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Management is Prose; Leadership is Poetry (video)

ignite

Scott Smith: Management is Prose; Leadership is Poetry

The Willamette Innovators Network hosted Ignite Corvallis in the Fall of 2013 as a part of the Willamette Innovator’s Night. You can find videos from this and past Ignite Corvallis events on the website: http://ignitecorvallis.com/

“Ignite” talks are strictly timed with a fixed number of slides which advance automatically. There is no room for extraneous material – get to the point. The motto at Ignite Talks (http://igniteshow.com/), “enlighten us, but make it quick.”

I was honored to be selected to present one of the Ignite Talks that evening. My topic was a follow-up to an earlier blog post I made comparing Management and Leadership with Prose and Poetry. In this talk I offer practical steps anyone can apply to manage process and lead people. As a Manager your job is to: Plan – Organize – Lead – Control; as a Leader you must: Communicate Vision – Build Trust – Inspire Greatness – Move to Action.

I ask you to watch the video – 5 minutes – allow me to be quick with my enlightenment: http://youtu.be/SeYptB-tnow.

The Willamette Innovator’s Night is an event where we see new businesses, and are we are inspired with innovative solutions to real problems. The showcase is not inspiring because of technology, tools, or even a creative business model – it is the people. I encourage you to attend one of the event sponsored by WiN and be inspired.

To learn more about WiN, cruise over to http://www.willametteinnovators.com/

The Tradeoff: Scope | Schedule | Resources

Choose wisely; it is written in stone.

Choose wisely – it is carved in stone.

Project management fundamentals are helpful to decision processes. They are equally helpful for projects and in developing business strategies. Priorities and expectations must be aligned intentionally.

Starting a project includes a verbalization and agreement on the priorities and the tradeoffs. Project management gives us a tool which clearly states the highest priority and what will have to be sacrificed to fulfill the goal. There are three components; one will be the highest priority (least flexible), and the other two will be, by definition, more elastic.

We can define the terms and look at simple example to understand these three aspects. We also want to be clear that a project has a beginning and an end, otherwise it is not a project. Scope is the components of a project and can be identified as quality, features, or scale. Schedule is time allocated or can be thought of as the “deadline”. Resources are the funds, person hours, and other material goods committed to the project.

Some simple examples of the tradeoffs: I have a pastor friend planning the Easter service – clearly Schedule is the least flexible; the Scope and Resources have to be flexible. President Kennedy started the moon project by clearly stating the Scope was to land a man on the moon AND return him safely; Resources were not going to be the constraint; he also mentioned Schedule (by the end of the decade) as moderately flexible. Finally, my son wants another game for his X-Box: he has $15 (Resource is limited); he will have to sacrifice Scope (used vs. new) or Schedule (wait until the game he wants is in his price range).

The graphic attached to this post shows the 3×3 matrix you can use to indicate which of the three competing goals is Least Flexible, Moderately Flexible, or Most Flexible; only one can be selected for each priority.  This is true for projects or for your business, you must decide if you will be the low cost provider, provide the fastest service, or offer premium quality – you cannot be all three.

Scope – Schedule – Resources: be deliberate in your choice. If you voice expectations at the beginning of the project, you can be satisfied when the project concludes.

The RACI Model in Project Management

There can be only one Accountable person.

There can be only one Accountable person.

It is important in any project to articulate roles. Lean project management provides a simple tool to determine how team members will contribute to aspects of any project. The RACI tool provides interaction guidance.

The RACI acronym stands for: R-esponsible; A-ccountable; C-onsulted; and, I-nformed.

The Responsible members are those performing a task; there can be multiple members involved.

The Accountable member (and there should only be one Accountable person) is the one person who can explain why a task has been completed, or not.

Those that are Consulted provide input but do not perform the task. We seek their opinion and do what is best for the overall project.

The other members of the project will be Informed about tasks and projects. They do not provide advice or perform the tasks. We simply keep them posted on progress.

