The Unspoken Opportunities at Your Door Step: Performance Breakthroughs Start with the Right...
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Transcript of The Unspoken Opportunities at Your Door Step: Performance Breakthroughs Start with the Right...
The Unspoken Opportunities at Your Doorstep:Performance Breakthroughs Start with the Right Question
By David Narramore and Steve Jacobs
Critical thinking for critical times™
The Unspoken Opportunities at Your Doorstep 1
AT A GLANCE— Innearlyeveryorganization,significantopportunitiestounlocknewperformanceareknownbymany,
butremainunspokenandthereforeunrealizedyearafteryear.Inalloftherhetoricabout“breakthroughthinking”,mostcompaniesfailtominetheimprovementsthatpeoplearealreadythinkingbutarereluctanttovoice.
— Therealbreakthroughbeginswhenleadersaskadifferentquestion,namely,“Whataretheunspokenopportunitieswithinourmidst?”,andthencreatetheconditionsthatencouragecandiddialogue.
— Thisarticlesummarizestheresultsofarecentstudythataskedpreciselythisquestion,anddiscussesimplicationsforthenewbehaviorthatwilldrivenewresults.Notably,leadershipfailureswerethemostfrequentlycited“unspokenopportunity.”
— Thereisawaytoaskthequestion,toestablishconditionsforconstructivecandor,andtoachieveprofoundimpactifleadersdemonstrateagenuineandconsistentdesiretoplacetheinterestsofcustomersandemployeesaheadoftheirowninterests.
INTRODUCTIONNomattertheseasonorbusinesscycle,organizationsareunderpressuretogrow,profit,anddelivervalueforitsstakeholders.Achievingnewlevelsofperformanceisnoeasytaskforthoseinleadershipwhethertheyareexecutives,managementorteamleaders.Alltoofrequentlyleadership’sresponsedefaultstoacomfortzonewithobviousandwidelyacceptedpathstoimprovement.Sometimescalled“quickwins”or“lowhangingfruit”,theseimprovementsareusuallydrivenfrommandatedexpensereduction,processefficiencies,ortechnologyenablement.Afterrepeatedlypickingoverthesametypesofsolutions,thepathtonewperformanceresultsbecomeslessclear,withremainingideasfrequentlyrequiringsignificantinvestmentandanelongatedpayback.
However,innearlyeveryorganization,“unspokenopportunities”existtounlocknewperformance.Thesefreshopportunitiescomefromaskingthequestion:“What are the issues that the organization is not likely to address, but would have significant organizational value if resolved?”Theseunspokenopportunitiesarepervasive,willsignificantlyimpactperformanceandmorale,andarecommonlydiscussedinthehallways,butarerarelyvettedinformalsettings.Unspokenopportunitiesinorganizationsarethosethatbydefinitionareunderstoodbymanybutdiscussedbyfew.Thereisoftenabeliefthatsurfacingsuchissuesisunwiseorworse.
Examplesofsuchopportunitiesinclude:
Warning:Themajorityofreaderswillskimthisarticle,perhapsnodinagreement,andthendonothingmore.Theimplicationsareuncomfortableandcourageisrequired.However,forleaderswillingtodowhatittakestotrulyencouragefreshdialogue,opportunitiesexisttodevelop“newbehaviors”thatwillleadto“newresults”.Theseopportunitiesquicklybecomeapparentonceleadersintentionallylookforthem.Whetheryourorganizationisagloballeader,middlemarketcompany,emergingbusiness,non-profit,oragovernmentalentity,itcannotaffordtocontinueleavingunspokenopportunitiesunaddressed.
