Archive for category Leadership

The Dog-and-Pony Show

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It was presented as a chance for me to shine.  Face time with one of the big boys.  All good news to report.  A piece of cake.  The usual dog-and-pony show.  Just talk to the slides, and you’ll do just fine.

And I would have done just fine, if only we were all on the same page.

With one of my program managers out on travel, I was pressed into service.  I had to present the status of one of his large contracts to our director’s boss, the Super Director (in the old days he would have been considered a VP).  I’m no stranger to giving presentations, and jumped at the chance to show off in front of one of the bigwigs.  If I did a good enough job, maybe it would lead to something.  It lead to something that I didn’t expect.

The time to present was upon me.  I stood in front of the familiar conference room, and began my old soft-shoe:

“The contract is fully funded.  We’ve achieved on-time deliveries for the past 6 months.  We have some opportunities for support labor savings, yada yada yada, and there’s a new representative for the customer.  Any questions?”

I was asking only the Super Director; everyone else in the room knew that you don’t ask any tough questions at a dog-and-pony show.  That’s the point of a dog-and-pony show; it’s to show our upper management how great a job we’re doing (You need extra-long arms to be able to pat yourself on the back like that).  Apparently, not everyone had read the rules.  Vito has surprised me with his lack of decorum in the past.  And he stayed true to form, with his own, unexpected question:

“What about the negative customer satisfaction rating that we received from the new representative last quarter?  Has our relationship with the customer been damaged to hinder our ability to work together in the future?”

It was like somebody dragged the needle across an old vinyl record.  The silence was deafening.  I tried to speak, but it came out like Ralph Kramden, “Hommina hommina hommina”.  I went from the old soft-shoe to a frenzied tap dance.  I might have even broke into the Robot.  DAMAGE CONTROL!  I made up some bullshit, which smoothed things over, and thought of how I was going to crush Vito’s windpipe after the meeting.

After the meeting, our Director called us into his office for a quick brow-beating.  “What the hell was that?  You guys better have your stories straight before you go into a meeting with my boss.  I don’t want to see that bullshit happening ever again!”  He was right.  Knowing his history as a loose cannon, I should have briefed Vito on what questions he was allowed to ask.  We not only made ourselves look bad, but also the Director, in front of his boss, no less.

So the next time someone tells you it’s a sure thing, make sure you go back and cover all of your bases first.  No need for a loose cannon to ruin your big moment.

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Enemies

No Enemy Sub
Photo by Caveman 92223 � On the 2010 US Tour

I was watching the movie Valkyrie the other day on HBO.  If you haven’t seen it, it a Hollywoodized version of a plot to kill Hitler by his own officers.  I was struck by the scene in which Tom Cruise’s character arrives at a conference at Hitler’s private retreat.  Because he’s a war hero who has been maimed, he appears above reproach, and his briefcase is not searched for anything deadly.  The same briefcase that contains the bomb meant for Hitler.

The irony of this is that the surrounding area of the camp was heavily guarded.  You see German soldiers in trenches, staring out at the woods, waiting for an enemy that would slip by them, wearing their own uniform no less.  One bored soul kills a mosquito with the lit end of his cigarette.  The soldiers were expecting an enemy dressed in the uniform of the Red Army, not the German Army.  They were lulled into a false sense of security.

Why this scene struck me has to do with recent events at work.  A recent addition to our team, Alibi Ike, has a big target painted on him.  Unfortunately, it’s been painted by his own people.  He’s being undermined, and has no idea that it’s his own subordinates who want to take him down.  You can feel the desperation as he tries to maintain control of his department, circling the wagons, so to speak, against an unknown enemy.  If only he knew.

Much like Hitler, he wasn’t expecting his enemies to be from his own camp.  Tensions in his department have been rising steadily, and I expect some form of mutiny in the near future.  I haven’t been asked by either side to intervene, so I’m keeping my nose out of it.  It is great theater, though, watching a conspiracy take shape.  When the coup does occur, the method of assassination won’t be a bomb in a briefcase.  It will be something subtler, like a screwed-up high-profile assignment.  A career-ender.

So that sage advice from Sun-tzu, “Keep your friends close, and your enemies closer”, should come with a caveat: Know who your enemy is first; he may not be the usual suspect.  Then you can take precautions against the figurative bomb in the briefcase.

I’ll keep you posted about the fate of Alibi Ike.

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Memories of Corruption

You buys your ticket
Photo by Hryck.