In some formal projects there are RACI Tables identifying the stakeholders by their RACI role. These designations and tables are helpful for all team members. In every organization we need to trust each other; trust that I will fulfill my obligations and each team member will do the same. Missing trust will become evident when members are getting involved in aspects which are not in their purview; this often leads to that member’s duties being neglected.

In every project, keeping track of tasks (what, who, and by when) is important. In leading teams, we need to build trust between members. Tools like RACI help promote an environment of trust.

Resource link: http://racichart.org/the-raci-model/

Change: The Valley of Despair

May 16, 2013 1 comment
Choose to Enter the Valley
Choose to Enter the Valley

Valley of Despair

Not everyone seeks out and embraces change. Our desired end-state is an overall increase in our Knowledge+Enthusiasm. Over time our Knowledge increases however our Enthusiasm can wane.

When we choose to engage in new projects, we set off a Chain Reaction of Change. There are a series of steps that occur; be prepared for steps 3 and 4.

  1. Here I am at the beginning. Very knowledgeable about my current world, but it is a bit dry; I am ready for something new.
  2. A new project begins (or a new job, city, ect.). Enthusiasm soars!
  3. Then something happens and I do not know the answer. My Knowledge about the new world is a bit light, so Enthusiasm drops.
  4. I start to wonder why I started this new adventure – I was so comfortable. Here I am in the Valley of Despair. (This stinks.)
  5. Then comes the first big win. I know the answer! My confidence is back and my Enthusiasm grows.
  6. A new high of Knowledge+Enthusiasm.

Sure glad I chose to start this project!

The Valley of Despair is out there…I hope to enter into it because I choose to not remain static. I also plan on reaching new levels of Knowledge+Enthusiasm.

Join me.

Creating Habitat

What are you trying to attract? Whether a target customer or high performing employee, consider the Habitat. Any particular Habitat will attract certain inhabitants and be repulsive to others. Be intentional about the environment you build or be prepared to change the Habitat.

From College to University

I was talking with a leader at higher education institution in the process of making the change from college to university. The process is complicated and takes significant resources - time, money and focus.  The trustees decided the benefits of making the change warrants the investment.

The accreditation organizations for universities have defined requirements to earn the designation of “university”. Colleges need to have a diversity of programs leading to undergraduate and post baccalaureate degrees.  Other requirements include support for research and faculty with expertise recognized beyond the institution.

Habitat and Inhabitants

The university could hire faculty known for leading research in their respective fields or create an environment that attracts the desired faculty.  The anticipation with the first method assumes the faculty will thrive in the new Habitat. Simply hiring new faculty and not changing the environment will result in unhappy employees.

Habitat, over the long term, will determine the inhabitants.

We can look at two different recreational environments and the inhabitants they attract. The first is a playground. If we start in the local park and install swing sets, slides, and teeter-totters, we can expect to find a certain type of inhabitant: human mothers with their young children. Should we decide to build a concrete skate park in the same location, the attracted inhabitants would be quite different. The skate park would find the dominant inhabitant to be human males ranging in age from 12-25.

One location with similar usages but different environments will result in the attraction or repulsion of different facility users.

Culture is Organization’s Habitat

The most challenging item to change in your organization is culture. The culture may be attracting the desired customers and employees; or not.  Should you desire to change culture you will need patience and persistence. The process will take time – it could be years; and, the process of change will need constant attention. There will be pain as the Habitat is changed. The current inhabitants will either: 1. Find the new environment a welcome change; 2. Discover they liked the former Habitat and do not care for the change; or 3. Adapt to the change.

The university mentioned earlier will need to change the culture to be the Habitat which attracts the desired faculty and students.   The existing personnel and students will adapt, change or leave; Painful, but necessary.

Create a Habitat that Attracts

There are actions which can be taken following the three step Educate-Evaluate-Remediate model. Take time to understand the current environment and determine if it is the Habitat which is best for the organization. Make plans which support the aspects you want to maintain or a path to drive the necessary changes.

Recognize the Habitat will attract or repel specific inhabitants; make the changes you need and enjoy the benefits.