— Directionnotclearornotcompelling
— Seniorteamdiscord
— Salesterritoryconfusion
— Internalcompetition
— Cross-sellingincentivesdon’tincent
— Lackofaccountabilityforresults
— Poorperformersnotaddressed
— Superiorperformancenotrewarded
The Unspoken Opportunities at Your Doorstep 2
A major healthcare company convened its Top 100 leaders to launch the company’s new strategy for strengthening competitive position in the face of regulatory reform and significant cost challenges. Throughout the two-day session, presentations were met with polite applause and roundtable discussions offered uninspired recommendations. In contrast, informal discussions during breaks and dinner were quite animated and centered on a common refrain: “If the senior exec’s are serious about this, then they need to ‘get their hands dirty’ and play an active role in leading successful execution. At no point during the entire event did anyone say this publicly, nor did any of the senior executives hear this privately. One year later the group convened again, this time to address the slow and inconsistent progress to date. Although participants made vague and safe references to conflicting priorities, unmade trade-off decisions, and diffused accountability, no one voiced the barrier that most in the room believed would unlock true progress, namely the specific execution roles that the senior team needed to play. — Source: CLG
UNSPOKEN OPPORTUNITIES IN OTHER ORGANIZATIONSTobeginyourthoughtprocessonunspokenopportunitiesthatmayexistinyourorganization,considertheissuesidentifiedinarecentFTIsurvey.Toaddressthedepthandbreadthoforganizations’unspokenopportunities,FTIconductedasurveyaskingthequestion:“Whatinternalbusinessproblemsareusuallyavoided,butwouldaddsignificantorganizationalvalueifresolved?”1Respondents’interestinthisquestionwasevidentacrossthe223respondentswhoprovidedtheirtop3answerstothisquestionduringNovemberandDecember2009.Whileuniqueunspokenopportunitiesdoexistinanorganization,therearemanymoreunspokenopportunitiesthatarepervasiveacrossorganizationsandwillprovideacompetitiveadvantageforthoseorganizationsthatresolveandcapitalizeontheopportunity.Thesesurveyfindingscanserveasachecklisttothinkthroughwheretheremaybeunspokenopportunitiesinyourownorganization.
Analysis Conducted –Therespondentswereprovidedtheopportunitytoeitherprovidetheirowncustomanswerorselectaresponsefromalistof46potentialanswersasdetailedinAppendixAthatweregroupedinthefollowingeightcategories:
Eachrespondent’sanswerwasgivenaweightof3pointsforthefirstanswerassociatedwiththeproblemifresolvedthatwouldprovidethehighestincreaseinorganizationalvaluefollowedbya2pointweightforsecondanswerand1pointforthethirdanswertothequestion.Eachrespondent’sanswerwaslinkedtooneofthestandardanswercategoriesaswellasnewcategorieswerecreatedtocaptureresponseoutsideofthestandardanswersprovided.Atotalpointscorewascalculatedforeachorganizationalcategoryandthecategory’sunderlyingissuesassociatedwithunspokenopportunities.Thisscoringapproachprovidesvisibilityintotherelativepain/opportunityassociatedwithinternalbusinessproblemsassociatedwiththeseorganizationalcategoriesaswellastheunderlyingproblemsassociatedwitheachcategory.AppendixBincludesadetailedsummaryofthesurveyresults,andasummaryoffindingsishighlightedbelow.
Findings –Oneoftheclearestmessagesfromrespondentsispointingtoleadershipasanareatosearchforunspokenopportunities.Oftheeightorganizationalcategoriesnotedabove,theleadershipcategoryscored60%to310%higherinweightedpointsthantheothersevencategories.Thesinglelargestindividualanswercategorywasleadershipwherenofurtherissuespecificationwasprovided,anditscored2.6Xhigherinpointsthanthenextlargestindividualcategory.
— Leadership
— Strategy
— Governance&DecisionMaking
— Markets&Customers
— Culture
— People
— PerformanceManagement
— PerformanceImprovement
1. Foradditionaldetailonsurveyresults,refertoAppendixAandB.
The Unspoken Opportunities at Your Doorstep 3
Whiletheleadershipcategoryisclearlyanimportantareatosearchforunspokenopportunities,thereareotherareasaswell.Table1highlightstheemergingthemesandtoparticulatedissuesdevelopedfromthe223respondents’opinionsonthetop3unspokeninternalbusinessproblems.Insummarizingthefindings,theeightcategorieswerestreamlinedintofivecategoriestoreflectlinkagesinthepresentationofresults.Thetotalweightedpointsbycategorywere:
Source:FTIConsultingSurveyresults.SeeAppendixAforadditionaldetails.