Just like A Law & Order episode comes a story “ripped form the day’s headlines.”  Power brokers conspire with members of an organization in order to make illicit profits.  The conspirators succeed, but also get caught red-handed by a probe.  Reputations are ruined, money is lost by the organization.  If you think I’m talking about the Kansas Ticket Scalping scandal, you’re only partly correct.

The recent ticket scalping scandal at the University of Kansas brought back memories of the first company that I worked for. Our company’s CEO was caught defrauding the government by working in cahoots with a supplier. The supplier received no-bid contracts and preferential treatment, with taxpayers footing the bill. This caused the credibility of my company to suffer, and caused the ruination of many careers at both companies.

The Kansas scandal involves the Pump brothers, who are major power brokers in the college basketball world.  They orchestrated a ticket scalping operation that netted two Kansas officials more than $800,000.  Losses to the school are estimated to range close to $3 million.  The pair sold thousands of tickets to the NCAA basketball tournament, a clear violation of the rules against selling more than 8 tickets at a time.  Another four people will possibly face civil charges.

At my old company, our CEO accepted more than half a million dollars in personal loans from a defense industry power broker.  In return, the power broker’s company received contracts from my company, an old “wink-wink-nudge-nudge” kind of deal.  These sweetheart deals may have cost taxpayers millions of extra dollars, because they didn’t go through the DoD’s formal procurement process.

Are these rich guys not making enough money?  Why are they stupid enough to risk all that they have for illegal profits?  These were not calculated risks; with so many people involved, someone was bound to screw up.  At Kansas, it was the official who was facing sentencing on an unrelated bribery charge.  At my old company, the Operation Ill Wind investigation brought the illegal activities to light.  Karma can be a bitch.

What’s even more ironic is the fact that our CEO had made us watch a refresher on the company’s Code of Ethics each year.  There he was, schooling us on the importance of time charging and the acceptance of gifts from our suppliers.  He was wary of the behavior of the peons in the organization.  He obviously didn’t practice what he preached, as the corruption occurred at the highest level in the company: his office.

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Alibi Ike

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Alibi Ike was a character in a series of short stories written by Ring Lardner.  They centered around a baseball player who was prone to making excuses for his shortcomings.

Several excuses are always less convincing than one. - Aldous Huxley

In the midst of the recent layoffs and reorganization at my place of business, my group inherited a company lifer from another area.  While he has a finance background, and seems to be a decent guy, I think he’s going to have trouble lasting through the next layoff.  The reason: he likes to make excuses.  He’s our very own Alibi Ike.

Hold yourself responsible for a higher standard than anyone else expects of you. Never excuse yourself.  - Henry Ward Beecher

Well, they sound innocent enough:

“I just took over this project, so you’ll have to bear with me.”

“We used to have a larger staff, but I’ve lost 40% of my people.”

“I thought so-and-so was handling that one.”

“Everyone’s morale is down due to the layoffs.”

“I wanted to stay late to help, but I had a doctor’s appointment last night.”

“I know it’s crunch time, but I had this vacation planned long before I was transferred into this department.”

On their own, they don’t sound like a big deal.  But I sit within earshot of Ike, and I see a pattern developing.  A pattern that makes me think that Ike’s a little full of shit.

Excuses are the nails used to build a house of failure. - Don Wilder and Bill Rechin

If Ike only knew what our boss valued most: accountability.  I once worked for a controller who was, err, let’s just say he was exacting.  He looked like John Locke from Lost.  When our computer system crashed the night before his flash numbers were due, he would accept no excuse for missing the deadline.  “We have four hours.  Get your ass and a calculator over to shipping and get me my sales numbers!” True, he was a prick, but he did get his flash numbers in on time.

Success is a tale of obstacles overcome, and for every obstacle overcome, an excuse not used.  - Robert Brault

The controller taught me a lesson that day: any obstacle can be overcome if you perservere.  So when you’re hit with a challenge, stop whining about how hard it is.  Challenges are difficult in their design; that’s why they’re called challenges.  Suck it up and find a way around it.  Don’t let yourself off easy with an excuse.

The person who really wants to do something finds a way; the other person finds an excuse. ~Author Unknown

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Reshuffling at the Office

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Change it had to come

We knew it all along

-from The Who song “Won’t Get Fooled Again”

We had another reorganization at my company.  That’s the second in about six months, for those keeping score at home.  Divisions were consolidated, all in the name of enabling future growth.  I’m a skeptic and a realist (and maybe a little paranoid), so I expected some announcement about cost-cutting.

But the world looks just the same

And history ain’t changed

Well, we didn’t have to wait long.  Two days later brought an official release from our VP, who broke the bad news in an email.  Layoffs would start in a month.  Anyone who wished to be put on a voluntary list should stop by HR for the necessary paperwork.  Happy Monday!

