldexcelintheartoftheinterview Importanceoftalent Nocoachcanwinconsistentlywithouttalent JohnWooden UCLABruinscoach CHAPTER3 THEFIRSTKEY SelectfortheTalentTalent HowGreatManagersFindit Whyisitsohardtomanagepeoplewell Asamanageryouhavelesscontrolthanthepeoplewhoreporttoyou Youneedtomotivate influence berate orcajole butthatisremotecontrolmanagement notbeingincontrol Greatmanagersknowthereisalimittohowmucheachemployee sdifferentstyle needs andmotivationcanbegrounddown Thesolution Definetherightoutcomesandleteachpersonfindhisownroutetowardsthoseoutcomes Standardizingtheendpreventsthemanagerfromstandardizingthemeans Themostefficientwaytoturnsomeone stalentintoperformanceistohelphimfindhisownpathofleastresistancetowardthedesiredoutcome CHAPTER4 THESECONDKEY DefinetheRightOutcomesManagingbyRemoteControl Thesolutionencouragesemployeestotakeresponsibilityandmakethemfeelthethrillofpressure ThisexcitesthetalentedemployeesandscaresawaytheRoadwarriors Itencourageslearning Thesolutionnurturesself relianceandself awarenessinyourpeople CHAPTER4 THESECONDKEY DefinetheRightOutcomesManagingbyRemoteControl Whydosomanymanagerstrytocontroltheirpeople Temptation Perfectpeople Anyattempttoimp