ForeachoftheorganizationalcategorieslistedinTable1,thethemesemergingfromthesurveyresponsesarepresentedalongwiththetoparticulatedinternalbusinessissueslinkedtothefiveorganizationalcategories.Insomerespondents’answers,theydidnotarticulateindetailtheissue;rathertheyprovidedacategoryresponsesuchas“Leadership”withnofurtherdetail.ThearticulatedissuesinTable1represent14issuesthatcomprisethetop10rankingofdetailedissues.
IMPLICATIONSLeadership matters. Really!Thismessagecamethroughbothinthesurveyresultsandthesupplementalsurveycomments.Commentssuchasthoseintheadjacentwindowprevailed.Ultimately,leadershipcanandshouldbeaboutleavingtheorganizationinabetterplacethanwhenaleaderstarted,NOTaboutleavingone’spublicimageandpersonalnetworthinabetterplace.Employeesknowthisinstinctively,andtheyknowthedifferencebetweenself-servingleadershipversusservantleadership.Thesefindingsareaclearreminderoftheimportanceofthisdistinction.
VOICE OF RESPONDENTS
— IncrementalismwillbethedeathofUScompanies.[Thereisalackof]ethicalleaderswhoaredrivingcompaniestobecompetitiveinthenextcentury.
— Intermsoflackofresponsibility,Iwishtopmanagerscouldacknowledgeiftheymadeabaddecisionanduseitasanopportunityoflearningratherthanhidethefactthatabaddecisionwasmade.
Source:SelectedcommentsfromFTIConsultingSurvey.
“Soft issues” are the key to “hard results.” Really. Thetoptwocategoriesofunspokenopportunities,i.e.,“Leadership”and“PeopleandCulture”areoftenviewedas“soft”andintangibleimprovementoptions,yettheyrepresentnearlyone-halfoftheopportunitiesidentifiedbyrespondents.Readingthesurveycomments,oneisremindedofDr.CharlesO’Reilly’sobservationthat“Cultureeatsstrategyforbreakfast.”
Category Total Points Scored % of Total Points Scored
1.Leadership 324 24.2%
2.PeopleandCulture 290 21.6%
3.Strategy,Markets,andCustomers
282 21.1%
4.PerformanceImprovementandManagement
261 19.5%
5.GovernanceandDecisionMaking
180 13.5%
The Unspoken Opportunities at Your Doorstep 4
TABLE 1 – SUMMARY OF EMERGING SURVEY THEMES AND TOP ARTICULATED AVOIDED INTERNAL BUSINESS PROBLEMS
Source:InsightsandanalysisonFTIConsultingsurveyresultsjointlydevelopedbyCLGandFTIConsulting.
Takentogether,theseimplicationsarebothsoberingandencouraging.The“shadow”thatleaderscastthroughtheirbehaviormostcertainlyinfluencestheculture,andultimatelytheeffectiveness,ofanorganization.4Onerecentexampleofthis,amongmany,isFastandTiedens’workon“blamecontagion”thatdemonstratesthatwhenpeopleblameothersformistakesratherthantakepersonalaccountability,fearandperformancedecrementsoccuratadisproportionaterate.5Thegoodnewsisthatthe“soft”opportunitiesthatleadersoftenviewasintangibleandimpracticalcan,withtheproperapproach,beimminentlytangible,practical,andproductive.6
Otherinsightsfromthesurveyfindingsinclude:
— Mostoftheunspokenopportunitiesidentifiedbyrespondentsdonotnecessarilyentailcost.Thoughaninvestmentoftimeandfocusisclearlyrequired,additionalbudgetexpendituremaynotbeneeded.
— Unspoken opportunities are not typically isolated to only impact one area of an organization; they frequently impact the entire organization.Surveyrespondentsreportedthatover70%ofavoidedinternalbusinessissueswerelinkedtotheentireorganization.