Meet the new boss

On a surprising note, the incumbent leaders in my area were all sacked.  That there replacements were from a lower pay grade was merely a coincidence.  Yeah, right.  We had our first staff meeting with the new big cheese today.

Same as the old boss?  Maybe not.

Well, I was pleasantly surprised by the new head honcho.  He stated that the restructuring made little sense to him, too.  He said to expect personnel cuts in our organization, and admitted that he had no idea in which direction the company was moving in regard to our division.  A pretty candid admission for the first day.  I think I’m going to like this guy.

As long as I’m not on his layoff list…

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The Comedian at Work

Every group of workers has a comic amongst them.  He lightens the mood, pointing out the absurdities of rules and procedures.  In my office, our own funny man, much like the Comedian from the Watchmen comics, tends to be a little darker in his approach to humor.

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Our Comedian is a true original.  Nobody is safe from his satiric barbs.  He’s quick with a comeback, downplaying his frequent jabs with, “you put that one on a tee for me.”  His appearance is deceiving, too, as he approaches everything with an air of annoyed nonchalance.  It would appear to an outsider that he doesn’t care about his job, his responsibilities, or his coworkers.  That outsider couldn’t be more off base.

The Comedian, you see, is a disguise.  Underneath the facade dwells an intelligent man who cares deeply about his responsibilities.  Those responsibilities include not only his job, but the well-being of his colleagues.  While he might try to convince everyone that he doesn’t give a hoot about anything,  subtle clues emerge about his true intentions.  After some harmless needling, he’ll jump in and help with a problem.  He meets all of his deadlines, and produces quality work.  But there is one thing that he does that’s a dead giveaway to his true self.

His biggest benefit: his honesty.  He ’s the only one who isn’t afraid to say what he truly thinks.  He’s the King Solomon of the office.  If you want the straight dope, you ask the Comedian.  He pulls no punches, and suffers no fools.  Take it or leave it.

He’ll also ask the questions that nobody else has the balls to ask.  During a recent gathering with upper management, he asked the VP what everyone else had on their mind: “So, when do the layoffs start?”  After a stunned silence, the VP gave the standard, non-answer answer.  The Comedian, our champion, rolled his eyes and sat down.  A brave question to ask, but not without its perils.  I’m sure that he now has a bullseye on his back.  No VP likes to be showed up.

The Comedian is our pressure-release valve.  When tensions rise in the office due to unrealistic deadlines, and everyone’s hackles are up, a well-timed one-liner from the Comedian diffuses the tightness in the office.

So I’ll enjoy the Comedian for as long as he shares our foxhole, which may not be long.  Even he acknowledged that possibility, as he asked me after the meeting with the VP, “Where do they keep the cardboard boxes?”  I’ll miss his willingness to take one for the team.

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Lessons from Watching Jeopardy!

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The wise man knows he doesn’t know.  The fool doesn’t know he doesn’t know. - Lao Tzu

One of the TV shows that I like to watch is Jeopardy! Sure, I like to show off how smart I am for my wife, which counteracts my failure to remember to take out the garbage. But I also use it as a barometer of how much I don’t know.  And that’s today lesson, grasshopper.

The fool doth think he is wise, but the wise man knows himself to be a fool.
-William Shakespeare

I think it’s in our nature to want to learn new things.  The problem is, many corporations develop procedures that force everyone to do things the same exact way.  While this does create a consistency, it can also stifle any positive development.  I’ve talked about this in the past in this post:

Throw Out the Cookbook

The only true wisdom is in knowing you know nothing. -Socrates

Procedures serve their purpose.  You need some consistency in the day-to-day operations of your company.  But procedures should be written that allow a little “wiggle room”, in order to let you deviate a bit.  Otherwise, they should be changed when necessary.  The business world is constantly evolving, and companies must be flexible enough to be able to change on the fly.

Any change, even a change for the better, is always accompanied by drawbacks and discomfort. - Arnold Bennett

Procedures keep us in our comfort zones.  They are the Golden Handcuffs, the leash that keeps us in line.  They’re the excuse of last resort.  If your strategy doesn’t work, you can always blame it on the procedure that you followed.  But why blindly follow a procedure that’s forcing your company to weaken itself?  Take a hard look at your procedures, and change the ones that do more harm than good.  Break out of that cage right now!

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Deming’s Seven Deadly Diseases

I’ve wrote about W. Edwards Deming and his 14 Points in a previous post.  You can read it here.  Today, I’d like to talk about his Seven Deadly Diseases.  These were the ailments that Deming saw as reason for the decline of Western Management:

Lack of constancy of purpose to plan product and service that will have a market and keep the company in business and provide jobs.