Balanced Scorecard

March 21, 2012 7 comments

Managing Your Business

You have a great market, thoughtfully created products and services. You are as busy as ever.

Is your business doing any good?

Business guidance can be challenging to any organization. You track the P&L each month, the numbers look good and it appears the business is operating to plan. Financial reports do not tell the entire story; there are aspects of guiding your business that go beyond those found in a spreadsheet.  There are tools available to define and measure the effectiveness of your organization to grow your business.

One tool to provide structured guidance for several key aspects of your business is the Balanced Scorecard. This tool uses the concept of “Metric-Target-Initiative” to each section of the Balanced Scorecard to track your business plan and progress. The four parts of the Balanced Scorecard are: 1. Customer; 2. Employee; 3. Operations; and, 4. Finance.

The goal with any measurement is to drive action and activity. Examining the Balanced Scorecard on a monthly basis keeps you focused on the important items and make appropriate course corrections. I encourage sharing the results with your staff and employees; it is the reward for the efforts put forward. The Balanced Scorecard also provides a concise, equitable tool have discussions which may be difficult – a discussion you may need to have with yourself.

Metric-Target-Initiative

Metric – the measure you use for items within each of the four sections. Keep the Metric simple to obtain; having a simple process will encourage the required discipline to maintain the Balanced Scorecard. The Metrics could be raw numbers, growth rates, ratios, or comparisons to industry standards.

Target – is the desired goal for each Metric to meet your objectives and plan. The Target could be a range or specified number. You could be looking to grow sales or manage expenses - every item in the Balanced Scorecard will have a Target. Each month compare the Metric with the Target.

Initiative – projects or programs in place which drive the business. The results of Initiatives are measured within a single segment of the Balanced Scorecard, but generally impact the whole organization. A sales training program may be measured under the Employee section and will also impact the Financial reports.

Customer

We know there is no business without the Customer, so here is where we start. In the early stages of the business or when a significant redifinition of the company is occuring this section may be defining the target market and how they can be reached. Measures for customer satisfaction, speed of service, cross-selling ratios, or other measures can be included for the monthly review.

Employee

I am intentional about placing the Employee section in the second position, just after Customer. Business reports often lead with the Financial results; comments about Employees appear as an after-thought. In this section, review training programs, staffing plans, or performance review statistics.

Operations

“The immediate pushes out the important.” The tasks of running a business can overwhelm the long-term view; setting aside time each month to review the Operations ensure actions and activities are driving the business toward the objectives. In this section review efficiency, process controls, quality, and other indicators of process.

Finance

The bottom line is still the bottom line. This is true of not-for-profit organizations as well. The key to understanding the profit and loss is defining which components require additional examination. Units sold and to which demographic, or which channels favor certain products are areas to include when measuring the Financial results.

Discipline

There are no short-cuts, success takes work. I am a big believer in Incremental Improvement – the first pass at creating the Balanced Scorecard may not be elegant, but it is a start. Begin with at least one simple to measure item for each of the four Balanced Scorecard sections. Track the results each month, and the results will guide the definition of the future Metric-Target-Initiative.

Interested in developing a Balanced Scorecard for your business? There are many resources available. The Balanced Scorecard Institute can help: www.balancedscorecard.org. You can contact me if you are interested in personalized assistance.

Planning for the 22nd Century

March 6, 2012 4 comments

Vision

I have been impressed by the time vision of Maurice de Sully.  The Bishop of Paris saw the need for a replacement cathedral to house the growing population of his city.  In 1160 the original cathedral on the site was demolished, and three years later the cornerstone was placed. Twenty-five years after the start of the building program, the sanctuary of Notre Dame was dedicated (but not completed).

And the building continued:

In 1196 de Sully died, but the work continued .  The work on façades started in 1200 and were completed in 1225; the West Tower and Rose Window are completed 25 years later; and by 1345 the cathedral is complete. It was six generations after de Sully launched his vision before the iconic building was completed; and now, 852 years later, Notre Dame is still relevant.

Where does our vision end?