Organizational Category Emerging Themes2 Top Avoided Internal Business Problems3
Leadership24.2%ofsurveypoints
Failures in leadershipmustbeaddressedorperformancewillcontinuetosuffer
Lackof:— Communication— Character/integrity— Senseofresponsibility
People and Culture21.6%ofsurveypoints
Misalignmentisprevalentthroughoutorganizationinhibitingresults.
Lackof:— Candortoaddress
uncomfortable/sensitiveissues— Organizationalalignment— Culturalalignmentwithvision
andstrategy— Collaboration
Strategy, Markets, And Customers21.1%ofsurveypoints
Recognizecritical informationis missing tooptimallyguideandmanageorganization
Lackof:— Abilitytobalancestrategicfocus
anddailytacticalneeds— Market,customer,and
competitivestrategy— Strategicframeworktoview,
plan,andmanagebusiness
Performance Improvement and Management19.5%ofsurveypoints
Lack of accountabilitysetsthestagefororganizationalfailureandpoormorale
Lackof:— Alignmentofstrategy/priorities
toindividualperformanceplans— Accountabilitytodeliverresults
Governance and Decision Making13.5%ofsurveypoints
Inferiorresultsemergefromdecision making lacking alignment, process, and structure
Lackof:— Structureforeffectivestrategic
and/ortacticaldecisionmaking— Alignmentofdecisionmaking
acrosstheorganization
2. Theemergingthemesweredevelopedfromareviewofthetoparticulatedavoidedinternalbusinessproblems.
3. Insomerespondents’answers,theydidnotarticulateindetailtheissue;rathertheyprovidedacategoryresponsesuchas“Leadership”withnofurtherdetail.ThearticulatedissuesinTable1represent14issuesthatcomprisethetop10rankingofdetailedissues.
4.LarrySennandJimHart,WinningTeamsWinningCultures,TheLeadershipPress,2006-2009.
5. NathanialFastandLarissaTiedens,Blamecontagion:Theautomatictransmissionofself-servingattributions,JournalofExperimentalSocialPsychology,46,2010.
6. LeslieBraksick,UnlockBehavior,UnleashProfits,McGraw-Hill,2007.
The Unspoken Opportunities at Your Doorstep 5
— Unspoken opportunities to drive improved results will likely be found disproportionately in the sales organization.13%oftherespondents’#1internalbusinessissueswerelinkedtothesalesorganizationwhichwasonaverage3.3Xhigherthanthepercentofissueslinkedtootherareasoftheorganization.
— Other specific business areas to consider once you move to considering the #2 and #3 internal business issues include: Sales, Executive Office, Marketing, Customer Service, and Information and Technology.
GO AHEAD, ASK THE QUESTIONItstartswithaskingthequestion.Taketimeoutandaskyourself,“Whataretheissuesthatwearenotlikelytoaddressandthatwouldhavesignificantorganizationalvalueifresolved?”Symptomsofunspokenopportunitiescantakeonmanyforms.Considerthefollowingasyouconsiderunspokenopportunitiesinyourorganization.Tostarttheprocess,reviewthesymptomlistingbelowandcheckthosesymptomsobserved,identifywhereintheorganizationdoyouobservethesesymptoms,andwhatisissueisassociatedwiththesesymptoms.
TABLE 2 – ASSESSING THE SYMPTOMS IN YOUR ORGANIZATION
Source:JointlydevelopedbyCLGandFTIConsulting
Afterconsideringtheabovesymptoms,takeafewminutestoreflectonthe5areasnotedinTable3indicatingwhereonthecontinuumyourorganizationisoperatingandthenatureoftheunderlyingissue(s).
What symptoms are observed in your organization?
What issue is associated with the symptoms?
Where in the organization do you observe these symptoms?
