SYSTEMIC PERFORMANCE EXCELLENCE -STEP 5
SYSTEMIC PERFORMANCE EXCELLENCE - DESIGN AND ALIGN Organisations are complex systems where many elements come together to enhance or inhibit performance. At Gallus we have developed an approach to creating systemic performance excellence; a performance environment that everybody can believe in. This is the sixth in a series of insights that examine the approach. The first of our series outlined the model; basic elements of the 7 STEPS TO PERFORMANCE EXCELLENCE and the 4 PERFORMANCE ENABLERS. In the second and third we looked at the critical factors required to CREATE A SENSE OF PURPOSE and CLARIFY THE BUSINESS MODEL. Our fourth insight examined how to OPTIMISE THE VALUE CHAIN and our fifth explored the elements required to DRIVE STRATEGIC FOCUS. Over the coming months we will consider each step in detail and explore the practical steps you can take to move towards SYSTEMIC PERFORMANCE EXCELLENCE in your organisation. This insight focuses on how critical it is to DESIGN AND ALIGN‌for both the final destination and the change programme....
A believe-able organisation.... Our approach is centred on creating a BELIEVE-ABLE ORGANISATION. In times of growth, change and challenge, belief is the fundamental factor that provides the resilience and tenacity to succeed. In good times, belief is what makes the difference – belief in the purpose, belief in the destination, belief in an approach, belief in the contribution that an individual feels they can make and belief in the ability to succeed. In more difficult times, it becomes even more important and is the glue that pulls teams together, aligns organisations and galvanises people to action. Our 7 STEPS TO PERFORMANCE EXCELLENCE are designed to take the organisation through a process of co-creation that drives belief, facilitates a thinking and planning process, enables everyone in the organisation to perform to the best of their abilities, and ultimately drives the organisation and everyone in it to be the outcome they are aiming to achieve.
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GALLUS CONSULTING Design business blueprints... Clarity of vision comes from planning, debate and structured challenge. Only through a structured thinking and ‘storming’ process can the route to performance excellence be agreed and aligned. Agreed PROGRAMME PLANS and MILESTONES are the foundations for a robust guidance system of METRICS THAT MATTER to guide the change. However, in advance of these blueprints being set, an in depth analysis of the organisational system (hard and soft) provides valuable information about the change levers at play across an organisation and where these may provide support to, or create barriers to, the future you are attempting to create. Ultimately, a sound understanding of LEVERS TO LEVERAGE will accelerate the change programme and mitigate against derailment risks. In previous insights we have emphasised the need for leaders in particular to be fully aligned behind a transformation. Achieving leadership alignment can be tricky, but is almost pointless if other powerful elements are not examined and aligned. Transformation is only BELIEVE-ABLE and achievable where the right STRUCTURE, CULTURE, CAPABILITIES and PROCESSES are put in place, and where decisions are enabled at the closest proximity to the value chain as possible, for speed and accuracy. Sustainable excellence is only achievable where organisations are structured and configured to OPTIMISE CRITICAL PROCESSES, BEST LEVERAGE CAPABILITIES and enable INNOVATION and EXPERIMENTATION. All of these elements must be configured for success and combined to create an environment where excellence is POSSIBLE, RECOGNISED when it happens, RESPECTED throughout the organisation, and WORTHWHILE to the individuals and teams who contribute to it!