I ask myself if I am willing to take on a project that may not benefit me, my children, or even my grandchildren. Every person has a personal time horizon which impacts decision making. This time horizon is reflected in how much we are willing to give up today for a potential future benefit.

Leaders reach out and grab hold of the future and make it real today, communicating it to us in such a way to allow us to know our actions today can bring the about the envisioned future.  The understanding that we can have an impact on the future motivates us to action, even though we may not personally be a part of that future.

Our measures:

I am preparing for the 22nd Century (88 years from now). There are many notable items that started eighty-eight years ago in 1924: IBM was founded; the first Macy’s Thanksgiving Day Parade was presented; the first Winter Olympics were held; and, Edwin Hubble announced the presence of other galaxies. An individual had a vision of the future, communicated that vision to others, and 88 years later the result of their choice and action still has an impact.

My choices may not result in a work of art or an impressive event or organization; however, I do impact the lives of people every day. Co-workers, peer, friends, and family – I make a difference.  I choose to make a positive impact, to leave a lasting legacy.

Integrity, loyalty, friendship, kindness, honesty, and love: although difficult, I want these to be my measure. I am fortunate to have leadership positions with several organizations, and I approach my work with these groups to emphasize long-term organizational development and structure. And more importantly, building of persons and impacting their lives.

My Commitment:

My projects may not take 185 years to complete; however I want to inspire others to continue beyond my involvement. The grandchildren of my children will be the Leaders of the next century; I choose to be intentional on my impact to define who they will become and how they will Lead.

Two Free Sessions

January 17, 2012 Leave a comment

Using Social Media to Promote Your Business

Time & Money – if we only had more of both! Your clients are moving fast and you need to be even faster to keep ahead of them. You need to create Awareness of your business, build knowledge of your products & services, facilitate a Preference for your company, and make Repeat Customers possible. There are many options for you to promote your business with little or no cost. In this free interactive conference call, we will look at a few specific actions you can take right now to reach your customers. The focus will be on how to link your social media to save time & increase impact. There are hundreds of social media sites, the big ones: Facebook, Twitter, LinkedIn, Google+, and Manta should be familiar to you. We will review strategies to increase awareness of your business, and take a look at a simple & free way to let the world know about your company. The conference call will allow for full dialog, allowing you to ask questions.

Cost: Free

Click to Enroll (via Earthfort Website)

You Define Your Business

It’s your party. You choose the location, catering, and guest list. It’s your business. You choose the products, services, and methods. We want your business to be successful. When we share information everyone learns and everyone wins. Earthfort works with many business owners in this world of soil biology.  Scott Smith has led businesses, consulted with others, and is ready to talk with you about your business.  In this open format conference call you decide the topics. Marketing, operations, staffing, planning, pricing strategies, capacity planning…you decide. The hour will pass quickly so let’s get started.

Cost: Free

Click to Enroll (via Earthfort Website)

You are Remarkable!

December 7, 2011 Leave a comment

You are Remarkable.

The year 2011 is winding down. It seems the change to a new year is the time we pause and reflect on the past year & anticipate the future. I want to take this moment to share my commitment for 2012.

My commitment for the New Year: Let you know you are Remarkable.

I have found, that when you have a skill – which may have taken years to acquire – it becomes a part of who you are.  In your mind it may no longer be Remarkable.  But to someone looking on, it is indeed Remarkable.

I have a friend that has owned his plumbing business for 30 years.  When he completes an installation, he does not step back and say, “Remarkable”. It is. If you have attempted any home plumbing projects you know exactly what I mean.

In this coming year, know you are Remarkable. What you have to offer is valuable. We can retain humility, knowing it has taken hard work and likely a few mistakes along the way to come to this point of knowledge. When you share what you know (even if you charge for sharing), you are providing significant value; the years of learning & experience prepare others to be successful sooner; you accelerate their learning.

Remarkable.

Have fun & do good every day.

Management is to Leadership as Prose is to __________?

This post also appeared as a guest blog at Leadership Done Right.

Management or Leadership? Both!