Issuesdiscussedinhallways,breaks,and in private, but not in formal meetings
Meetingbehaviorthatindicatesdiscomfort, disagreement, or disappointment
Actionsthatdon’t reflect words spoken
Brewingconflictbetweenindividuals,teams,organizations, or business units
Intentionalsilencewithamessagebehindthe silence
Whyquestionsthatcontinueduetolackofasatisfying response
The Unspoken Opportunities at Your Doorstep 6
TABLE 3 – UNSPOKEN OPPORTUNITY CONTINUUM
Source:JointlydevelopedbyCLGandFTIConsulting
MOVING FROM INSIGHT TO BREAKTHROUGH RESULTSBreakthroughresultsrequirethevettingofissueswithkeystakeholderstosecurealignment,buy-in,andapathtoresolution.Thoughtheprocessstartswiththedifficultquestion,realprogressonlycomesthroughintentionaland,yes,courageousleadershipwillingtomaketoughdecisionswhererequired.Fairornot,leadersmustinitiatethedialogue,modelcourageandcandor,andreinforceothersfordoingthesame.Moreover,theymustactuponwhattheyhear.Thatsaid,ALLofusarecomplicitinnotsurfacingunspokenopportunities,andthereforecanplayanimportantroleinvoicingandovercomingthem.
Opportunity Area Opportunity Continuum Nature of Problem
Leadership:Failures in leadership must be addressed or performance will continue to suffer.
Lackof:— GuidanceandClarity— CapabilityandProficiency— OccasionandOpening— DriveandStimulus
People and Culture:Misalignment is prevalent throughout organization inhibiting results.
Lackof:— GuidanceandClarity— CapabilityandProficiency— OccasionandOpening— DriveandStimulus
Strategy, Customers and Markets:Recognize critical information is missing to optimally guide and manage organization.
Lackof:— GuidanceandClarity— CapabilityandProficiency— OccasionandOpening— DriveandStimulus
Performance Management and Improvement:Lack of accountability sets the stage for organizational; failure and poor morale.
Lackof:— GuidanceandClarity— CapabilityandProficiency— OccasionandOpening— DriveandStimulus
Governance and Decision Making:Inferiors result emerge from decision making lacking alignment, process and structure.
Lackof:— GuidanceandClarity— CapabilityandProficiency— OccasionandOpening— DriveandStimulus
Major Weakness Emerging Acceptable Market Problem Issue Leader
Major Weakness Emerging Acceptable Market Problem Issue Leader
Major Weakness Emerging Acceptable Market Problem Issue Leader
Major Weakness Emerging Acceptable Market Problem Issue Leader
Major Weakness Emerging Acceptable Market Problem Issue Leader
The Unspoken Opportunities at Your Doorstep 7
Outlinedbelowareafewtechniquesandbestpracticestodrawuponinworkingthroughunspokenopportunities.
DEVELOP UNDERSTANDING OF WHY UNSPOKEN OPPORTUNITY EXISTS Itisimportanttounderstandwhykeyopportunitiesremainunspokenandunaddressed.Sometimes,tacklingsuchopportunitiesleadstomorecomplexity.Moreoften,however,thesolutionsarenomorecomplex.Buttheinitialstepstodiscussthemaremoreuncomfortable.Reasonsforthisinclude:
— Historysuggeststhattheinput“won’tbeheard”orthat“nothingwillchange”,
— Fearofoffendingothers,
— “Someoneelse’srole”,and
— Requirescross-functionalcollaborationofpeoplewhorarelytalkwithoneanother.
SET THE STAGE FOR CANDID DIALOGUEThereisanoldsayingthatpeoplechangeeithertomoveawayfromthefire,ortomovetowardthelight.Givevoicetobothoftheseandconsiderthefollowing:
— Seekoutthefacts,
— Considertheissuesfromtheperspectiveofthosedirectlyandindirectlyinvolved,
— Clarifythedownsideofcontinuingandarticulatebenefitsfromresolution,
— Demonstratesensitivityandcaringregardingthediscomfortassociatedwithaddressingtheissues,
— Acknowledgetheconsequencehistory,theawkwardnessandperceivedrisks,
— Acknowledgeone’sowncontributiontotheproblem,and
— Demonstratethepersonalwillingnesstobreakthecycle.