Strategic fusion… In short, in addition to leadership alignment, there are SIX FUNDAMENTAL AREAS where change levers need to be fully understood, guidance metrics identified, and efforts aligned:. O 1 - ORGANISATION STRUCTURE Configure the organisation to give PRESTIGE, IMPORTANCE and POWER to the elements that will drive positive change and future success. Consider at what level DECISIONS are made and how to FACILITATE DIALOGUE and SHARING across DIFFICULT LINKS. Design FUNCTIONS, TEAMS and ROLES mindful of the changes you seek. Think hard about where to embed CHANGE AGENTS and don’t fall into the trap of superficial change with very little real shifts in power and/or focus. 2 - SYSTEMS & TECHNOLOGY Be mindful of the systems and technologies currently in place and be HONEST about the implications these may have. Asking people to change when the system they use every day drives counter-change behaviours is an uphill battle and one that you are unlikely to win. Where change is driven by technological advancements, be sure to consider the KNOWLEDGE, CAPABILITIES and, perhaps most importantly, DESIRES of those who will become its end users. Subtle changes to systems can result in massive, and sometimes unforeseen, changes to behaviour and culture or the entrenchment of a historic culture. 3 - STANDARDS & EXPECTATIONS What are the OUTCOMES that you seek from everyone across the organisation – how does their role impact the change you wish to see and what are the CHANGE LEVERS that may alter outcomes? What are your expectations regarding EFFICIENCY, EFFECTIVENESS and QUALITY, and how do you expect people to BEHAVE towards their work, their colleagues, their customers and broader stakeholders? 4 -PROCESSES & PROCEDURES Create a FRAMEWORK FOR FREEDOM by enabling CRITICAL PROCESSES and promoting procedures that DRIVE VALUE CREATION. Help people to understand their place in the bigger organisational system and how they may be expected to EVOLVE their contribution over time. Ensure that processes and procedures are focused and aligned to DRIVE REVENUE, CREATE THE FUTURE and PROTECT THE ORGANISATION’S ASSETS AND REPUTATION whilst allowing FREEDOM TO INNOVATE and make DYNAMIC DECISIONS. Help navigate the ambiguity of change by setting out the scope within which autonomy can prevail 5 -PERFORMANCE & REWARDS All too often transformation programmes are put in motion before the performance management framework and reward model has been examined and altered to align. Despite the prolific volume of motivational theories that argue against reward as a motivational factor, there is no escaping the fact that REWARD IS A POWERFUL CHANGE LEVER – IN OUR OPINION IT IS THE SECOND MOST INFLUENTIAL LEVER TO LEVERAGE. The reasons for this are complex; reward indicates a desired approach, direction and outcome which, over time and with repetition, creates a HABITUAL BEHAVIOURAL SYSTEM. In addition, performance management frameworks often contain subjective elements where managers have influence over performance ratings, calibrations and ultimately reward.
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SYSTEMIC PERFORMANCE EXCELLENCE -STEP 5
6 - MYTHS, LEGENDS, HEROES & ROLE MODELS The foundation pillars of CULTURE…we see these as THE MOST POWERFUL CHANGE LEVERS available to any organisation. People respond to stories and can identify with heroes and legends. Where behaviours at the top of an organisation do not support the direction of travel they present a major potential derailer. Where real and sustainable change is sought, real and sustained change must be OBSERVABLE and EVIDENCED from the very upper echelons of the organisation. New myths and legends must be CREATED, heroes who further the transformation must be APPLAUDED AND CELEBRATED, and those who do not role model the changes required must ALIGN OR RESIGN. Whilst this approach sounds rather authoritarian, it leaves plenty of room for dialogue, debate and challenge; what it doesn’t allow is outright sabotage and heckling from those who have a responsibility to lead…
Change agility.... The design of the change programme itself must also align with the focus, standards and behaviours expected of the future organisation. By identifying and exploring the potential impacts of LEVERS TO LEVERAGE a more cohesive, sustainable change can be achieved whilst keeping the organisation productive and mitigating risks to its reputation and value. The change process itself should present numerous opportunities for SCENARIO PLANNING, INNOVATION, EXPERIMENTATION and PROCESS LEARNING. Good practice change approaches demand that organisations clearly DEFINE THE PROBLEM, give VOICE to those across the organisation and ENGAGE them in the exploration phase, SCOPE SOLUTIONS clearly and explicitly, share and explain the RATIONALE FOR DECISIONS, and commit to a robust FEEDBACK LOOP to inform the transformation programme in terms of DIRECTION AND APPROACH. At Gallus, we develop and drive change agility throughout the transformation and help our clients to identify and communicate the ‘WHY’, CREATE CLARITY, CULTIVATE BELIEF and actually MAKE THE CHANGE. We bridge strategic and operational realms and make sure that as we facilitate your thinking we also ensure that the framework lands as you intended and has the impact you expected. Our simple change process navigates three major stages: 1. 2. 3.