General Motors, anyone?  Remember the Hummer?  As people were clamoring for hybrid vehicles, dealerships couldn’t give these beasts away.

Emphasis on short-term profits: short term thinking, fed by fear of unfriendly takeover, and by plush from bankers and owners, for dividends.

My company focuses on “key salients”, i.e. measurable targets such as new orders, sales, profit, etc.  Bonuses for the directors are tied to achieving their numbers for the year.  It gets real interesting at year-end, as contracts are accepted with less-than-optimal profit margins just to achieve the new orders target.  If this isn’t short-term thinking, I don’t know what is.

Personal review system, or evaluation of performance, merit rating, annual review, or annual appraisal, by whatever name, for people in management, the effects of which are devastating. Management by fear would be better, than management by objective without a method for accomplishment.

Oh boy, a pet peeve of mine.  Every year, we have to compile a list of our objectives.  The achievement of many of these is out of my control, but they count towards my performance anyway.  What everyone does is sandbag their objectives, making most of them easy to attain, so that there’s only good news at review time.  Nobody wants to miss accomplishing an objective.  The system as it exists is basically useless as a management tool.

Mobility of management: job hopping.

One of my former employers encouraged this practice.  They felt that you were ready for a new assignment every 18 months, and encouraged job-hopping.  The only problem with this, besides lack of continuity with your customers, is that someone could do a lousy job and get promoted out of it - the Peter Principle in practice.  You wouldn’t even know what damage was done until the dust settled.  These screw-ups were using company policy to run away from their own messes.  People were changing jobs more often than Larry Brown.

Use of visible figures only for management, with little or no consideration of figures that are unknown or unknowable.

Our division has been tasked with an 8% annual CAGR (Compound Annual Growth Rate).  Our division is in the defense industry.  We’re in a recession.  Guess what’s getting cut to help pay for all of last year’s bailouts?  That’s right, new defense contracts.  Rather than look at a dollar value, we should measure our success against market share.  Market share might be harder to measure than new orders, but it is more accurate in determining effectiveness in a declining market.

Excessive medical costs.

My company has a health club on the premises.  You pay a small amount as a “copayment”, and you can use the equipment on your own time.  We also have free blood pressure screenings.  If more companies would offer these preventative measures, maybe we could cut health care costs.

Excessive costs of warranty, fueled by lawyers that work contingency fees.

The product line that I support has a built-in level of expected failures.  This leads to the purchase of excess material, which ties up working capital.  For every dollar that could be saved, we could invest it back into the company.  Think about that when your foreman wants a few extra pieces “just in case”.  Improve the quality, and improve the profits.

I’ve pointed out where my company has “sinned”.  How about yours? Do you see your own company in any of these examples?  If so, have the problems been identified, and any corrective action taken?  Let’s hear it in the comments!

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Deming’s 14 Points

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Back when I was working towards my MBA, I had a professor that was very passionate.  Let’s call him Nick.  One night, Nick polled the class, asking us who we thought was the epitome of a great leader, a person whose policies allowed for everyone to win.  When one of my classmates offered Lee Iacocca, the then-chairman of Chrysler as an example, I swear that I could see steam pouring out of Nick’s ears.  “LEE IACOCCA!” he bellowed.  “Lee Iacocca is building his engines in Mexico!  How does that help everybody win?  He’s trying to solely increase the bottom line by costing Americans jobs!”

You’re kidding, right?

Rather than ague with Nick, lest he burst a blood vessel in his forehead, we let him rant on.  When he finally calmed down, he gave us his example of a good leader: H. Ross Perot.  Yup.  This was before he ran for president, and just after he sold his business, EDS to General Motors.  All that I knew about Ross Perot was that Richard Crenna played him in that movie about a hostage rescue in Iran.  As part of this diatribe, Nick also managed to dismiss Peter Drucker and Management By Objectives (MBO), and introduced us to W. Edwards Deming.

Who?

W. Edwards Deming was a statistician by trade, who wound up in postwar Japan to work on the census.  He was invited to teach statistical control and the concepts of quality to a group of engineers, managers, and scholars.  His concepts were put into practice by Japanese industry, and the rest is history.  Japanese goods became renowned for their quality and reliability.  Couple that with the energy crisis in the 1970s, and you can understand why Japanese automakers took away market share from Ford, Chrysler, and GM.