AGREE ON THE PATH FORWARDPutthefacts,perceptions,andassumptionsonthetable.Namethem,speakcandidlyandconsiderthefollowing:
— Recognizewhena3rdpartyisneededtofacilitatethediscussionandtoshapethepathtoresolution,
— Clarifythenewbehaviorthatwillberequiredtoachievenewresults,
— Identifyandremovethebarrierstoresolution,
— Verifyexplicitalignmentregardingconclusionsandactionplan,and
— Staythecourse.Persistentissuestypicallyrequirepersistentexecution.Remember:Fosteringthenewbehaviorisonly20%ofthesolution.Reinforcingthenewbehavioruntilitbecomeshabitisthe80%.
ESTABLISH ACCOUNTABILITY AND MANAGE TO BREAKTHROUGHFormost,achievingthebreakthroughrequiresestablishingaccountability,monitoring,andaperformanceplanthatcoachesandreinforcesnewhabitsthatleadtotargetedresults.Incorporatethefollowingintoyourresolution:
— Establishclearaccountabilities,
— Implementaperformanceplanwithrewardsandconsequencesthatmotivatebehaviorstonewresults,
— Ensurethattimely,specificandmeaningfulfeedbackisprovidedatalllevels,andthattheratioofpositivetoconstructivefeedbackisaleast4to1,
— Regularlymeasureandreportonprogresstowardsachievingbreakthroughwithbothleadingandlaggingindicatorsofsuccess,and
— Observe,coach,mentor,andmanagetosuccess.
NO BETTER TIME THAN NOWUnspokenopportunitiesforbreakthroughimprovementsresideinmostorganizationsfortheveryreasonthatleadersinmostorganizationseitheroverlook,oravoid,uncomfortablediscussions.Breakthecycle.BEthechangethatothersarewaitingfor.
The Unspoken Opportunities at Your Doorstep 8
ABOUT AUTHORSDavidNarramore,aseniormanagingdirectorinFTIConsulting,Inc.’sCorporateFinancesegment,hasover25yearsofexperienceinworkingwithclientstoaddressstrategic,organizational,operational,economic,andfinancialissuesimpactingtheirbusiness.David,aleaderinFTI’sPerformanceImprovementpractice,specializesinsupportingcompaniesenablebusinessimprovementsincludingorganizationalalignment,revenueenhancement,customerdevelopment,supplychainmanagement,andcorporateoverheadreduction.
Hebringsclientsastrongcombinationofbusinessplanningandperformanceimprovementexperiencewithafocusonachievingenterpriseobjectivesandtangiblefinancialbenefits.Thisstrategicvaluedrivenfocuswasdevelopedfrom15yearsofservingclientsasafinancialadvisor,alongwith10yearsofexperienceassistingclientsevaluatepeople,process,andtechnologyimprovementopportunities.
Mr.NarramoreisaChartedFinancialAnalyst(CFA)andholdsaB.B.A.ineconomicsandfinancefromBaylorUniversity.
ContactInformation:[email protected]
SteveJacobs,aCLGSeniorPartner,hasdevelopedasuccessfultrackrecordofresultsandculturechangeacrossarangeofcorporatesituations.Clientsrelyonhimtoprovidequalityleadership,coaching,mentoringandimplementationstrategiesthatleadtosustainablechange.Steveworkswithseniorexecutiveswhoareultimatelyaccountableforthespeed,returnandsustainabilityofmajorstrategicinitiativeswithinternationalapplications.Stevealsoprovidesexpertexecutivecoaching,andspecializesinlarge-scalestrategicchangeinitiativeswithseniormanagementteams,buildingcompanies’ongoingimplementationcapabilitiesandprovidingexecutivecoachingwith
24/7availability.
Steve’scorporateroleshaveencompassednewbusinessstartups,divisionalturnarounds,mergerintegration,divestiture,supplierpartnershipsandenterprise-widestrategicchangeimplementation.Hehasalsobeeninvolvedinfoundingand/orleadingthegrowthofthreesuccessfulprofessionalservicefirmsduringhiscareer.InadditiontohiscurrentinvolvementwithFortune500companies,SteveholdsinterdisciplinaryandpostgraduatedegreesfromtheUniversityofCaliforniaandHarvardUniversity.