Investigating reality and potential outcomes, distilling purpose, and driving clarity enable people to ‘ACCEPT’ the need for change. Creating something of tangible value, identifying who needs to do what differently, increasing capability, and influencing stakeholders to adopt new approaches allow the organisation to ‘ADAPT’. Creating an understanding of how to adopt changes pragmatically and innovatively, inspiring through leadership and rewarding momentum through identified ‘LEVERS TO LEVERAGE’, to ‘ACCELERATE’ the change.
adapt - Why - Investigate - Drive Clarity
accept
- Who / What / How - Influence - Drive Value
- Innovate - Inspire - Drive Momentum
accelerate
The process is simple but the path is not easy. Leadership teams that neglect to adequately consider levers to leverage and embark on the development of a linear programme plan with little analysis, thought, dialogue or challenge often fall foul of their own group think or lack the alignment to create true alignment across a complex organisational system.
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GALLUS CONSULTING Enabling future value… 4 PERFORMANCE ENABLERS work together to help identify LEVERS TO LEVERAGE and to DESIGN AND ALIGN plans to create a SYSTEMIC HIGH PERFORMANCE ENVIRONMENT…. ENTERPRISE MINDSET ensures that actions are taken and choices are made with the broader organisational impact in mind. GAME-CHANGING LEADERSHIP models the way in terms of commitment, consistency, capability, collaboration, courage and alignment; drives future value and protects against value erosion and brand collapse. Identification of LEVERS TO LEVERAGE and METRICS THAT MATTER form the basis of experimentation, innovation and a robust guidance system that can propel value creation beyond expectations.
ENTERPRISE MINDSET
GAME-CHANGING LEADERSHIP
• Create an integrated,
• Define Game-changing
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cohesive and collaborative organisation that considers every situation with the bigger picture in mind. Enterprise Mindset ensures that architecture, systems, processes and leaders consider the ambitions, needs and capabilities of the entire organisation and constantly maximise the synergies available to accelerate the achievement of results.
•
leadership in the context of the organisation and ensure that leaders are Committed, Capable, Aligned, Consistent and Courageous. The capability of existing leaders, coupled with the ability to identify, attract, retain and develop the leaders that are needed for the future is vital.
METRICS THAT MATTER
LEVERS TO LEVERAGE • Identify, optimise and
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leverage the most effective levers for performance excellence across the system every time. By pinpointing the levers for change in an organisation, efforts can be aligned and amplified more effectively. Identifying and aligning the most impactful levers towards the desired outcome creates a clarity of focus and minimises distractions and counter productive messages.
• Targeted metrics and
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analytics that focus on the things that make the difference. Create a performance guidance system that enables dynamic decisions and provides the rigour for strategic loops.
To design a successful transformation programme and to align the organisation’s systems, processes, culture and, most importantly, people behind it demands a willingness to understand the organisation truly and deeply – to accept a BIG DOSE OF REALITY. Done well, it creates FUSION and releases levels of energy, commitment and resilience that may not have seemed possible. Teamed with a CLEAR BUSINESS MODEL (step one), a SHARED SENSE OF PURPOSE (step two), a VALUE CHAIN FOCUS (step three), genuine STRATEGIC FOCUS (step four), the process undertaken to DESIGN AND ALIGN can work miracles on the journey towards SYSTEMIC PERFORMANCE EXCELLENCE!
Gallus was launched to put the belief back into business – belief is core to everything we do! Since 2008 Gallus have partnered with ambitious organisations and leaders across the world to make strategy reality, and to build high performance environments that everybody can believe in. With a strong track record in creating fast growth or dynamic change in complex, regulated and emerging sectors; Gallus focus on four pillars of belief - strategic alignment, leadership capability, change agility and customer experience - to drive clarity, create momentum, accelerate growth and generate sustainable value. We’re ambitious for our clients and believe in their futures… Find out more about how Gallus can create value for you - start your journey towards clear, valuable momentum here www.gallusconsulting.com
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