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See, while American auto companies were giving us the Corvair and the Pinto, Japanese car companies were building a reputation for quality that trumps American car companies to this day.  Maybe Iacocca should have listened to Deming.  Anyway, here are his 14 Points:

1. Create constancy of purpose toward improvement of product and service, with the aim to become competitive and stay in business, and to provide jobs.

2. Adopt the new philosophy. We are in a new economic age. Western management must awaken to the challenge, must learn their responsibilities, and take on leadership for change.

3. Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first place.

4. End the practice of awarding business on the basis of price tag. Instead, minimize total cost. Move towards a single supplier for any one item, on a long-term relationship of loyalty and trust.

5. Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease costs.

6. Institute training on the job.

7. Institute leadership. The aim of supervision should be to help people and machines and gadgets to do a better job. Supervision of management is in need of overhaul, as well as supervision of production workers.

8. Drive out fear, so that everyone may work effectively for the company.

9. Break down barriers between departments. People in research, design, sales, and production must work as a team, to foresee problems of production and in use that may be encountered with the product or service.

10. Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity. Such exhortations only create adversarial relationships, as the bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force.

11.a. Eliminate work standards (quotas) on the factory floor. Substitute leadership.

11.b. Eliminate management by objective. Eliminate management by numbers, numerical goals. Substitute leadership.

12.a. Remove barriers that rob the hourly worker of his right to pride of workmanship. The responsibility of supervisors must be changed from sheer numbers to quality.

12.b. Remove barriers that rob people in management and in engineering of their right to pride of workmanship. This means, inter alia, abolishment of the annual or merit rating and of management by objective.

13. Institute a vigorous program of education and self-improvement.

14. Put everybody in the company to work to accomplish the transformation. The transformation is everybody’s job.

It’s funny how these concepts are just being accepted now, more than 20 years after Deming wrote about them in his book Out of the Crisis.  My company has started preaching the “factory without walls” concept to help our diverse divisions work together to bring in new business.  Too bad they’re still stuck on slogans.  Here’s a link to a Wikipedia entry that provides more background on Dr. Deming: W. Edwards Deming at Wikipedia

I’ll be revisiting Deming in the coming weeks, so stay tuned!  Why not subscribe, so you don’t miss a new installment?  Subscribe

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Slacking Off at Work

Happy Friday!
Photo by cell105

As we get toward the end of the year, people in my area of expertise (finance) tend to get busy.  Very busy.  It starts just before Thanksgiving, and just gets crazier as the end of the year gets closer.  So today it’s Thanksgiving, and I’m planning on slacking off big-time.  Because when the bell rings on Monday, all Hell will break loose.

To everything there is a season…

Some professions have their busy seasons, while others don’t fall prey to quarterly reporting like finance and accounting people do.  In my case, these are the engineers, who work on projects that may span years.  Sure, they have certain milestones to meet along the way, such as Technical Readiness Reviews, Critical Design Reviews, and Functional Bench Tests, but these aren’t contingent on the calendar year.

I guess it’s just not my season

So, for my friends in Engineering, the time after Thanksgiving is slack-off time.  Holiday parties are arranged.  Extra vacation time is burned.  Trips to Rockefeller Center to see the tree are taken.  I know this, because the ranks are thin in Engineering during the holiday season.  I had one guy tell me years ago, as I was going balls to the wall in order to get home at a decent hour, that he was “pretty much finished” with his work for the year.  This was two weeks before Christmas.  I must be in the wrong racket.

Personal Standard of Excellence

So, as I kick myself in the ass for not becoming an engineer, I see that my technical brethren are just enjoying the spoils of their craft.  I can’t blame them for exploiting the peculiarities of their profession.  But even if I had the opportunity, I don’t think that I’m wired for slacking off.  I think way back to college, and one of my business lessons that dealt with motivation and the responsibilities of managers.  My favorite teacher, Professor Stanford, told us a tale of a worker who lowered his productivity to that of his coworkers.  One of my fellow students thought that the worker was smart for not “rocking the boat.”  Prof. Stanford admonished him for not upholding his own personal standard of excellence, regardless of what those around him were doing.  Wow.  That one really hit home, and I carry it with me to this day.

Less bullshit, more work

If I think even farther back, I had a lesson in not slacking off from my older cousin, on a roofing job.  His was less subtle, however.  It went something like, “Less bullshit, more work”, accompanied by an angry shake of his fist, but the message was basically the same.  He was also bigger and could beat the crap out of me, so work hard I did.  I consider it a primer for Stanford’s more elegant lesson.

So, before you slack off, think about your personal standard of excellence, and whether you want to risk compromising it by getting caught goofing off.  But, you can goof off today.

Happy Thanksgiving!  Gobble ’til you wobble!

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