ContactInformation: [email protected]
The Unspoken Opportunities at Your Doorstep 9
APPENDIX A – FTI CONSULTING, INC. SURVEY
SURVEY OVERVIEWTherearesignificantorganizationalissuesthataresacredissuesthatareavoidedanddonotemergefordiscussion.Organizationsfrequentlygoafterthequickwinsand/orlowhangingfruit.Thequickwinsareimportanttorealize,buttherearepotentiallyotherissuesthatcanmakeahugedifferenceintermsofaccomplishingtheprimarybusinessobjectives.Tosupportidentifyingunspokenopportunitiesthatmaygounrealized,FTIConsulting,Inc.conductedasurveyduringtheperiodmid-NovemberthroughDecember2009askingthefollowingquestionthroughanonlinesurvey:
“What internal business problems are usually avoided, but would add significant organizational value if resolved?”
Therewere223respondentstothesurveyprovidingtheirtop3avoidedinternalbusinessproblemsthatwouldaddsignificantorganizationalvalueifresolved.Asummaryprofileofthesurveyrespondentsisnotedbelow:
— RoleofRespondents
–40%-companyexecutiveorseniormanagement
–58%-incompanymanagerorhigherpositions
–29%-3rdpartyconsultants
— SizeofBusinessEnterprise
–38%-businessenterpriseswith$1billionorgreaterinrevenue
–53%-businessenterpriseswith$100millionormoreinrevenue
–25%-businessenterpriseswith$26-$99millioninrevenue
–35%-businesswith$25millionorlessinrevenue
Therespondentsweregiventheopportunitytoanswerthissurveyquestionprovidingtheirowncustomanswerortheycouldselectfromasetof46standardrepliesstructuredin8organizationalcategories.Eachrespondent’sanswerwasgivenaweightof3pointsforthefirstanswerassociatedwiththeproblemifresolvedthatwouldprovidethehighestincreaseinorganizationalvaluefollowedbya2pointweightforthesecondanswerand1pointforthethirdanswertothequestion.Eachrespondent’sanswerwaslinkedtooneofthestandardanswercategoriesaswellasnewcategorieswerecreatedtocaptureresponsesoutsideofthestandardanswersprovided.Atotalpointscorewascalculatedforeachorganizationalcategoryandthecategory’sunderlyingissuesassociatedwithunspokenopportunities.Thisscoringapproachprovidesvisibilityintotherelativepain/opportunityassociatedwithinternalbusinessproblemsassociatedwiththeseorganizationalcategoriesaswellastheunderlyingproblemsassociatedwitheachcategory.Thetablesdetailedforquestion4includedinAppendixAprovidesasummaryoftheweightedscoringoftherespondentanswerstothesurveyquestionnotedabove.
The Unspoken Opportunities at Your Doorstep 10
SURVEY RESULTS
QUESTION 1 – RESPONDENTS’ PROFILE BY POSITION
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
QUESTION 2 – RESPONDENTS’ PROFILE BY SIZE OF BUSINESS ENTERPRISE
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
The Unspoken Opportunities at Your Doorstep 11
QUESTION 3 – RESPONDENTS PROFILE BY INDUSTRY
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
The Unspoken Opportunities at Your Doorstep 12
QUESTION 4 – TOP 3 AVOIDED INTERNAL BUSINESS PROBLEMS
Surveyrespondentswererequestedtoprovidetheir3responsestothequestion:“What internal business problems are usually avoided, but would add significant organizational value if resolved?”Theywereprovidedtheopportunitytoselectananswerfromthefollowinglistortoprovidetheirownanswers.Furthermore,therespondentswererequestedtoranktheir3responseswith#1answerbeingtheproblemifresolvedwouldprovidethehighestincreaseinorganizationalvalue.