Are you a better Leader or Manager?  Is one better than the other?  You’ve heard, “manage processes, lead people” seems simple; yet defining a Manager is relatively simple, while defining a Leader is like putting words to emotion.  If Management is prose, Leadership is Poetry.  Much thought has been poured into the definitions; pounds of books have been written to define & develop Leaders.  We need practical applications of the concepts to make our businesses & organizations better.  Gleaning from the works of others we can compile practical & workable definitions.

The goal is to run solid organizations; Management & Leadership are tools to help us fulfill that goal.  It is a natural conclusion that we need to understand the tools and how we (personally) use them.  You might have strengths in one over the other; in that case you can develop your own ability to wield the tool, or if you have the resources - hire the skill.  Conducting a personal evaluation requires the specific skills of Managers & Leaders be defined.  The definitions provide a framework for us to gauge our relative abilities and determine where to find opportunities for improvement.

Management

Plenty of books and websites are available which provide definitions of Management.  Standard definitions of what it means to be a manager are clear & generally accepted. The four basic functions of Management: 1. Plan; 2. Lead; 3. Organize; and, 4. Control.

  • Plan: Deciding what will be accomplished and how to measure results;
  • Organize: Deploying resources to meet the plan;
  • Lead:  Implementing or executing to meet the plan, follow-up to ensure the goals will be met;
  • Control:  Monitoring progress of the actions, making adjustments to resource utilization, or the plan.

Leadership

The definition of Leadership is elusive; business books do not have the functions simply & clearly defined.   Many great minds have put thought into capturing qualities, traits, or actions of leaders; but not always practical. We need intentional Leadership.  Dictionary definitions become circular, using the term to define the concept, sounding something like: a Leader is a person who Leads; or, Leadership is defined by position: the Leader is the one in front.

These explanations leave us wanting more substance, something we can identify & develop in ourselves to be more effective.  We need clearly defined functions we can apply to our lives & businesses. Here are definitions which resonate with my experience:

Leadership is about articulating visions, embodying values, and creating the environment within which things can be accomplished. (Richards & Engle, 1986, Transforming Leadership)

Leadership is the lifting of a man’s vision to higher sights, the raising of a man’s performance to a higher standard, the building of a man’s personality beyond its normal limitations. (P.F. Drucker, 1955)

The capacity and will to rally people to a common purpose together with the character that inspires confidence and trust. (Field Marshall Montgomery)

Leadership Captured

The simple and practical functions of a Leader are: 1. Communicate Vision; 2. Inspire Greatness; 3. Build Trust; and, 4. Move to Action.

  • Communicate Vision: It is not necessary for the Leader to create the Vision.  This particular skill is the ability to reach out into the future, grab hold of the possibilities and bring them into the present; to let the team members understand their actions today make that imagined future possible by their work today;
  • Inspire Greatness: The Leader is going to push, like a coach pushing an athlete to ever greater achievements. You have the responsibility guide people to do more than they thought they were capable of accomplising;
  • Build Trust: The responsibility does not end when trust is built between the Leader and the team; rather, when the culture of the organization fosters trust between all team members;
  • Move to Action:  This is your report card as a Leader.  The final step is moving from a concept or idea to an action; if people are not Acting & Executing, you are simply an inspriring speaker.  As our friends in the Angel Investment world note, they do not invest in ideas – without successful implementation the idea is worthless.  Edison is often quoted on his formula for success, which is heavily weighted toward action (by 99 to 1 of Perspiration to Inspiration).

Intentional Leaderhip

Are you a better Leader or Manager? Large organizations have the ability to hire for a specific skill or need; small companies rely on the multi-dexterity of the senior team (which may be a team of one as a solopreneur). We also understand Leadership is not reserved for owners or executives – every person has a Leadership role at some point in their organizations.

Be intentional. You already create a process to manage your business, department, or other area of responsibility; you are intentional about Planning, Organizing, Leading, and Controlling. We can also be Intentional Leaders at any level. Everyone has the opportunity to lead; being intentional about Communicating Vision, Inspiring Greatness, Building Trust, and Moving People to Action will help you be an effective Leader.

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