LEADERSHIP – LACK OF:
— Leadership
— Character/integrity
— Servanthood
— Communication
— Motivationcapabilities
— Senseofresponsibility
STRATEGY – LACK OF:
— Market,customer,andcompetitivestrategy
— Supplychainandcorporatesupportservicesstrategy
— Awarenessofexternalfactorsimpactingbusiness
— Abilitytobalancestrategicfocusanddailytacticalneeds
— Strategicframeworktoview,plan,andmanagebusiness
GOVERNANCE & DECISION MAKING – LACK OF:
— Structureforeffectivestrategicdecisionmaking
— Structureforeffectivetacticaldecisionmaking
— Structureforeffectiveriskmanagement
— Informationnecessarytosupporttimelydecisions
— Alignmentofdecisionmakingacrossorganization
— Rootcauseanalysis
— Executiononcedecisionismade
— Prioritizationofresourcestooptimizeresults
MARKETS AND CUSTOMERS – LACK OF:
— Considerationofthevoiceofthecustomer
— Corporatedevelopmentofnewmarketsandopportunities
— R&Dandinnovation
— Effectivemarketinginvestments
— Effectivesalesefforts
CULTURE – PROBLEMS INCLUDE:
— Notalignedwithvisionandstrategy
— Promotesnegativebehavior
— “Doingtherightthing”notalwaysrewarded
— Twoormoreclashingbusinesscultures
PEOPLE – LACK OF:
— Organizationalalignment
— Training
— Mentoring,coaching,andfeedback
— Candortoaddressuncomfortable/sensitiveissues
— Collaboration
— Talentmanagement
— Successionplanning
PERFORMANCE MANAGEMENT – LACK OF:
— Alignmentstrategy/prioritiestoindividualperformanceplans
— Performanceplanthatincentstargetedbehavior
— Accountabilitytodeliverresults
— Necessarysupportforperformancemanagementsystem
— Consistencyineffectivelydealingwithnon-performers
PERFORMANCE IMPROVEMENT – LACK OF:
— Crediblebusinesscasestosupportbusinessinvestments
— Bestpracticesinprocessesandtechnology
— Standardizationinprocessesandtechnology
— Costcontrolinbudgeting,procurementandcapex
— Supportforsustainmentofcapturedimprovements
— Changemanagementtoinform,align,train,anddevelop
The Unspoken Opportunities at Your Doorstep 13
QUESTION 4 – WEIGHTED SCORING OF TOP INTERNAL BUSINESS PROBLEMS
– by Position Relative to Company Page 1 of 2
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
QUESTION 4 – WEIGHTED SCORING OF TOP INTERNAL BUSINESS PROBLEMS
– by Position Relative to Company Page 2 of 2
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
The Unspoken Opportunities at Your Doorstep 14
QUESTION 5 – LINKAGES OF RESPONDENTS #1 AVOIDED INTERNAL BUSINESS PROBLEMS TO IMPACTED BUSINESS AREAS
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
QUESTION 6 – LINKAGES OF RESPONDENTS #2 AVOIDED INTERNAL BUSINESS PROBLEMS TO IMPACTED BUSINESS AREAS
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.
ABOUT FTI CONSULTINGFTIConsulting,Inc.isaglobalbusinessadvisoryfirmdedicatedtohelpingorganizationsprotectandenhanceenterprisevalueinanincreasinglycomplexlegal,regulatoryandeconomicenvironment.Withmorethan3,500professionalslocatedinmostmajorbusinesscentersintheworld,weworkcloselywithclientseverydaytoanticipate,illuminate,andovercomecomplexbusinesschallengesinareassuchasinvestigations,litigation,mergersandacquisitions,regulatoryissues,reputationmanagementandrestructuring.Moreinformationcanbefoundatwww.fticonsulting.com.
©FTIConsulting,Inc.,2010.Allrightsreserved. 052010
fticonsulting.com
QUESTION 7– LINKAGES OF RESPONDENTS #3 AVOIDED INTERNAL BUSINESS PROBLEMS TO IMPACTED BUSINESS AREAS
Source:FTIConsultingsurveyresults.RefertoAppendixASurveyOverviewforadditionalbackgroundinformation.